Employment Rights Bill to boost productivity for British workers

The Westminster Government will today table amendments to the Employment Rights Bill

  • The Government has laid amendments to the Employment Rights Bill following weeks of consultation with business groups and unions. 
  • The Bill will support the Government’s mission to increase productivity and create the right conditions for long-term sustainable, inclusive, and secure economic growth, delivering on the Plan for Change.
  • Improving workers’ rights is a key element of the government’s Plan for Change by putting more money in people’s pockets, improving working people’s day to day lives and delivering real life improvements felt by working people. 

The Government yesterday tabled amendments to the Employment Rights Bill following weeks of consultation and responses from business groups, trade unions and wider civil society. 

The Labour government says these amendments demonstrate the Government’s commitment to working in partnership with businesses and trade unions to ensure the plan to Make Work Pay is firmly pro-business and pro-worker. 

Responses to five consultations ranging from zero-hours contracts to Statutory Sick Pay will also be published which show how the Government has listened to the views of stakeholders. 

The Government’s Plan to Make Work Pay is a core part of the mission to grow the economy, raise living standards and create opportunities for people across the country. These amendments will deliver on the Plan for Change by tackling the low pay, poor working conditions and poor job security that has been holding the UK economy back. 

This landmark Bill will extend the employment protections already given by the best British companies to millions more workers. This will put the UK back in step with competitors in other advanced economies, who are already acting to adapt to the changing world of work. 

The Bill’s impact assessment, which was published last year, showed that many of the policies within the Employment Rights Bill could help support the Government’s Mission for Growth.

It concluded that that the package could have “a positive but small direct impact on economic growth” and will “help to raise living standards across the country and create opportunities for all.” This is the result of a pro-business, pro-worker, approach which is going to help usher in a decade of national renewal. 

Deputy Prime Minister Angela Rayner said: “For too long millions of workers have been forced to face insecure, low paid and irregular work, while our economy is blighted by low growth and low productivity.   

“We are turning the tide – with the biggest upgrade to workers’ rights in a generation, boosting living standards and bringing with it an upgrade to our growth prospects and the reforms our economy so desperately needs.   

“We have been working closely with businesses and workers to progress this landmark bill and deliver our Plan for Change – unleashing growth and making work pay for everyone.”

Business Secretary Jonathan Reynolds said: “Past Governments’ low growth and low productivity economy simply did not deliver what the UK needs, which is why we are choosing stability, investment and reform, not chaos, austerity and decline. This is why our mission to grow the economy as part of our Plan for Change is based on putting more money in working people’s pockets by making wages fairer and work more secure.  

“Many businesses already have worker friendly practices in place and can attest to the positive impact they have on retention, productivity and job satisfaction. We want to go further and untap the UK’s full potential by attracting the best talent and giving business the confidence to hire to help the economy grow.”

The amendments set out later today carefully consider different views and needs of workers, businesses and the whole economy and looks to deliver measures that support the mutual interests required to drive a growing, modern economy.

The government says they are delivering reform through the Plan for Change to create a decade of national renewal, meaning increased living standards across every part of the UK and putting politics back in the service of working people. 

They come following responses received to five Government consultations: 

  • Application of zero hours contracts measures to agency workersAll workers, including up to 900,000 agency workers in the UK, should be able to access a contract which reflects the hours they regularly work. These amendments will ensure that agency work does not become a loophole in our plans to end exploitative zero hours contracts. They will offer increased security for working people to receive reasonable notice of shifts and proportionate pay when shifts are cancelled, curtailed or moved at short notice – whilst retaining the necessary flexibility for employers in how they manage their workforces.  
  • Strengthening remedies against abuse of rules on collective redundancyThe Government will increase the maximum period of the protective award from 90 days to 180 days and issue further guidance for employers on consultation processes for collective redundancies. Increasing the maximum value of the award means an Employment Tribunal will be able to grant larger awards to employees for an employer’s failure to meet consultation requirements. We want to enhance the deterrent against employers deliberately ignoring their collective consultation obligations and ensure it is not financially beneficial to do so. 
  • Creating a Modern Framework for Industrial RelationsThe government is updating the legislative framework in which trade unions operate to align it with modern work practices. We are ensuring industrial relations are underpinned by collaboration, proportionality, accountability, and a system that balances the interests of workers, businesses and the wider public, with further details in the consultation response.   
  • Strengthening Statutory Sick PayThe Government will ensure the safety net of Statutory Sick Pay is available to those who need it the most, making it a legal right for all workers for the very first time.  Up to 1.3 million employees on low wages who find themselves unable to work due to sickness will either receive 80 per cent of their average weekly earnings or the current rate of Statutory Sick Pay – whichever is lower. We are also ensuring employees have a right to Statutory Sick Pay from the first day of sickness absence, so they are able to take the time off they need to recover and stay in work rather than risk dropping out altogether. The changes will also reduce the amount of people going to work when ill and therefore the spread of infections in the workplace – boosting productivity and benefiting businesses. 
  • Tackling non-compliance in the umbrella company marketThe Government will act to ensure that workers can access comparable rights and protections when working through a so-called umbrella company as they would when taken on directly by a recruitment agency. Enforcement action can be taken against any umbrella companies that do not comply.  

A strong package of workers’ rights and protections goes hand in hand with a strong economy because a secure workforce will be more productive and have more confidence to spend in the economy. This contributes to growth – both through the work that people do, and the money that they spend. 

As well as creating protections for people at work, the Government is determined to create a modern economy that works for businesses and workers alike. We are delivering these reforms collaboratively, pragmatically, and in a reasonable timeframe where businesses can prepare.  

For businesses to thrive they must operate on a level playing field. The Fair Work Agency will take strong action against rogue employers that exploit their workers, and it will provide better support to the majority of businesses who want to do right by their staff. 

The Government says they will continue to hold continuous extensive engagement as they develop their Plan to Make Work Pay and as the details of these polices are developed. 

Paul Nowak, TUC General Secretary said: “Everyone deserves security and respect at work. These common-sense reforms will improve the quality of jobs in this country, boost growth and put more money into people’s pockets. 

“Policies like banning exploitative zero-hours contracts, ensuring protection from unfair dismissal from day one, and tackling ‘fire and rehire’ are long overdue and necessary. 

“This is about creating a modern economy that works for workers and business alike. Driving up employment standards in Britain will stop good employers from being undercut by the bad and will mean more workers benefit from a union voice.”

Interim Acas CEO, Dan Ellis, said: “Acas is committed to making working life better for everyone in Britain and we welcome the Government’s focus on improving workplace relations.

“The Government has made some new amendments to the Employment Rights Bill that impacts agency workers, statutory sick pay rules and employers that want to make 20 or more employees redundant.

“The Bill is currently going through Parliament and is subject to further debate and revisions. We will continue to work with the Government and partners to support businesses and workers to prepare for the new law changes.”

Jane Gratton, Deputy Director of Public Policy at the BCC, said: “Employers will be relieved to see some amendments, at what is clearly a milestone moment for Government.

“It has consulted business – and this is reflected in some of the decisions on the future shape of the legislation. There is much here to welcome as sensible moves that will help ensure that employment works for both the business and the individual, including the nine-month statutory probation period and the promise of a light touch approach, as well as simplifying rules on collective consultation. 

“But businesses remain cautious, and it is important to continue ensuring the Bill strikes the right balance.  Employers will look forward to hearing, engaging with and shaping further detail.

“The government must continue its positive approach to engagement with firms and remain open to changes. Doing so will ensure this legislation is proportionate, affordable, and right for both firms and their employees.”

Centrica Group Chief Executive, Chris O’Shea said: “We are fully supportive of this legislation. This isn’t just the right thing to do—it’s a foundation for the high-growth, high-skill economy the UK needs.

“While no one business has all the answers, our experience at Centrica shows that our business thrives when our people thrive – so stronger rights for workers mean stronger businesses, and that’s a win for everyone.  

“As we look to invest billions in green energy, nuclear, and hydrogen storage, having a skilled and engaged workforce is critical to delivering on the UK’s energy security and net zero ambitions. The Government’s wider growth and energy missions rely on businesses and workers pulling in the same direction—I hope this Bill helps make that possible.”

Julie Abraham, CEO of Richer Sounds said: “At Richer Sounds, we have always put the treatment and wellbeing of our colleagues at the forefront of everything we do.  Any responsible business will know that well-treated and well-paid colleagues will be beneficial in numerous ways.  

“Happy colleagues are likely to be more productive. This also leads to reduced stock loss and higher staff retention, which in turn, minimises recruitment and training costs, not to mention disruption to established teams. 

“We support any government legislation that will help end exploitative working practices and improve the lives of working people.”

Ann Francke OBE, Chief Executive Officer of the Chartered Management Institute (CMI), said: “The Employment Rights Bill represents a significant step forward in improving conditions for the UK’s workforce. Many of these measures reflect what successful, responsible and forward-looking employers are already doing.  

“CMI has welcomed the Government’s collaborative approach in progressing this Bill, working alongside both businesses and unions to find the balance needed. The real key to success, however, will be the ability of skilled managers to implement these changes, ensuring they get it right and can deliver growth and productivity benefits for organisations whilst ensuring individuals are treated fairly.  

“We look forward to working closely with the Fair Work Agency to ensure managers and leaders are equipped with the skills they need to navigate this milestone piece of legislation.”

Simon Deakin, Professor of Law, University of Cambridge said: “The research we have done in Cambridge shows that on average, strengthening employment laws in this country in the last 50 years has had pro-employment effects.  

“The consensus on the economic impacts of labour laws is that, far from being harmful to growth, they contribute positively to productivity. Labour laws also help ensure that growth is more inclusive and that gains are distributed more widely across society.”

Claire Costello, Chief of People and Inclusion Officer – Co-op: “The Co-op support the Government’s ambitions to strengthen rights for workers through the Employment Rights Bill.

“It’s our belief that treating employees well – a key objective of this Bill – will promote productivity and generate the economic growth this country needs.”

Neil Carberry, CEO of Recruitment & Employment Confederation, said: “Regulating the umbrella market closes a loophole in addressing non-compliance.

“Recruiters have long called for regulations that ensure a level playing-field. Like all aspects of the Government’s changes, proper enforcement will be key to protecting both businesses and workers.”

Regional growth to be boosted by £67 million for UK culture projects

Regional growth and regeneration will get a much-needed boost as 10 major culture projects across the UK will receive more than £67 million, the UK government confirmed this week.  

Funding will be ‘critical’ in showcasing the UK as a world-leader in culture and bring in visitors from across the globe.   

Just as importantly this will help drive growth in all parts of the country – a key element of the government’s Plan for Change – by creating jobs and in some cases building new homes.   

Projects receiving funding are:    

  • £15 million for the National Railway Museum in York, will go towards the construction of a new building, Central Hall, which will include a new entrance to the museum, a new gallery, retail, café, flexible event space and new visitor facilities. The museum is part of a wider mixed-use regeneration scheme in York to transform underused railway land into a new city quarter which could create more than 3,000 new homes, new office, retail and hospitality space, contributing to more than 6,000 new jobs and £1.6 billion in economic value to the region.   
  • £10 million to start the process of revamping ‘Temple Works’ in Leeds a derelict Grade 1 building, bringing it into public ownership; paving the way for it to house the British Library North in the future and unlock further regeneration of new housing and commercial development on surrounding sites.  
  • £10 million for the International Slavery Museum and the Maritime Museum in Liverpool, to expand and maintain the museums which play a crucial role in the wider reimagining of the Liverpool Waterfront.   
  • £5 million for the National Poetry Centre in Leeds that will renovate a redundant Grade 2 Listed building to create a national headquarters for poetry and bolster Leeds’ reputation as a regional centre for culture and creativity.    
  • £5 million for City Centre Cultural Gateway in Coventry, that will support the repurposing of the former IKEA building in Coventry city centre to become a new cultural and visitor attraction.    
  • £2.3 million to three cultural projects in Worcester, these three projects will deliver new cultural and public spaces around the Scala arts venue:   
  • A new Scala Co-Working Space will be created to provide an onsite office and studio space for artistic companies to create work.    
  • Two mezzanine floors of the Corn Exchange building will be brought back into use through the creation of Next Level Food which will provide a new space for more events and exhibitions and modern catering facilities will be    
  • A new welcoming social space for younger generations will be created through the Angel Place is Your Space hub   
  • £10 million for Venue Cymru in Conwy, Wales, will upgrade the largest Welsh arts centre outside Cardiff and deliver a step-change in the use of the building, including the relocation of the existing library and Tourist Information Centre to create a modern and innovative cultural hub.   
  • £5 million for Newport Transporter Bridge, Wales, that will fund vital repair and maintenance works to Newport Transporter Bridge, which plays a crucial role in the tourism economy as a visitor attraction in South Wales.   
  • £2.6 million for the Victoria and Albert Museum in Dundee, that will expand and recurate the existing Scottish Design Galleries telling the story of Scottish design to create an improved destination and visitor experience.    
  • £2.2 million for Shore Road Skills Centre in Belfast, Northern Ireland, that will see the redevelopment of the South Stand at the Crusaders FC into a unique state of the art community education, event and skills centre.    

Deputy Prime Minister Angela Rayner said: “Every corner of the UK has something unique to offer, and our rich creative capital must not be underestimated.    

“Our Plan for Change promises growth for every region and I’ve seen first-hand how these projects are igniting growth in their communities.   

“Through investing in these critical cultural projects we can empower both local leaders and people to really tap into their potential and celebrate everything their home town has to offer. This means more tourism, more growth and more money in people’s pockets.”   

Alex Norris, Minster for Local Growth, said:   ”The benefits of these fantastic projects go far beyond community and county borders, they are key to unlocking a regional and nationwide celebration of UK culture and creativity as well as driving growth and regeneration.   

“This investment marks a huge step forward in our decade of national renewal as committed to in our Plan for Change – creating jobs and boosting tourism and regeneration in our regions is the type of long-term, sustainable growth the government is prioritising to ultimately put more money in people’s pockets.”   

Culture Secretary, Lisa Nandy said: ”Everyone across the country should be able to access arts and culture in the place they call home. This support will empower our cultural organisations to continue playing an essential role in developing skills, talent and high-quality careers in every corner of the UK.”  

These projects will celebrate and raise awareness of the unique social value and cultural history of the UK while also supporting crucial economic growth through creating local jobs and attracting tourism on a national scale.    

Projects that are most advanced and will see benefits spread beyond regional borders and attract investment have been prioritised to maximise public spending and deliver long-term growth.

Over two million extra NHS appointments delivered early in England as trusts handed £40 million to go ‘further and faster’

Over two million extra NHS appointments including for chemotherapy, radiotherapy, endoscopy, and diagnostic tests delivered as government delivers first step to fix the NHS seven months early

  • Pledge to deliver over two million more elective care appointments hit early with over 100,000 more treatments, tests and scans for patients each week
  • Waiting lists falls by almost 160,000 since government took office, as extra appointments delivered for chemotherapy, radiotherapy, endoscopy and diagnostic tests
  • Comes as an additional £40 million set to be handed to trusts that deliver biggest improvements in cutting waiting lists
  • Marks major step towards delivering Plan for Change milestone of hitting 18-week treatment target by the end of this Parliament

Over two million extra NHS appointments including for chemotherapy, radiotherapy, endoscopy, and diagnostic tests delivered as government delivers first step to fix the NHS seven months early. 

The Prime Minister has welcomed new figures published by NHS England [today] which reveal that between July and November last year, the NHS delivered almost 2.2 million more elective care appointments compared to the same period the previous year – delivering on the government’s mission to fix the NHS as part of the Plan for Change. 

The new data confirms the government reached the target seven months earlier than promised – with 100,000 more treatments, tests, and scans for patients each week, and more than half a million extra diagnostic tests delivered.

It follows figures published last week which showed the waiting list has been cut by almost 160,000 since the government took office, compared to a rise of almost 33,000 over the same period the previous year. 

It means thousands of patients have received vital operations, scans, treatments, and consultations earlier than planned, helping them get back on with their lives and back to work sooner.

The extra 2 million appointments – delivered in part by extra evening and weekend working – are underpinned by the government’s ambitious wider reform agenda, including our plan to expand opening hours at Community Diagnostic Centres across the country, 12 hours a day, seven days a week.

The government’s mission to build an NHS fit for the future starts with tackling waiting lists, and hitting this milestone is a crucial step towards treating 92% of elective care patients within 18 weeks of referral by the end of this Parliament – delivering a core commitment in the Plan for Change.  

While there is more to do, today’s milestone also clears the path to bring forward wider NHS reforms through the government’s Elective Reform Plan – announced by the Prime Minister last month – which will cut waiting times and improve patient experience by getting people seen more quickly, closer to home. 

Prime Minister Keir Starmer said:  “Two million extra NHS appointments and a waiting list on its way down – we’re delivering on our promise to fix the NHS and make sure people get the care they need, when they need it. 

“This isn’t just about numbers. It’s about the cancer patients who for too long were left wondering when they’ll finally start getting their life-saving treatment. It’s about the millions of people who’ve put their lives and livelihoods on hold – waiting in pain and uncertainty as they wait for a diagnosis.

“We said we’d turn this around and that’s exactly what we’re doing – this milestone is a shot in the arm for our plan to get the NHS back on its feet and cut waiting times.

“But we’re not complacent and we know the job isn’t done. We’re determined to go further and faster to deliver more appointments, faster treatment, and a National Health Service that the British public deserve as part of our Plan for Change.” 

Since entering office, the government has hit the ground running to fix the broken health service we inherited by tackling the waiting lists, and building an NHS fit for the future. 

This includes ending NHS strikes so staff are on the front line instead of the picket line this winter, vaccinating more people against flu than this time last year and putting immediate investment into our health system through £1.8 billion to fund extra elective care appointments as part of record £26 billion extra NHS funding secured at the October Budget.   

Building on this, the government has announced an extra £40 million funding pot for trusts who make the biggest improvements in cutting waiting lists. The funding will be available for hospitals from next year to spend on capital projects such as new equipment or repairs to their estate which can deliver faster access to treatment and improve conditions for patients. 

Further details on the scope and allocation of the funding package will be set out in due course, but examples of the innovations that trusts will be able to benefit from include investment into new tech such as surgical robots and AI scanners to modernise the NHS and help patients get diagnosed and treated as quickly as possible.

The funding could also go towards completing hospital ward maintenance – expediting the transformation of ageing NHS estates and giving patients newer, safer environments in which to receive care. 

Health and Social Care Secretary Wes Streeting said: “We have wasted no time in getting to work to cut NHS waiting times and end the agony of millions of patients suffering uncertainty and pain.

“Because we ended the strikes, invested in the NHS, and rolled out reformed ways of working, we are finally putting the NHS on the road to recovery.

“We promised change, and we’ve delivered, providing the two million extra appointments we pledged in just our first five months – a promise made, and a promise kept. The result is around 160,000 fewer patients on waiting lists today than in July.

“That was just the first step. Through our Plan for Change, we are opening new surgical hubs, Community Diagnostics Centres at evenings and weekends, and using private sector capacity to cut waiting times from 18 months to 18 weeks.”

Amanda Pritchard NHS chief executive said: “Thanks to the hard work of staff and embracing the latest innovations in care, we treated hundreds of thousands more patients last year and delivered a record number of tests and checks, with the waiting list falling for the fourth month in a row.

“There is much more to do to slash waiting times for patients, but the Elective Care Reform Plan will allow us to build on this incredible progress as we boost capacity and drive efficiency while also improving the experience of patients.”

The Elective Reform Plan will drive forward action to meet the 18-week target through the necessary reforms to overhaul the system, support staff, cut waste and put patients first – creating millions more appointments in the process. As part of this, the government is creating thousands more appointments through greater access to Community Diagnostic Centres and 17 new or expanded surgical hubs.  

The Community Diagnostic Centres will be opened 12 hours a day, seven days a week wherever possible so that people can access a broader range of more appointments closer to home in their neighbourhoods. These will increase the availability of same-day tests and consultations so that patients don’t have to wait for weeks in between different stages of care.  

The surgical hubs will be also created within existing hospitals by June and three others expanded, with more expected in coming years supported by the £1.5 billion investment confirmed at the Autumn budget.  

These will bring together the necessary expertise, best practice, and tech under one roof to focus on delivering the most common, less complex procedures. The new hubs will be ring-fenced from winter pressures and will cut waiting times for standard surgeries, in turn freeing up beds in acute wards needed for more complex cases. 

Other elements of the plan include freeing up around 1 million more appointments every year by removing non-essential follow-ups, publishing a new deal with the independent sector to increase capacity, revolutionising the NHS app to give patients greater choice and control over their treatment and preventing unnecessary referrals by incentivising GPs to work with hospital doctors to get specialist advice. 

The government has also launched a nationwide consultation on the 10 Year Health Plan to build an NHS fit for the future and secured an extra £2 billion to upgrade NHS technology and £1 billion to deal with the massive NHS maintenance backlog. 

As part of a drive towards prevention, NHS England have also launched its first-ever awareness campaign today to support more women to attend potentially lifesaving breast screening.

The campaign, supported by leading charity Breast Cancer Now, launches today with a new advert across TV, on demand and radio to highlight the benefits of screening in detecting cancer at the earliest opportunity. 

Last year alone, NHS breast screening services detected cancers in 18,942 women across England, which otherwise may not have been diagnosed or treated until a later stage, and the most comprehensive review to date found around 1,300 deaths are prevented each year by the breast screening programme.

UK Government unveils plans for next generation of new towns in England

Hundreds of thousands of working people and families will reap the rewards of new towns across England, as Starmer paves the way for the largest housebuilding programme since the post-war era.

  • Over 100 sites across England have come forward to be considered for next generation of new towns
  • Government on track to create beautiful communities, provide affordable homes, and deliver much needed infrastructure, including schools and nurseries, GP surgeries, and bus routes 
  • By taking on the blockers, 20,000 homes, along with new schools and health facilities, will move forward following government action, and we will now turn to unblock the remaining 700,000 homes across 350 sites 
  • Comes as government rolls out major planning reforms to sweep away the blockers and push through its housebuilding agenda as part of the Plan for Change

Hundreds of thousands of working people and families will reap the rewards new towns across Britain (? – Ed.), as the Prime Minister paves the way for the largest housebuilding programme since the post-war era.

Visiting a housing development today, the Prime Minister will unveil the government’s plans for the next generation of new towns – well-designed, beautiful communities with affordable housing, GP surgeries, schools and public transport where people will want to live. 

Over 100 proposals from across every region in England were submitted, showing local areas and housebuilders’ ambition to get on board to build the next generation of new towns – playing their part in getting Britain building and tackling the worst housing crisis in living memory. Every new town will have the potential to deliver 10,000 homes or more. 

Delivering security is central to this government’s Plan for Change, because the least working people deserve when they graft hard is a secure home. That’s why the government is providing much-needed housing in the right places with the right infrastructure, and the New Towns Taskforce has today set clear principles on what the next generation of new towns will deliver: affordable housing, vital infrastructure and access to open green spaces and nature, to transform the lives of working people. 

Prime Minister Keir Starmer said: “For so many families, homeownership is a distant dream. After a decade of decline in housebuilding, the impact is a disconnect between working hard and getting on.

“This is about more than just bricks and mortar. It’s about the security and stability that owning your own home brings. I know what this means for working people – the roof above our head was everything for our family growing up. 

“We’ve already made progress in just seven months, unblocking 20,000 stuck homes. But there’s more to do.

“We’re urgently using all levers available to build the homes we need so more families can get on the housing ladder. We’re sweeping aside the blockers to get houses built, no longer accepting no as the default answer, and paving the way for the next generation of new towns.

“As part of the largest housebuilding programme since the post-war era, our ambitious Plan for Change will transform the lives of working people, once again connecting the basic principle that if you work hard, you should get on.”

Deputy Prime Minister and Secretary of State for Housing, Angela Rayner said: “Time and again we are seeing too many new homes stuck or stalled that not only act as a barrier to growth but also has real-world consequences for working people and families who see homeownership as nothing more than a distant dream.  

“I will not run away from the tough choices to fix the housing crisis we inherited that has left thousands of families on housing waiting lists, allowed homelessness to spiral out of control, and stopped an entire generation from picking up the keys to their first home.  

“While our vision for the next generation of new towns is setting the stage for a housebuilding revolution in the years to come, urgent action is needed now to build the homes and infrastructure that our local communities are crying out for.

“That’s why our New Homes Accelerator is working at pace to find solutions and remove blockages in the system, executing long-lasting solutions to get spades in the ground.  

“Today we are embarking on the next chapter in our Plan for Change to build 1.5 million new homes, deliver the biggest boost in social and affordable housing in a generation, and raise living standards for working people and families across the country.”

For far too long, working people have been let down by a decline in housebuilding. That’s why the government is ‘rolling up its sleeves’ and is ‘taking on the blockers’ with major reforms to planning regulation to get Britain building. 

That work is already underway, with a staggering 20,000 new homes now successfully unblocked by the government’s novel ‘New Homes Accelerator’ programme, which deploys planning expertise to speed up the delivery of housing sites held by unnecessary delays.  

Areas that have already benefitted from direct government action include:

  • Over 1,000 homes unlocked at Cowley Hill in Liverpool, where an agreement has been reached with the Environment Agency who withdrew its previous objections on both flood risk and biodiversity grounds, subject to planning.
  • And at Wolborough in Devon, the Accelerator has worked with Natural England to help accelerate this development, whilst ensuring environmental improvements are secured. On top of the 1,100 homes the site is injecting £1.75 million towards off-site pedestrian and cycle improvements, playing pitches, bus services and a local travel plan.  

Housebuilders and local councils have put forward over 350 housing development sites stuck in the system under the previous government – that together could unlock around 700,000 new homes.

Around a quarter of sites submitted are already receiving government attention since the call for evidence closed in October – demonstrating success of the programme, and local ambition to support the government’s 1.5 million homes target.

This goes hand-in-hand with government action to overhaul the planning system, supporting the builders and not the blockers, taking the brakes off economic growth, raising living standards, and making the tough decisions to deliver for working people and families. 

This includes:

  • Publishing a new growth-focused National Planning Policy Framework, which introduced new mandatory for councils to deliver the right homes in the right places, with a combined total of 370,000 homes a year.
  • Introducing the Planning and Infrastructure Bill next month. The Bill will overhaul environmental regulations to no longer accept the failed status quo where bats are more important than trains or newts more important than homes, and remove blockers to fast-track delivery of the homes and infrastructure that local communities need.    

To get Britain building now – the government today announces plans to fast stream planning through brokering disagreements between the agencies and expert bodies, which by law must be consulted within the planning process. Bodies including National Highways, Natural England and the Environment Agency will need to bring planners and housebuilders to the table and iron out concerns that have been holding back development.

Responding to sector concerns on pinch points, work stepping up with the Building Safety Regulator to ensure greater timeliness and efficiency when new tall buildings are signed off – to provide more homes for more people.

This work will be bolstered by extra government funding announced today, including:  

  • £1 million for government agencies, including National Highways, Natural England and the Environment Agency, to speed up the planning approval of new homes and improve feedback to local authorities and industry where required.
  • £2 million to support the Building Safety Regulator to continue improving the processing for new-build applications.
  • Over £3 million of grants for local councils to bolster planning capacity, alongside direct advice and navigate through some of the more complex issues holding up new development.   

Alongside the Accelerator, the government is also supporting local partners through a clearing service to help accelerate the sale of uncontracted and unsold affordable homes, with nearly 300 housebuilders, local councils and registered providers signing up in the first 50 days of its launch.   

In December, the government set a clear hierarchy of brownfield first, grey belt second and green belt third. Today, further funding is being injected to drive regeneration and brownfield deliver in the following areas:  

  • £20 million to help transform neglected small-scale council-owned sites into new homes, for areas most in need.
  • Nearly £30 million from the Brownfield Infrastructure and Land Fund in Bradford to transform derelict brownfield sites into a vibrant residential area with 1,000 new homes, three community parks, shops, cafés, restaurants, and offices.
  • £1.5 million to support a regeneration programme at Manchester Victoria North, delivering a new district of 15,000 homes with transport links and green spaces.   

Getting homes built for working people is a priority and is backed by investment in housing which is increasing to £5 billion for this year, including a top-up of £800 million being injected into the existing Affordable Homes Programme to help deliver tens of thousands of new affordable and social homes across the country.   

This is in addition to an extra £100 million of cash to bolster local resources with increased planning fees to cover costs and funding to recruit 300 planning officers, making sure councils have the capacity they need to rubberstamp new homes and infrastructure.

New survey suggests benefits system is letting down people with mental health conditions who want to work

Many sick and disabled people say they want to work to help boost their living standards – but aren’t given the right support, according to new data published on Time to Talk day [6 February].

  • New survey suggests 200k people claiming health and disability benefits are ready for work now if the right job or support were available.
  • Comes as number of young people with a mental health condition who are economically inactive due to long-term sickness reaches over a quarter of a million (270,000).
  • Overhaul of health and disability benefit system set to be unveiled in Spring to ensure it provides meaningful support to help long term sick back into work.

New research published by the Department for Work and Pensions shows that nearly half (44%) of people with a mental health condition expect to be able to work in future if their health improves.

This comes as the number of young people (aged 16 to 34) who are economically inactive due to long-term sickness and have a mental condition reaches 270,000. This number has been rising consistently over the past decade and has increased by 60,000 (26%) in the last year alone. The equivalent figure for all people of working-age (16 to 64) is 790,000 – an increase of 140,000 (22%) over the last year.

The Work Aspirations of Health and Disability Claimants survey also finds that a third (32%) of those claiming health and disability benefits believe they can work now or in future.  (5%) say that they would be ready now if the right job or support were available. This equates to around 200,000 individuals.

The survey also finds that those out of jobs overwhelmingly see work as a key part of their identity and a route to higher self-esteem, happiness and security.

In further evidence that the current system pushes people away from work, the survey revealed that 50% of people who are on health and disability benefits and are not currently in work said they were worried they would not get their benefits back if they tried paid employment and it did not work out.

 It comes as the Work and Pensions Secretary Liz Kendall visited Workbridge charity which offers support to people who are unable to work due to mental ill health, to hear how they’re supporting people with mental health conditions into work.

Responding to the stark survey results, the Work and Pensions Secretary has said the report demonstrates the need to reform the current welfare system, so that it offers better, meaningful support to give disabled people and people with long-term health conditions a real opportunity to find work.

The upcoming reforms will be a key part of the government’s Plan for Change to boost employment by breaking down barriers to opportunity – creating a welfare system that promotes tailored pathways into work and accommodates the complex nature of disabilities and health conditions – and consequently, improving people’s living standards.

Work and Pensions Secretary, Rt Hon Liz Kendall MP said: “Today’s report shows that the broken benefits system is letting down people with mental health conditions who want to work.

“People claiming Health and Disability benefits have been classed by the system as “can’t work” and shut out of jobs and have been ignored – when they’ve been crying out for support.

“That is a serious failure. It’s bad for people, bad for businesses, which miss out on considerable talent, and bad for the economy.

“For young people in particular, being out of work can have a scarring effect that lasts a lifetime.

“On Time to Talk day, it’s time to change how we support people with long-term health conditions, such as a mental health condition, so that they have a fair chance and choice to work.”

On her visit to Workbridge, Kendall spoke to experts to hear their insights on how government and employers can better accommodate the fluctuating nature of people’s mental health – ensuring that people’s views and voices are at the heart of changes that affect them.

Being in work has a positive effect on people’s mental and physical health – providing people with confidence and independence, as well as financial benefits.

The UK remains the only G7 country that has higher levels of economic inactivity now than before the pandemic, with the benefits bill spiralling – largely driven by the increase in people claiming incapacity benefits for mental health conditions, who had not received the care and treatment they deserve.

The reforms to the health & disability benefit system due to be unveiled in a Green Paper in Spring will consider these issues and how the government can tackle these barriers to employment, and the government will work closely alongside charities, organisations and disabled people to ensure their voices help shape any proposals for reform.

The Green Paper will set key ambitions for creating a system that is fairer on disabled people – offering support into work which takes into consideration the realities of their health condition and life circumstances, and fairness for the taxpayer by bringing down the benefits bill.

The reforms are expected to build on the Get Britain Working White Paper, which set out the first steps to achieving the government’s target 80% employment rate, driving up growth and driving down poverty in every corner of our country. 

Successful steps have already been taken to offer work and life-changing support, with a record number of people with mental health conditions receiving employment advice through the NHS Talking Therapies programme.

Alongside this support, the Laobur Government has settled record funding for the NHS – so that all people can get the care they need – and have pledged:

  • 8,500 more mental health staff
  • Mental health support teams in every school
  • Open-access mental health hubs in every community

Oxbridge to become Europe’s Silicon Valley?

Chancellor unveils new plans to deliver the Oxford-Cambridge Growth Corridor that will boost the UK economy by up to £78 billion by 2035

  • Rachel Reeves will today vow to go ‘further and faster’ to deliver the government’s Plan for Change to kick start economic growth and put more pounds in people’s pockets.
  • Chancellor to unveil plans to unleash the potential of the Oxford-Cambridge Growth Corridor that will add up to £78 billion to the UK economy according to industry experts, catalysing growth of UK science and technology.
  • Comes after Chancellor last week announced National Wealth Fund and Office for Investment will take new approaches to spur regional growth across the UK.

Chancellor Rachel Reeves will today vow to go “further and faster” to kick start the economy, as she unveils new plans to deliver the Oxford-Cambridge Growth Corridor that will boost the UK economy by up to £78 billion by 2035 according to industry experts.

In a speech in Oxfordshire, the Chancellor will tell regional and business leaders that economic growth is the number one mission of this government and its Plan for Change. She will declare that Britain’s economy has “huge potential” and is at the “forefront of some of the most exciting developments in the world like artificial intelligence and life sciences.”

She will back the redevelopment of Old Trafford and will review the Green Book – the government’s guidance on appraisal – in order to support decisions on public investment across the country, including outside London and the Southeast.

The speech comes after the Chancellor last week announced a new approach for the National Wealth Fund (NWF) and the Office for Investment (OfI) to work with local leaders to build pipelines of incoming investment and projects linked to regional growth priorities. This includes the NWF trialling Strategic Partnerships in Greater Manchester, West Yorkshire, West Midlands, and Glasgow City Region and the OfI piloting an approach in the Liverpool City Region and the North East Combined Authority to connect their regions to central government and industry expertise in order to unlock private investment.

Reeves will say “low growth is not our destiny, but that economic growth will not come without a fight. Without a government that is on the side of working people. Willing to take the right decisions now to change our country’s course for the better.”

The Chancellor is expected to say: “Britain is a country of huge potential. A country of strong communities, with local businesses at their heart.

“We are the forefront of some of the most exciting developments in the world like artificial intelligence and life sciences. We have great companies based here delivering jobs and investment in Britain.

“And we have fundamental strengths – in our history, our language, and our legal system – to compete in a global economy.

“But for too long, that potential has been held back. For too long, we have accepted low expectations, accepted stagnation and accepted the risk of decline. We can do so much better.

“Low growth is not our destiny. But growth will not come without a fight. Without a government that is on the side of working people. Willing to take the right decisions now to change our country’s course for the better.

“That’s what our Plan for Change is about. That is what drives me as Chancellor. And it is what I’m determined to deliver.”

In her speech the Chancellor will announce:

  • The Environment Agency has lifted its objections to a new development around Cambridge that could unlock 4,500 new homes and associated community spaces such as schools and leisure facilities as well as office and laboratory space in Cambridge City Centre. This was only possible as a result of the government working closely with councils and regulators to find creative solutions to unlock growth and address environmental pressures.
  • That the government has agreed for water companies to unlock £7.9bn investment for the next 5 years to improve our water infrastructure and provide a foundation for growth. This includes nine new reservoirs, such as the new Fens Reservoir serving Cambridge and the Abingdon Reservoir near Oxford.
  • Confirming funding towards better transport links in the region including funding for East-West Rail, with new services between Oxford and Milton Keynes this year and upgrading the A428 to reduce journey times between Milton Keynes and Cambridge.
  • Prioritisation of a new Cambridge Cancer Research Hospital as part of the New Hospitals Programme bringing together Cambridge University, Addenbrookes Hospital and Cancer Research UK.
  • Support for the development of new and expanded communities in the Oxford-Cambridge Growth Corridor and a new East Coast Mainline station in Tempsford, to expand the region’s economy.
  • That she welcomes Cambridge University’s proposal for a new large scale innovation hub in the city centre. As the world’s leading science and tech cluster by intensity, Cambridge will play a crucial part in the government’s modern Industrial Strategy.
  • A new Growth Commission for Oxford, inspired by the Cambridge model, to review how best we can unlock and accelerate nationally significant growth for the city and surrounding area.
  • Appointment of Sir Patrick Vallance as Oxford-Cambridge Growth Corridor Champion to provide senior leadership to ensure the Government’s ambitions are delivered. 

The Chancellor is expected to say: “Oxford and Cambridge offer huge economic potential for our nation’s growth prospects.

“Just 66 miles apart these cities are home to two of the best universities in the world two of the most intensive innovation clusters in the world and the area is a hub for globally renowned science and technology firms in life sciences, manufacturing, and AI.

“It has the potential to be Europe’s Silicon Valley. The home of British innovation.

“To grow, these world-class companies need world-class talent who should be able to get to work quickly and find somewhere to live in the local area. But to get from Oxford to Cambridge by train takes two and a half hours.

“There is no way to commute directly from towns like Bedford and Milton Keynes to Cambridge by rail. And there is a lack of affordable housing across the region.

“Oxford and Cambridge are two of the least affordable cities in the UK. In other words, the demand is there but there are far too many supply side constraints on economic growth in the region.”

Designed to take advantage of the region’s unique strengths and potential, the announcements are further evidence of the government’s modern Industrial Strategy in action as it seeks to create the right conditions to increase investment in our leading growth sectors like life sciences, artificial intelligence and advanced manufacturing.

She will add: “Taken together, these announcements show that for the first time a government is providing real leadership to deliver this project with a clear strategy for the entire region backed by funding for the housing and infrastructure we so badly need.

The speech comes after the Chancellor last week announced a package of investment reforms to spur regional growth across the UK.

Rachel Reeves set out a new approach for the National Wealth Fund (NWF) and the Office for Investment (OfI) to work with local leaders to build pipelines of incoming investment and projects linked to regional growth priorities.

Putting local knowledge and leadership at the forefront, there will be tailored strategies for each region to ensure investment matches local needs and drives sustainable growth.

Putting the government’s Plan for Change into action, the Chancellor set out that the goal is to harness growth everywhere to rebuild Britain and usher in a decade of national renewal. Measures included the NWF trialling Strategic Partnerships in Greater Manchester, West Yorkshire, West Midlands, and Glasgow City Region and the OfI piloting an approach in the Liverpool City Region and the North East Combined Authority to connect their regions to central government and industry expertise in order to unlock private investment.

Science Minister, Lord Patrick Vallance said: “The UK has all the ingredients to replicate the success of Silicon Valley or the Boston Cluster but for too long has been constrained by short termism and a lack of direction.

“This government’s Plan for Change will see an end to that defeatism. I look forward to working with local leaders to fulfil the Oxford-Cambridge corridor’s potential by building on its existing strengths in academia, life sciences, semiconductors, AI and green technology amongst others.

“Together we will build the infrastructure and partnerships needed to join up this region’s academia, investors and business so that we can boost growth, deliver innovations and create new jobs that improve all our lives.”

Transport Secretary, Heidi Alexander said:Well connected communities are a cornerstone for growth. East West Rail will not only provide better links and lasting benefits to Oxford and Cambridge, but to all the surrounding areas.

“I’m also delighted to announce a brand new station at Tempsford, which will be game changing for the region – allowing a new community and businesses to grow, unlocking faster and smoother access to opportunities, and delivering on the Government’s Plan for Change.”

S2G4KH Starling murmuration at RSPB Ham Wall, Avalon Marshes, Somerset

Responding to Rachel Reeves’ speech today on economic growth Roger Mortlock, CPRE countryside charity chief executive, said:

On airport expansion and the Lower Thames Crossing 

‘The single biggest threat to the countryside is climate change. If the government expands Heathrow, Luton, City and Gatwick airports, the increase in carbon emissions will make a mockery of its commitment to reaching net zero by 2030.   

‘Airport expansion will do nothing to boost UK growth. There has been no net increase in air travel for business purposes or in jobs in air transport since 2007. Recent research from the New Economic Foundation indicates that airport expansion will drive significant tourism revenue abroad, not bring it to the UK. To create the jobs of the future we need investment in low-carbon industries and transport, not more unsustainable expansion of the UK’s airports.   

‘CPRE local groups in Bedfordshire, Hertfordshire, London and Sussex have been at the forefront of campaigns to prevent further airport expansion. If implemented, these proposals would have a devastating impact on some of the UK’s most valuable agricultural land, vital wildlife habitats and green spaces close to millions of people’s homes.’

On the Lower Thames Crossing 

‘The proposed Lower Thames Crossing would also drive-up levels of unsustainable travel at a time when funding should be directed into sustainable public transport instead. CPRE Kent has highlighted how the crossing’s environmental and economic impacts on the local area would far outweigh any supposed benefits.’

On zonal planning reforms 

‘We welcome the government’s plan to support the construction of more homes close to existing transport hubs, particularly in our towns and cities. Provided that they are genuinely affordable and built on brownfield land, these homes could help unlock growth by providing sustainable places to live close to where people already live, work and go to school. 

‘Building more homes close to transport hubs must not be allowed to undermine the Green Belt, one of this country’s most successful spatial protections with huge potential to help address the climate and nature emergencies.’   

On the planning regime for Nationally Significant Infrastructure Projects 

‘It’s clear we’ve got to build a clean energy grid fit for the future but the best way to achieve this is with local communities involved from the start.  

‘To speed up the planning system, the government should deliver on its commitment to fund hundreds of new planning officers. 

‘The UK could learn from countries such as Ireland and Australia, which involve communities in decision making from the beginning, reducing the need for lengthy and expensive legal processes without eroding democracy. For everyone’s sake, we should be building consensus, not dismissing people with real ideas and solutions as ‘blockers’.

Pension reforms to go further to unlock billions to drive growth and boost working peoples’ pension pots

  • Prime Minister and Chancellor to tell leading CEOs that Britain is back and open for business.
  • Changes to pension rules will allow trapped surplus funds to be invested in the wider economy, fuelling economic growth.
  • Move is part of government action to remove blockages that are stopping growth – from regulation to planning processes.

Working people and businesses are set to benefit from new rules that will give more flexibility over how occupational defined benefit pension schemes are managed, as the government continues to remove blockages that are inhibiting its growth agenda that will improve lives of working people across the UK. 

Hosting a meeting with leaders of Britain’s biggest businesses in the City of London today (Tuesday 28 January), the Prime Minister and the Chancellor will set out the details of changes and tell some of the country’s leading CEOs that Britain is back and open for business.

At the roundtable, the PM and Chancellor will outline how restrictions will be lifted on how well-funded, occupational defined benefit pension funds that are performing well will be able to invest their surplus funds. 

This follows action taken by the government last week to bring a renewed focus on growth from some of the UK’s biggest regulators, a shake-up to legal challenges on planning applications, and new “brownfield passports” to speed up housing in commuter hotspots.

Prime Minister, Keir Starmer said: “The number one mission of my government is to secure growth, drive higher living standards for everyone, and get more money into people’s pockets.

“To achieve the change our country needs requires nothing short of rewiring the economy. It needs creative reform, the removal of hurdles, and unrelenting focus. Whether it’s how public services are run, regulation or pension rules, my government will not accept the status quo.

“Today’s changes will unlock billions of investment, pushing forward in delivering my Plan for Change.”

Chancellor of the Exchequer, Rachel Reeves said: “I know this government and businesses are united on growth being the top priority for our economy, which is why I am fighting every day to tear down the biggest barriers to growth, taking on regulators, planning processes and opposition to this urgent mission.

The Prime Minister and Chancellor will tell CEOs from some of the UK’s most successful companies that that the government is seeking to create the best possible conditions for the private sector to thrive.

They will promise to work in partnership with businesses, to deliver high-quality jobs across the country, and the economic growth that will fund the schools, hospitals and roads that we all rely on.

Pension trustees and the sponsoring employers could then use this money to increase the productivity of their businesses – to boost wages and drive growth or unlock more money for pension scheme members. 

High growth and more productive businesses boost the size of the economy which in turn will fund our vital public services.

This more efficient approach demonstrates that the government has been listening to business, and will give businesses more flexibility, allowing trapped surplus funds to be invested into the wider UK economy, or given to scheme members as additional benefits.

Where trustees agree to share a portion of scheme surplus with a sponsoring employer, the employer may choose to invest these funds in their core business, for example to purchase equipment or supplies, and/or provide additional benefits to members of the pension scheme.

Approximately 75% of schemes are currently in surplus, worth £160 billion, but restrictions have meant that businesses have struggled to invest them.

These reforms build on the Chancellor’s Mansion House reforms which will create pension megafunds as part of the biggest set of pension reforms in decades, unlocking billions of pounds of investment in exciting new businesses and infrastructure and local projects.     

Over £1.1 trillion is held by pension funds in the UK and defined contribution pension schemes are set to manage £800 billion worth of assets by the end of the decade. This Government is determined to encourage these pension funds to deliver investment and drive economic growth – which is the only way to make people better off.    

Jonathan Lipkin, Director of Policy, Strategy & Innovation at the Investment Association said: “Unlocking surplus capital from defined benefit schemes has the potential to both boost UK growth by opening up investment opportunities for companies and their stakeholders, as well as the possibility of higher pensions for scheme members

“With around £1.1 trillion in assets, defined benefit schemes already make a significant contribution to the funding of the UK economy and public services. 

With the right guardrails in place, the government’s proposals could help channel more funding into the economy, by enabling schemes to invest more widely and take on greater risk, while allowing for members to receive an uplift to pension benefits.

Zoe Alexander, Director of Policy and A2dvocacy at the Pensions and Lifetime Saving Association, said: “The PLSA backs surplus release, with the right protections in place to ensure member benefits are secure. 

“Surpluses could be used to increase DB scheme benefits or could be redirected to fund contributions to sponsoring employers’ defined contribution workplace schemes.

“Lowering the legislative threshold for allowing returns of surplus could potentially encourage trustees, in conjunction with their employers, to adopt a more ambitious mindset and take on slightly riskier investment strategies for their DB assets, including greater investment in UK assets.”

Patrick Heath-Lay, Chief Executive Officer for The People’s Pension, said: “It is positive news to see the government is looking at the pension industry as a whole. This will help unlock more of the £2.9trillion that is held in UK pension savings, to benefit savers and the economy alike.

“We look forward to other pension schemes following our plans and outlining how they will invest in private markets.”

The roundtable discussion will focus on the government’s partnership approach to growth with business, including how regulation can better support the Growth Mission, and the role of business in achieving the UK’s ambitions in AI which the Prime Minister unveiled earlier this month. Every regulator has a role to play in the Growth Mission and the Chancellor is hosting a series of roundtables with the 17 regulators that the Prime Minister wrote to in December, to discuss their proposals to support growth in the coming year. 

The meeting with CEOs comes days after the Chancellor’s return from the World Economic Forum, where she pitched Britain’s investment credentials and let global business leaders know that the UK is open for business again.

She championed early reforms to planning, pensions, and regulation that make it easier to do business in Britain and remove barriers investors from overseas face.

On Wednesday, the Chancellor will make a speech where she will set out plans to push through further planning reforms to get Britian building again, rip up regulatory barriers so we can encourage more investment into the UK and announcements to boost trade and investment.

The government will set out the details of the surplus policy in its response to the Options for Defined Benefits consultation, due this Spring.

Government goes further and faster on planning reform in bid for growth

Chancellor continues ‘bold reform’ of the planning system in England to deliver on the Plan for Change

  • Chancellor reveals new plans for more houses near commuter train stations to kick start economic growth, as government continues its bold reform of the planning system to deliver on the Plan for Change for working people.
  • Sweeping reforms under the Planning and Infrastructure Bill will take an axe to red tape that slows down approval of infrastructure projects and the government will work with Parliamentarians to ensure a smooth and speedy delivery.
  • Chancellor highlights in its first six months the government has already taken 13 planning decisions and approved 9 nationally significant infrastructure projects spanning airports, data centres, energy farms, and major housing developments.

Untapped land near commuter transport hubs will be unlocked to build new housing for working people, as part of ‘bold new steps’ to reform the planning system and unlock growth to deliver win-win outcomes for the country and the economy. The reforms will create secure, high-paying jobs and deliver major infrastructure faster to bolster public services and lower bills.

Ahead of the Chancellor’s speech next week on economic growth, the government has today announced how it will go further and faster to deliver Plan for Change milestones of 1.5 million new homes over five years and 150 decisions on major infrastructure projects by the end of the Parliament.

It follows the ambitious reforms unveiled by the Chancellor in July and delivered by the Deputy Prime Minister at the end of last year through publication of the overhauled National Planning Policy Framework.

The government’s next steps on planning reform include streamlining a set of national policies for decision making to guide planning decisions taken by local authorities and promote housebuilding in key areas.

In a major new growth push, the government will ensure that when developers submit an application for acceptable types of schemes in key areas – such as in high potential locations near commuter transport hubs – that the default answer to development is ‘yes’.

This will unlock more housing at a greater density in areas central to local communities, boosting the government’s number one mission to grow the economy. These measures will transform communities, with more shops and homes nearer to the transport hubs that working people rely on day in day out.

As part of these measures, the government will streamline decisions on critical infrastructure projects by slashing red tape in the planning system which is holding up projects. That means looking again at the input from expert bodies who developers are required to consult – and replacing the current systems of environmental assessment to deliver a more effective and streamlined system that reduces costs and delays for developers, whilst still protecting the environment.

The Chancellor also revealed today that she is championing a regeneration project around Old Trafford in Manchester that will see new housing, commercial and public space as a shining example of the bold pro-development model that will drive growth across the region, with authorities exploring setting up a mayoral development corporation body to redevelop the area. 

The government is also working with Greater Manchester to release growth-generating land around transport hubs through local development orders, such as around Castleton Station, with the potential for this innovative use of existing powers to kickstart building in these sites to be a blueprint for the rest of the country so that every corner of the UK benefits from growth.

The new proposals tackle the dire inheritance head on. Last year homebuilding fell below 200k and permissions reached their lowest for over a decade, which is why the government is taking radical action necessary to reverse this trend and deliver the homes necessary to reach 1.5 million homes over this Parliament.

This government is turning the page on the decline and decay of the past and choosing growth with a significant number of planning decisions already made by Ministers since July. This includes 13 planning decisions taken by Ministers over 90% of which within the target timeframe, and 9 nationally significant infrastructure projects approved, collectively spanning airports, data centres, solar farms and major housing developments such as the Expansion of London City Airport, a data centre in Buckinghamshire and a new M&S store in Oxford Street, London.  

The government has committed to making 150 decisions on these major economic infrastructure applications over this Parliament, more than doubling the decisions made in the previous Parliament and more than 130 made since 2011.

This will unlock the growth necessary to deliver win-win outcomes for the country and the economy – creating stable and high-paying jobs, building more affordable homes, and delivering critical infrastructure faster to bolster public services and lower bills – while improving the environment where it matters most.

Chancellor of the Exchequer, Rachel Reeves said:I am fighting every single day in our mission to kick start the economy, deliver on our Plan for Change, and make working people better off. That includes avenues that others have shied away from.  

“Too often the answer to new development has been “no”. But that is the attitude that has stunted economic growth and left working people worse off. We need to do things differently and that journey began as soon as I started at the Treasury in July. These are our next steps and I can say for certain, there is more to come.”

Deputy Prime Minister and Secretary of State for Housing, Angela Rayner said:From day one I have been clear that bold action is needed to remove the blockers who put a chokehold on growth. That’s why we are putting growth at the heart of our planning system.

“Growth means higher wages, better living standards, families raising their children in safer homes, and the next generation taking their first steps onto the housing ladder.

“This year we will go even further to make the dream of homeownership a reality for millions and fix the housing crisis we inherited for good – getting more shovels in the ground to build the homes and vital infrastructure that our communities so desperately need.”

Growth is the number one mission of the Labour Government’s Plan for Change, so we can put more money in people’s pocket. Today the Chancellor is setting out further action on the government’s growth mission by announcing the following: 

Planning 

The Planning and Infrastructure Bill will provide the powers to accelerate the infrastructure and homes needed to deliver on the government’s ambitions – and fast track critical infrastructure such as windfarms, power plants, and major road and rail projects. Today the government is confirming for the first time that the Bill will be introduced in Spring and we will work with Parliamentarians to ensure a smooth and speedy delivery.

Further detail on the Bill is being published today in a working paper on streamlining decisions on nationally significant infrastructure projects, including reducing the burden on developers by making consultation requirements more proportionate, strengthening statutory guidance to ensure they are clear over what is and is not required when submitting planning applications, and ensuring that National Policy Statements are updated at least every five years to give more certainty to developers, speeding up decisions. 

Previous working papers have already set out reforms to the operation of planning committees, and an overhaul of the way developers can discharge their environmental obligations so that they can crack on with building.

The Chancellor is today also announcing reform to the statutory consultee system, which requires developers to consult local communities and expert bodies when making planning decisions. This often means too many organisations consulted on too wide a range of issues, clogging up much-needed development.

Today the government has declared a moratorium on any new statutory consultees and the Chancellor and the Deputy Prime Minister will review in the coming weeks the existing arrangements to make sure they meet this Government’s ambitions for growth.

This follows changes announced last week to the rules around challenging major infrastructure projects through the courts – stopping blockers getting in the way of the Government’s Plan for Change and getting nuclear plants, trainlines and windfarms built quicker. Current excessive rules mean unarguable cases can be bought back to the courts three times.

This will be overhauled, with just one attempt at legal challenge for hopeless cases that would previously have caused much more delay.

Environment

The government is also reforming environmental impact assessments, which have strayed from their original purpose of supporting decision making and have become voluminous and costly documents that too often support legal challenges rather than the environment.

They will be replaced by Environmental Outcome Reports which will be simpler and much clearer, which will support growth by saving developers time and money, whilst still protecting the environment. The government will publish a roadmap for the delivery of these new Environment Outcomes Reports in the coming months.  

This follows a working paper on development and nature published by the government before Christmas setting out a new approach that will turbocharge the delivery of housing and infrastructure while securing positive environmental outcomes.

Developers will be able to pay into the Nature Restoration Fund which will allow them to discharge relevant environmental obligations for protected sites and species and focus on building, safe in the knowledge that appropriate action will be taken to support nature’s recovery.

Major infrastructure

A working paper is being published setting out the government’s plan for its 10 Year Infrastructure Strategy, which will be focussed on infrastructure’s role in enabling resilient growth, delivering clean energy by 2030 and net zero by 2050 while securing the growth benefits of the transition, and improving public services.

The working paper seeks industry views as part of the government’s continued consultation on the development of the strategy which will be published in late Spring.

Jennie Daly, CEO of Taylor Wimpey said: “We continue to be impressed by the speed with which the government has gripped the need for planning reform to deliver much needed new housing supply. New high-quality housing and the infrastructure it brings are essential drivers of economic growth. 

“We welcome the commitment from the government to introduce the Planning and Infrastructure Bill as a priority in the spring, and we look forward to supporting the promised consultation work on reforming the planning system to expedite decisions and overcome local barriers to growth.”

Mark Reynolds, Mace Group Executive Chairman and Co-Chair of the Construction Leadership Council said: “When the government and the Construction sector work in partnership we can unlock growth of up to 2% of GDP. The simplification and streamlining of the planning system is a significant contributor to this so the announcements today are a welcome development which could deliver £2 billion per year in savings once fully implemented.

“In addition the upcoming publication of the 10 year National Infrastructure Strategy is an opportunity to set out plans for ambitious growth and chart a direction for the industry, instilling confidence in businesses to invest in skills, innovation and deliver profitable growth, we look forward to contributing to its success.”

Neil Jefferson, CEO of Home Builders Federations said: “Identifying more land for development and removing the treacle from the planning process that delays applications is essential if we are to increase housing supply.

“The swift moves to address these blocks in the planning system are very welcome and will pay dividends if the other constraints on housing supply can be tackled. Housing delivery is dependent upon a range of factors, of which planning is a major one, and these changes underline the government’s commitment to increasing supply.”

Mayor of Greater Manchester, Andy Burnham said: “With our devolved powers we’re mobilising the whole Greater Manchester system to lock in growth for the next decade and reap the rewards for our city-region and UK plc.

“The project around Old Trafford represents the biggest opportunity for urban regeneration this country has seen since London 2012 and is a key part of our 10-year plan to turbocharge growth across Greater Manchester.

“We look forward working with the Government on moving freight away from the site around Old Trafford to new locations to open up capacity our rail network, and unlock massive regeneration potential – delivering benefits across the whole of the North.”


As part of its ‘relentless focus’ to get Britain building and achieve the ambition to build 1.5 million new homes over five years, the government has already:  

  • Overhauled the National Planning Policy Framework, including new and higher mandatory housebuilding targets for councils, a comprehensive modernisation of the Green Belt, and far greater support for growth-supporting development such as labs and datacentres.  
  • Launched a New Homes Accelerator group to unlock thousands of new homes currently in the planning system.  
  • Published a series of working papers on further reforms to the planning system:
    • ‘brownfield passports’, designed to ensure that where planning proposals meet design and quality standards, the default answer to planning permission is ‘yes’,
    • development and nature recovery, detailing a new approach for developers to discharge environmental obligations through payment into a Nature Restoration Fund which then allows them to crack on with building,
    •  planning committees, proposing a national scheme of delegation to speed up the approval process and provide greater certainty to developers.
  • Set up an independent New Towns Taskforce, as part of a long-term vision to create largescale communities of at least 10,000 new homes each.  
  • Awarded £68 million to 54 local councils to unlock housing on brownfield sites.   
  • Awarded £47 million to seven councils to unlock homes stalled by nutrient neutrality rules. 
  • Extended the existing Home Building Fund for this year providing up to £700 million of vital support to SME housebuilders, supporting the delivery of around 12,000 additional homes.
  • Confirmed that government investment in housing will increase to £5 billion for this year, including an extra £500 million in new funding for the Affordable Homes Programme to deliver tens of thousands of new affordable and social homes across the country.

Chancellor unveils plan to ‘turbocharge’ investment across UK

A package of investment reforms to spur regional growth across the country is being announced to attract investment in all corners of the UK

Ahead of her speech next week on economic growth, the Chancellor has announced a new approach across the National Wealth Fund (NWF) and the Office for Investment (OfI), which will work with local leaders across the UK to support places to build pipelines of incoming investment and projects linked to regional growth priorities.

This new approach will put local knowledge and leadership at the forefront, with tailored strategies for each region, ensuring investment matches local needs and drives sustainable growth. Putting the government’s Plan for Change into action, the goal is to harness growth everywhere to rebuild Britain and usher in a decade of national renewal.

The National Wealth Fund will also trial Strategic Partnerships starting in Greater Manchester, West Yorkshire, West Midlands, and Glasgow City Region. These partnerships will provide enhanced, hands-on support with tailored commercial and financial advice to help regions develop and secure long-term investment opportunities.

This initiative will play a key role in unlocking investment across sectors such as technology, manufacturing, and green energy, helping to fuel the next wave of economic growth.

This builds on the positive impact the NWF has already had in supporting regional growth. In the last six months, the NWF has created 8,600 jobs and unlocked nearly £1.6 billion in private investment across various sectors, including green technologies, digital infrastructure, and manufacturing.

The news comes the same day as Regional Mayors are set to meet with the Deputy Prime Minister and other ministers from MHCLG, HMT, and DWP in Rotherham to discuss key regional priorities and how government can further support them to achieve their growth ambitions. This meeting will inform the government’s ongoing efforts to align national and local growth strategies and unlock investment opportunities in each region.

On top of this, OfI is working closely with local leaders and industry to turn regional growth plans into commercially attractive investment opportunities. Starting with Liverpool City Region and North East Combined Authorities, the OfI will pilot an approach that connects regions to central government and industry expertise to support them in unlocking private investment.

These initiatives will test how government can work in partnership with regions to see where investment can play a meaningful role in driving growth, which is the best way to improve living standards and put more money in working people’s pockets.

Launching this initiative in Scotland comes in recognition of the nation’s potential to drive forward ambitious projects in support of this government’s growth and clean energy missions.

The government is committed to working in close partnership with the devolved governments through the National Wealth Fund to maximise investment opportunities in Scotland’s cities to deliver growth.

Our cities have huge potential to drive improved living standards and spread opportunities across their wider regions. Bringing the productivity of major cities like Manchester, Birmingham, Leeds, and Glasgow to the national average would deliver an extra £33 billion in additional Gross Value Added (GVA) annually, contributing significantly to the government’s Plan for Change economic growth objectives.

The action today comes as the Chancellor returns from Davos, where she has been making the case for investment in the whole of the U.K. Since entering office, the government has been focused on restoring economic stability, which is the foundation of growth, to give businesses the confidence to invest and expand in the UK.

Securing investment is also central to the government’s mission to deliver economic growth which will create jobs, improve living standards, and make communities and families across the country better off as part of our Plan for Change.

Chancellor of the Exchequer, Rachel Reeves MP said:At Davos I’ve been telling some of the world’s biggest investors that the U.K. is a safe bet for their investments, whether that’s in London or Leeds.

“And in our mission for growth, it’s critical that we are growing every region’s local economy, that’s why we are doing things differently.

“Those with local knowledge and skin in the game are best placed to know what their area needs, and our transformative reforms will put local leaders at the centre of a network that will connect them with investment opportunities, bringing wealth and jobs to their communities.”

Deputy Prime Minister, Angela Rayner said:Growth is at the top of this government’s agenda, and we want to see that growth in every region across the country. That means giving local leaders the powers they need to get their local economies moving, which is exactly what we are doing with our Devolution Priority Programme.

“Today I am meeting with England’s regional Mayors to talk about how to realise their communities’ huge potential for growth – because they know their areas best.”

Business and Trade Secretary, Jonathan Reynolds said: “The UK is one of the most connected places in the world to do business, and investors should be in no doubt that Britain is back on the global stage, helping attract investment into the most productive parts of the UK economy.

“Our forthcoming Industrial Strategy will supercharge eight key growth sectors in the UK economy, unleashing the full potential of our cities and regions and giving businesses the certainty they need as we lead the charge for the innovation and jobs of the future.”

Scottish Secretary, Ian Murray said: “It’s fantastic to see that Glasgow has been chosen as one of four areas where the UK Government will develop investment pipelines. The move will see us engage with local leaders and tap into their expertise to find out exactly where we can best put to use support from avenues like the National Wealth Fund and Office for Investment.

“Encouraging regional growth is key to our Plan for Change, to speed up investment in business and industry, creating jobs and opportunity right across the UK.

“The potential for growth in Scotland is phenomenal and we’ll explore every opportunity to maximise that growth, to put more money in people’s pockets and see living standards improved everywhere.”

Further action to drive regional growth will also include a review of the Green Book, the government guidance on value for money, and how it is being used across the public sector to provide objective, transparent advice on public investment across the country. This review will report back at the conclusion of the Spending Review this summer.

There will also be a new senior taskforce, chaired jointly by HMT and MHCLG permanent secretaries, who will work with the Greater Manchester Combined Authority to explore further devolution opportunities in skills, transport, and business support.

The government will expand this engagement to other Mayoral Authorities through senior official working groups, to explore how national government can work with local leaders to ensure they have the appropriate levers available to deliver their Local Growth Plans and unlock economic growth across England.

Mayors are already delivering transformative outcomes, such as Greater Manchester’s Adult Skills Fund, which has supported 17,000 residents in accessing new learning opportunities, and the Bee Network, which is integrating public transport across the region.

This follows the English Devolution White Paper, published at the end of last year, which set out an enhanced devolution framework to ensure strategic authorities have the powers and tools they need to meet local growth ambitions.

Tracy Brabin, Mayor of West Yorkshire said: “This government knows that the best way to achieve its growth mission is by working with mayors and backing our Local Growth Plans to boost the economy in all parts of the country.

“With the National Wealth Fund based here in the heart of the North, driving forward transformational investments in partnership with local leaders, we will deliver the well-paid jobs and the vibrant, well-connected places our communities need and deserve.”

Mayor of Greater Manchester, Andy Burnham said: “Greater Manchester is growing faster than the UK economy but we have got so much more to give to UK plc.

“The reforms announced today will help us to do just that and go much further and faster in support of the national growth mission.

“We particularly welcome the opportunity to work with Government to review the Green Book and how it is used to steer public investment, as the current approach is not working for the North of England.”

Richard Parker, Mayor of the West Midlands said: “This is a great show of faith by the Government in our regions to deliver the growth and high-quality jobs the country needs. The West Midlands is a hotbed of innovation and business talent ready to support the Government’s mission for growth.

“With the Government, I’m focused on delivering growth and with plans for a gigafactory, and three Investment Zones secured, we’re already making progress on creating thousands of new jobs. At the same time I am equipping our people with the skills to succeed in the industries of the future such as advance manufacturing, life sciences and green technology. 

“With this new Strategic Partnership, the West Midlands will be one of the best places to do business, with an economy that creates real opportunities and benefits everyone across our communities.”

Cllr Susan Aitken, leader of Glasgow City Council and chair of the Glasgow City Region Cabinet said: “This is welcome recognition of the Glasgow City Region’s role as Scotland’s metro region, a vital motor in delivering prosperity and with a track record of securing and delivering on investment.

“Cities and city regions are the vital engine rooms of local and national economic growth and Glasgow’s selection as one of the four strategic partnerships to work with Government on maximising investment opportunities will, I’m sure, contribute to our ambition to become the most innovative, resilient and inclusive regional economy in the UK.”

Ex-high street boss to ‘keep Britain working’

Review into business support for disabled and long-term sick

A new “Keep Britain Working” review has been launched today (Friday 24 January) to explore how to urgently support people with long-term illnesses or disabilities back into work, and to stay in work.

  • Independent review led by former John Lewis boss, Sir Charlie Mayfield, officially underway.
  • Review to investigate how government and businesses can work together to support ill and disabled people into work, boost living standards and grow the economy as part of Plan for Change.
  • Intervention comes as government is expected to publish major health and disability benefit reforms this Spring.

Former chairman of John Lewis Partnership, Sir Charlie Mayfield, will lead the Keep Britain Working Review to investigate the factors behind spiralling levels of inactivity, and how government and businesses can work together to turn this around, to get Britain working again. 

The review will be the first of its kind, and following the launch of the Get Britain Working White Paper, will be one part of the government’s Plan for Change to kickstart economic growth in partnership with businesses, drive up prosperity and raise living standards across the UK.

With over a third of working age people reporting a long-term health condition and around a quarter classed as disabled, the latter group being three times more likely to be not in work or looking for work, the scale of the challenge is stark.

Beginning today, the review will move at pace concluding in the Autumn, with Sir Charlie Mayfield meeting businesses and health and disability organisations across the country to identify the scale, trends, obstacles and opportunities for companies when recruiting and retaining ill and disabled people. 

This phase will conclude in Spring with a report based on the findings from his conversations with company bosses, employees who have been supported to stay in work, and organisations who help those out of work, to inform wider engagement. Recommendations to the government are expected later this year.

This will be part of the government’s plan to boost employment by breaking down barriers to opportunity and improving people’s living standards through work and life-changing support, building on the latest data this week showing real earnings have increased by 2.5% on the year.

Sir Charlie Mayfield, who was also Chair of the British Retail Consortium and Chair of the UK Commission for Employment and Skills, said: “Losing people from the workforce because of ill-health or disability is bad for many of the individuals, for the businesses employing them, and for the wider economy.

“It’s a growing problem for us all and it’s one that’s more likely to be resolved by business and government working together.

“I’m looking forward to engaging closely with businesses, government departments and the many organisations committed to improving our performance here.”

The review, which will identify measures to help ill and disabled people get into work and stay in work, comes ahead of significant reforms to health and disability benefits expected in the Spring. 

Work and Pensions Secretary, Rt Hon Liz Kendall MP, said: “Millions of people have been left without support to get into work and on at work, and completely held back from reaching their potential for far too long, and the record-high cost of long-term sickness benefits is evidence of that fact.

“That’s why I am pleased to have Sir Charlie leading this review, bringing a wealth of experience and helping us to get people into work, and most importantly keep them in work, so we can boost living standards and get our economy growing.”

Business and Trade Secretary, Rt Hon Jonathan Reynolds, said: “It isn’t right that too many businesses are missing out on the people they need, while those who want to work can’t because of long-term sickness. 

“Solving this problem is one of the greatest challenges facing the labour market, with years of poor support blocking those with great talent from helping drive our economy forward.

“The government is on the side of working people and is unashamedly pro-business. That’s why this review will be critical in getting businesses the people they need to unlock their full potential.”

Rain Newton-Smith, CEO of the CBI, said: “Lower rates of employment for people with long-term health conditions or disabilities is a tragic waste of potential that holds back economic growth and impacts on well-being. 

“It denies people the opportunity to improve their personal financial security through work and prevents businesses from using their valuable skills and experience to grow the economy. 

“Sir Charlie’s review is a welcome opportunity for business and government to co-design solutions that have a real impact.”

This business engagement is part of the Westminster government’s Get Britain Working White Paper which is currently progressing the biggest employment reforms in a generation so the UK can reach an ambitious 80% employment rate. 

As part of the plan, Jobcentre’s are to change their focus from monitoring and managing benefit claims to skills and careers, mental health support will be expanded to reduce waiting lists in areas with the highest levels of economic inactivity, and mayors will be empowered to join up local work, health and skills support to tackle the root causes of inactivity in their areas.