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.

Recovering from Storm Éowyn

First Minister thanks people for patience as recovery operation continues

A further meeting of the Scottish Government’s Resilience Room (SGoRR) was chaired by First Minister John Swinney last night to coordinate the recovery response to Storm Éowyn.  

Due to the severity and impact of the storm, there is significant disruption to parts of the country. This includes around 35,000 properties without power and continued transport disruption with road closures and rail, bus, flight and ferry cancellations. It is expected to take some time to get all services fully restored.   

Utility companies, national agencies and local authorities are working at pace to restore power and assess the impact, including responding to significant damage, removing fallen trees and debris, to ensure services can fully resume in the coming days.   

The First Minister joined a Ministerial COBR meeting chaired by the Chancellor of the Duchy of Lancaster Pat McFadden earlier on Saturday evening. The First Minister also spoke with the Prime Minister to discuss the ongoing response to Storm Éowyn and the impact on Scotland.

First Minister John Swinney said:  “I want to thank everyone who followed Police Scotland advice not to travel and express my sincere gratitude to the emergency services and to those working in the public, private and third sector who are continuing to support people and communities across the country.   

 “With yellow warnings in place for wind, snow and ice over the weekend, it is clear the severity of Storm Éowyn will continue into next week and this will have an impact on the speed at which utilities and local services can fully resume.  

 “Given the damage and disruption facing the network across the United Kingdom, utility companies are under significant pressure and are working in challenging conditions.

“I have stressed the importance of getting power restored as quickly as is practically possible and have been assured that assessments are being made at pace to ensure power is restored to affected properties in Scotland as soon as possible.

“Alongside our partners, Ministers are being updated regularly and ensuring all steps are being taken. 

“I am pleased at the progress made to restore power to many communities over the course of today however a significant number of properties remain without power. Utility companies are continuing to provide support to customers, including ensuring provisions are in place for the most vulnerable.   

“I want to thank people for their continued patience and encourage them to take extra care and look out for each other, particularly those who are supporting vulnerable neighbours and family members.  

“As we look ahead to Monday, partners are working at pace to ensure services can resume next week. Local authorities – who are responsible for school closures – will be working to ensure all buildings meet the required safety standards to reopen safely to pupils. We would expect decisions on schools to be clearly communicated by local authorities to parents, pupils and staff, with as much advance warning as possible, and would encourage all parents to follow that advice. 

 “People should prepare for continued disruption, especially in areas that have been impacted by a loss of power, and I encourage everyone to follow advice being issued by local authorities, as well as continuing to follow updates from national agencies.”  

  • SGoRR was attended by the Deputy First Minister Kate Forbes, Transport Secretary Fiona Hyslop, Justice and Home Affairs Secretary Angela Contance, Cabinet Secretary for Health and Social Care Neil Gray, Education Secretary Jenny Gilruth, Rural Affairs and Islands Secretary Mairi Gougeon, Acting Net Zero and Energy Secretary Gillian Martin and Cabinet Secretary for Constitution, External Affairs and Culture Angus Robertson. They were joined by representatives from the Met Office, Police Scotland, Transport Scotland, SEPA, transport and utilities companies and resilience partners.
  • The latest Met Office weather warnings are available on the Met Office website.
  • Flood alerts are issued by the Scottish Environmental Protection Agency and can be viewed on their website. 
  • Advice on preparing for severe weather can be found on the Ready Scotland website.

  • Follow Traffic Scotland for the most up-to-date information on the trunk roads throughout the warning periods, via their website, social media channels and radio broadcasts. Updates on ScotRail services and road conditions are available online. 
  • To report a power cut or damage to electricity power lines or substations call the SP Networks national Freephone number 105. More information on what to do during a storm can also be found on SP Energy Website.
  • During a power cut firefighters can be called to fires started by candles or portable heaters. For advice on how to stay safe during a power cut visit Scottish Fire and Rescue Website.   

Choudhury: “Edinburgh deserves  clean beaches, not sewage scandals” 

Newly revealed figures have highlighted the scale of sewage pollution in Scotland, with 165  spills recorded at the Seafield sewage treatment works in Edinburgh last year. These spills  resulted in partially treated sewage being discharged into the sea for a total of 890 hours,  raising serious concerns about environmental protection and public health. 

Managed by the French utility company Veolia under a Private Finance Initiative (PFI)  agreement with Scottish Water, Seafield is one of nine sewage sites operating under similar  contracts.

Across these facilities, more than 500 sewage overflows were reported in 2023,  amounting to a total of 3,500 hours of discharge. Major spillages were also recorded at  locations such as Newbridge, Blackburn, Whitburn, and East Calder. 

Scottish Labour MSP for the Lothian Region, Foysol Choudhury, has called for urgent action  to address the ageing infrastructure and improve oversight of sewage discharges. 

MSP Choudhury said: “The scale of sewage pollution in Scotland is unacceptable.  Communities across the country, including here in Edinburgh, deserve clean beaches, rivers,  and waterways.

“The current system is failing, and this must change.” 

Mr. Choudhury has seen the Seafield site become a source of concern for residents,  particularly after the Scottish Environment Protection Agency (SEPA) issued a warning in July 2023 advising against swimming at Portobello Beach due to high bacteria levels.  

In May 2024, residents were encouraged to report odour and noise issues from Seafield via  the Leith Links Community Council’s online nuisance report form to ensure complaints are  sent directly to elected officials, including MSPs and councillors, to keep the pressure on to  address these longstanding problems. 

Choudhury said: The Seafield Sewage Treatment Works has exposed local Leithers  to a series of appalling odour and sewage leaks. What impact does this have  on the local environment like the Water of Leith and the Forth?” 

“Scotland’s beaches and waterways are among our most  cherished natural assets. It’s not enough for operators to claim compliance with licenses— people deserve transparency and action to safeguard our environment and health.” 

ACCOUNTABILITY FOR PFI CONTRACTS 

The Seafield plant and others like it are managed under PFI contracts, but MSP Choudhury has questioned whether this model delivers for communities. In the Highlands, a PFI sewage  plant has already been brought back under public control following the expiration of its  contract.

Foysul Choudhury continues to raise questions and engage with local communities to demand  greater accountability from operators and stronger action from the Scottish Government when it comes to polluting Scotland’s waterways. 

LOOKING AHEAD 

The PFI contract for Seafield is due to expire in 2029, at which point the plant will revert to  public control under Scottish Water. Mr. Choudhury hopes that this transition is used as an  opportunity to overhaul the system, upgrade facilities, and end the cycle of sewage spills  polluting Scotland’s rivers and beaches.

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.

Homelessness crisis places ‘unsustainable pressure’ on local authorities’ crumbling finances, says Westminster committee

there seems to be no desire to move away from an unsatisfactory short-term system, leaving local authorities attempting to save a sinking ship with little more than a leaky bucket’

  • Families face long stretches in unsuitable accommodation and the prospect of being relocated.
  • Dire need for housing sector reform and increase in the availability of affordable housing.

Record homelessness levels are placing local authorities’ finances under unsustainable pressure. In a report published today, the Public Accounts Committee (PAC) warns of an overreliance on the use of temporary accommodation, due in part to a dwindling and increasingly costly housing stock.   

The PAC is calling for a clear strategy and stronger support for local authorities to address what has become a crisis situation.

Of the estimated £2.1bn spent by local authorities in 2023-24 on temporary accommodation, the report finds that a large proportion was used to meet the urgent need for immediate support, rather than the preventative measures so desperately needed.

Despite there being an overarching homelessness strategy for each of the devolved nations, England does not have one.

The report calls on Government to set out such a strategy, which should clearly outline how preventative measures will be incentivised. It also argues for an exemption from requirements on local connections or residency for all veterans, care leavers under 25 years, and victims of domestic abuse, as well as for competition between local authorities and the Home Office for temporary accommodation to be eliminated.

The report raises deep concerns around the number of families being housed outside their local area. This has risen to 39,000, a practice which alarmingly seems to be becoming increasingly common.

Equally alarming is the fact that 6,000 homeless families with children live in B&Bs, due to the lack of alternative accommodation. The report stresses the detrimental impact that living in this type of accommodation has on people’s lives; particularly children whose safety and wellbeing can be severely compromised as a result. Government should encourage better coordination between local authorities and set out how it will support them to reduce the use of B&Bs. 

With 45% of households facing a shortfall between the Local Housing Allowance (LHA) they receive and the rent they pay, the PAC warns the Government is not considering the impact on homelessness when setting LHA rates.

The decisions made by Government to determine LHA are seemingly subjective. This issue is exacerbated by the lack of affordable housing, on which Government seems frustratingly unable to provide detailed assurances.

Further, poor oversight of the sector and gaps in current regulations are allowing is allowing landlords to provide costly, sub-standard housing with little support, supervision or care.  The PAC urges Government to set out the logic behind LHA rates and details of the proposed new housing strategy along with strengthening its position to provide better oversight of the sector. 

Sir Geoffrey Clifton-Brown MP, Chair of the Committee, said: “My Committee is deeply concerned by the number of people currently being housed in sub-standard, overpriced and at times, wholly inappropriate accommodation, sometimes a long way from their previous home.

“A lack of affordable housing, a focus on short-term solutions and no clear strategy to tackle this issue have left us with thousands of families in deeply troubling circumstances.

“Worryingly there seems to be no desire to move away from an unsatisfactory short-term system, leaving local authorities attempting to save a sinking ship with a little more than a leaky bucket.

“Local authorities find themselves at breaking point as they haemorrhage funds to cover the rising costs of housing families in temporary accommodation.

“We are calling for an overarching strategy that addresses the need for better connectivity across Government departments to tackle the root causes of this crisis. Without one, we fear this will remain an issue into which money is simply poured, without effectively tackling the blight of homelessness.

“Government must learn from the lessons of the past to inform what they will do in the future.” 

Colinton/Fairmilehead by-election

The Colinton/Fairmilehead by-election takes place this Thursday (23 January) and residents in the ward are being urged to remember their polling cards and cast their votes.

Residents in Colinton, Fairmilehead, Bonaly, Dreghorn, Oxgangs and Swanston who are aged 16 or over and have registered to vote can participate in Thursday’s by-election.

Together they will select two new councillors for the ward, which has a current electorate of 19,669. For this election there are 14,290 electors (72.7%) who have opted to vote in person and 5,379 postal voters (27.3%).

Whilst it is not mandatory to bring a polling card this will speed up the process when you arrive to cast your ballot.

Returning Officer for Edinburgh, Paul Lawrence said:With the by-election fast approaching, I encourage residents of the Colinton/Fairmilehead ward to visit their local polling place on Thursday.

“Please remember your polling cards and take this opportunity to have your say. Your two new local councillors will represent your community on issues affecting the ward and Edinburgh as a whole.

“Our elections pages provide useful information on how the Single Transferable Vote system works – you can rank candidates in order of preference, choosing as many or few as you’d like.

“If you’ve requested and received a postal ballot, please return it as soon as possible to make sure your vote is counted.”

Polling stations will be open from 7am to 10pm on 23 January at:

  • Charwood
  • Fairmilehead Parish Church Hall
  • St. Cuthbert’s Episcopal Church Hall
  • Oxgangs Neighbourhood Centre
  • Pentland Community Centre

The electronic election count will take place on Friday 24 January starting at 10:00am.

Find out more about the Colinton/Fairmilehead by-election.

Ministers to ‘bang the drum for Britain’ at Davos gathering

  • Chancellor and Business Secretary at World Economic Forum’s Annual Meeting in Davos this week
  • Ministers will meet CEOs and investors to bang the drum for British business
  • UK delegation to tell global business leaders and investors that the time to invest in Britain is now
Impressions from the World Economic Forum Annual Meeting 2025 in Davos-Klosters, Switzerland 18 January 2025. Copyright: World Economic Forum/Thibaut Bouvier

Ministers will be banging the drum for Britain at Davos this week, with the most visible UK Government presence in recent years pitching the UK’s investment offer to top business chiefs.

Chancellor Rachel Reeves and Business and Trade Secretary Jonathan Reynolds will meet with leading members of the global business community to encourage them to put their money into the UK and back British business.

They will highlight the UK’s political and economic stability, making us an attractive place to do business. This is backed by an unashamedly pro-business government that is slashing burdensome regulation, launching ambitious planning reform, and leveraging our trade relationships with Europe, America, Asia, the Gulf and beyond to help businesses use Britain as their base to connect with exciting global markets.

The visit will continue to deliver on the government’s number one mission to grow the economy and raise living standards for working people, coming days after the IMF revised their growth forecast for the UK economy upwards for next year.

The government’s Davos attendance also follows a survey from consultancy firm PwC, who on Monday ranked the UK as the second most investible location globally after the U.S. – the first time the UK has secured this position in the 28-year history of the survey.

Impressions from the World Economic Forum Annual Meeting 2025 in Davos-Klosters, Switzerland 18 January 2025. Copyright: World Economic Forum/Thibaut Bouvier

Chancellor of the Exchequer Rachel Reeves said: “Business leaders and investors need to know that the UK is where their businesses will flourish, so I’m meeting them face to face in Davos to make our case.

“We are one of the most exciting places in the world for them to put their money, with a history of innovation, a skilled workforce and a stable government that backs business. I will not rest until the UK economy is growing and this government is delivering on its Plan for Change, so we can put more money in people’s pockets.

“The time to invest in Britain is now.”

The Chancellor will be on the ground at Davos on Wednesday 22 and Thursday 23 January. She and the Business Secretary will speak at a Bloomberg event on Wednesday morning.

She will also speak at the Country Strategic Dialogue alongside Ruth Porat, president and CIO of Google and Julie Sweet, CEO of Accenture, to over 80 global CEOs and business leaders from across tech, financial services and green industries. In the evening the Chancellor will attend the Global Goals dinner.

On Thursday, the Chancellor will take part in a fireside chat with the Wall Street Journal to an audience of business leaders, following which she will speak at an economy roundtable with fellow finance ministers on global issues. The Chancellor will also speak at a lunch hosted by the CBI to an audience of 50 senior executives from UK-based businesses and international investors.

Meetings are planned with a wide range of CEOs and business leaders, including Jamie Dimon, CEO of JP Morgan, Jo Taylor, president of the Ontario Teachers’ Pension Plan, and David Solomon, CEO of Goldman Sachs – amongst others.

The Business and Trade Secretary will have bilateral meetings with many of his international trade counterparts, including Robert Habeck, Vice-Chancellor of Germany, Maros Sefcovic, Executive Vice-President of the European Commission and WTO Director-General Dr Ngozi Okonjo-Iweala.

He will also meet with a range of businesses and investors, including AON; Anglo American; AWS; Carlsberg; Capgemini; Honeywell; RWE; and SABIC.

Impressions from the World Economic Forum Annual Meeting 2025 in Davos-Klosters, Switzerland 18 January 2025. Copyright: World Economic Forum/Thibaut Bouvier

Business and Trade Secretary Jonathan Reynolds said: “Britain is back in business under this government, and our Plan for Change is already delivering for working people.

“The UK is the most connected market on earth, and we will continue to be the home for innovative businesses looking to face outwards to the world. We’ve lifted barriers to investment and secured £63 billion at the International Investment Summit, creating thousands of jobs in the process.

“These investments promise better wages, stronger communities, and better services and I’ll be at Davos to build on this momentum.”

The UK Government’s presence at Davos will also be the most visible in years, with print and out of home marketing promoting the UK’s connectivity, openness and opportunity to coincide with the summit.

Double-jobbing no more?

Draft regulations to be laid at Holyrood in autumn

Views are being sought on the implementation of the ban on MSPs from also serving as MPs or in the House of Lords.

Following the Scottish Elections (Representation and Reform) Bill being passed unanimously by the Scottish Parliament in December, a consultation seeking views on the principles and practical issues of ending dual mandates has launched.

The consultation, which runs until 23 March, looks at issues such as grace periods once elected and salary or parliamentary limitations during this period.

The Bill places a duty on Scottish Ministers to bring forward regulations which prohibit MSPs from also serving in the House of Commons or the House of Lords, and may additionally prohibit MSPs from also serving as councillors.

The regulations will be laid in autumn 2025 so they are in place for the 2026 Scottish Parliament election, and will be subject to scrutiny and a vote by MSPs.

Minister for Parliamentary Business Jamie Hepburn said: “Following the unanimous passage of the Scottish Elections (Representation and Reform) Bill in December, MSPs will be barred from also being an MP or Peer through regulations to be brought forward in autumn 2025.

“This consultation on the issue will allow political parties, local government and most importantly the public to comment on the details of how that will work in practice, ahead of the practice being ended before the 2026 Scottish Parliament election.”

The consultation paper is available at Consultation on Dual Mandates

Prime Minister’s statement ahead of President Trump’s Inauguration

On behalf of His Majesty’s Government and the United Kingdom, I would like to send my warmest congratulations to President Donald Trump on his inauguration as the forty-seventh President of the United States. 

For centuries, the relationship between our two nations has been one of collaboration, cooperation and enduring partnership. It is a uniquely close bond. Together, we have defended the world from tyranny and worked towards our mutual security and prosperity.

With President Trump’s longstanding affection and historical ties to the United Kingdom, I know that depth of friendship will continue. The United Kingdom and United States will work together to ensure the success of both our countries and deliver for people on both sides of the Atlantic. 

Since our first meeting in September, the President and I have spoken about the need to deepen and invest in the transatlantic relationship. We will continue to build upon the unshakeable foundations of our historic alliance as we tackle together the global challenges we face and take our partnership to the next level focused on shared opportunities ahead for growth. 

I look forward to our next meeting as we continue our shared mission to ensure the peace, prosperity and security of our two great nations.

The special relationship between the United Kingdom and United States will continue to flourish for years to come.