Chancellor’s Budget ‘to build a fairer, stronger and more secure Britain’

The Chancellor will deliver a Budget later today [26 November] that takes the fair and necessary choices to deliver on the Government’s mandate for change.

It will include action to cut NHS waiting lists, cut debt and borrowing, and cut the cost of living to secure a strong future for the country, built on fairness and fuelled by growth.

Action to keep prescription costs under £10 (in England – Ed.), freeze rail fares for the first time in 30 years and increase the National Minimum Wage and National Living Wage by £1,500 and £900 respectively has already been confirmed to put more money in people’s pockets at this Budget.

Investment for 250 Neighbourhood Health Centres (in England – Ed.) has also been confirmed as part of the Chancellor’s commitment to slash NHS waiting lists further and end the postcode lottery of healthcare access.

Ahead of her Budget speech, Rachel Reeves said: “Today I will take the fair and necessary choices to deliver on our promise of change.

“I will not return Britain back to austerity, nor will I lose control of public spending with reckless borrowing.

“I will take action to help families with the cost of living…cut hospital waiting lists…cut the national debt.

“And I will push ahead with the biggest drive for growth in a generation. 

“Investment in roads, rail and energy. Investment in housing, security and defence. Investment in education, skills and training.

“So together, we can build a fairer, stronger, and more secure Britain.”

“GENERATION DEFINING” BUDGET MUST DELIVER FOR WORKERS

Scotland’s largest trade union body has issued a stark warning ahead of the Chancellor’s budget calling on Rachel Reeves to “deliver for workers” as the UK Government sets out, what the STUC call, a “generation defining” budget.


The Scottish Trades Union Congress (STUC) has set out five tax demands ahead of the statement, including actions on wealth taxes, bank profits and a “settling up” tax for those moving wealth and assets abroad.  

The trade union body, as part of the wider Scotland Demands Better campaign, has also reiterated the call to scrap the two child-benefit cap in a move STUC General Secretary Roz Foyer said was “long overdue”.   

The STUC is further calling for increased investment in publicly owned energy as well as direct support for workers in carbon intensive sectors such as those in Grangemouth and Mosmorran.

Commenting, STUC General Secretary Roz Foyer said: “The upcoming statement from the Chancellor is generation defining. It will signal to all whether the UK Government will continue to adhere to self-imposed financial rules and chaotic quick fixes, or whether they will invest in the public services and the industries and jobs of the future, delivering for workers with bold, radical policies to redistribute wealth.

“We’ve set out how the Chancellor can target those with wealth and assets and use it for the public good. For too long Labour Government policy has been about meeting self-imposed fiscal rules rather than setting out a bold plan for public sector-led growth.

“That must change. We must see, once and for all, the long overdue scrapping of the two-child benefit cap in addition to targeted action on reforming Capital Gains Tax. The Chancellor must also reign in the wild-west of banking profits, raising the surcharge from 3% to 35%, potentially netting £50 billion over four years.

“The people of Scotland and the wider United Kingdom voted for change. It’s high time it was delivered and the Chancellor simply cannot afford to waste this opportunity come Wednesday.”

Reeves: £550 boost for millions of pensioners next year

MORE BUDGET DETAILS ANNOUNCED

  • The Chancellor is expected to announce that 13 million pensioners are set to benefit from an above inflation rise to the State Pension next April.
  • Those on the full rate of the new State Pension are set to receive over £550 a year more.
  • Pensions boost comes ahead of the Budget where the Chancellor will take the fair choices to cut NHS waiting lists, cut national debt and cut the cost of living.  

13 million pensioners are set to see their State Pension increase faster than inflation next April thanks to the Government’s commitment to the Triple Lock.

From next April the rate of the full new State Pension is expected to increase to just over £240 a week.

This is an increase worth over £550 a year, an extra £120 compared to what it would have been if it had been uprated only by inflation. The full basic State Pension is expected to rise by around an extra £440 a year.

Tackling the cost of living is at the centre of this week’s Budget, and this announcement comes following government action to freeze rail fares and prescription fees next year saving working families millions of pounds.  Government is also cracking down on ticket touts that will cut costs for music lovers across Britain.

At the Budget the Chancellor will go even further to bring down bills, tackle inflation, and grip the cost of living.

Chancellor of the Exchequer Rachel Reeves said: “Whether it’s our commitment to the Triple Lock or to rebuilding our NHS to cut waiting lists, we’re supporting pensioners to give them the security in retirement they deserve.  

“At the Budget this week I will set out how we will take the fair choices to deliver on the country’s priorities to cut NHS waiting lists, cut national debt and cut the cost of living.”

The government ‘is committed to supporting pensioners’, and this boost will ensure the State Pension remains the foundation of a secure retirement. The Triple Lock guarantees that the State Pension increases annually by the highest of inflation, average earnings growth or 2.5 per cent.

This comes alongside other support for the most vulnerable pensioners through Pension Credit, worth on average £4,300 a year, and Winter Fuel Payments for nine million pensioners in England and Wales with an income of, or below, £35,000 a year.

Chancellor expected to further protect those on the National Minimum Wage at Budget

  • Government to crackdown on those not paying employees National Minimum Wage
  • Set for more regular public naming and shaming employers breaking the rules
  • This comes after Government introduces the biggest upgrade to workers’ rights and enforcement for a generation

The Chancellor is expected to announce reforms to protect those on the National Minimum Wage, ensuring that no employer can exploit vulnerable workers.

As part of these plans, the Government will introduce more regular naming and shaming rounds – publicly naming employers found to have broken minimum wage rules and clearing the case backlog inherited by the previous government.

These changes will mean businesses breaking the rules will have no place to hide, and those on the minimum wage will be further protected by this Government.

This comes as the Chancellor is set to deliver a Budget that makes the fair choices to deliver on the country’s priorities to cut NHS waiting lists, cut national debt and cut the cost of living.

Last month 500 employers failed to pay the minimum wage to around 42,000 of the country’s lowest-paid workers. Big name brands were among those forced to reimburse employees and faced fines totalling £10.2 million for breaking the rules.

The Government is sending a clear message that it will not tolerate those who short-change their workers, regardless of their size or sector.

This action comes as the Government introduces the biggest upgrade to workers’ rights and enforcement for a generation through its Plan to Make Work Pay, which is set to directly benefit around 15 million workers – half of all UK employees.

An HMT source said: “This Government is cracking down on unscrupulous employers to protect the country’s lowest paid workers and ensure fair pay for hard work.

“We are sending a clear message – those who short-change their staff will not be allowed to hide.”

Caring for Carers: Young Carer Grant extended to 19-year-olds

Young carers up to age 19 will now receive Young Carer Grant following an expansion of the benefit delivered by Social Security Scotland.

The grant which was previously open to 16 to 18-year-olds is a Scottish only benefit that gives young carers a yearly payment of £390.25.

The payment can be used to pay for whatever the young person wants – like driving lessons, tech to help with work or study or new clothes.

The grant is available to young people who spend at least 16 hours a week caring for someone who receives a disability benefit.​ It is available to young people who are in education, employed or out of work.

Social Justice Secretary, Shirley-Anne Somerville said: “Young Carer Grant recognises the important contribution that young carers make, and I’m proud that we’re able to extend eligibility further to include 19-year-olds.

“Young carers often miss out on activities enjoyed by other people their age – Young Carer Grant provides some support towards helping them do the things they like outside of their caring responsibilities.

“I would encourage young carers across the country to check their eligibility and to see what other support is available to them.”

Millie is 19 and cares for her mum and older sister in Fort William.

She said: “I was told about the Young Carer Grant through our community link worker and was able to apply for it when I was 16, 17 and 18 which was very beneficial towards my driving lessons and car insurance.

“It’s absolutely brilliant that Young Carer Grant is up to the age of 19 now. It will definitely benefit a lot of young adult carers who don’t receive any financial benefits.”

Young Carer Grant has been available to young carers in Scotland since 2019.

Applicants must have been caring for one or more people for an average of 16 hours a week for at least the last three months. If they care for more than one person, they can combine the hours of the people they care for to average 16 hours a week.

A total of 4,135 Young Carer Grant payments were made in the 2024/25 financial year. This is the highest number of payments in a financial year since the grant’s launch. (Young Carer Grant statistics 2024/25)

Young carers providing care for 35 hours a week or more may be entitled to Carer Support Payment. Young Carer Grant is not available to people who already receive Carer Support Payment.

To find out more about social security support for unpaid carers and to check eligibility, visit mygov.scot/carers 

Information on other support, such as financial support, wellbeing support and short breaks from caring, can be found at Help if you’re a carer – mygov.scot 

Labour government announces overhaul of immigration system

Home Secretary sets out controversial reforms to the UK’s asylum and returns system

HOME SECRETARY SHABANA MAHMOOD’s STATEMENT TO THE HOUSE OF COMMONS YESTERDAY:

I will make a statement about how we restore order and control to our borders. I do so as this Government publishes the most significant reform to our migration system in modern times.  

This country will always offer sanctuary to those fleeing danger, but we must also acknowledge that the world has changed and our asylum system has not changed with it.   

Our world is a more volatile, and more mobile, place. Huge numbers are on the move. While some are refugees, others are economic migrants seeking to use, and abuse, our asylum system. Even genuine refugees are passing through other safe countries searching for the most attractive place to seek refuge.  

The burden that has fallen on this country has been heavy. 400,000 have sought asylum here in the last four years. Over 100,000 people now live in asylum accommodation, and over half of refugees remain on benefits eight years after they have arrived. 

To the British public, who foot the bill, the system feels out of control and unfair. It feels that way, because it is. The pace and scale of change has destabilised communities. It is making our country a more divided place. 

There will never be a justification for the violence and racism of a minority, but if we fail to deal with this crisis, we will draw more people down a path that starts with anger, and ends in hatred.  

I have no doubt about who we really are in this country. We are open, tolerant and generous. But the public rightly expect that we can determine who enters this country, and who must leave.

To maintain the generosity that allows us to provide sanctuary, we must restore order and control. 

[Political content redacted]

My predecessor as Home Secretary picked up this [political content redacted] inheritance, and rebuilt the foundations of a collapsed asylum system. 

Decision making has been restored, with a backlog now 18% lower than when we entered office. Removals have increased – reaching nearly 50,000 under this Government. 

Immigration enforcement has hit record levels, with over 8,000 arrests in the last year. 

The Border Security Bill is progressing through parliament, and my predecessor struck a historic agreement with the French, which means small boat arrivals can now be sent back to France. 

These are vital steps, but we must go further. Today, we have published “Restoring Order and Control”, a new statement on our asylum policy. Its goals are two-fold: firstly, to reduce illegal arrivals into this country, and secondly, to increase removals of those with no right to be here.  

It starts by accepting an uncomfortable truth: while asylum claims fall across Europe, they are rising here, and that is because of the comparative generosity of our asylum offer when compared to so many of our European neighbours.

This generosity is a factor that draws people to these shores, on a path that runs through other safe countries. Nearly 40 percent come on small boats and over perilous channel crossings, but a roughly equal number come here legally, via a visitor, work or study visa, and then go on to claim asylum.  

They do so because refugee status is the most generous route into this country. An initial grant lasts five years, which is then converted, almost automatically, into permanent settled status. In other European countries, things are done differently.

In Denmark, refugee status is temporary, and they provide safety and sanctuary until it is possible for a refugee to return home. In recent years, asylum claims have hit a 40-year low, and now, across Europe, countries are tightening their systems in similar ways.  

We must act too. We will do so by making refugee status temporary, not permanent. A grant of refugee status will last two and a half years, not five. It will be renewed only if it is impossible for a refugee to return home. Permanent settlement will now come at 20 years, not five. 

I know this country welcomes people who contribute. For those who want to stay, and are willing and able to, we will create a new ‘work and study’ visa route, solely for refugees, with a quicker path to permanent settlement.   

To encourage refugees into work, we will also consult on removing benefits for those who are able to work but choose not to.  

Outside of the most exceptional circumstances, family reunion will not be possible, with a refugee only able to bring family over if they have joined a work and study route, and if qualifying tests are met.  

While over 50,000 were granted refugee status in the last year, more than 100,000 claimants and failed asylum seekers remain in taxpayer funded accommodation, and we know that criminal gangs use the prospect of free bed and board to promote their small boat crossings. 

We have already announced that we will empty asylum hotels by the end of the Parliament, and we are exploring a number of large military sites as an alternative.  

We will now also remove the 2005 legislation that created a “duty” to support asylum seekers, reverting to a legal “power” to do so instead. While we will continue to support those who play by the rules, those who do not – be that through criminality or anti-social behaviour – can have their support removed. We will also remove our duty to support those who have a right to work.   

It is right that those who do receive support, pay for it if they can, so those with income or assets will have to contribute to the cost of their stay. This will end the absurdity that we currently experience. Where an asylum seeker receiving £800 each month from his family, and who had recently acquired an Audi, was receiving free housing at the taxpayers’ expense, and the courts judged we could do nothing about it.   

These measures are designed to tackle the pull factors that draw people to this country, but reducing the number of arrivals is just half of the story. We must also enforce our rules and remove those who have no right to be here. This will mean restarting removals to countries where they have been paused.  

In recent months, we have begun voluntary removal of failed asylum seekers to Syria once again; however, there are still many failed asylum seekers here from Syria, most of whom fled a regime that has since been toppled. Other countries are planning to enforce removals, and we will follow suit. Where a failed asylum seeker cannot be returned home, we will also continue to explore the possibility of return hubs, with negotiations ongoing.  

We must remove those who have failed asylum claims, regardless of who they are. Today, we are not removing family groups – even when we know that their home country is perfectly safe. There are, for instance, around 700 Albanian families living in taxpayer-funded accommodation having failed their asylum claims.

This is true despite an existing returns agreement, and that Albania is a signatory to the European Convention on Human Rights. So, we will now begin the removal of families. Where possible, we will encourage a voluntary return, but where an enforced return is necessary, that is what we will do.  

Where the barrier to a return is not the individual, nor the UK Government, but the receiving country, we will take action.

I can announce today that we have told Angola, the Democratic Republic of the Congo, and Namibia that if they do not comply with international rules and norms we will impose visa penalties on them. And I am sending a wider message here: unless other countries heed this lesson, further sanctions will follow.  

Much of the delay in our removals, however, comes from the sclerotic nature of our own system. In March of this year, the appeals backlog stood at 51,000 cases. This Government has already increased judicial sitting days, but reform is required, so we will create a new appeals body, staffed by professional independent adjudicators, and we will ensure there is early legal representation available to advise claimants and ensure their issues are properly considered.  

Cases with a low chance of success will be fast-tracked, and claimants will have just one opportunity to claim and one to appeal, ending the merry-go-round of claims and appeals that frustrate so many removals.  

While some barriers to removal are the result of process, others are substantive issues related to the law itself. There is no doubt that the expanded interpretation of parts of the European Convention on Human Rights has contributed.

This is particularly true of Article 8: the right to a family life. The courts have adopted an ever-expanding interpretation of this right.

As a result, many people have been allowed to come to this country, when they would otherwise have had no right to, and we have been unable to remove others when the case for doing so seems overwhelming. 

This includes cases like an arsonist, sentenced to five years in prison whose deportation was blocked on the grounds that his relationship with his sibling may suffer.

More than half of those detained are now delaying or blocking their removal by raising a last-minute rights claim.  

Article 8 is a qualified right: that means we are not prevented from removing individuals or refusing an application to move to the UK if it is “in the public interest”. To narrow Article 8 rights, we will therefore make three important changes, in both domestic law and our immigration rules.  

Firstly, we will define what, exactly, a family is – narrowing this down to parents and their children.  

Secondly, we will define “the public interest” test so the default becomes a removal or refusal, with Article 8 rights only permissible in the most exceptional circumstances.   

Thirdly, we will tighten where Article 8 claims can be heard, ensuring only those who are living in the UK can lodge a claim, rather than their family members overseas, and that all claims are heard first by the Home Office and not in a courtroom.  

We will also pursue international reform of a second element of the European Convention: the application of Article 3 – the prohibition on torture and inhuman, degrading treatment or punishment.

We will never return anyone to be tortured in their home country, but the definition of “degrading treatment” has expanded into the realm of the ridiculous.

Today, we have criminals we seek to deport, but discover we cannot because the prisons in their home country have cells that are deemed too small, or even mental health provision that is not as good as our own. 

As Article 3 is an absolute right, a public interest test cannot be applied. For that reason, we are seeking reform at the Council of Europe, and we do so alongside international partners who have raised similar concerns. But it is not just international law that binds us.

According to data from 2022, over 40% of those detained for removal claimed they were modern-day slaves. This well-intentioned law is being abused by those who seek to frustrate a legitimate removal.

So, I will bring forward legislation that tightens the Modern Slavery system to ensure that it protects those it was designed for, and not those who seek to abuse it.  

Taken together Madam Deputy Speaker, these are significant reforms. They are designed to ensure our asylum system is fit for the modern world, and that we retain public consent for the very idea of providing refuge. 

We will always be a country that offers protection to those fleeing peril, just as we did, in recent years, when Ukraine was invaded, when Afghanistan was evacuated, and when we repatriated Hong Kongers. 

For that reason, as order and control is restored, we will open new, capped, safe and legal routes into this country. These will make sponsorship the primary means by which we resettle refugees, with voluntary and community organisations given greater involvement, to both receive refugees and support them, working within caps set by Government.  

We will also create a new route for displaced students to study in the UK, and another for skilled refugees to work here. Of course, we will always remain flexible to new crises, across the world, as they happen.  

I know the British people do not want to close the doors. But until we restore order and control, those who seek to divide us will grow stronger. 

It is our job – [political content redacted] – to unite where there is division, so we must now build an asylum system for the world as it is. One that restores order and control. One that opens safe and legal routes to those fleeing danger across the world, and one that sustains our commitment to providing refuge for this generation and those to come.  

I know the country we are. We are open, tolerant and generous. We are the greater Britain that those on this side of the House believe in. Not the littler England that some would wish we would become. These reforms are designed to bring unity, where others seek to divide.   

Madam Deputy Speaker, I commend this statement to the House.

Campaigning organisation Asylum Matters said:Today’s asylum reforms put the basic principle of refugee protection under threat. They won’t stop irregular migration.

‘But they would make us a country that has given in to extremists and abandoned vital protection principles set up after the horrors of the Second World War.’

Gordon Macdonald encourages people across Edinburgh to get flu vaccine

SNP MSP Gordon Macdonald is encouraging people across Edinburgh to get their flu vaccine as the SNP Scottish Government announced £20 million to strengthen social care and ease pressure on the NHS this winter. 

Mr Macdonald has warned of an early and potentially difficult flu season and is encouraging everyone eligible, especially children, young people, and vulnerable groups, to take up the free vaccine.

The SNP’s £20 million investment announced by Health Secretary Neil Gray will boost local care capacity, reduce pressure on hospitals, and support hardworking NHS staff this winter, while Labour continues to talk Scotland down and offer no real plan for the NHS. 

The SNP Government is also recruiting 290 new frontline Scottish Ambulance Service staff and investing £5 million in NHS 24’s digital systems to help people access care more quickly. 

Commenting, Gordon Macdonald said: “Flu can be serious, especially for older people and those with underlying conditions. Getting vaccinated is the best way to protect yourself, your loved ones, and our NHS. 

“I’d also particularly encourage parents and carers across the city to make sure children and young people get their free flu jag, and for everyone eligible to take up the offer. It’s quick, easy, and helps keep our whole community healthy this winter. 

“This latest £20 million investment shows once again that the SNP is taking real, practical action to support our NHS and our social care services.”

Nature not a “blocker” to housing delivery, MPs find in new report

Nature is not a “blocker” to delivering new housing, but rather a necessity for building resilient towns and neighbourhoods, MPs argue in a new report.

In its report on ‘Environmental sustainability and housing growth’, Westminster’s cross-party Environmental Audit Committee challenges the “lazy narrative” that nature is a blocker or an inconvenience to delivering housing. 

The Committee finds that the measures contained in the Planning and Infrastructure Bill, passing through final stages in Parliament, are not enough to allow the Government to meet its targets on both the environment and housing. 

MPs also find that without further action, severe skills shortages in ecology, planning and construction will make it impossible for the Government to deliver on its housebuilding ambitions. 

A full summary of the Committee’s conclusions and recommendations is included below. 

Chair of the Environmental Audit Committee Toby Perkins MP said: “The Government’s target to build 1.5 million homes by the end of this Parliament is incredibly ambitious.

“Achieving it alongside our existing targets on climate and sustainability – which are set in law – will require effort on a scale not seen before. 

“That certainly will not be achieved by scapegoating nature, claiming that it is a “blocker” to housing delivery. We are clear in our report: a healthy environment is essential to building resilient towns and cities. It must not be sidelined. 

“There are certainly issues standing in the way of meeting both our housebuilding and environmental targets. 

“For instance, the skills we need in construction, planning and ecology simply do not exist at the scale we need right now. The Government has made welcome investments in construction skills, but it may not be enough, and staff at local authorities and regulators are already stretched to their limit.  

“We also need much better incentives for people to construct and live in carbon-friendly homes, or to retrofit existing ones. That’s why this report suggests innovative approaches to boost manufacturing viability of climate friendly construction products and alter the tax burden in favour of climate friendly homes. 

“It is possible to build the homes we need while protecting a resilient and healthy environment and allowing nature to thrive. Some major changes might be needed, but nature is not the enemy.” 

Nature must not be a “scapegoat” for housebuilding issues 

While the Committee acknowledges and welcomes the Government’s amendments to the Planning and Infrastructure Bill (PIB) it says these changes are not enough on their own to ensure the Government can meet its environmental targets alongside housing targets. 

“The Government must not veer down the path of viewing nature as an inconvenience or blocker to housebuilding,” the Committee says. “At worst, this approach could lead to the degradation of the natural world, preventing the achievement of legally binding climate and nature targets, upon which our society and economy depend.” 

Skills shortages put targets in question 

The Committee finds that local planning authorities are severely under-resourced in ecological skills. It heard evidence that staff at Natural England are “stretched to their limits”, that the skills needed to deliver the ecological aspects of planning reforms “simply do not exist at the scale, quality or capacity that is needed”. 

The Committee recommends the Government establish a pilot programme for local ecological resource hubs, available to local authorities facing acute resources challenges, by July 2026. 

It also recommends that the Government set out a realistic analysis of the construction workforce required to deliver housing targets and the skills that will be needed, and to clearly lay out how Natural England will operate amid staffing cuts and the additional responsibilities that will apply when the Planning and Infrastructure Bill is enacted.  

Planning rule changes prioritise growth over the environment 

Throughout its inquiry, the Committee heard repeated concerns that the Government’s changes to the presumption in favour of sustainable development, made in the 2024 review of the National Planning Policy Framework, would lead to the environment being “sidelined”. 

The Committee finds that the present form of the presumption could result in unsustainable and speculative development. The Committee recommends that the Government amend the current definition of the presumption, to give greater weight to sustainability. It should also strengthen safeguards against environmentally unsustainable, unplanned and speculative development. 

More incentives for greener homes 

The Committee concludes that the Government must accelerate policies to decrease the carbon emissions of the built environment. MPs recommend the Government should consider steps it could take to incentivise homeowners, housebuilders, landlords and tenants to favour homes with lower levels of embodied carbon.  

The Committee also recommends the Government review tax policies such as Council Tax and Stamp Duty to consider the merit of offering lower bands of taxation for homes with lower levels of embodied carbon.

Biodiversity net gain needs more time to succeed

The Committee offers support for the government’s Biodiversity net gain policy. It says it is too early to assess the overall success of BNG but warns against introducing new wide-ranging exemptions to BNG. Whilst accepting minor alterations to the policy, MPs say the Government should not exempt all small sites to ensure that the effectiveness of the policy is maintained. 

The Committee also recommends that the Government should: 

  • Incentivise the use of sustainable building materials such as timber or hemp, e.g. by introducing eco-labelling to identify materials with lower embodied carbon and offer support to further expansion of manufacturers in these fields.
  • Consult on incentives to develop houses with lower full lifecycle carbon, such as a levy on new build properties containing higher levels of lifecycle carbon.
  • Prioritise retrofitting over demolition by reducing VAT on retrofit projects from 20% and confirm that a property brought back into use would count towards housebuilding targets. 

UK Government ‘must scrap punitive welfare policies’

Social Justice Secretary urges Chancellor to remove two-child limit and benefit cap

Ahead of a series of meetings in London today with child poverty charities, Social Justice Secretary Shirley-Anne Somerville has urged the UK Government to take action to tackle child poverty in its forthcoming Budget, including immediately scrapping the two-child limit and the benefit cap.

Ms Somerville has called on the UK Government to fully scrap the two-child limit on benefits, which pulls 109 children into poverty every day, while also removing the benefit cap at the same time, which limits the total amount of benefit a person can receive.

Subject to parliamentary approval, the Scottish Government plans to mitigate the two-child limit from March next year, through a new Two-Child Limit Payment worth £292.81 a month for eligible recipients. Estimates show this will keep 20,000 children out of relative poverty next year. 

The Scottish Government is spending £100 million this financial year, through the Discretionary Housing Payment scheme, to mitigate the benefits cap as far as possible within devolved powers.

Ms Somerville said:  “Once again, I am making it clear that the UK Government must fully scrap the two-child limit and the benefit cap as soon as possible. These policies should be confined to the darkest days of austerity and the UK Budget must bring this period to an end.  

“In a country as rich as ours, no child should have to live in poverty. The UK social security system is supposed to be there to ensure a basic standard of living, reduce poverty and inequality and help people through the toughest of times.

“That is why the Scottish Government has made bold decisions – like introducing the Scottish Child Payment and investing in our devolved social security system. Child poverty rates are now lower in Scotland than the rest of the UK and relative child poverty rates in Scotland are at their lowest level in almost a decade.

“I call on the Chancellor to follow our example by scrapping the caps, match the Scottish Child Payment and introduce an essentials guarantee, which would ensure Universal Credit actually covers the costs of life’s essentials, such as food and fuel.”

There have been strong indications that the Chancellor will indeed scrap the Two Child Linit when she announces her Budget later this month.

Foysol Choudhury: What next for Drylaw Shopping Centre?

Drylaw Shopping Centre has been a central part of the neighbourhood for decades: easy to reach, well-used, and home to a variety of shops. Yet despite its importance, it has been overlooked and under-invested in for years (writes FOYSOL CHOUDHURY MSP).

Last year, a constituent raised concerns with me about the centre’s deteriorating condition during one of my surgeries. I took the issue to the Council, and some cleaning and repairs were carried out. These improvements were welcome, but on a recent visit it was clear that many problems persist. The issues are not superficial, they require a long-term, coordinated plan, not temporary fixes.

The ongoing neglect affects more than how the area looks; it shapes how people use the space. That is why I attended the recent public consultation on proposals for improvements.

Many residents took part and made clear that safety must come first. Before new benches, planting or decorative features are introduced, the basics need to be addressed. Central Walk, the main route through the centre, is poorly lit at night. When the lights go out, so does the sense of safety. Reliable lighting and regular maintenance must be prioritised.

Even since my last visit in September, the shrub beds have been tidied up by the Council; however, graffiti remains on the walls and other issues have not been addressed. 

Video Link:  https://we.tl/t-WJ4OEeZSbD

That’s why we must emphasise that real and lasting change will also require collaboration. Since the Council is responsible only for the surrounding area, not the Shopping Centre itself, local businesses have a key role in this renovation. We have already seen a positive example by Farmfoods, which recently invested in replacing its roof section, making a noticeable difference.

However, this level of care must be consistent. Businesses benefit from operating in a well-used, welcoming local space, and with that comes a responsibility to contribute to its upkeep.

Some retailers currently do little to maintain the area they trade in, while continuing to profit from the footfall the centre provides. A shared commitment between the Council and local retailers will be essential to revitalize Drylaw Shopping Centre.

Drylaw is a strong and proud community, and its Shopping Centre should reflect that. I will continue to press for sustained investment that prioritises safety, dignity and a welcoming environment, so that the centre can once again be a place where people feel comfortable spending time and coming together.

Foysol Choudhury has been suspended by the Labour Party over an allegation of inappropriate conduct and an investigation is ongoing. He currently sits as an Independent MSP at Holyrood.

Chancellor: ‘I will take the fair choices to secure our future’

RACHEL REEVES PREPARES TO BREAK TAX PROMISE

TODAY (Tuesday 4 November), the Chancellor, Rachel Reeves, will ‘vow to take the fair choices to deliver strong foundations for our economy and secure our country’s future’.

In a speech delivered in Downing Street this morning, the Chancellor will address the country as she lays out the economic choices she will take at the Budget later this month to cut hospital waiting lists, cut the national debt and cut the cost of living.

The Chancellor is expected to say: “Later this month, I will deliver my second Budget as Chancellor.

“At that Budget, I will make the choices necessary to deliver strong foundations for our economy – for this year, and years to come.

“It will be a budget led by this government’s values, of fairness and opportunity and focused squarely on the priorities of the British people:

“Protecting our NHS, reducing our national debt and improving the cost of living.

“You will all have heard a lot of speculation about the choices I will make.

“I understand that – these are important choices that will shape our economy for years to come.

“But it is important that people understand the circumstances we are facing, the principles guiding my choices – and why I believe they will be the right choices for the country.

Chancellor’s ‘Scene Setter’ speech ahead of Budget 2025

Later this month, I will deliver my second Budget as Chancellor of the Exchequer.  

At that Budget, I will make the choices necessary to deliver strong foundations for our economy. 

My Budget led by this government’s values of fairness and opportunity… 

…and focused entirely on the priorities of the British people: 

Protecting our NHS, 

reducing our national debt,  

and improving the cost of living.  

There is a lot of speculation about the choices that I will make. 

I understand that – these are the important choices that will shape the future of our country for years to come  

I want people to understand the circumstances we are facing, 

the principles guiding my choices, 

and why I believe they will be the right choices for our country. 

We are a country with considerable economic strengths: 

An open, trading economy,  

A global hub for cutting-edge industries from AI to Biotech, 

With world-leading universities and scientific institutions,  

and a talented and a committed workforce. 

[political redaction] 

At the Budget last year, I fixed the foundations: 

[political redaction] 

I put the public finances back on a firm footing,  

Provided an urgent cash injection into our faltering public services,  

And began rebuilding our economy. 

But since that Budget,  

The world has thrown even more challenges our way.  

The continual threat of tariffs has dragged on global confidence – 

Deterring business investment, and dampening growth. 

Inflation has been too slow to come down as supply chains continue to be volatile – 

Meaning that the cost of everyday essentials remains too high.  

And the cost of government borrowing has increased around the world – 

A shift that Britain – [political redaction] – has been particularly exposed to.  

And in an uncertain world, we also face pressure to increase our defence spending – and it is right that we do that… 

…protecting ourselves from hostile actors and supporting our allies. 

And there are other pressures on the public finances. 

The Prime Minister, the Secretary of Work and Pensions and this whole government are committed to reforming our welfare state… 

…so that it is not a system that counts the cost of failure…  

…but one that invests in success and protects those who need it most. 

There is nothing progressive about refusing to reform a system that is leaving one in eight young people out of education or employment. 

So, we have begun the job of creating a system that protects people who cannot work and empowers those who can. 

And there are longer-term challenges too:  

That feeling, shared by millions of people across the country that the economy isn’t working as it should. 

Alongside the Budget this month,  

The Office for Budget Responsibility – the UK’s public finance watchdog – will set out the conclusions of their review of the supply side of the UK economy. 

I will not pre-empt those conclusions…  

…but it is already clear that the productivity performance [political redaction] is weaker than previously thought. 

A less productive economy is one that produces less output per hour worked. 

That has consequences for working people – for their jobs and for their wages… 

…and it has consequences for the public finances too, in lower tax receipts.  

It’s not a question of how hard people work –  

Poor productivity means we are putting in more and getting less out. 

It means too many businesses and workers don’t have the tools they need: 

Trains that run on time,  

Broadband that’s fast and reliable, 

Access to new technologies, 

Or proper training so people have the right skills for the job.   

For a long time, commentators have talked about Britain’s ‘productivity puzzle’.  

But it’s not a puzzle.  

The causes of our economic underperformance are well understood. 

The chronic stop-go cycle of public investment has left us with roads full of potholes, high energy prices and unstable conditions for vital business investment in skills and technology… 

…and long-term failure to invest in our regions has built growth on a narrow base – with some parts of the country forging ahead while others fall behind. 

[political redaction] 

All this meant that when the pandemic arrived our country was under-prepared… 

…our public services weakened and our economy fragile. 

And we finished the pandemic with higher death rates and higher debt than our peers. 

This isn’t about relitigating old choices. 

It’s about being honest with people about the consequences those choices have had.  

It is my job to deal with the world as we find it… 

…not the world as I would wish it to be.  

Not to commentate or speculate,  

But to act. 

In my Mais lecture last year, I set out our plan for solving our productivity problem through a programme of stability, investment and reform, 

And when I became Chancellor, I  began to put that plan into action. 

Stabilising our public finances – 

Making the tax and spending decisions to get debt down and to fund our public services sustainably.  

Changing the fiscal rules to increase public investment by £120bn over the course of this Parliament… 

…and crowding in private investment too… 

For road and for rail, for housing and nuclear power. 

And reforming our economy: 

Ripping up the planning rules so we can build housing and infrastructure across the country… 

Bringing the brightest and best to our shores with a new visa regime… 

And signing trade deals with the EU, the US and India to help our businesses export around the world.  

We have begun to see the results of those plans…  

…in falling interest rates and falling NHS waiting lists… 

…in rising wages and rising investment.  

But I know that real progress takes time.  

Our growth was the fastest in the G7 in the first half of this year – but I don’t expect anyone to be satisfied with growth of 1%. 

I’m not – and I know there is more to do.  

The first part of our planning reforms will add an additional £6.8bn to the size of our economy in the next five years,  

But the next part – our planning bill – must complete its passage through Parliament before it can make a difference. 

Interest rates, which rose from 0.1% to 5.25% in the last Parliament, have now been cut five times… 

…but at 4% they are still a constraint on business borrowing and a burden on family finances. 

[political redaction] 

…and the choices I make in the Budget this month will be focused on getting inflation falling…  

…and creating the conditions for interest rate cuts to support economic growth and improve the cost of living.  

I understand the urge for easy answers. 

[political redaction] 

The UK’s national debt now stands at £2.9trillion: 

Equivalent to 95% of GDP. 

[political redaction] our borrowing costs were in the middle of the pack compared to other advanced economies… 

…but now, we have the highest borrowing costs of any G7 country. 

Today, 1 in every £10 of taxpayer’s money is spent on debt interest.  

Not on paying that debt down… 

…but just paying the interest to our creditors. 

At the Budget last year, I changed the fiscal rules to strike a careful balance: 

To invest more in capital alongside a credible plan to grow our economy and bring debt down within this Parliament. 

That was the right decision to break the cycle of low productivity and low growth. 

But that additional investment can only be delivered because markets know that my commitment to the fiscal rules is ironclad.  

Some people say we should just sidestep those rules… 

…that we can borrow more without consequences by simply reclassifying areas like defence or education. 

But no accounting trick can change the basic fact that government debt is sold on financial markets. 

There are limits on the price that banks, hedge funds and pension funds are willing to pay for our debt… 

…and we are competing constantly with other countries also selling debt . 

The more we try and sell, the more it will cost us.   

It is important that everyone – the public and politicians – understands that reality. 

The less we spend on debt interest, the more we can spend on the priorities of working people… 

…our NHS, our schools, our national security… 

…the public services essential to a decent society and a strong economy. 

At the Budget last year, I provided our public services with a vital cash injection…  

…and I’m proud of that choice: 

Proud that it [political redaction] that is providing record investment in our NHS getting waiting lists down by over 200,000 since the election, 

Proud that it [political redaction] that is investing in our children through the rollout of free breakfast clubs and free school meals, 

And proud that it [political redaction] that is funding our armed forces and remains resolute in our NATO commitments. 

The alternative is to row back on those investments: 

[political redaction] 

Stifling our economic growth, 

And weakening Britain’s foundations in an unstable world. 

I will not repeat those mistakes. 

But if we want strong public services in the decades to come, then we must recognise that productivity and efficiency are not only a challenge for business, but they are a challenge for our public sector too.  

At the Spending Review I announced £14bn of efficiencies per year to be delivered by 2029: 

Cutting government spend on consultancies, 

Getting rid of bureaucratic quangos and regulators, 

And driving efficiency through AI and digital technologies. 

But I know that there is more to do,  

In the Budget and beyond, I will continue to drive for more productive and more efficient public services, right across government… 

…making savings and rooting out waste wherever I find it.   

[political redaction] 

When I was appointed Chancellor, people put their faith in me to take our country forward… 

…not to be swayed by political convenience… 

…not to always do what is popular, but to do what is right.  

At the Budget, I will continue to deliver on the priorities of the British people:  

Cutting NHS waiting lists, cutting the national debt and cutting the cost of living.  

And in the context of the long-term challenges on our productivity and heightened global uncertainty… 

…any Chancellor of any party would be standing here today, facing the choices that I face.  

The difference is in the priorities – and the values – that will guide those choices:  

Mine will be a Budget for growth with fairness at its heart… 

…and a Budget that supports businesses – to create jobs and to innovate. 

As I take my decisions on both tax and spend… 

…I will do what is necessary to protect families from high inflation and interest rates… 

…to protect our public services from a return to austerity…  

…and to ensure that the economy that we hand down to future generations is secure, with debt under control. 

If we are to build the future of Britain together, we will all have to contribute to that effort… 

…each of us must do our bit for the security of our country and the brightness of its future. 

There is a reward for getting these decisions right, 

To build more resilient public finances – with the headroom to withstand global turbulence… 

…giving business the confidence to invest and leaving government freer to act when the situation calls for it, 

To continue to invest in our infrastructure and our industry to build a stronger economy, 

And to get the cost of borrowing down – spending less on debt interest, and more on schools and our health service. 

The Office for Budget Responsibility will make their forecasts at the end of this month… 

…but let’s be clear about what forecasts are: 

They are not visions of the future… 

…they are a look in the rear-view mirror. 

The OBR rightly make their predictions based on the data that has gone before… 

…but I do not believe that our past has to determine our future…  

…or that a stuttering economy, poor productivity and falling living standards is somehow Britain’s destiny. 

A brighter future is within our grasp. 

We were elected to break with the cycle of decline…  

…and this government is determined to see that through.  

So we will go further and faster, on planning, on the industrial strategy, on reforming to regulation… 

…all to deliver growth throughout our economy, in all parts of our country. 

We will bear down on waiting lists, on the cost of living, and on the national debt which compound these challenges… 

…and when that requires hard choices, we will act – guided by the interests of working people.  

We were elected on a commitment to put country before party; the national interest before political calculation… 

…and, whatever challenges come our way – whatever challenges come my way – we will not be swayed from that.   

At the Budget this year, I will continue to build the strong foundations to secure Britain’s future.  

For a fairer Britain 

A more prosperous Britain  

A Britain with an economy that works for everyone. 

Thank you very much.