On 30 October, Chancellor of the Exchequer Rachel Reeves delivered her first Budget in Parliament. Here are 5 things to know:
1. Major funding boost for the NHS
The government is investing £22.6 billion in the NHS over the next two years. This is the biggest increase in NHS spending since 2010 (excluding COVID-19 years) and will help patients to access 40,000 more elective appointments each week as well as upgrades for GP facilities, new surgical hubs, and more diagnostic scans.
2. Protecting working people’s living standards
The Chancellor confirmed that working people will see no changes to their payslips as there will be no increases to Income Tax, VAT, or employee National Insurance. From April 2025, the National Living Wage will rise to £12.21 per hour – that’s £1,400 more per year for full-time workers. Pensioners will benefit from a 4.1% increase in the State Pension, and the fuel duty freeze means continued support for motorists.
3. Investing in Britain’s future
Major infrastructure investment totalling over £100 billion will go towards rebuilding our crumbling schools and hospitals and fixing our roads, including over 1 million potholes. Funding will also support local transport and regional growth as well as boosting our digital infrastructure, so that everyone across the country can access high power broadband.
4. Supporting businesses and economic growth
We are protecting the businesses that make up our high streets by permanently reducing tax on properties used for retail, leisure and hospitality from 2026. In the meantime, the government is supporting these businesses with a 40% reduction in their business rates bill, capped at £110,000.
We are also freezing the small business multiplier for one year to protect over a million small properties from inflationary bill increases. Lastly, the Chancellor confirmed that she will maintain Corporation Tax at 25% for the duration of Parliament – the lowest rate in the G7.
5. Fair and responsible taxation
We are reforming the tax system, closing loopholes and improving HMRC efficiency. The money saved will go directly to funding public services and fixing the foundations of the economy. Finally, this Budget laid out how we will ensure economic stability through new fiscal rules (rules the government sets itself to manage its own decisions on spending and taxes). The new fiscal rules will make sure that the government only borrows for investment and that public sector debt falls over time.
Scottish Parliament debates committee report on commissioners
Over seven in ten (74%) older people (over 65) in Scotland feel their issues are not understood by the Scottish Government.
Charity Independent Age calls for greater focus on the issues affecting older people in Scotland and the creation of an Older People’s Commissioner.
Polling revealed as Scottish Parliament set to debate Finance and Public Accounts Committee report that proposes a pause on new commissioners in Scotland.
Independent Age, the national charity supporting pensioners in poverty is calling on the Scottish Parliament to ‘carefully and urgently’ consider how it will ensure older people on a low income will be protected, have their voices heard and their rights upheld.
As the Scottish Parliament is set to debate a report from the Finance and Public Accounts Committee into the commissioner landscape in Scotland, new polling commissioned by the charity shows that 74% of pensioners in Scotland feel their issues are not understood by the Scottish Government.1
The report calls for a moratorium – a pause – on any new commissioners in Scotland until a review can be carried out2 , which the charity says risks continuing to leave older people without an independent champion in these times of rising energy costs, the onset of winter, and recent changes to the eligibility for Winter Fuel Payments.
Support for an Older People’s Commissioner is wide-spread. In May last year, over 30 organisations working with and supporting older people across Scotland called for an OPC.3 The MSP Colin Smyth introduced a Private Member’s Bill calling for the creation of the position which recently secured the cross-party support required to be formally introduced to Parliament.
The charity says this has never been more urgent as the number of pensioners in poverty – 150,000 – is up in number by 25% since 2012 and has remained stubbornly high in recent years. 4
Debbie Horne, Scotland Policy and Public Affairs Manager at Independent Age, said: “It’s hard to overstate the devastating impact that deepening poverty is having on older people across Scotland.
“In a socially-just society, no one should live in poverty. It is also incredibly worrying that the majority of older people feel their issues are not understood by the Scottish Government.
“While we welcome the robust efforts of many MSPs to support their older constituents and represent their views in Parliament, polling shows that more needs to be done. Careful and urgent action is required to support the many pensioner households suffering the impacts of poverty.
“We firmly believe the only way to tackle pensioner poverty in Scotland is through a strategic approach. A key part of this being the introduction of an independent Older People’s Commissioner. Without such a champion we worry that older people’s issues will continue to fall between the gaps.”
EDINBURGH INTEGRATION JOINT BOARD PLANS TO END £4.5 million GRANTS TO 63 COMUNITY PROJECTS
SCOTTISH COUNCIL of VOLUNTARY ORGANIATIONS (SCVO)
SCVO response to proposal by Edinburgh Integrated Joint Board to remove grant-funding from voluntary organisations:
Letter to Councillor Cammy Day, Leader of City of Edinburgh Council,
Professor John Connaghan OBE, Chair of NHS Lothian
cc Pat Togher, Chief Officer EIJB
Proposal by Edinburgh Integrated Joint Board to remove grant-funding from voluntary organisations
I am writing to add SCVO’s voice to the protests regarding the IJB’s proposal to withdraw funding in-year from charities and community groups. 37 of our members are impacted by this decision.
The intention outlined in the board paper to take a more strategic and collaborative approach in the future has been totally undermined by the impact of reneging on this year’s grant funding.
Trust is a fragile thing, and it will take a long time to rebuild any sense that the council and the health board have an understanding of, or respect for, the voluntary organisations that do so much to support our communities.
When you look to build your strategic partnership in 2025, many of them simply won’t be there because they will have gone out of business.
Far from saving money, this will generate significant costs to public services as people fall through the cracks, and the additional millions of pounds voluntary organisations bring in from trusts and foundations or the private sector through match funding and other fundraising activities will disappear. A truly strategic approach would be looking to maximise that income-generation, not cut it off.
It appears that over 100 people who were already in a precarious enough position will lose their jobs. And the discretionary effort of hundreds more volunteers will be lost.
It is evident that when money is tight, which I recognise it is, the council and the health board have retrenched and focused on short-term savings rather than the public good.
The table in the board paper which illustrates where the money could be “better spent” says it all – to the IJB, acute services matter more than prevention or early intervention. As well as being short-sighted ethically and financially, it flies in the face of all the evidence around what communities need and the rhetoric around person-centred services and prevention.
I would urge you to intervene and stop the IJB making a decision everyone involved will regret.
Yours sincerely,
Anna Fowlie Chief Executive, SCVO
BIG HEARTS: “The value the charity sector brings to our local communities should never be in doubt.”
VOLUNTARY HEALTH SCOTLAND:
VHS Chief Executive @MistryTej has commented on the recent cuts being proposed by Edinburgh IJB.
What will it take for recognition of the crucial work the third sector are doing to reduce health inequalities?
Along with the rest of the sector we are extremely concerned by the proposed early cessation of EIJB grant funding to 64 voluntary sector organisations. As well as the loss of important services and the associated job losses, this will impact volunteering.
Volunteers are at the heart of the affected organisations, contributing 206,000 hours of support to people in the community worth over £2m. These volunteering opportunities are not only a lifeline to people they help support.
They also enable local people to be active in their communities, build confidence, develop skills, reduce isolation – all of which contribute to better health outcomes for volunteers themselves.
The impact of the loss of these volunteering opportunities cannot be understated.
LIVING RENT:
64 charities are at the risk of closure due to £4.5 million worth of proposed cuts. This will have devastating effects for tenants, for workers and for communities across Edinburgh.
Let’s defend our community centres, services & jobs.
Join us to say NO to Labour-led cuts!
SCOTT ARTHUR MP:
I have today (Wednesday) written to the Cheif (sic) Officer of the EIJB opposing the proposed cuts to the third sector in my constituency – I expressed my concerns in the strongest possible terms.
I support @cllrcammyday fully in his call for fair funding for Edinburgh.
Edinburgh Integration Joint Board meets TOMORROW (Friday 1 December) in the Dean of Guilds Room at The City Chambers at 10am.
The following organisations will make their case against the cuts at the meeting:
Chancellor ‘takes long-term decisions to restore stability, rebuild Britain and protect working people across Scotland’
No change to working people’s payslips as employee national insurance and VAT stay the same, but businesses and the wealthiest asked to pay their fair share.
Record £47.7 billion for the Scottish Government in 2025/26 includes £3.4 billion through the Barnett formula.
Funding for Green Freeports, City and Growth Deals, GB Energy and hydrogen projects to fire up growth and deliver good jobs across Scotland.
The Chancellor has ‘delivered a Budget to fix the foundations to deliver on the promise of change after a decade and a half of stagnation’. She set out plans to rebuild Britain, while ensuring working people across Scotland don’t face higher taxes in their payslips.
The UK Government was handed a challenging inheritance; £22 billion of unfunded in-year spending pressures, debt at its highest since the 1960s, an unrealistic forecast for departmental spending, and stagnating living standards.
This Budget takes ‘difficult decisions’ to restore economic and fiscal stability, so that the UK Government can invest in Scotland’s future and lay the foundations for economic growth across the UK as its number one mission.
The Chancellor announced that the Scottish Government will be provided with a £47.7 billion settlement in 2025/26 – the largest in real terms in the history of devolution. This includes a £3.4 billion top-up through the Barnett formula, with £2.8 billion for day-to-day spending and £610 million for capital investment.
Secretary of State for Scotland Ian Murray said: “This is a historic budget for Scotland that chooses investment over decline and delivers on the promise that there would be no return to austerity.
“It is the largest budget settlement for the Scottish Government in the history of devolution, including an additional £1.5 billion this financial year and an additional £3.4 billion next year through the Barnett formula. That money must reach frontline services, to bring down NHS waiting lists and lift attainment in our schools.
“It will also bring a new era of growth for Scotland and the whole UK, confirming nearly £890 million of direct investment into Freeports, Investment Zones, the Argyll and Bute Growth Deal, and other important local projects across Scotland’s communities, as well as £125 million next year for GB Energy and support for green hydrogen projects in Cromarty and Whitelee.
“The increase in the minimum wage will also mean a pay rise for hundreds of thousands of workers in Scotland, with the biggest increase for young workers ever. This is on top of our employment rights bill which will deliver the biggest upgrade in workers’ rights in a generation. The triple lock means an increase in the state pension by £470 next year, on top of £900 this year for a million Scottish pensioners.
“The budget protects working people in Scotland, delivers more money than ever before for Scottish public services and means an end to the era of austerity.”
Protecting working people and living standards
While fixing the inheritance requires tough decisions, the Chancellor has committed to protecting the living standards of working people. The decisions taken by the Chancellor to rebuild public finances enable the UK Government to deliver on its pledge to not increase National Insurance or VAT on working people in Scotland, meaning they will not see higher taxes in their payslip.
The National Living Wage will increase from £11.44 to £12.21 an hour from April 2025. The 6.7% increase – worth £1,400 a year for a full-time worker – is a significant move towards delivering a genuine living wage.
The National Minimum Wage for 18 to 20-year-olds will also see a record rise from £8.60 to £10 an hour.
Working people will benefit from these increases, with there estimated to be over 100,000 minimum wage workers in Scotland in 2023.
The Chancellor has made the decision to protect working people in Scotland from being dragged into higher tax brackets by confirming that the freeze on National Insurance Contributions thresholds will be lifted from 2028-29 onwards, rising in line with inflation so they can keep more of their hard-earned wages.
The Chancellor is also protecting motorists by freezing fuel duty for one year – a tax cut worth £3 billion, with the temporary 5p cut extended to 22 March 2026. This will benefit an estimated 3.2 million people in Scotland, saving the average car driver £59, vans £126 and Heavy Goods Vehicles £1,079 next year.
To support Scottish pubs and smaller brewers in Scotland, the UK Government is cutting duty on qualifying draught products by 1p, which represent approximately 3 in 5 alcoholic drinks sold in pubs. This measure reduces duty bills by over £70 million a year, cutting duty on an average strength pint in a pub by a penny. The relief available to small producers will be updated to help smaller brewers and cidermakers.
Over 1 million Scottish pensioners will benefit from a 4.1% increase to their new or basic State Pension in April 2025. This is an additional £470 a year for those on the new State Pension and an additional £360 a year for those on the basic State Pension.
Households eligible for Pension Credit will get £465 a year more for single pensioners and up to £710 a year more for couples due to a 4.1% increase in the Pension Credit Standard Minimum Guarantee, benefitting 125,000 pensioners in Scotland.
Around 1.7 million families in Scotland will see their working-age benefits uprated in line with inflation – a £150 gain on average in 2025-26.
Reducing the maximum level of debt repayments that can be deducted from a household’s Universal Credit payment each month from 25% to 15% will benefit a Scottish family by over £420 a year on average.
Rebuilding Britain
This UK Government will not make a return to austerity and will instead boost investment to rebuild Britain and lay the foundations for growth in Scotland. This includes £130 million of targeted funding for the Scottish Government, of which £120 million is in capital investment.
The Budget delivers on the first step to establish Great British Energy by providing £125 million next year to set up the institution at its new home in Aberdeen – helping to develop new clean energy projects in Scotland and across the UK.
The UK Government will deliver £122 million for City and Growth Deals, including the continuation of its contribution to the Argyll and Bute Growth Deal which delivers £25 million of investment in the region over 10 years. This Deal will be supported by a rigorous value for money assessment as part of the review of the business cases for projects within it, to ensure best value is being delivered.
The Budget gives certainty to local leaders and investors, confirming funding for the Investment Zones and Freeports programmes across the UK – including Scotland’s Green Freeports.
The Chancellor committed the UK Government to working closely with the Scottish Government on the Industrial Strategy, 10-year infrastructure strategy and the National Wealth Fund – to ensure the benefits of these are felt UK-wide and as part of the relationship reset between governments. These will mobilise billions of pounds of investment in the UK’s world-leading clean energy and growth industries.
To support economic growth and promote Scottish culture, products and services through diplomatic and trade networks, the UK Government is allocating £750,000 for the Scotland Office in 2025/26 to champion Brand Scotland as was committed in the manifesto.
We are supporting Scotland’s world-renowned Scotch Whisky industry by providing up to £5 million for HMRC to reduce the fees charged by the Spirit Drinks Verification Scheme and by ending mandatory duty stamps for spirits on 1 May 2025.
Two electrolytic hydrogen projects in Scotland have been selected for UK Government revenue support through the first Hydrogen Allocation Round: Cromarty Green Hydrogen Project and Whitelee Green Hydrogen. Both projects will bring in significant international investment and create good quality, local jobs.
An extension of the Innovation Accelerators programme will support the high-potential innovation cluster in the Glasgow City Region.
A corporate tax roadmap will provide businesses with the stability and certainty they need to make long-term investment decisions and support our growth mission. It confirms our competitive offer, with the lowest Corporate Tax rate in the G7 and generous support for investment and innovation.
The UK Government will also proceed with implementing the 45%/40% rates of the theatre, orchestra, museum and galleries tax relief from 1 April 2025 to provide certainty to businesses in Scotland’s thriving cultural sector.
Repairing public finances
The Chancellor has made clear that, whilst protecting working people with measures to reduce the cost of living, there would be difficult decisions required. The Budget will ask businesses and the wealthiest to pay their fair share while making taxes fairer. This will go directly towards fixing the foundations of the UK economy.
The rate of Employers’ National Insurance will increase by 1.2 percentage points, to 15%. The Secondary Threshold – the level at which employers start paying national insurance on each employee’s salary – will reduce from £9,100 per year to £5,000 per year.
The smallest businesses will be protected as the Employment Allowance will increase to £10,500 from £5,000, allowing Scottish firms to employ four National Living Wage workers full time without paying employer national insurance on their wages.
Capital Gains Tax will increase from 10% to 18% for those paying the lower rate, and 20% to 24% for those paying the higher rate.
To encourage entrepreneurs to invest in their businesses Business Asset Disposal Relief (BADR) will remain at 10% this year, before rising to 14% on 6 April 2025 and 18% from 6 April 2026-27.
The lifetime limit of BADR will be maintained at £1 million. The lifetime limit of Investors’ Relief will be reduced from £10 million to £1 million.
The OBR say changes to CGT raise over £2.5 billion a year and the UK will continue to have the lowest CGT rate of any European G7 country.
Inheritance Tax thresholds will be fixed at their current levels for a further two years until April 2030. More than 90% of estates each year will be outside of its scope. From April 2027 inherited pensions will be subject to Inheritance Tax. This removes a distortion which has led to pensions being used as a tax planning vehicle to transfer wealth rather than their original purpose to fund retirement.
From April 2026, agricultural property relief and business property relief will be reformed. The highest rate of relief will continue at 100% for the first £1 million of combined business and agricultural assets, fully protecting the majority of businesses and farms. It will reduce to 50% after the first £1 million. Reforms will affect the wealthiest 2,000 estates each year. Inheritance Tax reforms in total are predicted by the OBR to raise £2 billion to support stability.
From 2026-27 Air Passenger Duty (APD) for short and long-haul flights will increase by 13% to the nearest pound, a partial adjustment to account for previous high inflation. For economy passengers, this means a maximum £2 extra per short haul flight and tickets for children under the age of 16 remain exempt from APD. APD for larger private jets will be increased by a further 50%. Passengers carried on flights leaving from airports in the Scottish Highlands and Islands region are exempt from APD.
The rate of the Energy Profits Levy will increase to 38% from 1 November 2024 and the levy will now expire one year later than planned, on 31 March 2030. The 29% investment allowance will be removed.
To provide long-term certainty and to support a stable energy transition, the UK Government will make no additional changes to tax relief available within the EPL and a consultation will be published in early 2025 on a successor regime that can respond to price shocks. Money raised from changes to the EPL will support the transition to clean energy, enhance energy security and provide sustainable jobs for the future.
The Budget also announced a package of measures that disincentivise activities that cause ill health, by:
Renewing the tobacco duty escalator which increases all tobacco duty rates by RPI+2% plus an above escalator increase to hand rolling tobacco (totalling RPI+12%).
Introducing a new vaping duty at a flat rate of 22p/ml from October 2026, accompanied by a further one-off increase in tobacco duty to maintain financial incentive to choose vaping over smoking.
To help tackle obesity and other harms caused by high sugar intake, the Soft Drinks Industry Levy will increase to account for inflation since it was last updated in 2018, and the duty will rise in line with inflation every year going forward.
The UK Government will also uprate alcohol duty in line with RPI on 1 February 2025, except for most drinks in pubs.
The UK Government has set out the next steps to deliver its tax manifesto commitments in the July Statement. Having consulted on the final policy details where appropriate, this Budget delivers the UK Government’s manifesto commitments to raise revenue to pay for First Steps, with reforms that are underpinned by fairness, and tackle tax avoidance by:
A new residence-based regime will replace the current non-dom regime from April 2025 and will be designed to attract investment and talent to the UK.
Offshore trusts will no longer be able to be used to shelter assets from Inheritance Tax, and there will be transitional arrangement in place for people who have made plans based on current rules.
The planned 50% reduction for foreign income in the first year of the new regime will be removed.
Reforms to the non-dom regime will raise a total of £12.7 billion according to the OBR.
The tax treatment of carried interest will be reformed by first increasing the Capital Gains Tax rates on carried interest to 32% and then, from April 2026, moving to a revised regime – with bespoke rules to reflect the characteristics of the reward.
The Chancellor also ‘doubled down’ on fiscal responsibility through two new fiscal rules that put the public finances on a sustainable path and prioritise investment to support long-term growth, and new principles of stability. Spending Reviews will be held every two years, setting plans for at least three years to ensure public services are always planned and improve value for money.
One major fiscal event per year will give families and businesses stability and certainty on tax and spending changes, while giving the Scottish Government greater clarity for in its own budget-setting. A Fiscal Lock will also ensure no future government can sideline the OBR again.
Budget marks ‘step in right direction’
Scotland’s Finance Secretary responds to Budget
Finance Secretary Shona Robison has welcomed additional funding in the Autumn Budget, but said the Scottish Government will still face “enormous cost pressures” despite the measures.
The Finance Secretary said: “We called for increased investment in public services, infrastructure and tackling poverty. This budget is a step in the right direction, but still leaves us facing enormous cost pressures going forwards. The additional funding for this financial year has already been factored into our spending plans.
“By changing her fiscal rules and increasing investment in infrastructure, the Chancellor has met a core ask of the Scottish Government. But after 14 years of austerity, it’s going to take more than one year to rebuild and recover – we will need to see continued investment over the coming years to reset and reform public services.
“Indeed, there is a risk that by providing more funding for public services while increasing employer national insurance contributions, the UK Government is giving with one hand while taking away with the other.
“We estimate that the employer national insurance change could add up to £500 million in costs for the public sector unless it is fully reimbursed – and there is a danger that we won’t get that certainty until after the Scottish budget process for 2025/26 has concluded.
“With the lingering effects of the cost of living crisis still hitting family finances, it is disappointing that there was no mention of abolishing the two-child limit, which evidence shows would be one of the most cost-effective ways to reduce child poverty. Neither was there mention of funding for the Winter Fuel Payment.
“As ever, the devil is in the detail, and we will now take the time to assess the full implications of today’s statement. I will be announcing further details as part of the Scottish Budget on 4 December.”
Child Poverty Action Group: Chancellor misses golden chance to scrap two child limit
16 000 more children will now be pulled into poverty by time new UK child poverty taskforce reports in spring
“Good news on universal credit deductions, but no bold action on child poverty”
Barnett consequentials must now be prioritised to fund action on child poverty in Scotland
Responding to the UK Chancellor’s Budget, John Dickie, Director of the Child Poverty Action Group (CPAG) in Scotland, said;“The Chancellor brought good news on universal credit deductions, but this was not a Budget of bold action on child poverty. She missed a golden chance to scrap the two-child limit, a policy that will pull 16,000 extra children into poverty by the time the government’s child poverty taskforce reports in spring.
We welcome the new UK government’s ambition on child poverty but this budget played for time, time that children and families can’t afford. The UK spending review next spring will have to deliver much more to make a significant difference for children in poverty.”
Mr Dickie continued: “Here in Scotland and looking ahead to the Scottish budget it is vital that wider Barnett consequentials are now used to fund the action needed to deliver on the First Minister’s number one priority of ending child poverty.
“That must include funding a real terms increase to the Scottish child payment, expanding childcare provision, delivering on free school meal promises and increasing the supply of affordable family housing.”
POVERTY ALLIANCE:
Responding to today’s UK Budget, Poverty Alliance chief executive Peter Kelly said: “People across the UK believe in a nation based on justice and compassion. Today’s Budget was an opportunity for the Chancellor to turn those values into action, and to rebuild trust in government. Despite some welcome changes, there is still some way to go.
“Boosting the minimum wage is welcome, because for decades workers have been getting less and less from our growing economy. This increase will go some way to making up the gap, particularly for younger workers. But we need to remember that today’s Budget will still leave the legal minimum wages far lower than the real Living Wage rate – the only wage rate that is solely based on the cost of living – of £12.60 per hour, or £13.85 per hour in London.
“We know that too many people on Universal Credit find themselves pushed into destitution when they are chased for debt by public bodies, so it’s good that the maximum amount of benefit that can be taken from them has been reduced. But the Chancellor could have gone further, by strengthening our social security with a boost to Universal Credit that would guarantee that households can afford life’s essentials.
“She could have made it clear that every child matters, by scrapping the unjust and ineffective two-child limit, and ditching the unfair benefit cap which stops households getting all the support they are entitled to.
“There was a welcome focus on the importance of our public services to our shared prosperity and wellbeing. But the Chancellor could have done more to use our country’s wealth to tackle poverty and invest in a better society. Even with today’s changes, people who earn money from selling shares and business assets will pay Capital Gains Tax at a lower rate than workers pay in Income Tax. That’s just wrong.
“Freezing fuel duty and keeping the previous cuts in place will cost the Exchequer billions of pounds a year. It’s bad value for money, benefits the wealthiest in society most, and does little to make the transition to the green economy. The money would have been better invested in affordable, accessible, and sustainable public transport for all.
“It’s right that big companies pay their fair share towards building a strong society, but the Chancellor must urgently consider how increases to employer National Insurance will hit charities and community groups.
“The support and advice provided by these organisations is vital for people who have been pushed into poverty, but too many are already struggling through a lack of fair funding, and this NI increase could push many over the edge.
“That would be a disaster for our communities, and leave more low-income households facing destitution and despair.”
TUC: Labour’s investment budget has begun process of “repairing and rebuilding Britain”
Union body says budget is a vital first step towards the growth, jobs and living standards working people desperately need
Commenting on Wednesday’s budget statement from the Chancellor Rachel Reeves, TUC General Secretary Paul Nowak said: “The Chancellor was dealt a terrible hand by the last Conservative government – a toxic legacy of economic chaos, falling living standards and broken public services.
“But with today’s budget the Chancellor has acted decisively to deliver an economy that works for working people.
“The government’s investment plans are a vital first step towards repairing and rebuilding Britain – securing the stronger growth, higher wages and decent public services that the country desperately needs.
“Tax rises will ensure much-needed funds for our NHS, schools and the rest of our crumbling public services, with those who have the broadest shoulders paying a fairer share. The Chancellor was right to prioritise hospitals and classrooms over private jets.
“There is still a lot more work to do to clean up 14 years of Tory mess and economic decline. – including better supporting and strengthening our social security system. But this budget sets us on an urgently needed path towards national renewal.”
Shelter Scotland has responded to the UK budget set out this afternoon by Chancellor Rachel Reeves.
The housing and homelessness charity urged the Scottish Government to commit to investing any new capital funding into delivering the social homes needed to end the housing emergency.
However, it also expressed disappointment at the continuation of the two-child limit and ongoing freeze to Local Housing Allowance.
Shelter Scotland Director, Alison Watson, said:“Having declared a housing emergency it’s clear that the Scottish Government must back words with actions.
“It is vital that any capital funding which becomes available as a result of the Chancellor’s investment plans is in turn used by Scottish Ministers to deliver social homes here, but we also need to see growth in the capital budget over a sustained period to support continued investment.
“Delivering more social homes remains the single most effective way to tackle the housing emergency in Scotland, and only the Scottish Government can decide how much of its budget it commits to that endeavour.
“However, we can’t ignore the role that austerity has played in exacerbating Scotland’s housing emergency.
“The freeze on local housing allowance and the two-child limit has forced thousands into poverty; they will continue to do so as it seems the Chancellor has chosen to keep them in place.”
COSLA:
ONE PARENT FAMILIES SCOTLAND:
Scotch Whisky industry says UK government has broken commitment to ‘back Scotch producers to the hilt’
Chancellor increases discrimination of Scotch Whisky and other spirits in on-trade
The Scotch Whisky Association (SWA) says the Chancellor’s decision to further increase duty on Scotch Whisky has broken the Prime Minister’s commitment to ‘back Scotch producers to the hilt.’
In her first Budget, Chancellor Rachel Reeves announced an RPI inflation increase to alcohol duty, but cut duty on draught products in the on-trade by 1.7%. Scotch Whisky and other spirits are excluded from this tax relief.
The SWA had called on the new Chancellor to take the opportunity to reverse the damage done by the 10.1% increase in August 2023. Instead, the damage done to the industry and to government revenue has been compounded by further increasing the tax burden on the sector, which is already the highest in the G7.
Spirits revenue fell by hundreds of millions of pounds as a result of the 10.1% duty increase last year, and the industry has warned that this further tax hike will not deliver the revenue ministers have been promised but will hurt businesses, the hospitality sector and hard-pressed consumers.
Commenting on the Budget, Chief Executive of the SWA Mark Kent said:“This duty increase on Scotch Whisky is a hammer blow, runs counter to the Prime Minister’s commitment to ‘back Scotch producers to the hilt’ and increases the tax discrimination of Scotland’s national drink.
“On the back of the 10.1% duty increase last year, which led to a reduction in revenue for HM Treasury, this tax hike serves no economic purpose. It will damage the Scotch Whisky industry, the Scottish economy, and undermines Labour’s commitment to promote ‘Brand Scotland’.
“She has also increased the tax discrimination of spirits in the Treasury’s warped duty system, and with 70% of UK spirits produced in Scotland, that will do further damage to a key Scottish sector.
“The disastrous 10.1% duty hike last year has now been compounded. This further tax rise means the lessons have not been learned, and the Chancellor has chosen continuity with her predecessor, not change.
“We urge all MPs who support Scotch Whisky to vote against this duty hike and tax discrimination of Scotland’s national drink.”
Rain Newton-Smith, CBI Chief Executive, said:“The Chancellor had difficult choices to make to deliver stability for the economy and public finances. A more balanced approach to our fiscal rules which prioritises capital investment should help to unlock private sector investment in our infrastructure and net zero transition over the long-term.
“This is a tough Budget for business. While the Corporation Tax Roadmap will help create much needed stability, the hike in National Insurance Contributions alongside other increases to the employer cost base will increase the burden on business and hit the ability to invest and ultimately make it more expensive to hire people or give pay rises.
“Only the private sector can provide the scale of investment required to deliver the government’s growth agenda.
“To achieve this shared mission of growing our economy sustainably, it’s vital that the government doubles down on its partnership with business to unlock the investment that is needed to drive opportunity around the UK.”
FSB: Employment allowance rise welcome from Chancellor in tax-raising Budget
The Federation of Small Businesses responds to the Chancellor’s Budget statement
Responding to the Chancellor’s Budget statement, Policy Chair of the Federation of Small Businesses (FSB), Tina McKenzie, said: “Increasing the employment allowance for small businesses by a record amount is a very welcome move and we’re pleased the Chancellor has heard us loud and clear.
“More than doubling it, from £5,000 to £10,500, will shield the smallest employers from the jobs tax, therefore is a pro-jobs prioritisation in a tough Budget.
“The decision to protect small businesses from an inflationary hike in business rates – by freezing the small business multiplier – will help small firms with premises across all sectors. Meanwhile, extending business rates relief, albeit at a lower level, for small firms in retail, hospitality and leisure will mitigate a potential cliff-edge tax hike for those in some of the toughest sectors.
“The true test of today’s Budget will be whether small businesses can grow and end the economic stagnation the UK has been stuck in.
“Larger small, and medium-sized, businesses will struggle with the rises on employer national insurance on top of the large costs from the Government’s employment law plans. We’ve been very clear in our warning of the difficulty SMEs will be confronted with in meeting all of these changes at once – and the potential impact on jobs, wages and prices.
“The Budget documents include plans for a small business strategy command paper, which is a welcome signal that ministers appreciate the central role that small businesses play in driving growth and we look forward to working with the Government closely on that.
“Investment in infrastructure is key to future growth, and the Chancellor’s announcement of additional funding for rail projects and fixing potholes is therefore encouraging. Many small firms, meanwhile, will be relieved at the decision not to raise fuel duty. The commitment to prioritise small housebuilders when it comes to housing investment is also welcome.
“Building a business involves a significant element of risk and personal, as well as financial, investment. But for the economy to grow, we need more people to be incentivised to take that leap and, in turn, create jobs, opportunities and prosperity in all communities across the country.
“The right decision has been taken to retain entrepreneurs’ relief (now branded Business Asset Disposal Relief) up to £1million, which is something we have campaigned hard for. Although the level of relief will gradually reduce over time, resulting in more tax being paid in the future on business sales, we’re pleased to see a differential has been kept.
“Against a challenging backdrop, today’s Budget shows a clear direction in business policy now for the whole of this Parliament to target support at small businesses, rather than big corporates – prioritising everyday entrepreneurs working in local communities in all parts of the country.”
UK Budget fails “3 Key Tests for Scotland”, say Alba Party
Scottish Government must now fund universal entitlement to pensioners winter fuel payment
“To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.”
This was said today by Acting Alba Party leader Kenny MacAskill reacting to Chancellor Rachel Reeves’ budget.
Alba Party say that the UK Government had three key tests to meet to deliver for Scotland. Former First Minister Alex Salmond helped launch a campaign to save the winter fuel payment last month.
Close to one million pensioners in Scotland are set to lose out on between £200-£300 this winter. Acting Alba Party leader Kenny MacAskill has been a leading voice in the campaign to save the Grangemouth Oil Refinery from closure.
Mr MacAskill has today hit out at the UK Government after Labour promised in the General Election to save Scotland’s only refinery that is set for closure next year but has failed to provide funding to save the refinery in today’s budget.
MacAskill has now called on the Scottish Government to use extra Barnett consequential funding to fully mitigate the cut to the winter fuel payment.
Alba Party have also hit out as successive UK Government’s have promised investment in Carbon Capture Technology in the North East of Scotland. Alba say the technology is vital to secure the future of the North Sea Oil and Gas industry and to help Scotland play its part in protecting the environment. Today’s UK Budget confirmed £22billion of investment in carbon capture projects in England – but snubbed the Acorn project on the Buchan coast.
Commenting Acting Alba Party leader Kenny MacAskill said: ““Today’s UK Budget is a continuity budget that proves that regardless of whether we have a UK Tory Government or a UK Labour Government, Scotland will always lose.
“To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.
“ Close to a million Scottish pensioners are to be kept in the cold this winter, the UK Government has chosen to stand by and allow Scotland’s key industrial asset to close, and Labour have betrayed the North East of Scotland.
“ Nothing for Scotland’s pensioners, nothing for Grangemouth and nothing for Carbon Capture and the North Sea. It is now vital that the Scottish Government steps up to the plate and uses any additional funding consequentials it receives to fully mitigate the cut to the winter fuel payment.”
Budget is a ‘Missed Opportunity’
The budget is a missed opportunity to bring about the transformative change this country needs, said Westminster’s group of independent MPs.
A statement from the Independent Alliance:
LOCAL GOVERNMENT INFORMATION UNIT:
Dr Jonathan Carr-West, Chief Executive, LGIU, said: “The Chancellor billed this as an historically consequential budget of hard choices. That’s certainly true in many areas with £40bn of tax rises announced and significant changes to the government’s debt rules.
“For local government, however, it is a budget of choices deferred. It could have been worse – there’s an additional £1.3bn in funding including money for social care and additional funding for housing and special educational needs: the very areas that are driving many councils to bankruptcy.
“But this extra funding is not even half the gap that councils currently face.
“The longer-tem change that the sector desperately needs is all deferred for now. We are waiting on the Local Government Finance Settlement, on the Devolution White Paper and on a broader redistribution of funding through a multi-year settlement from 2026-27.
“There were some welcome highlights: retaining 100% of right to buy receipts and integrated settlements for Greater Manchester and the West Midlands and possibly for other places in future.
“Is this a start? Yes. Is it enough? Not by a long shot. At least not yet. There’s a positive direction of travel set out, but there’s a long way to go and the pressure on council finances means there’s a real risk that some councils will not be able to hang on long enough to get there.”
Community projects across the city are facing financial armageddon following news that Edinburgh Integration Joint Board (EIJB) plans to discontinue funding to 64 community projects across the city.
The EIJB is facing a financial crisis and sees slashing funds to third sector organisations as a way to tackling a massive deficit. If the recommendations are approved by board members at a meeting on Friday, the disinvestment in much-needed community services would save EIJB £4.5 million.
Although rumours of swingeing cuts were circulating for some days, the key papers announcing the plans only appeared online late on Friday afternoon – and they make grim reading for community organisations across the city.
The full papers for Friday’s meeting can be found below – and the Chief Officer’s recommendations make truly awful reading for 64 community organisations and the thousands of citizens they support.
Rubbing salt into the wounds, the EIJB also proposes cutting funding before the end of THIS financial year – two months early – forcing voluntary sector organisations to issue redundancy notices immediately. A fine early Christmas present!
For some projects, cuts on this scale would see a devastating reduction to the services they are able to provide to people living in some of Edinburgh’s most deprived communities. Scores of jobs will be lost if the cuts go ahead, vital services will be slashed and a number of community organisations may even be forced to close completely.
Restalrig’s Ripple Project announced: ‘The Ripple is devastated by the release of proposals to remove a huge proportion of health and social care funding from The Ripple in just 90 days time.
‘Please come to the Ripple next week and join us in our campaign to stop this happening.’ The Ripple provides and hosts a range of services from their busy community hub and they have set up a petition to oppose the cuts.
People Know How have already made the difficult decision to close their doors – and more will undoubtedly follow if the proposed cuts go ahead.
People Know How told service users: “Due to the drastic changes across the fundraising landscape in Scotland, it is with great sadness that we must announce that we are beginning to work towards closing People Know How including the redundancy of all our staff team.”
An online post explains: ‘People Know How was founded in 2013 and has grown to deliver services to thousands of people across Scotland over the past decade. Supporting people to be digitally and socially included through Reconnect, providing help to children as they move from primary to secondary school through Positive Transitions, and enhancing communities with projects including All Aboard, People Know How has always put people at the heart of what we do. ‘
‘A dedicated team of 24 paid staff and around 100 annual volunteers, interns, and placement students (VIPs) make all this work possible, and we collaborate with numerous funders and partners to maximise the reach and impact of the charity. In the last 4 years, People Know How has also expanded its reach to effect social change nationally as well as locally, through research, campaigning, influencing policy and our national Digital Support Helpline.
‘Due to the drastic changes across the funding landscape in Scotland, at the end of September, our Board and Chief Executive were faced with a difficult conversation in light of the lack of funding for the current and forthcoming financial years.
‘In just the last few months, we have seen devastating funding cuts across the sector and a drastic shift in the funding landscape. As a result, we have seen fewer options for long-term funding, with other funders closing entirely and leaving those that remain severely over-subscribed.
‘The Scottish Government is currently examining their approach to funding in the third sector, responding to calls from the sector for longer-term funding, unrestricted core funding, funding to accommodate paying staff a Real Living Wage and more. But as the debate continues, charities like People Know How are dealing with the reality.
‘The decline of available funds is directly at odds with the increasing need of the communities we support. Over the last few months, we have seen attendance to our digital groups and calls on our Digital Support Helpline increase.
‘We also recently partnered with BT to provide information about the digital landline switchover, with many groups across the country eagerly coming forward to work with us on this project. And just 2 months ago, we began our Positive Transitions support in schools for the new academic year, addressing a very real need for support felt by the children, young people and families moving to secondary school.
‘While we have funding for some projects, we will not hear back from our biggest funders until the end of this financial year and cannot move forward without the certainty that we will be able to support our service users and employ our staff beyond Christmas.
‘Since September, People Know How has been undergoing a 30-day collective consultation process to assess its future and options to avoid redundancies, including pausing all new activities to prioritise the support of those using our services.
‘We have also been speaking with our partners and contacts to assess options and opportunities where possible. That consultation process has now come to an end and unfortunately, we have not found a solution to save the 24 jobs and charity and have had to make the extremely difficult decision to work toward closing People Know How.
‘From today, (25 October), we will be working to wind down our projects and identify opportunities for those who use our services to continue being supported by other organisations. Our staff will also be looking for new employment opportunities. We will remain open until December but our capacity will be reducing gradually until then, as our team moves on.
‘Consideration is being made on how we close in the best way possible to value all the work and achievements since 2013. We are proud of what we have achieved over the last 11 years, supporting communities to improve wellbeing across Scotland.
‘The passion we have seen in every single one of our staff members and VIPs during this time has been incredible and we couldn’t be prouder to have been part of their lives and careers. Thank you to all who have been with us on this amazing journey.’
North Edinburgh’s R2 group is a coalition of local projects who united during the Covid pandemic lockdown to support vulnerable local people with food and essential supplies.
Spartans Community Foundation CEO Debbi McCulloch, who chairs R2’s development group, wrote to politicians and members of the EIJB yesterday:
Proposed IJB cuts to third sector organisations
As Chair of R2 Development Group I am writing to express our concern and dismay at the current rumours circulating within the 3rd sector about the IJB cuts to third sector grants, and potential disinvestment from 64 community organisations.
This disinvestment appears to be part of the IJB’s in year recovery plan and savings strategy for 2025/26. We find this particularly surprising given the consultation that the IJB have recently completed on their new strategy which prioritised prevention and closer collaboration with the 3rd sector.
We would also like to acknowledge that the third sector has already taken significant cuts this year from the grant funding and has still achieved (or in many case over achieved) on the targets set, yet the sector is facing the biggest cuts.
In north Edinburgh, it is estimated that this will result in around £1million worth of funding being lost to the area. We are particularly concerned that local income maximisation services could be lost as many of us work in partnership with these services and see the difference they can make in household income for the people we work with. This work is key to our collective contributions to reducing poverty in the City.
While we recognise the significant funding challenges faced by the IJB, disinvesting from the 3rd sector for short term cost savings seems misguided. Such actions are likely to increase pressure on both NHS and Council services, contradicting the Scottish Government, Public Health Scotland, and the Audit Commission’s strong advocacy for enhanced prevention and early intervention strategies which are known to take time and require investment.
Evidence consistently shows that investment in prevention is one of the most cost-effective methods to improve health outcomes and reduce inequalities, ultimately fostering greater sustainability with economic, social, and environmental benefits.
We hope for a constructive discussion with the IJB and other partners on how we can best support our communities together. We would be very grateful if you could investigate on our behalf and advise us accordingly.
We ask that:
• The funding for this year is guaranteed and runs the full length of the contract. • That the 25/ 26 grants are not cut in entirety and that we can be part of a conversation regarding how we maybe able to assist in making savings.
• That there is recognition that is these “savings” are to go through, we are shoring up future impacts.
We’d ask you to explore this matter further and share anything you find out with us. In particular we would like to know:
• What consideration has been made for the Audit Scotland, Chief Medical Officer and Scottish Government guidance to invest in health prevention, health activities in community? • If an equality impact assessment on these proposals has been carried out and what the conclusion of this was?
Finally, we’d ask you to talk your party colleagues, particularly if they sit on the IJB and ask them to do all they can to prevent these cuts.
We know, that when local community sector organisations get cut, it can take years to rebuild projects and relationships with local communities. As the social and health issues in our communities are continuing to increase, we want to continue to do all we can to alleviate the current crisis and build towards a more positive future. Please help us do this.
Edinburgh Community Health Forum (ECHF) has called for an immediate halt to the funding cuts announced by IJB.
ECHF’s Strategic Development Manager, Stephanie-Anne Harris, said: “This drastic cut threatens the very fabric of our community support systems and undermines our collective commitment to health and wellbeing in Edinburgh.
“This disinvestment will lead to the closure of numerous charities and an increased reliance on statutory services, including the NHS and Council.
“Furthermore, it contradicts the Scottish Government’s and Public Health Scotland’s advocacy for prevention and early intervention strategies.
“Evidence overwhelmingly supports that investing in prevention is one of the most cost-effective methods to improve health outcomes and reduce inequalities.
“This short-term approach to achieving savings is fundamentally misguided.”
Historically, core funding for the Third Sector was managed by the Council before being transferred to the IJB.
The current proposed cuts pose a severe threat to organisations that provide essential services to some of Edinburgh’s most vulnerable residents.
Catriona Windle, Chair of ECHF and CEO of Health All Round, a charity dedicated to supporting residents in Gorgie Dalry, Saughton, Stenhouse, and surrounding areas, added: “We call for an immediate halt to cuts scheduled for 2025 and urge the IJB to engage in meaningful discussions with the sector about sustainable funding solutions.
“While we recognise the need for budgetary considerations, we cannot afford to compromise on the vital support that Third Sector organisations provide. We propose delaying cuts until September 2025 to allow for a proper conversation about the future.
“The IJB must recognise that resourcing for the Third Sector is not non-essential; it is crucial for the wellbeing of our communities.
“We implore Council leaders and the IJB to consider resuming full responsibility for funding these vital services or to engage the Third Sector in developing a strategic funding model that ensures ongoing investment in our collective health.”
EVOC, the voice of Edinburgh’s voluntary sector, said: “We are devastated to see the depth of the cuts proposed to the Third Sector in the EIJB Meeting Papers: https://bit.ly/4eZsPXL
“Our sector has an essential role to play in delivering key health and social care services for some of the most vulnerable people in Edinburgh and contributes to the four priorities of the @EdinburghHSCP ‘More Good Days Strategy’.
“Our Board and staff are meeting key colleagues and partners to move quickly on a strategic response and will share more details in the coming days.”
The first option would close the existing programme early, giving grant recipients only three months’ notice and saving £700,000 in this financial year. This would be extremely disruptive for both organisations and people accessing their programmes. Third sector organisations are reasonably entitled to expect to receive funding for the entire grant period. We are especially concerned that this could lead to sudden job losses and financial hardship for affected third sector workers.
The second option would be to end the grants programme entirely in future years, and develop an alternative approach, saving £4.5mn in direct costs next year and beyond. Whilst this would mean existing grants would continue for the remainder of this financial year, it would result in significant uncertainty for the future of some organisations and programmes and for the people who ultimately benefit from these supports and services.
Nevertheless, it is claimed that only one of the funded services represents “value for money”. Our understanding is that this assessment has been made via an additional, retrospective EIJB evaluation, and it is unclear if organisations were given adequate time and direction to monitor and evidence the value of their programmes.
In many cases the impact assessment refers to the availability of statutory services as an alternative, for example in relation to maternal mental health. However, the extreme pressures on statutory services, especially mental health services, are well documented.
Third sector services are in many cases supporting people who have fallen through the gaps in or been unable to access statutory services. The withdrawal of grant funding for third sector services will therefore leave those people with no support at all.
Responding to the proposals, the ALLIANCE Chief Officer of Development, Sara Redmond, said:“Third sector organisations provide a range of invaluable services that help to reduce health inequalities and support a preventative approach to health and wellbeing. We are therefore extremely concerned by the proposals from Edinburgh IJB that could see their entire health inequalities grant programme close.
“The EIJB’s own impact assessment acknowledges that these proposals will negatively impact the health and wellbeing of people in Edinburgh, especially in areas already experiencing higher levels of health and socio-economic inequality. In addition to the risk of job losses, these proposals also risk seriously damaging the relationship between the third sector and statutory sector funders, especially as there has been no public consultation in advance.
“Third sector organisations must be able to trust when bidding for contracts or grants that funding will be provided for the entire contracted period. They must also be consulted as equal partners to find a way forward when circumstances change, and for the responsibility to be shared for evaluating the impact of what are complex social policy agendas.
“We urge the EIJB to reject these proposals and develop a fairer way forward that will ensure people receive the support they need and that the third sector can continue its invaluable work to mitigate and prevent health inequalities.”
Work has urgently been going on behind the scenes since the EIJB papers were released and a number of meetings have taken place with more to follow in the run-up to Friday’s crucial board meeting.
Deputations are being arranged, community support is being harnessed across the city and politicians are being lobbied – and opposition to the draconian proposals has gained political support.
SNP Councillor Vicky Nicholson is a member of the EIJB board and she announced last night that the SNP will oppose the report recommendations:
Labour’s Cammy Day said in a statement on Twitter yesterday: ‘After over a decade of @theSNP cuts& under funding Edinburghs health &social care, proposals to cut the third/voluntary sector are here.
“Edinburgh Labour will propose a way forward to engage the sector, work with them & city partners and stop the in year cuts wherever we can.’
Edinburgh Integration Joint Board meets on Friday 1st November at 10am in the Dean of Guilds Room at the City Chambers.
You can read the full details of the recommendations here:
Prime Minister will say government’s first Budget will fix the foundations to deliver on the promise of change.
Keir Starmer will reject austerity, chaos and decline in favour of economic stability, investment and reform.
He will pledge ‘better days are ahead’ with an economic plan that will rebuild Britain and deliver sustainable, long-term investment to put more money in people’s pockets and deliver stronger public services.
Prime Minister Keir Starmer will today (Monday 28 October) pledge that his government’s first Budget will put Britain on a new path, one that chooses long-term growth to put more money in working people’s pockets and rebuild public services instead of a return to austerity.
Setting out the defining and central purpose of the government’s agenda to protect working people from the dire inheritance, he will say: “It is working people who pay the price when their government fails to deliver economic stability.
“They’ve had enough of slow growth, stagnant living standards and crumbling public services. They know that austerity is no solution. And they’ve seen the chaos when politicians let borrowing get out of control.
“We choose a different path: honest, responsible, long-term decisions in the interests of working people. It’s stability that means we can invest, and reform that will maximise that investment.
“Stability, investment, reform. That’s how we fix the NHS, rebuild Britain and protect working people’s payslips. Delivering on the mandate of change.”
The Prime Minister will say that the country faces unprecedented challenges after the last government covered up the state of the public finances and crumbling public services:
“We have to be realistic about where we are as a country. This is not 1997, when the economy was decent but public services were on their knees. And it’s not 2010, where public services were strong, but the public finances were weak. These are unprecedented circumstances.
“And that’s before we even get to the long-term challenges ignored for fourteen years. An economy riddled with weakness on productivity and investment. A state that needs urgent modernisation to face down the challenge of a volatile world.
“But I won’t offer it as an excuse. I expect to be judged on my ability to deal with this. Politics is always a choice. It’s time to choose a clear path, and embrace the harsh light of fiscal reality so we can come together behind a credible, long-term plan.
“It’s time we ran towards the tough decisions, because ignoring them set us on the path of decline. It’s time we ignored the populist chorus of easy answers… we’re never going back to that.”
Setting out his economic plan to drive growth across the country, the Prime Minister will say fixing the foundations through stability and investment brings benefits to everyone:
“If people want to criticise the path we choose, that’s their prerogative. But let them then spell out a different direction. If they think the state has grown too big, let them tell working people which public services they would cut.
“If they don’t see our long-term investment in infrastructure as necessary, let them explain to working people how they would grow the economy for them.
“This is an economic plan that will change the long-term trajectory on British growth for the better.
“We are tackling the biggest challenges in our economy. Higher investment – we’re dealing with it. Planning – we’re reforming it. The labour market – we’re getting people back to work, but also making work pay. On competition, we’re stripping out the needless regulation that holds back growth and private investment. And all of this built on that foundation, economic stability.
“This is what fixing the foundations and delivering change means. Everyone in this country will benefit from this. Everyone can wake up on Thursday and understand that a new future is being built, a better future.”
FOUR CAPITAL CITY COUNCILLORS IN THE RUNNING FOR AWARDS
44 local councillors from across England, Wales and Scotland have been shortlisted for the 2024 LGIU and CCLA Cllr Awards, showcasing the vital contributions of councillors for the 15th year running in England and Wales and 7th year in Scotland.
Four City of Edinburgh councillors have made the shortlist this year.
The capital councillors shortlisted are Cammy DAY (Leader of the Year), Norman WORK (Lifetime Legend) Ben PARKER (Young Councillor of the Year) and Finlay McFARLANE (Innovator of the Year).
The full England & Wales shortlist is available here and Scotland shortlist can be found here.
Jonathan Carr-West, Chief Executive, Local Government Information Unit (LGIU) said: “The judging panel was blown away by the number of extremely high quality nominations this year, with councillors up and down the country going the extra mile for residents.
“The shortlist for the 2024 Cllr Awards contains the most devoted elected representatives in England, Wales and Scotland.
With councils operating under enormous pressure, these Awards are a hugely important way to champion what councillors achieve in the places we live. Congratulations to all the councillors nominated and shortlisted and I look forward to announcing the winners in November.”
Winners in England & Wales will be announced at the Guildhall in London on Wednesday 20 November while winners in Scotland will be revealed at the City Chambers in Edinburgh on Thursday 14 November.
The Cllr Awards judging panels comprise senior councillors and leading stakeholders from across the sector. These are the only national awards to celebrate and showcase the work of individual councillors.
This year’s awards are made possible thanks to the generous support of founding partners CCLA.
UK announces £2.26bn loan to Ukraine backed by profits from sanctioned Russian sovereign assets
Forms Britain’s contribution to the $50bn loan announced at the G7 Leaders’ Summit in June
New money for Ukraine will bolster equipment on the frontline
Ukraine will receive further funding to purchase essential military equipment to defend itself against Russia’s illegal invasion, as the Chancellor today announces that the Government will loan a further £2.26bn in new money to Ukraine.
The new £2.26bn is the UK’s contribution to the G7 Extraordinary Revenue Acceleration (ERA) Loans to Ukraine scheme, in which $50bn from G7 countries will be delivered to Ukraine for its military, budget and reconstruction needs. The loan will be repaid using the extraordinary profits on immobilised Russian sovereign assets.
The Chancellor Rachel Reeves made the announcement alongside Defence Secretary John Healey while visiting Ukrainian personnel who are being trained in the UK. More than 45,000 personnel have been trained in the UK under Operation INTERFLEX and the scheme has been extended to at least the end of 2025.
The UK’s £2.26bn loan is earmarked as budgetary support for Ukraine’s military spending, enabling the Ukrainians to invest in key equipment to support their efforts against Russia, such as air defence, artillery and wider equipment support. It comes on top of the UK’s existing £3bn a year military aid for Ukraine, which the Prime Minister re-committed to within his first week in office.
The UK has sent around 400 different capabilities to Ukraine, with Defence Secretary John Healey MP recently announcing that the UK will supply 650 Lightweight Multirole Missile systems to Ukraine to boost the country’s air defences.
Chancellor of the Exchequer Rachel Reeves:“Our support for Ukraine and her men and women in their fight for freedom from Putin’s aggression is unwavering and will remain so for as long as it takes.
“This new money is in Britain’s national interest because the frontline of our defence – the defence of our democracy and shared values – is in the Ukrainian trenches. A safe and secure Ukraine is a safe and secure United Kingdom.”
The $50bn G7 ERA scheme was first announced at the G7 Leaders’ Summit in Apulia, Italy, in June this year. Russia’s obligation under international law to pay for the damage it has caused to Ukraine is clear and this G7 agreement is an important step to ensuring this happens.
Today the UK has announced its contribution to the scheme and will introduce domestic legislation in the coming weeks to enable the transfer of the new funds to Ukraine as quickly as possible.
The loan is on top of the £12.8bn already committed in military, economic and humanitarian support to Ukraine.
The funding comes alongside the UK and international partners introducing the largest and most severe package of sanctions ever imposed on a major economy. Without this, Russia would have over $400 billion more for its war machine – enough to fund its illegal invasion for a further four years.
The war is having an economic and human cost for Russia; it is soaking up 40% of Russia’s annual budget and last month the country suffered its highest rate of daily casualties since the war began.
The loan announcement comes ahead of the Chancellor’s attendance of the International Monetary Fund Annual Meetings in Washington D.C. later this week, at which she will underline on the international stage that the UK and its partners stand united and will not let aggressors like Putin succeed.
Earlier this month Prime Minister Keir Starmer hosted Ukrainian President Volodymyr Zelenskyy in Downing Street to discuss his victory plan for Ukraine.
Defence Secretary John Healey, said:“By using the money generated from these sanctioned Russian assets, we can help turn the tables on Putin’s war machine. This urgent funding will directly support Ukraine’s defence using the proceeds from assets that had helped fuel Putin’s aggression.
“The UK is stepping up our support to Ukraine, speeding up supplies of vital equipment and boosting our defence industries. We will stand with Ukraine for as long as it takes.”
The Prime Minister met President Emmanuel Macron of France, Chancellor Olaf Scholz of Germany and President Joseph R. Biden, Jr. of the United States yesterday in Berlin.
The leaders condemned Russia’s continued war of aggression against Ukraine, discussed their plans to provide Ukraine with additional security, economic, and humanitarian assistance, including leveraging the extraordinary revenues of immobilized Russian sovereign assets – as decided at the G7 Summit, discussed President Zelenskyy’s Victory Plan, and reiterated their resolve to continue supporting Ukraine in its efforts to secure a just and lasting peace, based on international law, including the United Nations Charter, and respect for sovereignty and territorial integrity.
The leaders also discussed events in the Middle East, in particular the implications of the death of Yahya Sinwar, who bears responsibility for the bloodshed of the October 7th terrorist attack, for the immediate necessity to bring the hostages home to their families, for ending the war in Gaza, and ensure humanitarian aid reaches civilians.
The leaders also reiterated their condemnation of Iran’s escalatory attack on Israel and coordinated on efforts to hold Iran accountable and prevent further escalation. They discussed the situation in Lebanon and agreed on the need to work towards full implementation of UNSCR 1701 and a diplomatic resolution that allows civilians on both sides of the Blue Line to return safely home.
Prime Minister Keir Starmer’s speech in Berlin:
I’ve just had a very productive meeting with President Biden, Chancellor Scholz, and President Macron.
We focused on two issues.
Firstly, the situation in the Middle East.
Let me start by saying that no one should mourn the death of the Hamas Leader Sinwar.
On his hands is the blood of innocent Israelis.
Killed on the 7th of October and over years of terror.
And also the blood of the Palestinian people.
Who suffered in the chaos and violence that he sought and celebrated.
We continue to support Israel’s right to self-defence.
Particularly in the face of the attacks by the Iranian regime.
Allies will keep working together.
To de-escalate across the region.
Because we know there is no military-only solution here.
The answer is diplomacy.
And now we must make the most of this moment.
What is needed now is a ceasefire in Gaza.
The immediate and unconditional release of all hostages.
Immediate access for humanitarian aid.
And a return to the path towards the two-state solution.
As the only way to deliver long-term peace and security.
The dire humanitarian situation cannot continue.
And I say once again to Israel, the world will not tolerate any more excuses on humanitarian assistance.
Civilians in northern Gaza need food, now.
The UK strongly supports UNRWA in the vital work it does in Gaza, across the OPTs and the region.
UNRWA must be allowed to continue its life saving support.
The suffering must end, including in Lebanon, where we need a ceasefire to implement a political plan based on UN resolution 1701.
That empowers the Lebanese Armed Forces.
Strengthens UNIFIL.
And allows communities on both sides of the border to return to their homes.
That delivers humanitarian and economic support to the people of Lebanon.
Supports democracy and bolsters the Lebanese State.
Second, we discussed the war in Ukraine.
Building on the conversation I had with President Zelenskyy at Downing Street last week.
We remain united in our support for Ukraine.
We have always said that it is for the Ukrainian people to decide their own future.
So we’re clear, together with President Zelenskyy, that the only acceptable outcome is a sovereign Ukraine, and a just peace.
We want to see Ukraine thriving and secure.
And we’ll work together to make it happen.
And while the situation is incredibly tough.
It’s also true that Russia is getting weaker.
This war is soaking up 40% of their budget.
Last month Russia suffered the highest daily casualty rate so far.
So we discussed how to speed up our support for Ukraine.
And the UK is delivering.
95% of the equipment that we promised to fast track in July is now in Ukrainian hands.
And together with the G7 we’re working to send $50 billion of further support to Ukraine.
Drawn from the proceeds of frozen Russian assets.
So as Ukraine enters a difficult winter it’s important to say.
