Chancellor unveils plan to ‘turbocharge’ investment across UK

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Ex-high street boss to ‘keep Britain working’

Review into business support for disabled and long-term sick

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Colinton/Fairmilehead by-election

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

“The time to invest in Britain is now.”

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

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

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

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

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

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

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

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

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

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

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

Double-jobbing no more?

Draft regulations to be laid at Holyrood in autumn

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

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

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

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

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

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

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

The consultation paper is available at Consultation on Dual Mandates

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

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

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

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

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

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

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

UK and Ukraine to sign ‘landmark 100 Year Partnership’

The UK and Ukraine will sign a historic partnership, as the Prime Minister travels to the country to meet President Zelenskyy

  • Treaty will bolster military collaboration on maritime security through a new framework to strengthen Baltic Sea, Black Sea, and Azov Sea security and deter ongoing Russian aggression
  • Will bring together experts to advance scientific and technology partnerships, in areas such as healthcare and disease, agri-tech, space and drones, and build lifelong friendships through classroom projects
  • New UK-built Grain Verification Scheme will also be launched to track stolen grain from occupied Ukrainian territories

The UK and Ukraine will sign a historic partnership, as the Prime Minister travels to the country to meet President Zelenskyy.

The unbreakable bonds between the UK and Ukraine will be formalised through the landmark new 100 Year Partnership between the two countries, broadening and deepening the relationship across defence and non-military areas and enabling closer community links.

From working together on the world stage to breaking down barriers to trade and growth and nurturing cultural links, the mutually beneficial partnership will see the UK and Ukraine advocate for each other to renew, rebuild and reform for generations to come.

The partnership underpins the Prime Minister’s steadfast leadership on Ukraine as his government continues to provide support. Spanning nine key pillars, it will harness the innovation, strength and resilience that Ukraine has shown in its defence against Russia’s illegal and barbaric invasion; and foster it to support long-term security and growth for both our countries. The Treaty and political declaration, which form the 100 Year Partnership, will be laid in Parliament in the coming weeks.

It is expected to bolster military collaboration on maritime security through a new framework to strengthen Baltic Sea, Black Sea, and Azov Sea security and deter ongoing Russian aggression, bring together experts to advance scientific and technology partnerships, in areas such as healthcare and disease, agri-tech, space and drones, and build lifelong friendships through classroom projects.

It also cements the UK as a preferred partner for Ukraine’s energy sector, critical minerals strategy and green steel production.

The 100 Year Partnership is a major step in supporting Ukraine’s long-term security – ensuring they are never again vulnerable to the kind of brutality inflicted on it by Russia – and committing to stand shoulder-to-shoulder with a sovereign Ukraine for the next century.

Ukraine has a highly trained military, and a thriving technology sector that is rapidly designing and deploying state of the art battle-ready equipment: a security partnership with Ukraine will make Britain stronger. 

To mark the signing of the partnership today, the Prime Minister is expected to announce new UK support for Ukraine from lethal aid to economic resilience.

Prime Minister Keir Starmer said: “Putin’s ambition to wrench Ukraine away from its closest partners has been a monumental strategic failure. Instead, we are closer than ever, and this partnership will take that friendship to the next level.

“This is not just about the here and now, it is also about an investment in our two countries for the next century, bringing together technology development, scientific advances and cultural exchanges, and harnessing the phenomenal innovation shown by Ukraine in recent years for generations to come.

“The power of our long-term friendships cannot be underestimated. Supporting Ukraine to defend itself from Russia’s barbaric invasion and rebuild a prosperous, sovereign future, is vital to this government’s foundation of security and our Plan for Change.

“Through this partnership, we are creating a strong economy that works for the British people, a safe country that protects our interests at home and abroad, and a prosperous society.”

The Prime Minister will join a Ukrainian class dialling into a primary school in Liverpool today, who will be joined by the Education Secretary, Bridget Phillipson. He will hear from the next generation about how the partnership will deliver brighter futures for children in both countries, fostering cultural exchanges and learning for youngsters.

100 schools in the UK and Ukraine will be partnered over the coming months as part of a two-way programme built around reading for pleasure. Through sharing stories from their own cultures, they will explore the power of reading to overcome adversity – building links between the countries for generations to come.

The Prime Minister is also expected to see firsthand how UK aid is supporting Ukrainians living under bombardment through a visit to a Ukrainian hospital. He will meet patients and doctors and hear how £100m of UK humanitarian funding is supporting needs across Ukraine and specialist medical care for burn victims, including those maimed by Russian missiles raining down on neighbourhoods.

The hospital is being supported by specialist NHS doctors, who are upskilling Ukrainian medical teams and providing lifesaving opinions on treatment for severely injured patients, both virtually and through short deployments to the country. Many admitted to the hospital have burns to between 30% and 40% of their body surface.

The Prime Minister will also announce £40m for a new economic recovery programme to unlock hundreds of millions of pounds worth of private lending to bolster the growth and economic resilience of small and medium businesses in Ukraine, which form the backbone of the country’s economy.

The programme will create opportunities for UK companies by supporting key growth sectors in Ukraine, opening up enhanced trade and investment opportunities with one of our closest allies. The funding will be targeted at businesses supporting the green economy, and marginalised groups including women and veterans.

It is hoped over the long term, the programme, called TIGER (Triggering Investment Growth and Economic Resilience), will reduce reliance in Ukrainian communities on humanitarian support and help build economic resilience.

And as part of the partnership, a new Grain Verification Scheme will also be launched to track stolen grain from occupied Ukrainian territories. The UK developed the new scheme following an ask from Ukraine to the G7 to help trace snatched grain from Ukraine fields under Russian control, which is then relabelled and sold on.

Using cutting edge science to help determine where grain has been grown and harvested, the UK has developed a database to support Ukraine’s efforts to trace and stop theft of grain from occupied regions.

Ukraine, a country which remains a major supplier of agricultural produce, is crucial for global food security. The database will be handed over to Ukraine from the Environment Secretary in the coming weeks.

Today’s announcement builds on the £12.8 billion package of support the UK has given Ukraine, including £7.8bn of military assistance, a commitment for £3bn in military aid until as long as it takes, and ongoing energy infrastructure support to help hospitals and community facilities provide light and warmth to innocent civilians impacted by Putin’s invasion.

The UK and Ukraine will use an annual high-level Strategic Dialogue to ensure progress on the partnership for decades to come.

Swinney: Removing two child limit will help thousands

Progress to eradicate child poverty

Thousands of families will be helped as part of the Scottish Government’s plans to remove the two child benefit cap, First Minister John Swinney has said as he repeated calls for the UK Government to end the policy immediately.

The First Minister made clear that if the UK Government was to scrap the policy, the investment the Scottish Government intends to allocate to its mitigation would be used on other measures to tackle eradicate child poverty.

At an event in Stirling hosted by The Robertson Trust, Mr Swinney addressed representatives from community and third sector organisations across Scotland and set out his vision for a country in which no child lives in poverty.

The First Minister said: “The eradication of child poverty is my government’s number one priority, and I want it also to become our nation’s number one goal.

“The cornerstone of our approach is investment in more dignified and generous social security support.

“It includes the resources we need to build the systems that will allow us to effectively remove the two child cap for families in Scotland.

“I can offer two guarantees today. Firstly, if we are able to safely get the systems up and running in this coming year, the first payments will be made in this coming year – helping to lift thousands more children out of poverty.

“And secondly, if the UK government does the right thing and abolishes the two-child cap across the UK, the resources we have committed to this policy will continue to be used on measures to eradicate child poverty in Scotland.”

Vision for eradicating child poverty in Scotland: First Minister’s speech – 15 January 2025 – gov.scot

CPAG, the Child Poverty Action Group, estimates that mitigating the two-child limit in Scotland could lift around 15,000 children out of poverty: 

https://cpag.org.uk/sites/default/files/2024-12/Cost_of_a_Child_Scotland_2024.pdf

The Scottish Fiscal Commission has also published estimates of the number of children in Scotland impacted by the two-child limit this year, and who would benefit from mitigation were it to commence in 2026-27 (39,000 in 2025-26, rising to 42,000 in 2026-27. 

Mitigating the two-child limit and the Scottish Budget | Scottish Fiscal Commission.

Green MSP calls for drug consumption rooms in nation’s Capital

Scotland’s first legal drug consumption room in Glasgow is a “crucial milestone” and a “big step forward” in tackling drug misuse in Scotland, but it’s only the beginning, says Green MSP for Lothian LORNA SLATER.

At the new Thistle unit, those with medical training operate the facility and can intervene should something go wrong for a user, as well as providing support and advice for people who are giving up drugs.

There are health rooms where treatments are available too, for testing for diseases or having wounds checked and cleaned. The facility also has a recovery area, a shower room and a clothing and book bank.

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Ms Slater said: “Stigmatising and shunning drug users is wrong, and it does not work. It has contributed to Scotland having the highest number of drug deaths in Europe. Instead, we should be supporting people through addiction and treating them as the human beings they are.

“Safe consumption rooms alone will not solve all the issues associated with drug addiction and misuse. To start to truly tackle the crisis we also need to address poverty and inequality and invest in rehab services, mental health provision and safe housing.

“I urge all related bodies to learn from Glasgow’s experiences and look to implement a service in Edinburgh that remains non-judgemental, supportive, and focused on harm reduction. We need this and other measures quickly.”

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The City of Edinburgh Council has previously published a report that looks at opening a drug consumption room in the city after months of delay. The latest feasibility study can be found here: 

https://harmreductionjournal.biomedcentral.com/articles/10.1186/s12954-024-01144-1press@scottishgreens.org.uk