Tag: UK Government

Largest ever cash boost to turn the tide on homelessness in England

Councils across England will receive almost £1 billion of new funding next year to tackle, reduce and prevent homelessness

  • Almost £1 billion of new funding next year to tackle and prevent homelessness for councils in England
  • Historic levels of investment in homelessness prevention services alongside new money to help rough sleepers off the street
  • Supporting the government’s Plan for Change to address unprecedented pressure on housing supply

More people will be prevented from becoming homeless with the largest-ever investment in homelessness prevention services, thanks to swift government action to get the country back on track to tackle, reduce and prevent homelessness and rough sleeping. 

Nearly £1 billion is being pumped into council budgets to help break the cycle of spiralling homelessness. More resources will be available for workers on the frontline who provide essential services to get rough sleepers off the street and into secure housing as well as seeing more homeless families out of temporary accommodation.  

Councils will now be better equipped to step in early to stop households becoming homeless in the first place. This includes mediation with landlords or families to prevent evictions, help find new homes, and deposits to access private renting. 

Local areas can also choose to channel resources into services including Housing First, which prioritises access to secure housing for people with histories of repeat homelessness and multiple disadvantage including drug and alcohol abuse. This will secure critical outreach staff to provide specialist services to help address substance abuse and offer life skills to widen employment opportunities.   

This is alongside councils being able to continue funding that offers tailored support for prison leavers to access private rented homes and locally run programmes with new education and employment opportunities, as well as support groups to avoid them facing homelessness and readjust to life on the outside.  

With the worst housing crisis in living memory, around 40% of homeless families are living in B&Bs or nightly-let accommodation, and the use of this emergency accommodation has doubled in three years. Many of these places lack basic facilities, leaving parents struggling to cook healthy meals for their children while councils bear the mounting financial strain.  

Successive years of failure to invest in local preventative services has seen far too many homeless families forced into temporary accommodation for far too long, with a record number of 123,100 households including almost 160,000 children. 

Deputy Prime Minister and Secretary of State for Housing, Angela Rayner said: “Too many people have been failed by the system time and again.160,000 children face spending this Christmas without a stable place to call home. I am determined to break the cycle of spiralling homelessness and get back on track to ending it for good.

“This largest-ever investment marks a turning point, giving councils the tools they need to act quickly and put in place support for people to tackle, reduce and prevent homelessness. It’s time to turn the tide.

“This historic funding comes alongside our work developing a cross-government strategy back on track to end homelessness, pulling every lever of the state, to ensure that we deliver not just sticking plasters but a long-term plan.

“Through our Plan for Change I am determined to tackle the housing crisis we inherited head on, building the homes we need, delivering the biggest boost in social and affordable housing in a generation and ending no fault evictions.

Minister for Homelessness, Rushanara Ali said: “We have inherited the worst housing crisis in living memory that has left far too many families trapped in temporary accommodation with no end in sight and soaring numbers of people sleeping rough on our streets.

“This is the dire legacy we have inherited as a government, and we are fully determined to take immediate action. Our funding will not only support councils delivering vital services that meet the needs of their communities but also pave the way for our long-term plan to get us back on track to end homelessness once and for all.” 

A new dedicated Inter-Ministerial Group, chaired by the Deputy Prime Minister, brings together ministers from across government to develop a long-term strategy working with mayors and councils across the country to get back on track to ending homelessness once and for all.

Next year’s funding will deliver three important steps in the UK government’s long-term plan to tackle homelessness:

  • stopping households becoming homeless in the first place
  • addressing the growing use of B&Bs and nightly-let accommodation
  • streamlining funding structures to make it easier for councils to spend their cash.  

The full breakdown of new funding includes the following:  

  • Over £633 million for the Homelessness Prevention Grant, a £192 million increase from this year, supporting councils to prevent homelessness and provide temporary accommodation where required for families who recently became homeless, for example, through eviction or fleeing domestic violence. This is allocated based on local pressures.  
  • £185.6 million for the Rough Sleeping Prevention and Recovery Grant, consolidating the main rough sleeping and single homelessness focused grants into a single pot of money. This means councils can better prioritise when providing warm beds and shelter for people at risk, or experiencing, rough sleeping. 
  • More than £37 million for the Rough Sleeping Accommodation Programme, providing ongoing support costs to help rough sleepers into longer term accommodation alongside specialist staff supporting their mental health and substance abuse problems to pave the way for job opportunities. 
  • £58.7 million for the Rough Sleeping Drug and Alcohol Treatment Grant to continue supporting evidence-based drug and alcohol treatment as well as providing wrap-around support staff who offer child-focused, family-centred, mental health programmes. 
  • £10 million to the Changing Futures Programmes which offers long-term support for adults experiencing multiple disadvantage, including combinations of homelessness, substance misuse, mental health, domestic abuse. 
  • £7.6 million for Sector Support grants that will strengthen the capacity the voluntary sector with more staff, including StreetLink that encourages people to notify their authority if they’ve seen someone sleeping rough and what local services are available to provide immediate help into emergency accommodation. 
  • £5 million for Emergency Accommodation Reduction Pilots, to work with 20 local councils with the highest use of Bed and Breakfast accommodation for homeless families to put in place specialised plans to reduce the use of emergency accommodation, including B&Bs. 

Local Government Association housing spokesperson, Cllr Adam Hug said: “Homelessness is one the biggest and most urgent pressures facing councils as more and more people are turning to their local council for support.

“A record number of households are in temporary accommodation – this represents a personal tragedy for each one, as well as a significant cost for councils struggling to source temporary accommodation.

“Preventing people from becoming homeless in the first place is both humane and cost-effective. The new funding announced today will be a great help to councils as they seek to end homelessness, and will help to relieve some of the financial burden they are under.

“We look forward to collaborating with the Government as they develop their cross-government homelessness strategy. To be most effective, this will need to set out national commitments from each government department, monitor and report departments’ contributions, and ensure that local partners contribute to prevention activity and targets through local homelessness strategies.”

Chief Executive of Crisis, Matt Downie said: ““With homelessness at record levels, we’re delighted to see the government taking action to ensure councils have the necessary funding and the ability to use innovative approaches to tackle this crisis.

“Through our services we see the devastating impact being without a safe home has on people’s health, relationships and life chances. No one should have to spend their nights moving between night buses and no child should grow up in a B&B with nowhere to play or do their homework.

“We look forward to working with the government to deliver a bold and ambitious cross-departmental strategy to end all forms of homelessness, alongside delivering the levels of social homes needed to ensure everyone has a safe place to call home.” 

Chief Executive of St Mungo’s, Emma Haddad said: ““We welcome the Government’s announcement that it will be investing nearly £1 billion funding for councils next year to tackle homelessness and rough sleeping.

“Earlier this year St Mungo’s, working with partner organisations and supporters, called on the Government to extend its funding for rough sleeping services. This vital funding had been due to end in March 2025, despite the number of people sleeping rough at a record high.

“We are pleased to be working with the Government on developing its new strategy to end homelessness for good. Crucially funding for homelessness and rough sleeping needs to be a long term commitment to support the delivery of strategic and joined up services, alongside a focus on prevention.”

This funding is just one element of the government’s Plan for Change to fix the housing crisis, strengthen protections and rights for tenants, and deliver the biggest increase in social and affordable housebuilding in a generation. 

Section 21 ‘no fault’ evictions, one of the leading causes of homelessness, will be abolished as part of the landmark Renters’ Rights Bill. This will give greater security to new and existing tenancies and empower tenants to rightly challenge poor conditions. 

Last week the government published a new growth focused National Planning Policy Framework as part of the Plan for Change, giving councils greater powers to build more social homes alongside vital infrastructure such as GP surgeries, schools and shops.  

This supports the ambition to deliver the biggest increase in social and affordable housing in a generation, with an extra £500 million for the Affordable Homes Programme to build tens of thousands of affordable homes across the country.  

The government is also bringing forward overdue reforms to the Right to Buy scheme to reverse the decline in much needed council housing and better protect existing housing stock. Decisive action has already been taken to reduce maximum discounts and allow councils to retain all receipts from sales to scale up delivery to meet future housing need.  

Councils already have greater flexibility to use Right to Buy receipts to build and buy more homes as well as an additional £450 million to secure and create homes for families at risk of homelessness.

This announcement comes as the government prepares to publish its provisional Local Government Financial Settlement before the end of the year.

Economic inactivity in England set to be tackled with health funding boost

People with back, joint, and muscle issues living in areas with the worst waiting lists for musculoskeletal (MSK) conditions are set to be treated quicker and supported back into employment as the Government ‘gets Britain working’.

  • £3.5million funding boost to be shared by 17 NHS areas to trial innovative ways to treat musculoskeletal conditions (MSK) 
  • 646,000 people off work with MSK conditions – around 1 in 4 of the record 2.8 million people on long-term sickness benefits  
  • Funding is part of the Government’s Plan for Change to deliver growth, put more money in people’s pockets, and get the NHS back on its feet

As part of the Government’s drive to tackle economic inactivity – where someone is out of work and not looking for work – 17 Integrated Care Boards (ICBs) across England will share part of a £3.5million package to improve MSK services.  

The funding will see each area receive up to £300,000 to treat one of the main drivers of economic inactivity, and is part of the Government’s Plan for Change which will put more money into people’s pockets and get the NHS back on its feet. 

The MSK Community Delivery Programme will be administered through NHS England’s Getting it Right First Time (GIRFT) programme, and will give ICBs the resources and leadership to develop more efficient ways of getting MSK patients treated, off waiting lists and back onto the path of employment. 

Minister for Employment, Alison McGovern MP, said: “For too long people locked out of work with health issues have been forgotten about and denied the support they need to get well and get working.  

“It’s stifling our economy and preventing those eager to progress in life from unleashing their full potential.  

“This multi-million-pound funding boost means musculoskeletal patients across the country will get the help they need, as we give clinical leaders the resources to innovate, get people off waiting lists and get Britain working again.”

There are 2.8million people economically inactive due to long-term health and MSK is the second largest reason given, behind mental health. Around 646,000 people – around 1 in 4 (23%) – said MSK was their primary condition.  

Waiting lists for MSK community services are the highest of all community waits in England, at 348,799 people in September 2024, with approximately 23.4 million working days in the UK being lost due to MSK conditions in 2022 alone.  

Minister for Public Health and Prevention, Andrew Gwynne, said: “With prevention, early detection and treatment, we know that the 17 million people with musculoskeletal issues in England could better manage their conditions, improving their quality of life and enabling them to rejoin the workforce. 

“Through the Plan for Change, the government is taking decisive action to drive down waiting lists, improve treatment options and boost the economy.”

Several of the 17 ICB locations spearheading the delivery of this programme also host NHS England’s Further Faster 20 programme and the Government’s recently announced WorkWell programme – meaning people with MSK conditions will benefit from an amalgamated approach of reduced waiting lists combined with intensive and bespoke employment support. 

Professor Tim Briggs, NHS England’s National Director of Clinical Improvement and Elective Recovery and Chair of the Getting it Right First Time programme, said: “The NHS has a proven record of spearheading improvements through the Getting it Right First Time Programme and this initiative could make a real difference to people with MSK conditions– providing them with the care they need and helping them to return to work. 

“Local health systems will be able to assess their current services and share examples of best practice to roll out innovative ways of working, as well as improving data on how services are performing.”

Deborah Alsina MBE, Chief Executive of Versus Arthritis, said: “With over 20 million people living with musculoskeletal conditions, including 10 million with arthritis, Versus Arthritis understands the devastating impact these conditions can have on working lives. 

“Arthritis can cause debilitating pain, joint stiffness and prevent people doing everyday tasks, with work sometimes made to feel an impossible challenge. 

“MSK Community Services can be an invaluable resource for people with arthritis, and we are delighted to see the launch of this programme in dedicated sites across England, and in the future across the whole country.”

The Government announced the launch of the Get Britain Working White Paper in November as part of the biggest reforms to employment support for a generation, bringing together skills and health to get more people into work and get on in work. 

Government approves Royal Mail takeover by Czech billionaire

UK Government reaches legally binding agreement with EP Group that protects Royal Mail’s workers and key services whilst keeping it headquartered in the UK

  • Business Secretary reaches agreement with Royal Mail’s prospective new owners after in latest example of government working hand in hand with private sector to improve crucial public services.   
  • Agreement backs Government’s Plan for Change, creating the strong foundations needed in Britian’s supply chain to kickstart economic growth and deliver for workers.  
  • Deal protects workers and key services whilst seeing Royal Mail continue to be headquartered in Britain, securing jobs and tax receipts in the UK.  

The Business Secretary, Jonathan Reynolds, has today [16 December] received legally binding commitments from Royal Mail bidder Daniel Křetínský that are intended to secure the long-term, sustainable future of Royal Mail whilst protecting crucial services for millions of customers across the UK.  

This significant agreement, between the Department for Business and Trade and Daniel Křetínský’s EP Group, contains commitments that protect, and secure investment in, Royal Mail’s postal network which is important to everyone from small business owners in Southampton to online shoppers in Shetland.  

These commitments deliver on the Government’s Plan for Change, kickstarting economic growth by providing stability to a national institution that strengthens the foundations of Britain’s domestic supply chain and delivers better public services to people across the whole country. 

Business Secretary Jonathan Reynolds said: “For too many years progress on securing a stable future at Royal Mail has stalled, but from day one we have been committed to providing a secure future for thousands of workers and customers. 

“Today’s agreement is yet another example of this Government’s commitment to working hand in hand with business to generate reform give respite to people right across the UK, as we are working towards ensuring a financially stable Royal Mail with protected links between communities other providers can’t reach.

“I’d like to thank EP Group and Daniel Křetínský for their constructive approach to our discussions and their commitment to protecting this national icon. I look forward to working with them to fix the foundations and ensure Royal Mail continues to deliver for the communities and businesses who rely on it most.”

Recognising the importance of Royal Mail as an iconic national institution, the government has negotiated a ‘Golden Share’ which will ensure that, with very limited exception, the headquarters of Royal Mail cannot be moved abroad and that Royal Mail cannot change where it pays its taxes, in either case without UK government approval.   

These restrictions will apply to any future owners of Royal Mail and, alongside other commitments to the brand and cypher, secure Royal Mail’s identity as an iconic British institution whilst also allowing it to operate as a fully private company without day-to-day government interference.  

EP Group have also committed to honour any new agreements entered into with the postal unions, recognising that workers should be placed at the heart of a sustainable Royal Mail.   

After months of constructive engagement, these legally binding commitments were voluntarily offered by EP Group in recognition of the significant contribution that Royal Mail makes to Britain’s national identity and the importance that it has in everyday life in the UK.   

EP Group Chairman Daniel Křetínský said: “EP Group is very pleased to have reached this historic agreement with the Business Secretary to safeguard the future of Royal Mail, under EP Group ownership.   

“We would like to thank the Business Secretary for the constructive negotiations that have resulted in unprecedented commitments and undertakings that demonstrate the high regard EP Group has for Royal Mail as an institution, the service it provides to millions of UK homes and businesses, and Royal Mail employees.  

“EP Group is a long term and committed investor with a mission to make Royal Mail a successful modern postal operator with high quality service and products for its customers. We look forward to delivering on this mission alongside our partners in government.”

Millions of small businesses and consumers across the country rely on Royal Mail for everything from magazines to medicine deliveries, which is why protecting its future following any takeover is critical.   

The commitment we have offered include significant financial safeguards including assurances around financial investment and restrictions on value extraction linked to the financial strength of the Royal Mail business and the achievement of specific service level standards.  

Today EP Group has also announced that it has reached negotiators’ agreements with the unions representing Royal Mail’s workforce.

The Government welcomes the negotiators’ agreement and is confident that the constructive and collaborrative approach between the unions and the buyer can represent a restart for Royal Mail. 

Postal Services Minister Justin Madders said: “We have agreed these commitments with EP Group with the intention of securing the best outcome possible for Royal Mail’s customers, incentivising high performance and protecting the important services communities rely on.  

“Royal Mail’s workers will also play a crucial role in getting the company back on track, and I’m pleased that EP Group and the CWU have worked quickly to reach an agreement on their part in the takeover. 

“A sustainable Royal Mail is a successful Royal Mail, and through this agreement we’re paving the way towards a brighter future where it can be a source of national pride once again.”

Communication Workers Union General Secretary Dave Ward said: “We are pleased to have reached a negotiators settlement with EP Group covering crucial areas such as job security, the governance of the company, a meaningful stake in the business for employees, restoring quality of service, legally binding commitments and improving the terms and conditions of our members. 

“This agreement provides the foundation to rebuild Royal Mail. These have been challenging negotiations but through the support of our members we have delivered what by any measure is a groundbreaking agreement which puts postal workers and customers back at heart of everything Royal Mail does.”

ROYAL MAIL GROUP TAKEOVER BID – NEGOTIATORS AGREEMENT REACHED BETWEEN CWU AND EP GROUP

Dear Colleagues 

Further to last week’s national briefing, CWU branches, reps and members would have seen this morning’s announcements setting out that EP Group and the government have reached agreement on a deed of undertaking, which contains legally binding guarantees from EP Group over the future of Royal Mail. 

In light of this development, CWU is pleased to announce that we have reached a groundbreaking negotiators agreement with EP Group, subject to ratification by our Postal Executive. 

The key parts of the agreement covers:

•Job security commitments and new legally binding commitments to employees 

•Agreed principles on resolving a range of outstanding issues 

•The introduction of a radical new governance and business model

•A meaningful stake in the business for employees

•Restoring quality of service •improving the terms and conditions of our members.

•A commitment to a new plan to grow the business

•A complete re-set in employee and industrial relations. 

Ultimately the CWU will always campaign for Royal Mail to be returned to public ownership – but the reality is once it became clear the government would support this takeover – our role as a trade union was to do everything possible to protect our members.

Whilst many will fear Royal Mail falling into the hands of a foreign equity investor, the truth is every postal worker knows the status quo is what will kill off postal services in the UK.  The Royal Mail Group Board have been running the company into the ground over a sustained period and in the process have completely alienated their own workforce. It is time for a fresh start and a complete re-set of employee and industrial relations.

At this stage, the transaction is not completed and still has some formal stages to go through which include:

•Clearance under the national security act

•Clearance under European regulations

•Shareholders vote

It is likely that all of these processes will be cleared in the first quarter of 2025. 

NEXT STEPS FOR CWU

Subject to the document being cleared by our Postal Executive, we will be putting together a comprehensive engagement package this week including briefings for our branches, reps and members. 

We will issue further updates in due course. 

Yours sincerely,

Dave Ward  General Secretary 

Martin Walsh  Deputy General Secretary

Planning proposals get Britain building and turn the tide on nature’s decline

A new approach to development and the environment will boost the number of homes being built

  • Measures will create a ‘win-win’ for nature and the economy, accelerating economic and environmental growth. 
  • Rules will focus on driving up environmental outcomes over rigid processes that block and delay development, with developers able to pay into a fund for improvements to nature as a quicker and simpler way of meeting their environmental obligations.

Measures to turbocharge housebuilding have been set out (15 December) as part of wider proposals for the forthcoming Planning and Infrastructure Bill.  The Bill will play a key role in promoting economic growth, unlocking a new scale of delivery for housing and infrastructure. 

Common sense changes to environmental rules will support the Government’s commitment to build 1.5 million homes and advance 150 major infrastructure project decisions, while also helping halt and reverse the decline of species and natural habitats. 

A new Nature Restoration Fund would enable developers to meet their environmental obligations more quickly and with greater impact – accelerating the building of homes and improving the environment.

Currently developers may need to secure mitigation for environmental harm before being granted planning permission.

This adds cost, delays and can entirely block the housing and infrastructure our country needs – with rules too focused on preserving the status quo instead of supporting growth and charting a course to nature recovery.

Under these reforms, developers will instead be able to pay into the fund allowing building to proceed immediately – quicker, simpler, and more certain that the broken status quo.

A delivery body, such as Natural England, will then take responsibility for securing positive environmental outcomes, for example, delivering a reduction in nutrient pollution affecting the water environment or securing habitats to increase the population of a protected species.

This represents a shift away from a broken system which has stifled development, growth and nature recovery for far too long – failing communities and the environment. 

Deputy Prime Minister and Secretary of State for Housing, Angela Rayner said: “Getting Britain building means stripping away unnecessary barriers to growth to deliver the homes that we so desperately need.

“For years, vital housing and infrastructure projects have been tied up in red tape leaving communities without the homes, infrastructure and jobs they need.

“Our Plan for Change will put an end to the status quo while restoring nature.  It’s win-win for development and our environment, including targeted reforms allowing us to use the economic benefits of growth to fund tangible and targeted action for nature’s recovery.”

Environment Secretary Steve Reed said: “We were elected on a mandate to get Britain building again and protect nature.

“But the status quo is blocking the building of homes and failing to protect the environment.

“These reforms will allow tens of thousands of homes to be built while protecting the natural environment we all depend on.”   

The proposals set out three steps the government will take to help developers get building while delivering their environmental obligations in a more sensible and strategic way.

This approach will mean developers don’t have to pay for individual site level assessments for the matters covered by the Nature Restoration Fund – which adds cost and delay – and will no longer have to deliver mitigation needed.

A single payment will enable development to proceed. A delivery body will then take the actions needed to drive nature recovery at a strategic, not site-by-site, scale:  

  • Government will lead a single strategic assessment and delivery plan for an area – not an individual site – which will allow decisions to be made at an appropriate geographic scale. The current process is uncertain and costly, with assessments on issues such as nutrient neutrality requiring bespoke calculations and significant technical expertise at the level of each individual project. This also misses the opportunity to support the best outcomes for nature. 
  • A public delivery body will consider which actions are needed to address the environmental impact of development across an appropriate area and determine how much developers will pay into the Nature Restoration Fund. The delivery body will secure the actions funded by developers, removing the need for actions to be taken on a case by case basis. 
  • Contributions will be secured from developers to fully fund nature recovery actions. This would enable developers to meet certain environmental obligations through a single payment into the Nature Restoration Fund – which would streamline the process and maximise the impact of money spent on nature by directing it to real world action instead of paperwork and process.

The proposals are set out in a working paper, which seeks views from stakeholders including communities, housing and clean power developers, nature service providers and local authorities. Feedback from the working paper will inform the next stage of policy development.  

Tony Juniper, Chair of Natural England, said: “It is evident that we need to take urgent action to address the worsening decline of nature, and we must also lean into the challenges posed by housing shortages.

“We will continue to work with the Government to help deliver their plans – but the two key issues of today, nature and economic recovery, should not be pitted against one another, as we step up efforts to avoid losing what protected remnants of nature remain while also restoring some of what has gone. 

“Instead, we should consider the huge opportunities which can be unlocked through better strategic planning which considers environmental improvements, economic development and green spaces for public enjoyment on a landscape scale.” 

Commenting on the National Planning Policy Framework, countryside charity CPRE chief executive Roger Mortlock said: “‘The broken housebuilding market is to blame for the painfully slow delivery of much-needed new homes. When big housebuilders deliberately limit the supply of new homes to maximise their profits, supercharging the current system will not lead to the change the government is looking for.  

‘The government’s plans risk a huge hike in the number of unaffordable, car-dependent homes. Building on England’s 1.2 million shovel-ready brownfield sites would do far more to unlock growth, regenerate communities and provide sustainable, genuinely affordable new homes. 

‘We welcome the commitment to local plans and affordable homes. However, local authorities responsible for delivering new homes will be swamped with speculative applications on high-quality Green Belt and farmland. Inevitably, many of these will be approved to meet nationally imposed targets.  

‘The ‘grey belt’ policy needs to be much more clearly defined and exclude working farms. It will undermine the Green Belt, one of this country’s most successful spatial protections with huge potential to help address the climate and nature emergencies.  

‘There’s some hope ahead with plans for a strategy that covers all our use of land. Longer-term commitments to build genuinely affordable and better designed homes are welcome too. Until then,, our countryside will remain needlessly under threat.’

The government would use the Planning and Infrastructure Bill to introduce legislative changes to drive action at a strategic level which will provide certainty for both developers and the environment.

This will also establish a more efficient and effective way for Habitats Regulations and other environmental obligations to be discharged, pooling individual contributions to deliver the strategic interventions necessary to drive nature recovery.  

£2 billion potential boost to growth as UK joins major trade group

The UK has today officially joined CPTPP as a fully-fledged member, potentially boosting the UK economy by £2 billion a year in the long run

  • UK today becomes first European nation to accede to CPTPP, a major trade bloc in the Indo-Pacific which includes countries like Japan, Vietnam, Peru, Chile and Malaysia
  • UK membership grows CPTPP’s GDP to £12 trillion and creates opportunities for businesses, potentially boosting the economy by £2 billion a year in the long run
  • This comes as an immediate step to support the Government’s Plan for Change by delivering growth and putting more money in people’s pockets

The UK has today [15 December] officially joined the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) as a fully-fledged member, potentially boosting the UK economy by £2 billion a year in the long run.

CPTPP is a major trade bloc whose members – Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, Vietnam, and now the UK – have a combined GDP of £12 trillion.

The UK’s accession is estimated to benefit all UK nations and regions in the long run, relative to 2019 values, with boosts of £240 million for Scotland, £110 million for Wales, and £70 million for Northern Ireland. All English regions are also estimated to gain, including £450 million for the South East and £310 million for the North West.

From today businesses across the country will face lower tariffs and fewer barriers when selling to economies across three continents, with the financial services, manufacturing and food and drink sectors in particular set to benefit, helping to support the Government’s Plan for Change by boosting household wages by £1 billion every year and delivering on one of the five missions of kickstarting economic growth.

Business and Trade Secretary Jonathan Reynolds said: “Britain is uniquely placed to take advantage of exciting new markets, while strengthening existing relationships. Today’s news is further proof that the UK is a wonderful place to do business, with an open, outward looking economy driving the growth people can feel in their communities.

“Agreements like this boost trade and create opportunities for UK companies abroad. This is a proven way to support jobs, raise wages, and drive investment across the country which is key to this Government’s mission to deliver economic growth.

“Our Trade Strategy, published next year, will finally put in place a long-term, strategic plan for international trade that helps businesses and consumers and, ultimately, grows the economy.”

CPTPP is designed to expand over time, further growing the economic and strategic benefits of the agreement. Costa Rica was recently announced as the next country to go through the process of joining, and other economies such as Indonesia  – the largest economy in Southeast Asia, with a GDP of over £1 trillion and home to around 280 million people in 2023 – have already expressed an eagerness to join the bloc.

CEO of HSBC UK Ian Stuart said: “Being part of the CPTPP signals that the UK is open for business with some of the world’s most exciting growth markets. Since the announcement of the UK’s accession in July 2023, we have seen an increase in payments between the CPTPP markets and the UK, and we expect this growth to continue.

“As the world’s leading trade bank, with deep roots across many CPTPP countries, we are well-positioned to connect UK businesses with growth opportunities in markets such as Japan, Singapore, New Zealand, Vietnam, Malaysia, and Australia.”

Chairman and CEO of Chivas Brothers Jean-Etienne Gourgues said: “At a time of increasing barriers to trade globally, the UK’s accession to the CPTPP is welcome news for Chivas Brothers Scotch whisky business. 

“Improved access to markets in dynamic regions like South East Asia and Latin America in a trading bloc which covers almost a fifth of the total value of Scotch whisky exports should help boost our £1BN annual exports.”

Chief Executive Officer of Scalerr Matthew Borthwick said: “International expansion isn’t just for the big businesses out there. Due to agreements like the CPTPP, UK SMEs will also benefit, making it easier to trade with CPTPP countries.

“As a tech scale-up consultancy with customers across the world, we at Scalerr welcome the support the CPTPP will provide by reducing costs, easing administrative burdens, and facilitating international trade.”

Sectors like automotive and food and drink will be able to benefit from CPTPP membership, including through modern “rules of origin” provisions which allow goods to qualify for lower tariffs when built from parts from CPTPP countries then exported to a CPTPP country. For example, a UK car engine manufacturer using components from other CPTPP countries could more easily qualify for lower tariffs when exporting the final engine within CPTPP.

UK services firms, which employ over 80% of our workforce, could also find it easier to export their services to CPTPP countries, with firms allowed to manage funds across the world from the UK and provide services to CPTPP markets on a level playing field with domestic firms in key sectors.

Prices on consumer goods could also fall if savings are passed on by importers, with tariffs removed on items like fruit juices from Peru and vacuum cleaners from Malaysia.

Through CPTPP, the UK now has free trade deals with Malaysia and Brunei for the first time, economies with a combined GDP of over £330 billion last year.

CPTPP’s entry into force comes as the UK edges closer to securing trade deals with partners such as the Gulf Cooperation Council, India, Switzerland and South Korea. These form one half of this government’s twin-track approach to trade which seeks to reset our relationship with the EU at the same time as striking new trade deals.

Chancellor: Every pound spent will deliver Plan for Change

  • Prime Minister’s Plan for Change at heart of Spending Review, which will drive reform and root out waste.
  • Every pound of government spending to be interrogated to ensure it represents value for money for working people. 
  • External experts will scrutinise budgets, bringing ideas, expertise and innovation of the private sector into the heart of government.

Government departments will be expected to find savings and efficiencies in their budgets, in a push to drive out waste in the public sector and ensure all funding is focused on the government’s priorities.

Every single pound the government spends will be subjected to a line-by-line review to make sure it’s being spent to deliver the Plan for Change and that it is value for money, as the Chancellor Rachel Reeves yesterday (Tuesday 10 December) launched the next round of government spending.

It will be the first time in over a decade and a half that government departments have been asked to take such an approach, with what’s called a “zero-based review” last undertaken 17 years ago.

Rachel Reeves will today begin her work with government departments and reiterate that they cannot operate in a business-as-usual way when reviewing their budgets for the coming years, as the new government continues to fix the foundations after inheriting a £22bn black hole, alongside crumbling public services and damaged public finances.  

Secretaries of State across government will need to allocate their budgets to ensure that government spending is focused on the Prime Minister’s Plan for Change, and that every pound of taxpayers’ money is spent well. The Chancellor will work with departments to prioritise spending that supports the milestones to deliver the Plan.

This includes boosting growth to put more money in working people’s pockets, fixing the NHS, creating safer streets, making Britain a clean energy super-power and giving every child the best start in life while strengthening our borders, national security and the economy.

Chancellor of the Exchequer Rachel Reeves said: “By totally rewiring how the government spends money we will be able to deliver our Plan for Change and focus on what matters for working people. The previous government allowed millions of pounds of taxpayers’ money to go to waste on poor value for money projects. We will not tolerate it; I said I would have an iron grip on the public finances and that means taking an iron fist against waste. 

“By reforming our public services, we will ensure they are up to scratch for modern day demands, saving money and delivering better services for people across the country. That’s why we will inspect every pound of government spend, so that it goes to the right places and we put an end to all waste.”

The Prime Minister has been clear that public services must reform if they are to be put on a sustainable footing in the long-term, so that outcomes can be improved for people who depend on services every day. 

Yesterday’s announcement builds on the Chancellor of the Duchy of Lancaster yesterday launching a £100 million fund to pioneer public service reform and deliver the Government’s Plan for Change, by deploying new test-and-learn teams into public services across the country.

They will be empowered to experiment and innovate to fix the public sector’s biggest challenges, working towards the Government’s ambitious and far-reaching reform programme that will seek to break down Whitehall silos and galvanise government as it seeks to deliver the Plan for Change.

Departments will ensure budgets are scrutinised by challenge panels of external experts including former senior management of Lloyd’s Banking Group, Barclays Bank and the Co-operative Group. Panels will bring an independent view to what government spend is or isn’t necessary, with a mixture of expertise from local delivery partners, think tanks, academic experts and private sector backgrounds.

In letters sent by the Chief Secretary to the Treasury, departments will be advised that where spending is not contributing to a priority, it should be stopped. Although some of these decisions will be difficult, the Chancellor is clear that the public must have trust in the government that it is rooting out waste and that their taxes are being spent on their priorities.

Work has already begun on evaluating poor value for money spend, with an evaluation into the £6.5m spent on Social Workers in Schools programme, which placed social workers in schools, finding no evidence of positive impact on social care outcomes, meaning the intervention was not considered cost-effective.

The Government has made clear it will not shy away from taking the difficult decisions needed to fix the foundations, as shown by the Chancellor’s decisions at the Budget to balance the books.

Departments will be expected to work closely together to identify how their work contributes to the Government’s missions, meeting in mission clusters throughout the process to agree priorities and links. 

Throughout this process, the ideas, expertise and innovation of the private sector will be sought out and brought right into the heart of government. 

An online portal will also be launched to give businesses the opportunity to put forward policy proposals for the Spending Review, including on how government can deliver public services more efficiently or effectively. These representations will be collated and shared with departments for consideration in their submissions.

Online giants to pay their fair share for electrical waste

Online marketplaces and vape producers to pay for recycling and cleaning up of household electrical waste

Online marketplaces and vape producers will soon be paying their fair share towards the cost of recycling waste electricals, from toasters to vapes and hair curlers, levelling the playing field for UK retailers, Circular Economy Minister Mary Creagh has announced.

Ensuring large online retailers pay their fair share is fairer for UK businesses who already pay to cover the costs of recycling. It comes as the government delivers on its Plan for Change, and reflects a further step in the government’s mission to boost growth.

The changes will also help fund recycling services and kick-start the country on the road to a circular economy, which is a priority for the Government. 

Before now, UK-based firms were shouldering the majority of costs around collection and processing of electronic waste and operating at a disadvantage. With 100,000 tonnes of household electricals binned every year, the changes will for the first time make sure the burden of these costs does not unduly fall on UK based retailers compared to their online rivals.

Waste electricals are difficult to recycle – and represent a huge drain on resources, when they are not collected separately. Valuable metals – such as copper – are chucked away needlessly, while electrical components and chemicals can pose a health and safety risk to the waste industry. 

In conjunction with this government’s wider actions to tackle waste and end the throwaway society, today’s announcement will help to ensure that businesses take responsibility for the huge quantities of waste that might otherwise end up being littered or fly-tipped, and support our efforts to protect the environment. 

Circular Economy Minister Mary Creagh said: “Electrical equipment like vapes are being sold in the UK by producers who are failing to pay their fair share when recycling and reusing of dealing with old or broken items. 

“Today we’re ending this: creating a level playing field for all producers of electronics, to ensure fairness and fund the cost of the treatment of waste electricals.   

“As part of our Plan for Change, we are helping UK businesses compete and grow, and we continue to get more households recycling, cracking down on waste and ending the throwaway society.”

Alex Baldock, CEO at Currys, said: “We believe that if you sell something, this comes with a commitment to help keep it working, and then to recycle it responsibly when it reaches the end of its life. We continue to do everything we can to give tech a longer life, but there are many who don’t.

“We welcome the Government’s new measures to help level the playing field for responsibility for waste, making online marketplaces do their part. Low value, low quality and unsustainable tech is piling up in landfills, and it’s good to see Government doing something to tackle that.

“We’ll continue to work with them to help ensure our industry performs its important role in helping protect our planet and be a force for good.

Scott Butler, Executive Director at Material Focus, said: “We welcome the Government’s vital new reforms to the waste electrical regulations.  FastTech items such as vapes, have swamped the UK market, with half a billion items bought in the past year alone. These small, cheap and too easily thrown away items contain valuable materials such as copper, gold, and lithium which are lost forever and could instead power our tech future. 

“These changes to regulations will mean that online marketplaces, many of which are selling FastTech and other electricals, must take on their producer responsibilities and contribute their share of the costs of recycling them.

“Creating a separate category for vapes also means that those who have been profiting from the boom in their sales can be held responsible for providing public takeback, communications and most importantly pay for recycling them.”

Research from Material Focus estimates that British households incorrectly throw away over 100,000 tonnes of smaller household electrical items, such as kettles and lamps, every year. In addition, an estimated 880 million unwanted items containing valuable commodities such as gold and platinum, are abandoned or ignored in the back of the UK’s cupboards and drawers. 

Under the plans, online marketplaces will need to register with the Environment Agency and report data on UK sales of their overseas sellers. This data will be used to calculate the financial contribution the online marketplace will make towards the costs of collection and treatment of waste electricals that are collected by local authorities and returned to retailers.  The cost of that annual registration will be subject to a consultation led by the Environment Agency. 

A new category of electrical equipment for vapes will also be introduced to ensure that the costs of collecting and treating vapes fall fairly on those who produce them.   

Material Focus found almost 5 million vapes are either littered or thrown away in general waste every week in the UK. Vapes are rarely designed with the end of life in mind and are difficult and time consuming to recycle, a cost that is not always being borne by those who produce them.  

Acting on these important issues now will help address unfairness and deliver on our commitment to kick-start the push towards a circular economy.   

UK Government action to end the throwaway society

To further deliver this, the UK Government has formed a Circular Economy Taskforce, comprising of members from industry, academia, and civil society across the UK. They will lead on the development of a Circular Economy Strategy for England, which will be published next year outlining how individual sectors can contribute to ambitions in this area.   

This is alongside plans to move forward with the implementation of the deposit return scheme for drinks containers and extended producer responsibility for packaging that will end the nation’s throwaway culture and stop the avalanche of rubbish that is filling up our high streets, countryside, and oceans.    

These packaging reforms will collectively support 21,000 jobs, stimulate more than £10 billion investment in recycling capability during the next decade, and drive £1 billion worth of investment opportunities in plastics infrastructure.    

Discussions between the UK Government and devolved governments on other proposals from the consultation will continue. Plans for wider reforms that reflect their strategic priorities in the drive towards a circular economy across the UK will be set out next year.   

The formal consultation response can be accessed online.

Chancellor calls for business-like relationship with EU

  • Rachel Reeves calls for business-like relationship with the EU to drive more trade, support businesses and boost economic growth that benefits working people
  • Chancellor to put making working people better off at the heart of economic reset with the EU
  • Reeves to be the first UK Chancellor to address EU finance ministers since the UK left the EU

Making working people better off must be the aim of our economic reset with the EU, Chancellor Rachel Reeves will tell a meeting of finance ministers in Brussels today.

Reeves becomes the first UK Chancellor to attend a meeting of EU finance ministers since the UK left the EU – a clear signal of the UK Government’s commitment to reset the relationship with the EU and realise the economic potential of our shared future.

In her speech, the Chancellor will set out that part of the government’s mission to drive economic growth and make working people better off, a central part of our Plan for Change, will be achieved through a closer relationship with the European Union.

She will talk to three key areas of the UK-EU relationship: tackling shared challenges, including the war in Ukraine; championing free trade as a driver of economic competitiveness; and strengthening bilateral economic partnerships.

She will go on to say that by taking these on together, we can have a meaningful impact on putting more money in people’s pockets through lower prices and better jobs through increased investment.

Rachel Reeves, Chancellor of the Exchequer, will say: “This is the first time a British Chancellor has addressed the Eurogroup since Brexit. And there could be no more important moment to do so, than now.

“It is a signal of the new UK Government’s commitment to resetting our country’s relationship with the European Union; and the importance I place in realising the economic potential of our shared future.”

She will add: “I know that the last few years have been fractious. Division and chaos defined the last government’s approach to Europe. It will not define ours.

“We want a relationship built on trust, mutual respect, and pragmatism. A mature, business-like relationship where we can put behind us the low ambitions of the past and move forward, focused instead on all that we have in common.

“And all that we might achieve together to keep our countries safe, secure and prosperous.”

On strengthening economic ties, she will say: “I believe that a closer economic relationship between the UK and the EU is not a zero-sum game. It’s about improving both our growth prospects.

“The reset in relations is about doing what is the best interests of our shared economies and those that depend on it.

“That means breaking down barriers to trade, creating opportunities to invest and helping our businesses sell in each other’s markets.

“That’s why I’m here today; that’s what our reset seeks to achieve.”

Ms. Reeves will also underscore the importance of the UK and EU’s unwavering support for Ukraine over 1,000 days since Russia’s invasion, delivered most recently through a G7 loan of $50bn backed by the extraordinary profits on immobilized Russian sovereign assets. She will say that Ukraine’s national security ensures the UK and Europe’s national security too.

While in Brussels, the Chancellor will also attend a series of bilateral meetings with European counterparts. International economic partnerships are a crucial part of the government’s number one mission to grow the economy and make every part of the UK better off.

There will no return to the single market, the customs union, or freedom of movement. But, following their meeting on 2 October, the Prime Minister and President of the European Commission Ursula von de Leyen agreed to strengthen the UK-EU relationship and put it on a more solid, stable footing.

The EU reset feeds directly into the government’s Plan for Change to be achieved via its five missions – one of which is growth. The reset will help contribute to the government’s ambitions to grow the economy, invest to create an NHS fit for the future and tackle irregular migration.

The UK and the EU share the world’s second largest trading relationship, facilitating over £660 billion (€750 billion) in trade each year. The UK and EU countries together also comprise 24 of NATO’s 32 allies, united in a commitment to collective security.

The government will publish a Trade Strategy in 2025, renewing the government’s commitment to free and open trade.

It will support the government’s Industrial Strategy and Net Zero ambitions and enhance economic security. As part of this, the government will work with the EU to identify areas where the government can strengthen cooperation for mutual benefit, including the economy, energy, security and resilience.

Global partnerships are crucial to the UK government, with direct benefit to the domestic economy – the International Investment Summit held in October secured a record breaking £63 billion of investment and nearly 38,000 jobs are set to be created across the UK as a result.

Today’s Eurogroup attendance comes after Reeves’ speech at Mansion House in November, where she set out that advocating free and open trade especially with economically important partners was in the UK’s national interest. Reeves’ visit to Brussels comes ahead of her next international visit, which will be to Beijing in the new year.

Shevaun Haviland, Director General of the British Chambers of Commerce said: “If our economy is to grow then we must export more. That’s why we urgently need a better trading relationship with our closest and biggest market, the European Union. The current arrangement isn’t working for our members. 

“Right now, UK firms wanting to trade with Europe are struggling under huge regulatory and paperwork burdens.   

“Businesses will be encouraged to hear the Chancellor talking about a reset in our relationship with the EU which genuinely breaks down barriers to trade.  

“A better deal can’t come soon enough for UK exporters. It’s vital that talks move at pace in the coming months to make life easier for businesses to thrive.”

UK Government to tackle NHS workforce crisis with ‘refreshed plan’ – next summer

Revised Workforce Plan to be unveiled in summer

The Government and NHS will unveil a refreshed Workforce Plan in the summer with a ‘laser-focus’ on shifting care from hospitals and into the community, as we work to get the NHS back on its feet and fit for the future.

Lord Darzi’s shocking report laid bare the systemic issues which have gripped the NHS for years and led to poorer experiences for patients and staff. Too much care is being delivered in hospitals because of historic underinvestment in the community.

Recent data shows that:

  • There are almost 16% fewer fully qualified GPs in the UK than other high income countries relative to our population.
  • The number of nurses working in the community fell by at least 5%, between 2009 and 2023.
  • A reduction of nearly 20% in the number of health visitors – who can be crucial to development in the first five years of a child’s life – between 2019 and 2023. 
  • The number of mental health nurses has just returned to its 2010 level.

The original workforce plan would increase hospital consultants by 49%, but the equivalent rise in fully qualified GPs would have been just 4% between 2021/22 and 2036/37. 

Through a refreshed workforce plan, alongside reform and investment, the Government is taking the decisive action needed to ensure it has the right workforce in the right place at the right time to deliver its 10 Year Health Plan and get the NHS back on its feet to deliver world-class care.

Health and Social Care Secretary Wes Streeting said: “Lord Darzi diagnosed the dire state of the NHS, including that too many people end up in hospital, because there aren’t the resources in the community to reach patients earlier.

“Our 10 Year Health Plan will deliver three big shifts in the focus of healthcare from hospital to community, analogue to digital, and sickness to prevention. We will refresh the NHS workforce plan to fit the transformed health service we will build over the next decade, so the NHS has the staff it needs to treat patients on time again.”

Through the Government’s Plan for Change, an unrelenting approach is being taken to deliver an NHS fit for the future as part of a decade of national renewal. The Chancellor’s first Budget invested almost £26 billion of funding this year and next for the health system to address critical shortages and cut waiting lists, including delivering an extra 40,000 appointments.

Since July, significant progress has already been made by the Government on its Mission to deliver an NHS fit for the future and to support the workforce, putting funding in place to employ more GPs, ending devastating resident doctor strikes within its first few months, and sending crack teams of top clinicians into hospitals with high waiting lists.

Amanda Pritchard, chief executive of NHS England, said: “The NHS is nothing without our incredible staff and having a sustainable workforce is a key building block for an NHS fit for the future – that’s why we committed to update the plan regularly so that it reflects the changing and growing needs of patients.

“While the NHS is delivering more care to patients in the community, with the expansion of virtual wards, community diagnostic centres and neighbourhood hubs, part of our longer term goal is delivering even more care out of hospitals, and we’ll work closely with the government to refresh the workforce plan, alongside the upcoming 10 Year Health Plan.”

Delivering three big shifts in health care will be at the core of the government’s wider 10 Year Health Plan, from hospital to the community, analogue to digital, and sickness to prevention. The workforce will form a central part of this plan.

Lord Darzi’s report made clear the NHS has suffered from years of underinvestment and a lack of effective reform, with far too many patients ending up in hospital. As part of our 10 Year Health Plan, care will be shifted from hospital to the community to support the NHS to free up hospital appointments, tackling waiting lists and easing the strain on the health service. 

The expansion of the hospital workforce has come at the expense of other care settings and the proportion of the total NHS budget dedicated to acute hospitals has continued to rise, while the proportion of the NHS budget going to primary care has fallen by a quarter in just over a decade – from 24% in 2009 to just 18% by 2021. Despite this significant flow of resources into hospitals, output has not risen at nearly the same rate and NHS productivity has still not recovered to pre-pandemic levels.

Because patients can’t get the care they need in the community, like GP appointments, they end up in A&E, which is worse for them and more expensive for taxpayers. At a typical A&E on a typical evening in 2009, there would have been just under 40 people waiting in the queue. By 2024, that had swelled to more than 100 people.

The ten-year plan is due out next Spring. Following that, the workforce plan, which is due to be revised every two years, will be refreshed next summer.

Call for UK Government support in scrapping the two-child limit

Social Justice Secretary writes to counterpart seeking early engagement

Social Justice Secretary Shirley-Anne Somerville has written to Liz Kendall, the UK Work and Pensions Secretary, to follow up on the commitment to scrap the two-child limit from 2026.

The Scottish Government’s plan to mitigate the limit on Universal Credit, announced as part of the 2025-26 budget, will require cooperation from the Department for Work and Pensions to enable systems development and data-sharing.

In the letter to Ms Kendall, Ms Somerville said: “Eradicating child poverty in Scotland is a national mission and we believe that this policy will be a key driver in delivering that mission.

“The Scottish Government is committing the resources required to begin the preparatory work in the coming financial year with a view to making the first mitigation payments in 2026-27.

“The Finance Secretary was careful to note that co-operation with your Department will be necessary, which I understand will primarily need to centre around systems development and data sharing.

“We will also want to work with you to ensure that any mitigation payments are disregarded as income for benefit calculations. The Scottish Government is keen to progress this work as soon as possible. I would therefore be keen to meet before Christmas to discuss our policy and how, together, we might best be kept appraised of progress as officials take forward this work.”

Two-child limit: Letter to UK Government – gov.scot