A Budget to ‘fix the foundations’ and deliver change for Scotland?

Chancellor ‘takes long-term decisions to restore stability, rebuild Britain and protect working people across Scotland’

  • No change to working people’s payslips as employee national insurance and VAT stay the same, but businesses and the wealthiest asked to pay their fair share.
  • Record £47.7 billion for the Scottish Government in 2025/26 includes £3.4 billion through the Barnett formula.
  • Funding for Green Freeports, City and Growth Deals, GB Energy and hydrogen projects to fire up growth and deliver good jobs across Scotland.

The Chancellor has ‘delivered a Budget to fix the foundations to deliver on the promise of change after a decade and a half of stagnation’. She set out plans to rebuild Britain, while ensuring working people across Scotland don’t face higher taxes in their payslips.

The UK Government was handed a challenging inheritance; £22 billion of unfunded in-year spending pressures, debt at its highest since the 1960s, an unrealistic forecast for departmental spending, and stagnating living standards.

This Budget takes ‘difficult decisions’ to restore economic and fiscal stability, so that the UK Government can invest in Scotland’s future and lay the foundations for economic growth across the UK as its number one mission.

The Chancellor announced that the Scottish Government will be provided with a £47.7 billion settlement in 2025/26 – the largest in real terms in the history of devolution. This includes a £3.4 billion top-up through the Barnett formula, with £2.8 billion for day-to-day spending and £610 million for capital investment.

Secretary of State for Scotland Ian Murray said: “This is a historic budget for Scotland that chooses investment over decline and delivers on the promise that there would be no return to austerity.

“It is the largest budget settlement for the Scottish Government in the history of devolution, including an additional £1.5 billion this financial year and an additional £3.4 billion next year through the Barnett formula. That money must reach frontline services, to bring down NHS waiting lists and lift attainment in our schools.

“It will also bring a new era of growth for Scotland and the whole UK, confirming nearly £890 million of direct investment into Freeports, Investment Zones, the Argyll and Bute Growth Deal, and other important local projects across Scotland’s communities, as well as £125 million next year for GB Energy and support for green hydrogen projects in Cromarty and Whitelee.

“The increase in the minimum wage will also mean a pay rise for hundreds of thousands of workers in Scotland, with the biggest increase for young workers ever. This is on top of our employment rights bill which will deliver the biggest upgrade in workers’ rights in a generation. The triple lock means an increase in the state pension by £470 next year, on top of £900 this year for a million Scottish pensioners.

“The budget protects working people in Scotland, delivers more money than ever before for Scottish public services and means an end to the era of austerity.”

Protecting working people and living standards

While fixing the inheritance requires tough decisions, the Chancellor has committed to protecting the living standards of working people. The decisions taken by the Chancellor to rebuild public finances enable the UK Government to deliver on its pledge to not increase National Insurance or VAT on working people in Scotland, meaning they will not see higher taxes in their payslip.

  • The National Living Wage will increase from £11.44 to £12.21 an hour from April 2025. The 6.7% increase – worth £1,400 a year for a full-time worker – is a significant move towards delivering a genuine living wage.
  • The National Minimum Wage for 18 to 20-year-olds will also see a record rise from £8.60 to £10 an hour.
  • Working people will benefit from these increases, with there estimated to be over 100,000 minimum wage workers in Scotland in 2023.
  • The Chancellor has made the decision to protect working people in Scotland from being dragged into higher tax brackets by confirming that the freeze on National Insurance Contributions thresholds will be lifted from 2028-29 onwards, rising in line with inflation so they can keep more of their hard-earned wages.
  • The Chancellor is also protecting motorists by freezing fuel duty for one year – a tax cut worth £3 billion, with the temporary 5p cut extended to 22 March 2026. This will benefit an estimated 3.2 million people in Scotland, saving the average car driver £59, vans £126 and Heavy Goods Vehicles £1,079 next year.
  • To support Scottish pubs and smaller brewers in Scotland, the UK Government is cutting duty on qualifying draught products by 1p, which represent approximately 3 in 5 alcoholic drinks sold in pubs. This measure reduces duty bills by over £70 million a year, cutting duty on an average strength pint in a pub by a penny. The relief available to small producers will be updated to help smaller brewers and cidermakers.  
  • Over 1 million Scottish pensioners will benefit from a 4.1% increase to their new or basic State Pension in April 2025. This is an additional £470 a year for those on the new State Pension and an additional £360 a year for those on the basic State Pension.
  • Households eligible for Pension Credit will get £465 a year more for single pensioners and up to £710 a year more for couples due to a 4.1% increase in the Pension Credit Standard Minimum Guarantee, benefitting 125,000 pensioners in Scotland.
  • Around 1.7 million families in Scotland will see their working-age benefits uprated in line with inflation – a £150 gain on average in 2025-26.
  • Reducing the maximum level of debt repayments that can be deducted from a household’s Universal Credit payment each month from 25% to 15% will benefit a Scottish family by over £420 a year on average.

Rebuilding Britain

This UK Government will not make a return to austerity and will instead boost investment to rebuild Britain and lay the foundations for growth in Scotland. This includes £130 million of targeted funding for the Scottish Government, of which £120 million is in capital investment.

  • The Budget delivers on the first step to establish Great British Energy by providing £125 million next year to set up the institution at its new home in Aberdeen – helping to develop new clean energy projects in Scotland and across the UK. 
  • The UK Government will deliver £122 million for City and Growth Deals, including the continuation of its contribution to the Argyll and Bute Growth Deal which delivers £25 million of investment in the region over 10 years. This Deal will be supported by a rigorous value for money assessment as part of the review of the business cases for projects within it, to ensure best value is being delivered.
  • The Budget gives certainty to local leaders and investors, confirming funding for the Investment Zones and Freeports programmes across the UK – including Scotland’s Green Freeports. 
  • The Chancellor committed the UK Government to working closely with the Scottish Government on the Industrial Strategy, 10-year infrastructure strategy and the National Wealth Fund – to ensure the benefits of these are felt UK-wide and as part of the relationship reset between governments. These will mobilise billions of pounds of investment in the UK’s world-leading clean energy and growth industries.
  • To support economic growth and promote Scottish culture, products and services through diplomatic and trade networks, the UK Government is allocating £750,000 for the Scotland Office in 2025/26 to champion Brand Scotland as was committed in the manifesto.
  • We are supporting Scotland’s world-renowned Scotch Whisky industry by providing up to £5 million for HMRC to reduce the fees charged by the Spirit Drinks Verification Scheme and by ending mandatory duty stamps for spirits on 1 May 2025.
  • Two electrolytic hydrogen projects in Scotland have been selected for UK Government revenue support through the first Hydrogen Allocation Round: Cromarty Green Hydrogen Project and Whitelee Green Hydrogen. Both projects will bring in significant international investment and create good quality, local jobs.
  • An extension of the Innovation Accelerators programme will support the high-potential innovation cluster in the Glasgow City Region.
  • A corporate tax roadmap will provide businesses with the stability and certainty they need to make long-term investment decisions and support our growth mission. It confirms our competitive offer, with the lowest Corporate Tax rate in the G7 and generous support for investment and innovation. 
  • The UK Government will also proceed with implementing the 45%/40% rates of the theatre, orchestra, museum and galleries tax relief from 1 April 2025 to provide certainty to businesses in Scotland’s thriving cultural sector.

Repairing public finances

The Chancellor has made clear that, whilst protecting working people with measures to reduce the cost of living, there would be difficult decisions required. The Budget will ask businesses and the wealthiest to pay their fair share while making taxes fairer. This will go directly towards fixing the foundations of the UK economy.

  • The rate of Employers’ National Insurance will increase by 1.2 percentage points, to 15%. The Secondary Threshold – the level at which employers start paying national insurance on each employee’s salary – will reduce from £9,100 per year to £5,000 per year.
  • The smallest businesses will be protected as the Employment Allowance will increase to £10,500 from £5,000, allowing Scottish firms to employ four National Living Wage workers full time without paying employer national insurance on their wages.
  • Capital Gains Tax will increase from 10% to 18% for those paying the lower rate, and 20% to 24% for those paying the higher rate.
  • To encourage entrepreneurs to invest in their businesses Business Asset Disposal Relief (BADR) will remain at 10% this year, before rising to 14% on 6 April 2025 and 18% from 6 April 2026-27.
  • The lifetime limit of BADR will be maintained at £1 million. The lifetime limit of Investors’ Relief will be reduced from £10 million to £1 million.
  • The OBR say changes to CGT raise over £2.5 billion a year and the UK will continue to have the lowest CGT rate of any European G7 country.
  • Inheritance Tax thresholds will be fixed at their current levels for a further two years until April 2030. More than 90% of estates each year will be outside of its scope. From April 2027 inherited pensions will be subject to Inheritance Tax. This removes a distortion which has led to pensions being used as a tax planning vehicle to transfer wealth rather than their original purpose to fund retirement.
  • From April 2026, agricultural property relief and business property relief will be reformed. The highest rate of relief will continue at 100% for the first £1 million of combined business and agricultural assets, fully protecting the majority of businesses and farms. It will reduce to 50% after the first £1 million. Reforms will affect the wealthiest 2,000 estates each year. Inheritance Tax reforms in total are predicted by the OBR to raise £2 billion to support stability.
  • From 2026-27 Air Passenger Duty (APD) for short and long-haul flights will increase by 13% to the nearest pound, a partial adjustment to account for previous high inflation. For economy passengers, this means a maximum £2 extra per short haul flight and tickets for children under the age of 16 remain exempt from APD. APD for larger private jets will be increased by a further 50%. Passengers carried on flights leaving from airports in the Scottish Highlands and Islands region are exempt from APD.
  • The rate of the Energy Profits Levy will increase to 38% from 1 November 2024 and the levy will now expire one year later than planned, on 31 March 2030.  The 29% investment allowance will be removed.
  • To provide long-term certainty and to support a stable energy transition, the UK Government will make no additional changes to tax relief available within the EPL and a consultation will be published in early 2025 on a successor regime that can respond to price shocks. Money raised from changes to the EPL will support the transition to clean energy, enhance energy security and provide sustainable jobs for the future.

The Budget also announced a package of measures that disincentivise activities that cause ill health, by:

  •  Renewing the tobacco duty escalator which increases all tobacco duty rates by RPI+2% plus an above escalator increase to hand rolling tobacco (totalling RPI+12%).  
  • Introducing a new vaping duty at a flat rate of 22p/ml from October 2026, accompanied by a further one-off increase in tobacco duty to maintain financial incentive to choose vaping over smoking. 
  • To help tackle obesity and other harms caused by high sugar intake, the Soft Drinks Industry Levy will increase to account for inflation since it was last updated in 2018, and the duty will rise in line with inflation every year going forward.
  • The UK Government will also uprate alcohol duty in line with RPI on 1 February 2025, except for most drinks in pubs.

The UK Government has set out the next steps to deliver its tax manifesto commitments in the July Statement. Having consulted on the final policy details where appropriate, this Budget delivers the UK Government’s manifesto commitments to raise revenue to pay for First Steps, with reforms that are underpinned by fairness, and tackle tax avoidance by:  

  • A new residence-based regime will replace the current non-dom regime from April 2025 and will be designed to attract investment and talent to the UK.
  • Offshore trusts will no longer be able to be used to shelter assets from Inheritance Tax, and there will be transitional arrangement in place for people who have made plans based on current rules.
  • The planned 50% reduction for foreign income in the first year of the new regime will be removed.
  • Reforms to the non-dom regime will raise a total of £12.7 billion according to the OBR.
  • The tax treatment of carried interest will be reformed by first increasing the Capital Gains Tax rates on carried interest to 32% and then, from April 2026, moving to a revised regime – with bespoke rules to reflect the characteristics of the reward.

The Chancellor also ‘doubled down’ on fiscal responsibility through two new fiscal rules that put the public finances on a sustainable path and prioritise investment to support long-term growth, and new principles of stability. Spending Reviews will be held every two years, setting plans for at least three years to ensure public services are always planned and improve value for money.

One major fiscal event per year will give families and businesses stability and certainty on tax and spending changes, while giving the Scottish Government greater clarity for in its own budget-setting.  A Fiscal Lock will also ensure no future government can sideline the OBR again.

Budget marks ‘step in right direction’

Scotland’s Finance Secretary responds to Budget

Finance Secretary Shona Robison has welcomed additional funding in the Autumn Budget, but said the Scottish Government will still face “enormous cost pressures” despite the measures.

The Finance Secretary said: “We called for increased investment in public services, infrastructure and tackling poverty. This budget is a step in the right direction, but still leaves us facing enormous cost pressures going forwards. The additional funding for this financial year has already been factored into our spending plans.

“By changing her fiscal rules and increasing investment in infrastructure, the Chancellor has met a core ask of the Scottish Government. But after 14 years of austerity, it’s going to take more than one year to rebuild and recover – we will need to see continued investment over the coming years to reset and reform public services.

“Indeed, there is a risk that by providing more funding for public services while increasing employer national insurance contributions, the UK Government is giving with one hand while taking away with the other.

“We estimate that the employer national insurance change could add up to £500 million in costs for the public sector unless it is fully reimbursed – and there is a danger that we won’t get that certainty until after the Scottish budget process for 2025/26 has concluded.

“With the lingering effects of the cost of living crisis still hitting family finances, it is disappointing that there was no mention of abolishing the two-child limit, which evidence shows would be one of the most cost-effective ways to reduce child poverty. Neither was there mention of funding for the Winter Fuel Payment.

“As ever, the devil is in the detail, and we will now take the time to assess the full implications of today’s statement. I will be announcing further details as part of the Scottish Budget on 4 December.”

Child Poverty Action Group: Chancellor misses golden chance to scrap two child limit

  • 16 000 more children will now be pulled into poverty by time new UK child poverty taskforce reports in spring
  • “Good news on universal credit deductions, but no bold action on child poverty” 
  • Barnett consequentials must now be prioritised to fund action on child poverty in Scotland

Responding to the UK Chancellor’s Budget, John Dickie, Director of the Child Poverty Action Group (CPAG) in Scotland, said; “The Chancellor brought good news on universal credit deductions, but this was not a Budget of bold action on child poverty.  She missed a golden chance to scrap the two-child limit, a policy that will pull 16,000 extra children into poverty by the time the government’s child poverty taskforce reports in spring.

We welcome the new UK government’s ambition on child poverty but this budget played for time, time that children and families can’t afford. The UK spending review next spring will have to deliver much more to make a significant difference for children in poverty.”

Mr Dickie continued: “Here in Scotland and looking ahead to the Scottish budget it is vital that wider Barnett consequentials are now used to fund the action needed to deliver on the First Minister’s number one priority of ending child poverty.

“That must include funding a real terms increase to the Scottish child payment, expanding childcare provision, delivering on free school meal promises and increasing the supply of affordable family housing.”

POVERTY ALLIANCE:

Responding to today’s UK Budget, Poverty Alliance chief executive Peter Kelly said: “People across the UK believe in a nation based on justice and compassion. Today’s Budget was an opportunity for the Chancellor to turn those values into action, and to rebuild trust in government. Despite some welcome changes, there is still some way to go.

“Boosting the minimum wage is welcome, because for decades workers have been getting less and less from our growing economy. This increase will go some way to making up the gap, particularly for younger workers. But we need to remember that today’s Budget will still leave the legal minimum wages far lower than the real Living Wage rate – the only wage rate that is solely based on the cost of living – of £12.60 per hour, or £13.85 per hour in London.

“We know that too many people on Universal Credit find themselves pushed into destitution when they are chased for debt by public bodies, so it’s good that the maximum amount of benefit that can be taken from them has been reduced. But the Chancellor could have gone further, by strengthening our social security with a boost to Universal Credit that would guarantee that households can afford life’s essentials.

“She could have made it clear that every child matters, by scrapping the unjust and ineffective two-child limit, and ditching the unfair benefit cap which stops households getting all the support they are entitled to.

“There was a welcome focus on the importance of our public services to our shared prosperity and wellbeing. But the Chancellor could have done more to use our country’s wealth to tackle poverty and invest in a better society. Even with today’s changes, people who earn money from selling shares and business assets will pay Capital Gains Tax at a lower rate than workers pay in Income Tax. That’s just wrong.

“Freezing fuel duty and keeping the previous cuts in place will cost the Exchequer billions of pounds a year. It’s bad value for money, benefits the wealthiest in society most, and does little to make the transition to the green economy. The money would have been better invested in affordable, accessible, and sustainable public transport for all.

It’s right that big companies pay their fair share towards building a strong society, but the Chancellor must urgently consider how increases to employer National Insurance will hit charities and community groups.

“The support and advice provided by these organisations is vital for people who have been pushed into poverty, but too many are already struggling through a lack of fair funding, and this NI increase could push many over the edge.

“That would be a disaster for our communities, and leave more low-income households facing destitution and despair.”

TUC: Labour’s investment budget has begun process of “repairing and rebuilding Britain”

Union body says budget is a vital first step towards the growth, jobs and living standards working people desperately need

Commenting on Wednesday’s budget statement from the Chancellor Rachel Reeves, TUC General Secretary Paul Nowak said: “The Chancellor was dealt a terrible hand by the last Conservative government – a toxic legacy of economic chaos, falling living standards and broken public services. 

“But with today’s budget the Chancellor has acted decisively to deliver an economy that works for working people. 

“The government’s investment plans are a vital first step towards repairing and rebuilding Britain – securing the stronger growth, higher wages and decent public services that the country desperately needs. 

“Tax rises will ensure much-needed funds for our NHS, schools and the rest of our crumbling public services, with those who have the broadest shoulders paying a fairer share. The Chancellor was right to prioritise hospitals and classrooms over private jets. 

“There is still a lot more work to do to clean up 14 years of Tory mess and economic decline. – including better supporting and strengthening our social security system. But this budget sets us on an urgently needed path towards national renewal.” 

Shelter Scotland has responded to the UK budget set out this afternoon by Chancellor Rachel Reeves.

The housing and homelessness charity urged the Scottish Government to commit to investing any new capital funding into delivering the social homes needed to end the housing emergency. 

However, it also expressed disappointment at the continuation of the two-child limit and ongoing freeze to Local Housing Allowance.

Shelter Scotland Director, Alison Watson, said: “Having declared a housing emergency it’s clear that the Scottish Government must back words with actions.

“It is vital that any capital funding which becomes available as a result of the Chancellor’s investment plans is in turn used by Scottish Ministers to deliver social homes here, but we also need to see growth in the capital budget over a sustained period to support continued investment.

“Delivering more social homes remains the single most effective way to tackle the housing emergency in Scotland, and only the Scottish Government can decide how much of its budget it commits to that endeavour. 

“However, we can’t ignore the role that austerity has played in exacerbating Scotland’s housing emergency.

“The freeze on local housing allowance and the two-child limit has forced thousands into poverty; they will continue to do so as it seems the Chancellor has chosen to keep them in place.” 

COSLA:

ONE PARENT FAMILIES SCOTLAND:

Scotch Whisky industry says UK government has broken commitment to ‘back Scotch producers to the hilt’

Chancellor increases discrimination of Scotch Whisky and other spirits in on-trade

The Scotch Whisky Association (SWA) says the Chancellor’s decision to further increase duty on Scotch Whisky has broken the Prime Minister’s commitment to ‘back Scotch producers to the hilt.’

In her first Budget, Chancellor Rachel Reeves announced an RPI inflation increase to alcohol duty, but cut duty on draught products in the on-trade by 1.7%. Scotch Whisky and other spirits are excluded from this tax relief. 

The SWA had called on the new Chancellor to take the opportunity to reverse the damage done by the 10.1% increase in August 2023. Instead, the damage done to the industry and to government revenue has been compounded by further increasing the tax burden on the sector, which is already the highest in the G7.

Spirits revenue fell by hundreds of millions of pounds as a result of the 10.1% duty increase last year, and the industry has warned that this further tax hike will not deliver the revenue ministers have been promised but will hurt businesses, the hospitality sector and hard-pressed consumers.

Commenting on the Budget, Chief Executive of the SWA Mark Kent said: “This duty increase on Scotch Whisky is a hammer blow, runs counter to the Prime Minister’s commitment to ‘back Scotch producers to the hilt’ and increases the tax discrimination of Scotland’s national drink.

“On the back of the 10.1% duty increase last year, which led to a reduction in revenue for HM Treasury, this tax hike serves no economic purpose. It will damage the Scotch Whisky industry, the Scottish economy, and undermines Labour’s commitment to promote ‘Brand Scotland’.

“She has also increased the tax discrimination of spirits in the Treasury’s warped duty system, and with 70% of UK spirits produced in Scotland, that will do further damage to a key Scottish sector.

“The disastrous 10.1% duty hike last year has now been compounded. This further tax rise means the lessons have not been learned, and the Chancellor has chosen continuity with her predecessor, not change.

“We urge all MPs who support Scotch Whisky to vote against this duty hike and tax discrimination of Scotland’s national drink.”

Rain Newton-Smith, CBI Chief Executive, said: “The Chancellor had difficult choices to make to deliver stability for the economy and public finances. A more balanced approach to our fiscal rules which prioritises capital investment should help to unlock private sector investment in our infrastructure and net zero transition over the long-term.

“This is a tough Budget for business. While the Corporation Tax Roadmap will help create much needed stability, the hike in National Insurance Contributions alongside other increases to the employer cost base will increase the burden on business and hit the ability to invest and ultimately make it more expensive to hire people or give pay rises.

“Only the private sector can provide the scale of investment required to deliver the government’s growth agenda.

“To achieve this shared mission of growing our economy sustainably, it’s vital that the government doubles down on its partnership with business to unlock the investment that is needed to drive opportunity around the UK.”

FSB: Employment allowance rise welcome from Chancellor in tax-raising Budget

The Federation of Small Businesses responds to the Chancellor’s Budget statement

Responding to the Chancellor’s Budget statement, Policy Chair of the Federation of Small Businesses (FSB), Tina McKenzie, said: “Increasing the employment allowance for small businesses by a record amount is a very welcome move and we’re pleased the Chancellor has heard us loud and clear.

“More than doubling it, from £5,000 to £10,500, will shield the smallest employers from the jobs tax, therefore is a pro-jobs prioritisation in a tough Budget.

“The decision to protect small businesses from an inflationary hike in business rates – by freezing the small business multiplier – will help small firms with premises across all sectors. Meanwhile, extending business rates relief, albeit at a lower level, for small firms in retail, hospitality and leisure will mitigate a potential cliff-edge tax hike for those in some of the toughest sectors.

“The true test of today’s Budget will be whether small businesses can grow and end the economic stagnation the UK has been stuck in.

“Larger small, and medium-sized, businesses will struggle with the rises on employer national insurance on top of the large costs from the Government’s employment law plans. We’ve been very clear in our warning of the difficulty SMEs will be confronted with in meeting all of these changes at once – and the potential impact on jobs, wages and prices.

“The Budget documents include plans for a small business strategy command paper, which is a welcome signal that ministers appreciate the central role that small businesses play in driving growth and we look forward to working with the Government closely on that.

“Investment in infrastructure is key to future growth, and the Chancellor’s announcement of additional funding for rail projects and fixing potholes is therefore encouraging. Many small firms, meanwhile, will be relieved at the decision not to raise fuel duty. The commitment to prioritise small housebuilders when it comes to housing investment is also welcome.

“Building a business involves a significant element of risk and personal, as well as financial, investment. But for the economy to grow, we need more people to be incentivised to take that leap and, in turn, create jobs, opportunities and prosperity in all communities across the country.

“The right decision has been taken to retain entrepreneurs’ relief (now branded Business Asset Disposal Relief) up to £1million, which is something we have campaigned hard for. Although the level of relief will gradually reduce over time, resulting in more tax being paid in the future on business sales, we’re pleased to see a differential has been kept.

“Against a challenging backdrop, today’s Budget shows a clear direction in business policy now for the whole of this Parliament to target support at small businesses, rather than big corporates – prioritising everyday entrepreneurs working in local communities in all parts of the country.”

UK Budget fails “3 Key Tests for Scotland”, say Alba Party

Scottish Government must now fund universal entitlement to pensioners winter fuel payment

To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.” 

This was said today by Acting Alba Party leader Kenny MacAskill reacting to Chancellor Rachel Reeves’ budget. 

Alba Party say that the UK Government had three key tests to meet to deliver for Scotland. Former First Minister Alex Salmond helped launch a campaign to save the winter fuel payment last month.

Close to one million pensioners in Scotland are set to lose out on between £200-£300 this winter. Acting Alba Party leader Kenny MacAskill has been a leading voice in the campaign to save the Grangemouth Oil Refinery from closure.

Mr MacAskill has today hit out at the UK Government after Labour promised in the General Election to save Scotland’s only refinery that is set for closure next year but has failed to provide funding to save the refinery in today’s budget. 

MacAskill has now called on the Scottish Government to use extra Barnett consequential funding to fully mitigate the cut to the winter fuel payment.   

Alba Party have also hit out as successive UK Government’s have promised investment in Carbon Capture Technology in the North East of Scotland. Alba say the technology is vital to secure the future of the North Sea Oil and Gas industry and to help Scotland play its part in protecting the environment. Today’s UK Budget confirmed £22billion of investment in carbon capture projects in England – but snubbed the Acorn project on the Buchan coast.

Commenting Acting Alba Party leader Kenny MacAskill said:“Today’s UK Budget is a continuity budget that proves that regardless of whether we have a UK Tory Government or a UK Labour Government, Scotland will always lose. 

“To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.

“ Close to a million Scottish pensioners are to be kept in the cold this winter, the UK Government has chosen to stand by and allow Scotland’s key industrial asset to close, and Labour have betrayed the North East of Scotland. 

“ Nothing for Scotland’s pensioners, nothing for Grangemouth and nothing for Carbon Capture and the North Sea. It is now vital that the Scottish Government steps up to the plate and uses any additional funding consequentials it receives to fully mitigate the cut to the winter fuel payment.”

Budget is a ‘Missed Opportunity’

The budget is a missed opportunity to bring about the transformative change this country needs, said Westminster’s group of independent MPs.

A statement from the Independent Alliance:

LOCAL GOVERNMENT INFORMATION UNIT:

Dr Jonathan Carr-West, Chief Executive, LGIU, said: “The Chancellor billed this as an historically consequential budget of hard choices. That’s certainly true in many areas with £40bn of tax rises announced and significant changes to the government’s debt rules. 
 
“For local government, however, it is a budget of choices deferred. It could have been worse – there’s an additional £1.3bn in funding including money for social care and additional funding for housing and special educational needs: the very areas that are driving many councils to bankruptcy.
 
“But this extra funding is not even half the gap that councils currently face. 
 
“The longer-tem change that the sector desperately needs is all deferred for now. We are waiting on the Local Government Finance Settlement, on the Devolution White Paper and on a broader redistribution of funding through a multi-year settlement from 2026-27.
 
“There were some welcome highlights: retaining 100%  of right to buy receipts and integrated settlements for Greater Manchester and the West Midlands and possibly for other places in future. 
 
“Is this a start? Yes. Is it enough? Not by a long shot. At least not yet. There’s a positive direction of travel set out, but there’s a long way to go and the pressure on council finances means there’s a real risk that some councils will not be able to hang on long enough to get there.”

Budget pay rise for millions of low paid workers

  • Chancellor announces pay rise for over 3 million workers next year, as National Living Wage rises by 6.7% 
  • Pay boost worth £1,400 a year for an eligible full-time worker – a significant move towards delivering a genuine living wage.  
  • 18-20 National Minimum Wage will rise by £1.40 per hour – the largest increase on record – and marks first step towards a single adult rate.  

Over 3 million workers will receive a pay boost after the Chancellor confirmed the National Living Wage will increase from £11.44 to £12.21 an hour from April 2025.  

The 6.7% increase – which is worth £1,400 a year for an eligible full-time worker – is a significant step towards delivering the manifesto commitment to make sure the minimum wage is a genuine living wage.  

The National Minimum Wage for 18 to 20-year-olds will also rise from £8.60 to £10.00 an hour – the largest increase in the rate on record. This £1.40 increase will mean full-time younger workers eligible for the rate will see their pay boosted by £2,500 next year. This marks the first step towards aligning the National Minimum Wage and National Living Wage to create a single adult wage rate, which would take place over time. 

The move comes ahead of today’s Budget which will ‘fix the foundations’ to deliver change by fixing the NHS and rebuilding Britain, while ensuring working people don’t face higher taxes in their payslips. 

It builds on the commitment to be a pro-business, pro-worker, pro-growth Government – delivering a key plank of the Plan to Make Work Pay, which is already set to boost the pockets of the lowest-paid workers by up to £600 a year through the Employment Rights Bill.  

The plan will boost productivity, creating a workforce that is fit and ready to help us deliver our first mission to kickstart economic growth – with good jobs and growth in every part of the country making everyone, not just a few, better off. 

Chancellor of the Exchequer Rachel Reeves said:  “This Government promised a genuine living wage for working people.

“This pay boost for millions of workers is a significant step towards delivering on that promise.”  

Business Secretary, Jonathan Reynolds said: “Good work and fair wages are in the interest of British business as much as British workers. 

“This government is changing people’s lives for the better because we know that investing in the workforce leads to better productivity, better resilience and ultimately a stronger economy primed for growth.” 

Deputy Prime Minister, Angela Rayner said: ““A proper day’s work deserves a proper day’s pay. 

“Our changes will see a pay boost that will help millions of lower earners to cover the essentials as well as providing the biggest increase for 18–20-year-olds on record.” 

The minimum hourly wage for an apprentice is also boosted next year, with an 18-year-old apprentice in an industry like construction seeing their minimum hourly pay increase by 18.0%, a pay bump from £6.40 to £7.55 an hour.     

These increases will mean 3.5 million workers will receive a pay rise this year in total. They confirm the Low Pay Commission’s recommendations, whose advisory remit was overhauled by ministers in July to consider the cost of living.  

Ethics Director at Lush Cosmetics, Hilary Jones said:“Lush staff making and selling our products are crucial to our success, so we commit to the Living Wage Foundation’s independently calculated real living wage rates each year to feel confident our rates of pay are fair and that our staff can afford what they need to thrive, not just survive.

“In these tough times where the cost of living continues to rise, it is great to see the Government increase minimum wage closer to these calculations to support the hardest working and most vulnerable workers across the UK.” 

Chair of the Low Pay Commission, Baroness Philippa Stroud said:  “The Government have been clear about their ambitions for the National Minimum Wage and its importance in supporting workers’ living standards.

“At the same time, employers have had to deal with the adult rate rising over 20 per cent in two years, and the challenges that has created alongside other pressures to their cost base.  

“It is our job to balance these considerations, ensuring the NLW provides a fair wage for the lowest-paid workers while taking account of economic factors. These rates secure a real-terms pay increase for the lowest-paid workers. Young workers will see substantial increases in their pay floor, making up some of the ground lost against the adult rate over time.” 

Good news for low paid workers, then. but some businesses – small businesses remain the bedrock of the UK economy – point out that it’s not the government that will be paying the pay rises, it’s them.

Coming on top of the likely increase in employers National Insurance contributions likely to be announced today they say that these additional costs could force some small businesses, working on small profit margins, to close.

New funding to kickstart delivery of two million extra NHS appointments

Chancellor confirms the NHS will receive funding needed to deliver extra 40,000 elective appointments per week

  • Chancellor and Health Secretary confirm funding plans to increase elective appointments ahead of the Budget tomorrow.
  • New funding and reform puts the NHS on course to reduce waiting lists.
  • Additional capital investment will further support reduced waiting times, with £1.5bn for new surgical hubs and scanners, alongside £70 million for new radiotherapy machines.

Funding to support the delivery of an extra two million NHS operations, scans and appointments a year to significantly cut waiting lists across England has been announced by the Chancellor and Health Secretary today. This comes following over a decade of neglect and underinvestment of the NHS.

Ahead of her Budget on Wednesday, the Chancellor has confirmed that the NHS will receive the funding needed to deliver an extra 40,000 elective appointments per week, delivering on one of the Government’s First Steps in office to reduce waiting times in the NHS. This includes an additional £1.8bn the government has invested in elective activity this year since the July Statement.

This will be supported by a significant uplift of capital investment, with new capacity including surgical hubs and scanners, meaning thousands of additional procedures and millions of diagnostic tests across the country, alongside funding for new radiotherapy machines to improve cancer treatment.

In his recent independent investigation into the NHS in England, Lord Darzi highlighted that the NHS is in “critical condition”. Patients across England are waiting too long, with the waiting list at over 7.6 million in August. In the same month, over 280,000 had been waiting for an operation, scan or appointment for over a year.

Today’s announcement is an integral step in reducing the waiting list and puts the NHS on course to meet the commitment that 92% of people wait less than 18 weeks to start treatment in the NHS.

The Chancellor’s budget tomorrow will set out how this government will fix the foundations to deliver change, by fixing the NHS and rebuilding Britain, while ensuring working people don’t face higher taxes in their payslips.

It will focus on “investment, investment, investment” in order to get the economy moving again and demonstrate how this government will take the long-term decisions needed to grow the economy and restore the country’s public services.

Chancellor of the Exchequer Rachel Reeves said: “Our NHS is the lifeblood of Britain. It exemplifies public services at their best, there for us when we need it and free at the point of use, for everyone in this country.

“That’s why I am putting an end to the neglect and underinvestment it has seen for over a decade now.

“We will be known as the government that took the NHS from its worst crisis in its history, got it back on its feet again and made it fit for the bright future ahead of it.”

Health and Social Care Secretary Wes Streeting said: “Our NHS is broken, but it’s not beaten, and this Budget is the moment we start to fix it.

“The Chancellor is backing the NHS with new investment to cut waiting lists, which stand at an unacceptable 7.6 million today. Alongside extra funding, we’re sending crack teams of top surgeons to hospitals across the country, to reform how they run their surgeries, treat more patients, and make the money go further.”

Building an NHS fit for the future is one of this Government’s five priority missions; but it is clear that alongside sustainable investment, the NHS will need significant reform across the board to be truly transformed.

The Chancellor has therefore confirmed an ambitious reform programme across health and social care in England, including reforming the delivery of elective activity and patient pathways. Billions of pounds are set to be invested in technology and digital innovations across the NHS to boost productivity and unlock significant savings for the NHS in the long-term.

The funding comes after the Government last week launched ‘Change NHS: help build a health service fit for the future’, a national conversation to help develop the 10 Year Health Plan, which will set out our long-term vision for health and the path to delivering the three shifts to reform and transform health: hospital to community, analogue to digital, and sickness to prevention.

Starting this week, the NHS will help people back to health and back to work by sending teams of top clinicians to hospitals across the country to help roll out reforms to cut waiting lists in hospitals – which will start with those in areas of the highest economic inactivity.

Reeves to protect English education priorities ‘in face of inherited £22 billion blackhole’

  • Chancellor confirms steps to protect education and early years priorities as part of her first Budget. 
  • £1.4bn allocated for school rebuilding, reaffirming the government’s commitment to improve the school estate.
  • Funding will form a packet of measures to break down barriers to opportunity, so every child has the chance to succeed in life.     

Improving opportunities for our children and young people will be a key feature of the Chancellor’s first Budget, including £1.4bn to rebuild crumbling schools.  

The investment to rebuild school buildings, alongside funding for children’s social care, breakfast clubs and early years childcare reflect the government’s commitment to putting education back at the forefront of national life, breaking down the barriers to opportunity for all children. 

The decision to protect education priorities at the Budget comes at a crucial time for the sector with the government inheriting a £22 billion blackhole in the public finances and having to take tough decisions. 

The Chancellor has committed £1.4bn to ensure the delivery of the existing School Rebuilding Programme, with 50 rebuilds a year delivering on promises made to parents, teachers and local communities that crumbling school buildings will be rebuilt.  

The confirmation of the funding for education follows a 5.5% pay increase for school teachers agreed earlier in the year as the government sets out to reset relationships with the sector.  

Chancellor of the Exchequer, Rachel Reeves, said: “This Government’s first Budget will set out how we will fix the foundations of the country. It will mean tough decisions, but also the start of a new chapter for Britain, by growing our economy through investing in our future to rebuild our schools, hospitals and broken roads.

“Protecting funding for education was one of the things I wanted to do first because our children are the future of this country. We might have inherited a mess, but they should not suffer for it.” 

Secretary of State for Education, Bridget Phillipson, said: “This is a Budget about fixing the foundations of the country, so there can be no better place to start than the life chances of our children and young people.  

“Our inheritance may be dire, but I will never accept that any child should learn in a crumbling classroom. 

“We are determined to break down those barriers to opportunity, whether it’s brilliant early years, free breakfast clubs or high and rising standards in our schools, this government is putting education back at the forefront of national life.”  

£1.8 billion has also been confirmed to support the expansion of government-funded childcare, helping deliver the roll-out through local authorities – with a further £15m of capital funding allocated to expand school-based nurseries.

Primary schools can now apply for up to £150,000 of the £15m, with the first stage of the plan set to support up to 300 new or expanded nurseries across England creating much-needed places in areas most in demand.  

To support parents, particularly those from disadvantaged backgrounds, the government today also confirmed it will triple its investment in breakfast clubs to over £30 million to help ensure children are ready to learn at the start of the school day, and helping drive improvements to behaviour, attendance and attainment. 

Meanwhile to keep more children in stable and loving homes, the new government has also announced £44 million to support kinship and foster carers.  

This will include trialling a new kinship allowance in up to 10 local authorities to test whether paying an allowance to cover certain costs – like supporting a child to settle into a new home with relatives – can help increase the number of children taken in by family members and friends. 

It will also help recruit more foster parents by ensuring that every local authority has access to a regional recruitment hub. These hubs help raise awareness about fostering and offer prospective carers a centralised platform to find information, ask questions and get support from the start of their fostering journey. 

This is expected to generate hundreds of new foster placements, reduce local authorities’ reliance on the expensive residential care market and offer children a stable environment to grow up in. The government has also confirmed its commitment to further reforms to children’s social care in future spending reviews to make sure every child, irrespective of background, has the best start in life. 

Chief Executive at Kinship, Dr Lucy Peake, said: “We are pleased that the Government has made a commitment to trialling a new Kinship Allowance so that more children can be raised in well-supported kinship care with family and friends who love them, delivering better outcomes for children and for the public purse than the care system.

“We look forward to further reforms to children’s social care which should ensure that all kinship families get the financial, practical and emotional support they need and deserve.”

Chancellor to ‘unlock housing’ in first Budget next week

  • Thousands of new affordable homes set to be delivered in England through £500 million boost to the Affordable Homes Programme – bringing total investment in housing supply to over £5 billion.
  • Council housing stock in England protected by reductions to Right to Buy discounts and a consultation on new long-term social housing rent settlement.
  • Councils also able to keep 100% of the receipts from sales to scale-up delivery of much needed social housing.
  • £128 million funding injection for other housing projects to transform Liverpool’s central docks, build more energy efficient homes and clean up rivers to unlock up to 28,000 new builds.

The Budget will deliver more affordable housing, ensure social housing is available for those who need it and turbocharge the delivery of 1.5 million homes as the Chancellor commits to rebuilding Britain.

A housing package announced today will deliver up to 5,000 new affordable social homes with £500 million in new funding for the Affordable Homes Programme – bringing total investment in housing supply to over £5 billion – and supporting the delivery of 33,000 new homes through £128 million for housing projects across the country.   

Meanwhile, the stock of social housing will be increased through a new 5-year social housing rent settlement that will give the sector more long-term certainty on funding and allow them to invest in tens of thousands of new homes.

The existing stock will also be protected by reducing Right to Buy discounts so that thousands more council homes remain in the sector.

Chancellor of the Exchequer, Rachel Reeves said: “We need to fix the housing crisis in this country. It’s created a generation locked out of the property market, torn apart communities and put the brakes on economic growth.

“We are rebuilding Britain by ramping up housebuilding and delivering the 1.5 million new homes we so badly need”.

Deputy Prime Minister Angela Rayner said: “We have inherited a housing system which is broken, with not enough homes being built and even fewer that families can afford.

“This is a further significant step in our plan to get Britain building again, backing the sector, so they can help us deliver a social and affordable housing boom, supporting millions of people up and down the country into a safe, affordable and decent home they can be proud of.”

The £500 million to deliver thousands of new social and affordable homes is a top-up to the existing Affordable Homes Programme and comes ahead of the Government’s Housing Strategy due in the Spring.

The Government will set out details of new investment to succeed the 2021-26 Affordable Homes Programme at the Spending Review. This will lay the foundations for the manifesto commitment to deliver the biggest increase in social and affordable housebuilding in a generation, and to support councils and housing associations to build their capacity and make a greater contribution to affordable housing supply.

It will deliver a mix of homes for sub-market rent and home-ownership, with a particular focus on delivering homes for Social Rent.

The Government will also consult on a new 5-year social housing rent settlement, which caps the rents social housing providers can charge their tenants, to provide the sector with the certainty it needs to invest in new social housing.

The intention would be for this to increase with Consumer Price Index inflation figures and an additional 1%. The consultation will also seek views on other potential options to give greater certainty, such as providing a 10-year settlement. 

These measures to increase affordable housing come alongside changes to the Right to Buy scheme, which will protect existing social housing stock to meet housing need and deliver a fairer and more sustainable scheme.

England’s existing social housing supply is depleted every year by the scheme while also disincentivising councils to build new social housing.

Discounts will be reduced alongside greater protections for newly-built social housing and councils will be able to keep 100% of the receipts generated by a Right to Buy sale. This will enable councils to scale-up delivery of much needed social housing whilst still enabling longstanding tenants to buy their own homes.

The £128 million will support the delivery of new housing projects – including up to 28,000 new builds currently blocked by river pollution – cleaning up our rivers in the process – 3,000 energy efficient homes across the country and 2,000 new homes in North Liverpool.

Meanwhile the £56 million investment at Liverpool Central Docks will also deliver office, retail, leisure and hotel facilities alongside the new homes. As well as demonstrating our brownfield-first approach, it will transform Liverpool’s former docklands into a thriving waterfront neighbourhood. 

Kate Henderson, Chief Executive of the National Housing Federation, says: “We strongly welcome the £500m top-up to the affordable homes programme. This vital injection of funding, which we’ve been urgently calling for, will support housing associations to continue to deliver much needed affordable homes in the immediate term and prevent a collapse in delivery.

“We share the government’s ambition to build 1.5million homes over this parliament and stand ready to deliver the social homes needed, which is why we welcome a consultation on a new rent settlement.  This will provide both transparency for residents and long term certainty and financial stability for social housing providers. We also support the government’s decision to review right to buy discounts.

“To achieve the affordable homes needed across the country, alongside this short term top-up, we look forward to a new long term housing strategy announced at the next spending review, including a significant boost in funding for social housing.”

“Scrap charity lottery sales cap” – Social Justice Secretary

UK Government urged to remove limit on funds raised for good causes

Social Justice Secretary Shirley-Anne Somerville has written to Secretary of State for Culture, Media and Sport Lisa Nandy to urge the UK Government to remove the cap on charity lottery sales.

Charity lotteries raise money for local, national and international good causes through their ticket sales. However, the current sales cap means that charities can raise no more than £50m for these causes per year.

Ms Somerville said: ““As the difficult economic climate has made it harder for charities to raise funds, while also increasing the need of the communities they serve, the cap on charity lottery sales is only serving to restrict the positive impact they could have in raising money for good causes.

“The UK Government should undertake a review of the cap and consider the huge difference that lifting it could bring to lives and communities across the country.”

People’s Postcode Lottery Managing Director, Clara Govier, said: “The charity lottery sales limits are causing increasing difficulties for charity fundraising at a time when charities need these vital funds to respond to the impact of the cost-of-living crisis.

“Charity lotteries exist to benefit society, yet have sales limits in place which do not apply to any other type of gambling product, and ultimately make raising funds for charity more difficult.

“Removing them would cost the Treasury nothing but benefit many charities. We welcome the Scottish Government’s call for these outdated sales limits to be removed, and urge the UK Government to take action.”

The full text of the Social Justice Secretary’s letter: 

Charity lottery sales limits: Letter to UK Government – gov.scot (www.gov.scot)

State of Care report reveals a social care catastrophe

State of Care report reveals a social care catastrophe, with thousands of older people being put at risk of abuse and neglect

Hourglass, the only UK-wide charity dedicated to calling time on the abuse, harm and exploitation of older people, is raising concerns of a social care catastrophe following the release of the CQC’s State of Care report.  

The report reveals a shocking level of discontent among care staff in the UK due to inadequate training, high staff turnover and vacancy rates. The report reveals that by the end of 2023/24 over a quarter of staff in care homes have left their roles, with vacancy rates three times higher than the wider economy.
 
A GMB Union survey shows that 70% of social care workers say understaffing is negatively affecting their mental health in addition to increasing rates of care workers neglecting themselves.
 
The charity warns that this level of dissatisfaction among care staff is a huge risk factor for the abuse and neglect of older people and raises deep concerns over the future of the care sector.
 
Hourglass also warns of troubling reports from the CQC regarding a lack of understanding of older people with dementia. Ineffective support, poor training and a lack of specialist care results in increased risk of abuse.

The report notes from an anonymous source that:

“The people treating him didn’t know how to communicate and shouted at him about causing distress. I intervened on several occasions. We were left for long periods of time with no explanations.”



With an extra nine million older people, a population the size of London, set to populate the UK by 2050, Hourglass is calling on the UK government to prioritise reform of the social care sector to protect this ageing population from abuse, neglect and exploitation.

The charity is encouraging everyone to support their Older Age, Tomorrow’s Hope campaign, which calls on the general public, third sector leaders, care professionals and businesses to sign up and support a Safer Ageing Society by 2050. 

The charity is urging those keen to support the charity to donate by visiting www.wearehourglass.org.uk/donate or Text SAFER to 70460 to donate £10.

Texts cost £10 plus one standard rate message and you’ll be opting in to hear more about our work and fundraising via telephone and SMS.

If you’d like to give £10 but do not wish to receive marketing communications, text SAFERNOINFO to 70460.

Only purchase safe and legal e-bikes, urges new safety campaign

A new safety campaign to raise awareness about the dangers of buying faulty and unsafe e-bikes, e-scooters and components such as batteries has been launched

  • New campaign urges public to buy safe e-bikes and e-scooters and avoid rogue online sellers
  • E-bike and e-scooter causing fires every two days according to London Fire Brigade
  • New Product Regulation Bill beginning work to tackle dangerous goods sold online

A new safety campaign to raise awareness about the dangers of buying faulty and unsafe e-bikes, e-scooters and components such as batteries has been launched today (Thursday 24 October).

The Department for Business & Trade’s new “Buy Safe, Be Safe” campaign has been designed to urge the public to buy safe e-bikes and e-scooters and avoid rogue online sellers.

E-bikes can be a cheap, healthy and modern method of travel throughout our towns and cities. However, unsafe e-bikes have resulted in hundreds of deadly fires and injured dozens of people across the UK. In 2023, the London Fire Brigade a fire every two days as a result of e-bike and e-scooter-related fires.

Many of these fires are caused by parts incompatible with e-bikes and scooters, as well as the purchase of defective or poorly manufactured parts sold by rogue online sellers.

The campaign focuses on three key areas encouraging consumers to only buy safe products from reputable sellers, only replace items with products recommended by the manufacturer and finally to seek professional help when converting or repairing e-bikes and e-scooters.

The Department is partnering with retailers, manufacturers as well as online marketplaces, trade associations, consumer groups and businesses to promote the campaign. Find out more about the campaign here.

Product Safety Minister Justin Madders said: E-bikes can be a great way to travel around the city, but we’ve all seen the tragic stories of unsafe e-bikes and e-scooters causing dangerous fires and taking lives.

“That’s why we’re urging everyone to check what you’re buying, check where you’re buying it from and ensure it’s safe to use.”

Local Transport Minister Simon Lightwood said: “E-bikes have transformed our urban areas by giving people an accessible and healthy way to travel, but this is being ruined by a handful of untrustworthy online retailers.

“These rogue sellers not only risk bringing defective and dangerous batteries into people’s homes, but undermine confidence in active travel as a whole.

“That’s why I’m delighted that we are launching this campaign to make sure that people have peace of mind buying e-bikes and e-scooters from reliable sources.”

Under current laws, e-scooters are banned on public land from use except in Government rental trial areas, while e-bikes are legal to use across the country but must not exceed an output of 250 watts or travel faster than 15.5 mph.

The public can expect to see an ongoing social media campaign including how-to video guides, as well as information materials being made available for retailers to use in stores and online to support consumers.  

The campaign comes off the back of wider efforts to tackle dangerous goods being sold in online marketplaces. In September, the Government unveiled the new Product Regulation and Metrology Bill aimed at allowing the UK to take charge of its product regulations, boosting consumer safety and helping to further grow the economy.

The Bill will also address the sharp rise in safety concerns around e-bikes and lithium-ion batteries and how they are sold via online marketplaces. The Bill will enable Government to better protect consumers who have for too long been at the mercy of unscrupulous suppliers, holding sellers and the online marketplaces to account if they fail to meet their responsibilities.

And it will ensure products sold online or placed on the UK market are safe, while enabling market enforcement officials to clamp down on the sale of the product or the sellers where they are not.

London Fire Brigade’s Assistant Commissioner for Prevention and Protection, Craig Carter, said: “E-bikes and e-scooters are a green and sustainable way to travel around our city. However, e-bikes and e-scooters can pose a significant fire risk and particularly the batteries used to power them have become one of London’s fastest-growing fire risks. They have destroyed homes and families have sadly lost loved ones in these fires.

“From our investigations, we know many of the fires we’ve attended have involved second-hand vehicles or the bike has been modified using parts bought online.

“At this time, there is not the same level of regulation of products for e-bikes and e-scooters sold via online marketplaces or auction sites when compared to high street shops, so we cannot be confident that products meet the correct safety standard.

“We understand that people are trying to save money, but if you spot a deal that looks too be good to be true, it probably is.”

Halfords Head of Quality, Chris Hall, said: “E-bikes offer numerous benefits for a healthier, greener commute. When e-bikes are purchased from reputable retailers, they’re properly certified and safe to use.

“Our priority is to ensure that everyone can enjoy the benefits of e-bikes without compromising on safety. The fire safety issues we’ve seen are linked to poorly manufactured, uncertified products typically bought online, as well as the use of incompatible components.”

Lesley Rudd, chief executive of consumer safety charity, Electrical Safety First said: “E-bikes, e-scooters and their batteries are generally safe when purchased from reputable manufacturers and used correctly.

“However, poor-quality products – often sold via online marketplaces – improper charging, or misuse can cause ferocious fires and pose a serious risk to the buyer. Safety starts with where you shop. Sticking to reputable sellers will provide confidence that your e-bike is safe and manufactured to a high standard.

“It’s equally as important to ensure you use a charger that is designed to be compatible with your battery to avoid the risk of overcharging which may destabilise the battery and lead to a fire.

“We also urge consumers considering converting their push bike into e-bike to source a high-quality kit and that it is installed by a competent professional.”  

Inga Becker-Hansen, Product Safety Advisor at the BRC, said: “The popularity of e-bikes and e-scooters has greatly increased the number on our streets and in our homes. These products provide a convenient method of transport for many of us.

“However, consumers should ensure they purchase from reputable and responsible retailers, who will ensure that appropriate batteries are used and all necessary safety standards are met.

“We urge the public to follow government guidance and take appropriate storage and maintenance measures to ensure the safety and longevity of their purchases.”

Find full details about the ‘Buy Safe, Be Safe’ campaign here

For our information on buying safely, how to store your product safely and best practice for charging, you can also find more information from the London Fire Brigade’s #ChargeSafe campaign.

UK strengthens national security and bolsters Ukraine’s war chest with £2.26bn military loan

  • UK announces £2.26bn loan to Ukraine backed by profits from sanctioned Russian sovereign assets
  • Forms Britain’s contribution to the $50bn loan announced at the G7 Leaders’ Summit in June
  • New money for Ukraine will bolster equipment on the frontline

Ukraine will receive further funding to purchase essential military equipment to defend itself against Russia’s illegal invasion, as the Chancellor today announces that the Government will loan a further £2.26bn in new money to Ukraine.

The new £2.26bn is the UK’s contribution to the G7 Extraordinary Revenue Acceleration (ERA) Loans to Ukraine scheme, in which $50bn from G7 countries will be delivered to Ukraine for its military, budget and reconstruction needs. The loan will be repaid using the extraordinary profits on immobilised Russian sovereign assets.

The Chancellor Rachel Reeves made the announcement alongside Defence Secretary John Healey while visiting Ukrainian personnel who are being trained in the UK. More than 45,000 personnel have been trained in the UK under Operation INTERFLEX and the scheme has been extended to at least the end of 2025.

The UK’s £2.26bn loan is earmarked as budgetary support for Ukraine’s military spending, enabling the Ukrainians to invest in key equipment to support their efforts against Russia, such as air defence, artillery and wider equipment support. It comes on top of the UK’s existing £3bn a year military aid for Ukraine, which the Prime Minister re-committed to within his first week in office.

The UK has sent around 400 different capabilities to Ukraine, with Defence Secretary John Healey MP recently announcing that the UK will supply 650 Lightweight Multirole Missile systems to Ukraine to boost the country’s air defences.

Chancellor of the Exchequer Rachel Reeves: “Our support for Ukraine and her men and women in their fight for freedom from Putin’s aggression is unwavering and will remain so for as long as it takes.

“This new money is in Britain’s national interest because the frontline of our defence – the defence of our democracy and shared values – is in the Ukrainian trenches. A safe and secure Ukraine is a safe and secure United Kingdom.”

The $50bn G7 ERA scheme was first announced at the G7 Leaders’ Summit in Apulia, Italy, in June this year. Russia’s obligation under international law to pay for the damage it has caused to Ukraine is clear and this G7 agreement is an important step to ensuring this happens.

Today the UK has announced its contribution to the scheme and will introduce domestic legislation in the coming weeks to enable the transfer of the new funds to Ukraine as quickly as possible.

The loan is on top of the £12.8bn already committed in military, economic and humanitarian support to Ukraine.

The funding comes alongside the UK and international partners introducing the largest and most severe package of sanctions ever imposed on a major economy. Without this, Russia would have over $400 billion more for its war machine – enough to fund its illegal invasion for a further four years.

The war is having an economic and human cost for Russia; it is soaking up 40% of Russia’s annual budget and last month the country suffered its highest rate of daily casualties since the war began.

The loan announcement comes ahead of the Chancellor’s attendance of the International Monetary Fund Annual Meetings in Washington D.C. later this week, at which she will underline on the international stage that the UK and its partners stand united and will not let aggressors like Putin succeed.

Earlier this month Prime Minister Keir Starmer hosted Ukrainian President Volodymyr Zelenskyy in Downing Street to discuss his victory plan for Ukraine.

Defence Secretary John Healey, said: “By using the money generated from these sanctioned Russian assets, we can help turn the tables on Putin’s war machine. This urgent funding will directly support Ukraine’s defence using the proceeds from assets that had helped fuel Putin’s aggression.

“The UK is stepping up our support to Ukraine, speeding up supplies of vital equipment and boosting our defence industries. We will stand with Ukraine for as long as it takes.”

Ruth Davis appointed the first UK’s Special Representative for Nature

The UK government has appointed Ruth Davis OBE as the first Special Representative for Nature. This landmark announcement is being is made as the UN Convention on Biological Diversity COP16 meeting in Colombia marks its first formal day.    

Ruth Davis is one of the country’s leading environmental policy experts, with over twenty-five years’ experience working on issues of nature recovery and climate change.   

Ms Davis previously advised the government when it hosted COP26, including helping secure an international pledge to end deforestation, which was signed by 145 countries.

She played a leading role supporting negotiators and ministers and has previously worked with some of the UK’s leading nature organisations including RSPB and Plantlife. She holds an MSc from Reading University in Plant Sciences and a diploma in Botanical Horticulture from Kew.  

Her appointment comes as environment ministers gather in Colombia to discuss conservation and sustainable use of the world’s biological diversity.

The Global Biodiversity Framework was agreed at COP15 in Montreal, where over 150 countries signed up to and committed themselves to halting and reversing the international decline of nature.   

Miss Davis will begin her role as Special Representative for Nature at the end of this month and will attend COP16 in her current role as an advocate for nature, working alongside the UK delegation led by Environment Secretary, Steve Reed. 

This is a joint role between the FCDO and Defra and Ms Davis will report to both the Environment Secretary and the Foreign Secretary.

 Environment Secretary Steve Reed said: “We cannot address the nature and climate crises without coordinated global action. That is why we have appointed Ruth as our special representative for nature – a landmark first – who will champion our ambition to put climate and nature at the heart of our foreign policy.

“We depend on nature in every aspect of our lives – it underpins our economy, health and society – and yet progress to restore our wildlife and habitats has been too slow. Ruth’s extensive knowledge and expertise will be vital to help us  deliver on our commitments to put nature on the road to recovery.”

Foreign Secretary David Lammy said: “One million species are facing extinction, including one third of both marine mammals and coral reefs. And wildlife populations fallen by 73 per cent since 1970, mostly due to a staggering 83 per cent collapse in freshwater species.

“The climate and nature emergency is the most profound and universal source of global disorder. I am delighted Ruth Davis is joining to be our first ever UK Special Representative for Nature to help us achieve our goal of a liveable planet for all, now and in the future.”

Ruth Davis, the Special Representative for Nature said: “The government has recognised that the nature crisis is of equal gravity to the climate crisis; and that we cannot tackle one without addressing the other. Ecosystems and the species they support are essential to maintain food security, reduce health risks and manage the impacts of rising global temperatures.    

“I am delighted to be working with colleagues across government, and with partners around the world, to take on this urgent challenge; in particular, ensuring that the rules and incentives that govern the global economy work to protect and restore nature; and that we invest in the commitment, knowledge and passion of local people, who are critical to safeguarding the places where they live.”

The announcement of the Special Representative for Nature follows confirmation that Rachel Kyte will take up the role of the UK’s Special Representative for Climate, announced last month.  

The Special Representatives will support ministers to raise global ambition on nature recovery and climate change. They will drive engagement with international leaders and build influence on the global stage to meet the UK’s strategic objectives.