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Key points at a glance from the Spending Review | |
(33 minutes later) | |
Chancellor Rachel Reeves has unveiled the contents of the UK's first multi-year spending review since 2021. | Chancellor Rachel Reeves has unveiled the contents of the UK's first multi-year spending review since 2021. |
The review sets the day-to-day budgets of government departments over the next three years, used to pay staff and deliver public services. | The review sets the day-to-day budgets of government departments over the next three years, used to pay staff and deliver public services. |
It also sets their investment budgets until the end of the decade, to pay for new infrastructure such as hospitals, schools, and military kit. | It also sets their investment budgets until the end of the decade, to pay for new infrastructure such as hospitals, schools, and military kit. |
Here is a summary of the key points. | Here is a summary of the key points. |
Follow live: Rachel Reeves delivers spending review | Follow live: Rachel Reeves delivers spending review |
Health | Health |
Day-to-day budget for the NHS in England to go up by 3% in real terms on average over the next three years, reaching £226bn by 2029 | Day-to-day budget for the NHS in England to go up by 3% in real terms on average over the next three years, reaching £226bn by 2029 |
Pledge to deliver £17bn in health service savings over three years by boosting productivity by 2% | Pledge to deliver £17bn in health service savings over three years by boosting productivity by 2% |
Education | Education |
Core schools budget in England to go up by 0.4% in real terms on average over the next three years, reaching £69.5bn by 2029 | Core schools budget in England to go up by 0.4% in real terms on average over the next three years, reaching £69.5bn by 2029 |
Free school meals to be extended to around 500,000 more children whose parents are receiving benefits, costing around £1bn up to 2029 | Free school meals to be extended to around 500,000 more children whose parents are receiving benefits, costing around £1bn up to 2029 |
Extra £615m this year to partially fund a 4% pay rise for teachers in England, with schools expected to fund a quarter of the rise through "improved productivity" | Extra £615m this year to partially fund a 4% pay rise for teachers in England, with schools expected to fund a quarter of the rise through "improved productivity" |
Crime, justice and borders | Crime, justice and borders |
Home Office day-to-day budget to go down by 1.7% in real terms over the next three years | Home Office day-to-day budget to go down by 1.7% in real terms over the next three years |
The "spending power" of police forces will go up by an average 2.3% per year in real terms by 2029, assuming local taxes go up too | The "spending power" of police forces will go up by an average 2.3% per year in real terms by 2029, assuming local taxes go up too |
Annual funding for the Border Security Command, responsible for tackling small boat crossings, to increase by up to £280m by 2029 | Annual funding for the Border Security Command, responsible for tackling small boat crossings, to increase by up to £280m by 2029 |
Pledge to end the use of hotels to temporarily house asylum seekers before the next election | Pledge to end the use of hotels to temporarily house asylum seekers before the next election |
The Ministry of Justice budget, which pays for prison and court costs, to see average real-terms rises in day-to-day spending of 1.8% a year | The Ministry of Justice budget, which pays for prison and court costs, to see average real-terms rises in day-to-day spending of 1.8% a year |
£7bn allocated until 2029 to help build 14,000 new prison places in England and Wales by 2031 | £7bn allocated until 2029 to help build 14,000 new prison places in England and Wales by 2031 |
Defence | Defence |
Ministry of Defence day-to-day budget to go up 0.7% in real terms, with investment spending over the period averaging 7.3% | Ministry of Defence day-to-day budget to go up 0.7% in real terms, with investment spending over the period averaging 7.3% |
Defence spending is due to rise from 2.3% to 2.5% of overall economic output by 2027 | Defence spending is due to rise from 2.3% to 2.5% of overall economic output by 2027 |
Housing and local government | Housing and local government |
£39bn allocated for social housing in England between 2026 and 2036, an average of £3.9bn a year over the period compared to £2.3bn currently | £39bn allocated for social housing in England between 2026 and 2036, an average of £3.9bn a year over the period compared to £2.3bn currently |
Transport, energy and environment | Transport, energy and environment |
£15.6bn allocated between 2027 and 2031 for transport projects in English city regions outside London | £15.6bn allocated between 2027 and 2031 for transport projects in English city regions outside London |
Additional £11.5bn committed towards the cost of building the Sizewell C nuclear power plant in Suffolk, which will also require private investment | Additional £11.5bn committed towards the cost of building the Sizewell C nuclear power plant in Suffolk, which will also require private investment |
£3 cap on single bus fares in England extended until March 2027 | £3 cap on single bus fares in England extended until March 2027 |
Rules used by Treasury officials to assess proposed infrastructure projects to be updated | Rules used by Treasury officials to assess proposed infrastructure projects to be updated |
International affairs | International affairs |
Foreign Office day-to-day budget to go down by 6.8% in real terms over next three years, largely due to reduced aid spending | Foreign Office day-to-day budget to go down by 6.8% in real terms over next three years, largely due to reduced aid spending |
Overseas aid will make up spending 0.3% of national income by 2027, under previously-announced plans | Overseas aid will make up spending 0.3% of national income by 2027, under previously-announced plans |
Science and technology | |
Department for Science, Innovation and Technology day-to-day budget to rise by average 7.4% in real terms | |
£2bn allocated over next three years to deliver the government's "opportunities action plan" for artificial intelligence | |
£750m set aside to fund a new supercomputer at Edinburgh University, reversing a controversial cut in the early weeks of the Labour government |