AG百家乐在线官网

Breaking

Politics latest: Chancellor delivers big money to NHS as she unveils spending review

Rachel Reeves has outlined her long-awaited spending review, setting budgets for government departments up to the next election. Watch and follow live coverage throughout the day in the Politics Hub.

Please use Chrome browser for a more accessible video player

Watch live: Chancellor delivers spending review
Why you can trust Sky News

Rachel Reeves has delivered her spending review, setting out each government department's budget for the coming years.

Here are her headline announcements:

  • NHS: The health service gets 拢29bn for day-to-day spending - a 3% rise for each year until the next election;
  • Defence: Spending will rise from 2.3% of GDP to 2.6% by 2027 - that's a 拢11bn uplift, with 拢600m for security and intelligence agencies;
  • Border security: The use of hotels to house asylum seekers will end by 2029, and there will be 拢280m more per year for the Border Security Command, which will help combat illegal immigration;
  • Energy: Some 拢14.2bn is being poured into the Sizewell C nuclear power station, part of a 拢30bn investment in nuclear energy;
  • Science and tech: Research and development funding will hit 拢22bn - a record high - by the end of the parliament, with AI plans getting 拢2bn;
  • Housing: Social and affordable housing will get 拢39bn - the biggest cash investment for 50 years;
  • Transport: 拢15bn for new rail, tram, and bus networks in the North and the West Midlands, a new rail line between Liverpool and Manchester, and a four-year settlement for TfL, plus the 拢3 bus fare cap extended to 2027;
  • Nations: Scotland gets 拢52bn, Northern Ireland 拢20bn, and Wales 拢23bn, including notably for coal tips;
  • Prisons: 14,000 new prison places will be funded with a 拢7bn injection;
  • Police: 13,000 more police officers will be paid for with 拢2bn;
  • Education: Free school meals extended to 500,000 children, while the extra 拢4.5bn per year will also go on fixing classrooms and rebuilding schools.
Where is the chancellor investing Britain's cash?

In addition to the chancellor announcing the day-to-day spending budgets for each government department, she also set out which departments will get funds to invest in long-term projects.

That could be anything from buying new fighter jets, or building a new railway, to investing in nuclear power.

Our experts have calculated which government departments are getting big injections of cash over the next four years, and which ones are losing out, which you can explore in the chart below.

Q&A starts now - follow live

Our experts are on hand and ready to answer your questions on the chancellor's spending plans, her decisions and what it all means for you. 

Over the next 30 minutes, you'll get live written answers from our following correspondents: 

UK agrees post-Brexit Gibraltar deal

Away from the spending review, the UK has reached a post-Brexit deal on Gibraltar with the EU.

The British government claims the deal fixes the "last major unresolved issue from Brexit".

A clause is included in the deal has been agreed with all sides that "makes explicitly clear that the final treaty does not impact sovereignty".

Spain claims Gibraltar is their territory, after Britain took control in the early 18th century.

St Pancras style checks

The deal sets out that there will be a "fluid" border between and Gibraltar and Spain.

However, "dual border checks" will take place at Gibraltar airport, from both Spanish and Gibraltar officials.

"Immigration and law and order in Gibraltar will remain the exclusive responsibility of Gibraltar鈥檚 authorities," the government said.

"Spanish officials will be responsible for ensuring the integrity of the Schengen Area, in a model similar to French police operating in London's St Pancras station.鈥�"

There will also be a bespoke model for goods and customs, as well as full operational autonomy for the UK's military facilities in Gibraltar.

Foreign Secretary David Lammy said: "This government inherited a situation from the last government which put Gibraltar's economy and way of life under threat. Today's breakthrough delivers a practical solution after years of uncertainty.

"Alongside the government of Gibraltar, we have a reached an agreement which protects British sovereignty, supports Gibraltar's economy and allows businesses to plan for the long-term once again.

"I thank the chief minister and his government for their tireless dedication throughout the negotiations. The UK's commitment to Gibraltar remains as solid as the Rock itself."

'Incoherent' to claim spending plans will require tax rises, says Treasury minister

Darren Jones, the chief secretary to the Treasury, was deeply involved in the spending review and is defending the money that was dished out.

Asked about the claim from opposition parties that the spending will require tax rises in the future, Jones says this argument is "incoherent".

"This spending review is allocating the money that we have already raised," he says.

The money had been brought in at the budget last year and the spring statement this year, he claims.

He says the opposition needs to "go back and do some more homework" if that is the argument they're coming up with.

Jones insists that everyone in cabinet has "got a good settlement" - although it's not a case of everyone getting "an equal slice of the pie" as some budgets are bigger than others.

A Labour DOGE?

One phrase deployed by Jones was a "zero-based review" - the process of the government going through the whole of their accounts to see what is being spent where.

Jones says that this hasn't been done for 18 years.

He adds that all the money found to save - by selling buildings, cutting consultants and not sending physical letters - has been reallocated.

Asked if this was the equivalent of Elon Musk's Department of Government Efficiency (DOGE), Jones says: "I'm not entirely clear what DOGE is, but if it was an assessment of how are we spending money, and can we spend it better? Then yes.

"If it was a case of breaking into government offices and cancelling people's IT access? No."

What does the spending review mean for Scotland?

By Jenness Mitchell, Scotland reporter

The chancellor has pledged the "largest settlement in real terms since devolution" for Scotland as part of the UK government's spending review.

Rachel Reeves unveiled a raft of investments for north of the border, including increased spending on defence, development funding for a carbon capture project, and money to reboot plans for the UK's most powerful supercomputer.

The Scottish government will receive an average block grant of 拢50.9bn per year between 2026-27 and 2028-29.

The UK government said the money allows the Scottish government to be able to "spend more on its priorities such as funding NHS Scotland, education, transport, and welfare".

Reeves announced a 拢250m investment for HM Naval Base (HMNB) Clyde, which houses the UK's nuclear submarines.

The funding, part of the Clyde 2070 programme, will be injected over the next three years.

The chancellor also pledged development funding for the Acorn carbon capture project in Aberdeenshire in a bid to aid "Scotland's transition from oil and gas to low carbon technology".

However, it is yet to be confirmed how much money will be allocated to the project - which will store carbon emissions from across Scotland under the North Sea.

Clean and scientific power

Aberdeen-headquartered Great British Energy and Great British Energy - Nuclear will invest more than 拢8.3bn over the parliament in homegrown clean power, alongside a new government campus for energy.

Scotland will also receive 拢452m over four years to continue the delivery of City and Growth Deals across the nation, and the Scottish capital will become home to the UK's most powerful supercomputer.

The supercomputer will aid scientists in cutting-edge research, whether that's personalised medical treatments, sustainable air travel, or modelling climate change.

Who are the winners and losers in the spending review?

Our experts have been picking over the numbers in the spending review to see who are the winners and losers among the various government departments.

In the chart below, we can see which areas are getting the biggest increase in their budgets.

It's worth noting that this is percentage increases, so while the Department of Science, Innovation and Technology is at the top, it has quite a small budget in money terms so the increase it is getting is not huge in terms of pound sterling.

However, the Department for Health and Social Care having a 2.8% increase is notable as it has a huge budget anyway.

Government borrowing costs spike after spending review

By James Sillars, business and economics reporter

The government's spending review is not a budget. There is no independent scrutiny by the Office for Budget Responsibility.

As such, there's limited knowledge for financial market investors to take from such an event.

But it was clear before Rachel Reeves got to her feet in the Commons that rises in spending would intensify the risk of a repeat of her spring statement intervention, at the autumn budget to come, to maintain the 拢10bn of so-called fiscal headroom she has given herself.

So perhaps, in the absence of spending cut or tax rise announcements, it will not come as a surprise that the spending review - which will deliver a 2.3% real terms lift to government departments annually up to 2028/9 - was followed by a small spike in government borrowing costs.

Yields - the effective interest rate - on UK benchmark 10-year bonds, known as gilts, rose by 7 basis points to 4.57%.

The pound also held on to a gain of 0.3% versus the dollar and was hovering just below three-year highs above $1.35 as the US currency weakened after domestic inflation data.

It showed a weaker-than-expected increase in the headline rate during May, despite Donald Trump's trade war risking a surge in the pace of consumer price growth.

If the FTSE 100 were to hang on to its current level at the close, it would amount to a record high by the skin of its teeth.

The index is trading at 8,871.96 - that's less than a point above its March record level of 8,871.31.

Housing industry reacts to the chancellor's spending review

We've received lots of reaction to the chancellor's spending review from businesses, unions, and charities.

We'll start with some responses the housing industry - one of the government's biggest areas of focus.

Dandara, a housebuilder, welcomed the chancellor's announcement of "long-term commitments to infrastructure and housing", saying it offers "a critical opportunity to reform the systems that underpin delivery".

Chris Harris, Dandara's CEO, said: "The 拢39bn investment in affordable and social housing is especially encouraging, signalling serious intent to tackle supply challenges across all tenures."

But he warned that council planning teams are "one of the big obstacles to progress" and that local authorities need more funding. 

More money needed for local councils to refit homes

SimplyPhi, another housebuilder that works with councils to build affordable homes, said the chancellor's spending review is "historic".

But the company said that "more support and funding must be made available to local authorities to acquire and retrofit existing housing stock, and make this available both for temporary and long-term accommodation for those in need."

Spending review 'missed the mark'

Meanwhile, the Construction Plant-hire Association (CPA), which represents more than 1,900 firms, said the review "missed the mark".

This was because it didn't the national insurance rise for employers introduced earlier this year, which it said has been "threatening the very firms needed to deliver" new homes.

Charities react to chancellor's spending review

We've had lots of charities respond to the chancellor's spending review.

Save the Children said the investment in social housing is a "gear shift" for the government and that along with expanding free school meals, "the chancellor has demonstrated she is committed to reducing child poverty".

But it also called for the two-child benefits cap to be scrapped, and criticised the slashing of the aid budget.

'Missed opportunity'

Christian Aid has been much more critical of Rachel Reeves.

It says she "hasn't moved an inch to salvage the UK's now fragile credibility with Global South governments".

This is another reference to the Foreign Office having its budget squeezed, which will mean less for foreign aid. 

Mental health charity, Mind, is also critical.

It says today was a "missed opportunity" for the chancellor and points to a quarter of young people on mental health waiting lists being made to wait more than two years.

The British Red Cross welcomed the government's announcement that hotels will be phased out for asylum seekers, saying these are "completely unsuitable" for families.

It said: "We welcome plans to invest more in the asylum system and to clear the backlog. To do this effectively, it's vital that decisions are made correctly the first time."

Ex-Reform chair to stand for parliament at next opportunity (if Reform are likely to win)

While the spending review was going on, our political correspondent Mhari Aurora heard of an interesting development at Reform UK.

She has found out former chair Zia Yusuf is planning to stand as an MP.

Mhari has been told Yusuf will stand for a parliamentary seat at the next general election, or in the next by-election the party thinks it can win.

Yusuf has become a familiar spokesperson and outrider for the party, often speaking to cameras instead of some of the party's more controversial MPs.

Asked about the development, Reform deputy leader Richard Tice told Sky News he "certainly hope[s]" Yusuf stands for a seat.

He said that while it's a matter for the man himself, Tice reckons Yusuf "would make a great member of parliament".

However, the deputy leader claimed Yusuf has a "big job" running the party's efficiency department.