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Residents who live near newly installed pylons will be compensated with £250-a-year off their energy bills, a minister has said.

Housing and planning minister Alex Norris told Sky’s Wilfred Frost on Breakfast that communities “need to share the benefits” of the government’s tilt towards clean energy.

“If you’re making that sacrifice of having some of the infrastructure in your community, you should get some of the money back,” he said.

“So we’re making that commitment – £250-a-year if you are near those pylons.

“We think that’s a fair balance between people who are making that commitment to the country… they should be rewarded for that.”

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File photo dated 28/12/17 of a view of the Little Cheyne Court Wind Farm amongst existing electricity pylons on the Romney Marsh in Kent. Officials have unveiled plans to connect new wind and solar farms to the power grid faster, which they hope will end years of gridlock for some projects. Issue date: Friday February 14, 2025.

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People living near power infrastructure could get hundreds of pounds off their bills a year as part of an overhaul of planning rules. File pic: PA

Ministers are currently pushing through an overhaul of the planning system – long seen as a brake on housebuilding and vital infrastructure projects – to stimulate growth in the economy.

Overnight it was announced parts of the planning system could be stripped away as part of the government’s attempts to speed up house building.

In its election-winning manifesto, Labour promised to build 1.5 million new homes over the next five years to tackle the lack of affordable housing, with recent statistics showing that there are 123,000 households in temporary accommodation – including nearly 160,000 children.

Sir Keir Starmer has repeatedly vowed to put “builders not blockers first”, announcing at the beginning of the year “unarguable cases” that are legally challenged will only be able to be brought back to the courts once – rather than the current three times.

Councils have also been told to come up with “immediate, mandatory” housing targets to help the government achieve its target.

Under the reforms announced last night, consulting bodies such as Sport England, the Theatres Trust and the Garden History Society will no longer be required for those looking to build under the new plans being considered by ministers.

While consultees will not be completely removed from the process, it will no longer be mandatory for builders to receive the opinion of such bodies and their scope will be “narrowed to focus on heritage, safety and environmental protection”, according to the government.

It is hoped the slimming down of the process will reduce waiting times for projects.

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Mr Norris said the interjections of official bodies in planning decisions was causing a “bottleneck” in granting applications.

“I think viewers might be surprised to hear that there are two dozen-plus organisations that have to be consulted on planning applications – that’s providing a bit of a bottleneck, often not getting back in time,” he said.

He said that while members of Sport England were “fine people”, there was a case where the body held up the development in Bradford next to a cricket pitch.

“The hold up is around a disagreement on the speed at which cricket balls are hit,” he explained.

“So Sport England are querying the modelling of the speed at which the balls will be hit, and that, as a result, has meant that the whole process is now multiple years down the line, and there’s no build out.”

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Direct cost of Jaguar Land Rover cyber attack which impacted UK economic growth revealed

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Direct cost of Jaguar Land Rover cyber attack which impacted UK economic growth revealed

The cyber attack on Jaguar Land Rover (JLR), which halted production for nearly six weeks at its sites, cost the company roughly £200m, it has been revealed.

Latest accounts released on Friday showed “cyber-related costs” were £196m, which does not include the fall in sales.

Profits took a nose dive, falling from nearly £400m (£398m) a year ago to a loss of £485m in the three months to the end of September.

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Revenues dropped nearly 25% and the effects may continue as the manufacturing halt could slow sales in the final three months of the year, executives said.

The impact of the shutdown also hit factories across the car-making supply chain.

Slowing the UK economy

The production pause was a large contributor to a contraction in UK economic growth in September, official figures showed.

Had car output not fallen 28.6%, the UK economy would have grown by 0.1% during the month. Instead, it fell by 0.1%.

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How cyber attack ‘effectively hacked GDP’

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Reacting to JLR’s impact on the GDP contraction, its chief financial officer, Richard Molyneux, said it was “interesting to hear” and it “goes to reinforce” that JLR is really important in the UK economy.

The company, he said, is the “biggest exporter of goods in the entire country” and the effect on GDP “is a reflection of the success JLR has had in past years”.

Recovery

The company said operations were “pretty much back running as normal” and plants were “at or approaching capacity”.

Production of all luxury vehicles resumed.

Investigations are underway into the attack, with law enforcement in “many jurisdictions” involved, the company said.

When asked about the cause of the hack and the hackers, JLR said it was not in a position to answer questions due to the live investigation.

A run of attacks

The manufacturer was just one of a number of major companies to be seriously impacted by cyber criminals in recent months.

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Are we in a cyber attack ‘epidemic’?

High street retailer Marks and Spencer estimated the cost of its IT outage was roughly £136m. The sum only covers the cost of immediate incident systems response and recovery, as well as specialist legal and professional services support.

The Co-Op and Harrods also suffered service disruption caused by cyber attacks.

Four people were arrested by police investigating the incidents.

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Telegraph future in limbo again as RedBird abandons £500m deal

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Telegraph future in limbo again as RedBird abandons £500m deal

The future ownership of the Daily Telegraph has been plunged back into crisis after RedBird Capital Partners abandoned its proposed £500m takeover.

Sky News has learnt that a consortium led by RedBird and including the UAE-based investor IMI has formally withdrawn its offer to buy the right-leaning newspaper titles.

In a statement issued to Sky News, a RedBird Capital Partners spokesman confirmed: “RedBird has today withdrawn its bid for the Telegraph Media Group.

“We remain fully confident that the Telegraph and its world-class team have a bright future ahead of them and we will work hard to help secure a solution which is in the best interests of employees and readers.”

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The move comes nearly two-and-a-half years after the Telegraph’s future was plunged into doubt when its lenders seized control from the Barclay family, its long-standing proprietors.

RedBird IMI then extended financing which gave it a call option to own the newspapers, but its original proposal was thwarted by objections to foreign state ownership of British national newspapers.

A new deal was then stitched together which included funding from Daily Mail owner Lord Rothermere and Sir Leonard Blavatnik, the billionaire owner of sports streaming platform DAZN.

Under that deal, Abu Dhabi-based IMI would have taken a 15% stake in Telegraph Media Group.

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In recent weeks, RedBird principal Gerry Cardinale had reiterated his desire to own the titles despite apparently having been angered by reporting by Telegraph journalists which explored links between RedBird and Chinese state influences.

Unrest from the Telegraph newsroom is said to have been one of the main factors in RedBird’s decision to withdraw its offer.

The collapse of the deal means a further auction of the titles is now likely to take place in the new year.

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Budget 2025: Starmer and Reeves ditch plans to raise income tax

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Starmer and Reeves ditch plans to raise income tax in budget

Sir Keir Starmer and Rachel Reeves have scrapped plans to break their manifesto pledge and raise income tax rates in a massive U-turn less than two weeks from the budget.

The decision, first reported in the Financial Times, comes after a bruising few days which has brought about a change of heart in Downing Street.

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I understand Downing Street has backed down amid fears about the backlash from disgruntled MPs and voters.

The Treasury and Number 10 declined to comment.

The decision is a massive about-turn. In a news conference last week, the chancellor appeared to pave the way for manifesto-breaking tax rises in the budget on 26 November.

She spoke of difficult choices and insisted she could neither increase borrowing nor cut spending in order to stabilise the economy, telling the public “everyone has to play their part”.

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‘Aren’t you making a mockery of voters?’

The decision to backtrack was communicated to the Office for Budget Responsibility on Wednesday in a submission of “major measures”, according to the Financial Times.

The chancellor will now have to fill an estimated £30bn black hole with a series of narrower tax-raising measures and is also expected to freeze income tax thresholds for another two years beyond 2028, which should raise about £8bn.

Tory shadow business secretary Andrew Griffith said: “We’ve had the longest ever run-up to a budget, damaging the economy with uncertainty, and yet – with just days to go – it is clear there is chaos in No 10 and No 11.”

How did we get here?

For weeks, the government has been working up options to break the manifesto pledge not to raise income tax, national insurance or VAT on working people.

I was told only this week the option being worked up was to do a combination of tax rises and action on the two-child benefit cap in order for the prime minister to be able to argue that in breaking his manifesto pledges, he is trying his hardest to protect the poorest in society and those “working people” he has spoken of so endlessly.

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Ed Conway on the chancellor’s options

But days ago, officials and ministers were working on a proposal to lift the basic rate of income tax – perhaps by 2p – and then simultaneously cut national insurance contributions for those on the basic rate of income tax (those who earn up to £50,000 a year).

That way the chancellor can raise several billion in tax from those with the “broadest shoulders” – higher-rate taxpayers and pensioners or landlords, while also trying to protect “working people” earning salaries under £50,000 a year.

The chancellor was also going to take action on the two-child benefit cap in response to growing demand from the party to take action on child poverty. It is unclear whether those plans will now be shelved given the U-turn on income tax.

A rough week for the PM

The change of plan comes after the prime minister found himself engulfed in a leadership crisis after his allies warned rivals that he would fight any attempted post-budget coup.

It triggered a briefing war between Wes Streeting and anonymous Starmer allies attacking the health secretary as the chief traitor.

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The prime minister has since apologised to Mr Streeting, who I am told does not want to press for sackings in No 10 in the wake of the briefings against him.

But the saga has further damaged Sir Keir and increased concerns among MPs about his suitability to lead Labour into the next general election.

Insiders clearly concluded that the ill mood in the party, coupled with the recent hits to the PM’s political capital, makes manifesto-breaking tax rises simply too risky right now.

But it also adds to a sense of chaos, given the chancellor publicly pitch-rolled tax rises in last week’s news conference.

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