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“As far as I’m concerned, there’s only three ways to spend the taxpayers’ hard-earned when it comes for prisons. More walls, more bars and more guards.”

Prison reform is one of the hardest sells in government.

Hospitals, schools, defence – these are all things you would put on an election leaflet.

Even the less glamorous end of the spectrum – potholes and bin collections – are vote winners.

But prisons? Let’s face it, the governor’s quote from the Shawshank Redemption reflects public polling pretty accurately.

Right now, however, reform is unavoidable because the system is at breaking point.

It’s a phrase that is frequently used so carelessly that it’s been diluted into cliche. But in this instance, it is absolutely correct.

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Without some kind of intervention, the prison system is at breaking point.

It will break.

Inside Preston Prison

Ahead of the government’s Sentencing Review, expected to recommend more non-custodial sentences, I’ve been talking to staff and inmates at Preston Prison, a Category B men’s prison originally built in 1790.

Overcrowding is at 156% here, according to the Howard League.

Sophy Ridge talking outside Preston Prison
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Sophy Ridge talking outside Preston Prison

One prisoner I interviewed, in for burglary, was, until a few hours before, sharing his cell with his son.

It was his son’s first time in jail – but not his. He had been out of prison since he was a teenager. More than 30 years – in and out of prison.

His family didn’t like it, he said, and now he has, in his own words, dragged his son into it.

Sophie is a prison officer and one of those people who would be utterly brilliant doing absolutely anything, and is exactly the kind of person we should all want working in prisons.

She said the worst thing about the job is seeing young men, at 18, 19, in jail for the first time. Shellshocked. Mental health all over the place. Scared.

And then seeing them again a couple of years later.

And then again.

The same faces. The officers get to know them after a while, which in a way is nice but also terrible.

Sophy Ridge talking to one of the officers who works within Preston Prison
Image:
Sophy Ridge talking to one of the officers who works within Preston Prison

The £18bn spectre of reoffending

We know the stats about reoffending, but it floored me how the system is failing. It’s the same people. Again and again.

The Sentencing Review, which we’re just days away from, will almost certainly recommend fewer people go to prison, introducing more non-custodial or community sentencing and scrapping short sentences that don’t rehabilitate but instead just start people off on the reoffending merry-go-round, like some kind of sick ride.

But they’ll do it on the grounds of cost (reoffending costs £18bn a year, a prison place costs £60,000 a year, community sentences around £4,500 per person).

They’ll do it because prisons are full (one of Keir Starmer’s first acts was being forced to let prisoners out early because there was no space).

If the government wants to be brave, however, it should do it on the grounds of reform, because prison is not working and because there must be a better way.

Inside Preston Prison, Sky News saw firsthand a system truly at breaking point - picture of a prison officer's back with HMP Preston written on it.
Image:
Inside Preston Prison, Sky News saw first-hand a system truly at breaking point

A cold, hard look

I’ve visited prisons before, as part of my job, but this was different.

Before it felt like a PR exercise, I was taken to one room in a pristine modern prison where prisoners were learning rehabilitation skills.

This time, I felt like I really got under the skin of Preston Prison.

It’s important to say that this is a good prison, run by a thoughtful governor with staff that truly care.

But it’s still bloody hard.

“You have to be able to switch off,” one officer told me, “Because the things you see….”

Staff are stretched and many are inexperienced because of high turnover.

After a while, I understood something that had been nagging me. Why have I been given this access? Why are people being so open with me? This isn’t what usually happens with prisons and journalists.

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That’s when I understood.

They want people to know. They want people to know that yes, they do an incredible job and prisons aren’t perfect, but they’re not as bad as you think.

But that’s despite the government, not because of it.

Sometimes the worst thing you can do on limited resources is to work so hard you push yourself to the brink, so the system itself doesn’t break, because then people think ‘well maybe we can continue like this after all… maybe it’s okay’.

But things aren’t okay. When people say the system is at breaking point – this time it isn’t a cliche.

They really mean it.

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UK sanctions Kyrgyz banks, $9.3B crypto network tied to Russia

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UK sanctions Kyrgyz banks, .3B crypto network tied to Russia

UK sanctions Kyrgyz banks, .3B crypto network tied to Russia

The UK sanctioned Kyrgyz banks, crypto exchanges and individuals tied to Russia’s ruble-backed stablecoin.

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Gemini receives MiCA license in Malta after May derivatives approval

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Gemini receives MiCA license in Malta after May derivatives approval

Gemini receives MiCA license in Malta after May derivatives approval

The Winklevoss twins-owned Gemini exchange continues its expansion in Europe, securing a Markets in Crypto-Assets Regulation license in Malta.

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Surprise good news as government borrowing less than forecast

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Surprise good news as government borrowing less than forecast

The government borrowed the least amount of money in three years last month, official figures showed, in a surprise bout of good news for Chancellor Rachel Reeves.

Not since July 2021, in the midst of the COVID-19 pandemic, was state borrowing so low, according to data from the Office for National Statistics (ONS).

Increases in tax and national insurance receipts meant public sector net borrowing was £1.1bn in July, meaning there was a £1.1bn gap between government spending and income.

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That borrowing is less than half the figure (£2.6bn) expected by economists polled by the Reuters news agency, as self-assessed income tax was £600m higher than expected.

But borrowing was still £6bn higher in the first four months of the financial year, which started in April, than the same period in 2024.

Despite a £2.3bn drop in monthly borrowing when July 2025 is compared with July 2024, the state still spent more on the cost of that lending.

The amount of interest paid on government debt was £7.1bn, £200m more than a year earlier.

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The cost of government borrowing has increased in recent months as the interest rate investors demand on loans issued to the UK (bonds) rose.

At the start of the week, the government’s long-term borrowing cost, as measured by the interest rate on 30-year bonds (known as the gilt yield), closed at the highest level since 1998.

What does it mean for the chancellor?

The monthly borrowing data is in line with the predictions made by independent forecasters, the Office for Budget Responsibility (OBR).

It may not be as rosy a picture, however, as research firm Capital Economics point out the cumulative budget deficit, rather than a monthly figure, is £5.7bn above the OBR’s forecast.

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Are taxes going to rise?

This matters for the chancellor’s self-imposed fiscal rules, to bring down government debt and balance the budget by 2030, the firm said.

“The chancellor will probably need to raise taxes by £17bn to £27bn at the budget later this year,” Capital Economics’ UK economist Alex Kerr said.

Elevated self-assessment income tax receipts “may just reflect the timing of tax returns being recorded, and receipts in August may be weaker than expected”, he added.

Responding to the figures, Ms Reeves’s deputy, chief secretary to the Treasury, Darren Jones, said: “Far too much taxpayer money is spent on interest payments for the longstanding national debt.

“That’s why we’re driving down government borrowing over the course of the parliament – so working people don’t have to foot the bill and we can invest in better schools, hospitals, and services for working families.”

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