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Rachel Reeves has set out her spending review in the House of Commons.  

It outlines how much day-to-day funding government departments will get over the next three years, until 2029, which is used on things like wages.

It also covers a department’s investment (also known as capital) budget over the next four years, until the end of 2030. This money is used to pay for things like new infrastructure projects.

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The last spending review was held during the COVID-19 pandemic, and before that, in 2015.

Here’s what’s been announced:

Department winners and losers

Sky News’ data and economics editor, Ed Conway, has crunched the numbers to see which government departments have benefited after the spending review, and which have seemingly lost out.

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Ed Conway analyses the spending review

In the chart below sets out which departments are getting the biggest increase in their day-to-day budgets.

The second chart maps the biggest increases in capital spending.

Defence

Spending review

A major recipient of funds is the Ministry of Defence. Defence spending will rise from 2.3% of gross domestic product (GDP) to 2.6% by 2027. This equates to an £11bn uplift and a £600m uplift for security and intelligence agencies.

Within that there’ll be £4.5bn of investment in munitions made across the country and more than £6bn to upgrade to nuclear submarine production.

The department is one of the biggest winners of the spending review.

In total, an extra 3.8% will be spent from this year to the end of 2029, when the spending period ends.

Much of that increase will be capital spending – a rise of 7.3%, whereas day-to-day spending will only go up 0.7% in the same period.

Ms Reeves said it was because of cuts to foreign aid that such defence rises are possible.

The Foreign, Commonwealth and Development Office was among the biggest losers, with spending set to fall 8.3% in total over the next three years.

Its capital spending will drop 6.8%, with day-to-day spending down 6.9%.

NHS

Spending review

The chancellor announced an extra £29bn a year will be spent on the NHS, an annual rise of 3% on current levels.

She says she is increasing the NHS technology budget by almost 50%, and £10bn to bring the “analogue health system into the digital age”.

The department in control of the NHS, the Department of Health and Social Care, is also a “real big winner”, Ed Conway says.

Day-to-day spending will rise 2.8%, while there will be no increase in capital expenditure.

Asylum and border security

Spending review

The chancellor says border security funding will increase, with up to £280m more per year by the end of the spending review for the new Border Security Command.

She said the Home Secretary Yvette Cooper will end hotels being used to house asylum seekers by 2029.

The chancellor says funding she has announced today, including from the transformation fund, will also cut the asylum backlog, see more appeal cases heard and “return people who have no right to be here”.

This will save the taxpayer £1bn a year, she claimed.

As a result of these savings, the Home Office will have 1.4% less to spend by 2029, compared to this year.

Broken down on a day-to-day basis, it’s a 1.7% drop but a 0.7% rise in capital expenses.

Education and training

Spending review

The chancellor confirmed that free school meals will be extended to over half a million more children and said that the policy will lift 100,000 children out of poverty.

Nearly £2.3bn a year will go to fix crumbling classrooms. A further £2.4bn will be spent on rebuilding 500 schools.

Another record investment amount was announced by Ms Reeves for training and upskilling – £1.2bn a year by the end of the spending review will go to support more than a million young people into training and apprenticeships.

School-based nurseries have been given £370m. The core schools budget is rising by £3.5bn a year.

Housing

Spending review

Government funding of social and affordable housing has been allocated £39bn, over the next 10 years – which Ms Reeves called the “biggest cash injection into social housing in 50 years”.

She says she is providing an additional £10bn for financial investments, to be delivered through Homes England, to help unlock hundreds of thousands more homes.

Energy

Spending review

A commitment to nuclear power was reiterated, with £30bn allocated.

Of this, £14.2bn is being poured into the Sizewell C nuclear power station – which was announced earlier this week – on the Suffolk coastline.

Another £2.5bn will be invested in a new small modular reactor programme.

Science and technology

Spending review: science and technology

The chancellor says she wants the country’s high-tech industries in Britain to continue to lead the world in the years to come.

Research and development funding will go to a record high of £22bn a year by the end of the spending period.

Artificial Intelligence

The chancellor has backed “home-grown AI” with a £2bn investment.

She says the technology has the potential to “solve diverse and daunting challenges” and create “good jobs”.

Transport

Spending review

The chancellor announced £15bn for new rail, tram and bus networks across the West Midlands and the North. She’s also given the green light to a new rail line between Liverpool and Manchester.

She says investments in buses, train stations, metro lines and transit will be made in places including Rochdale, Merseyside, Birmingham and West Yorkshire.

In London, Ms Reeves says there will be a “four-year settlement” for the Transport for London and a “fourfold increase” in local transport grants by the end of this parliament.

As expected, the £3 bus cap has been extended to March 2027. It had been £2 up to the end of 2024.

Justice

The Ministry of Justice

To fund 14,000 new prison places, £7bn will be invested, with £700m a year going to reform the probation system.

In order to reach the goal of 13,000 more police officers in England and Wales, £2bn will be allocated.

Nations

On the nations of the UK, the chancellor announced:

• Scotland has been allocated £52bn
• Northern Ireland has been allocated £20bn
• Wales has been allocated £23bn.

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Britain is buying new air defence missile systems – but can they protect us?

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Britain is buying new air defence missile systems - but can they protect us?

The Ministry of Defence (MoD) has announced it will buy £118m worth of air defence missile systems for the British Army.

But will this new purchase protect an increasingly vulnerable UK from attack, and why now?

For more than 50 years, the British Army relied on the Rapier air defence missile system to protect deployed forces.

In 2021, that system was replaced by Sky Sabre.

Soldiers demonstrating the Sky Sabre air defence missile system. Pic: MoD
Image:
Soldiers demonstrating the Sky Sabre air defence missile system. Pic: MoD

The new system is mobile, ground-based, and designed to counter various aerial threats, including fighter aircraft, attack helicopters, drones, and guided munitions.

It’s known for its speed, accuracy, and ability to integrate with other military assets, including those of the Royal Navy and Royal Air Force (and NATO).

What is the Land Ceptor missile, and why do we need more of them?

Sky Sabre includes radar, command, and control capability and – most importantly – a missile to intercept incoming threats.

The Land Ceptor missile weighs around 100kg, has a 10kg warhead, and can intercept threats out to around 15 miles (25km), making it around three times more effective than the Rapier system it replaced.

The Land Ceptor missile during test-firing in Sweden in 2018. File pic: MoD
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The Land Ceptor missile during test-firing in Sweden in 2018. File pic: MoD

When the MoD made the decision to replace the Rapier system, the global threat environment was very different to that experienced today.

Since the end of the Cold War, the UK has been involved in expeditionary warfare – wars of choice – and generally against less capable adversaries.

So, although the Land Ceptor missile is very capable, defence planning assumptions (DPAs) were that they would not need to be used in a serious way, commensurate with the threat.

However, as the Russian invasion of Ukraine has demonstrated (as has the series of Iranian attacks on Israel), significantly larger stockpiles are required against a more capable enemy.

Sky Sabre has a surveillance radar. Pic: MoD
Image:
Sky Sabre has a surveillance radar. Pic: MoD

Is the UK vulnerable to missile attack?

In short, yes. Although the Land Ceptor missile does provide an excellent point-defence capability, it is not an effective counter to ballistic or hypersonic missiles – the Sea Viper mounted on Royal Navy Type 45 Destroyers using the Aster 30 missile has that capability.

In the Cold War, the UK had Bloodhound missiles deployed around the UK to provide a missile defence capability, but as the perceived risks to the UK abated following the collapse of the Soviet Union, UK missile defence fell down the priorities for the MoD.

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Although the radar based at RAF Fylingdales forms part of the Ballistic Missile Early Warning System (BMEWS), and can detect incoming threats, the UK no longer has an effective interceptor to protect critical national infrastructure.

Instead, the UK relies on the layered defences of European allies to act as a deterrence against attack.

In the near term, this timely order for Land Ceptor missiles doubles the British Army’s tactical capability.

However, as the conflicts in Ukraine and the Middle East have demonstrated, ballistic (and increasingly hypersonic) missiles are being produced in increasing quantity – and quality.

Without significant (and rapid) investment, this critical gap in national military capability leaves the UK vulnerable to attack.

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New dinosaur named after record-breaking yachtswoman

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New dinosaur named after record-breaking yachtswoman

A newly-discovered dinosaur with an “eye-catching sail” along its back and tail is to be named after record-breaking yachtswoman Dame Ellen MacArthur.

Istiorachis macaruthurae was identified and named by Jeremy Lockwood, a PhD student at the University of Portsmouth and the Natural History Museum.

Istiorachis means “sail spine” and macaruthurae is taken from the surname of Dame Ellen, who became famous for setting a record for the fastest solo non-stop round-the-world voyage in 2005.

Dame Ellen is from the Isle of Wight, where the creature’s fossils were found.

Jeremy Lockwood with the spinal column of the dinosaur. Pic: University of Portsmouth/PA
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Jeremy Lockwood with the spinal column of the dinosaur. Pic: University of Portsmouth/PA

Lockwood said the creature had particularly long neural spines. Pic: University of Portsmouth/PA
Image:
Lockwood said the creature had particularly long neural spines. Pic: University of Portsmouth/PA

Before Dr Lockwood analysed them, the fossils, which date back 125 million years, were thought to be from one of the two known iguanodontian dinosaur species from the island.

“But this one had particularly long neural spines, which was very unusual,” he said.

Writing in the scientific journal Papers in Palaeontology, Dr Lockwood said his study showed the dino would have probably had a pronounced sail-like structure along its back.

The exact purpose of such features “has long been debated, with theories ranging from body heat regulation to fat storage”.

In this case, researchers think it was most likely to be for “visual signalling, possibly as part of a sexual display”.

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Yachtswoman Dame Ellen MacArthur in 2014. File pic: PA
Image:
Yachtswoman Dame Ellen MacArthur in 2014. File pic: PA

For the study, the researchers compared the fossilised bones with a database of similar dinosaur backbones which allowed them to see how these sail-like formations had evolved.

Dr Lockwood said his team showed Istiorachis’s spines “weren’t just tall, they were more exaggerated than is usual in Iguanodon-like dinosaurs, which is exactly the kind of trait you’d expect to evolve through sexual selection”.

Professor Susannah Maidment, of the Natural History Museum, said: “Jeremy’s careful study of fossils that have been in museum collections for several years has brought to life the iguandontian dinosaurs of the Isle of Wight.

“His work highlights the importance of collections like those at [Isle Of Wight museum] Dinosaur Isle, where fossil specimens are preserved in perpetuity and can be studied and revised in the light of new data and new ideas about evolution.

“Over the past five years, Jeremy has single-handedly quadrupled the known diversity of the smaller iguanodontians on the Isle of Wight, and Istiorachis demonstrates we still have much to learn about Early Cretaceous ecosystems in the UK.”

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Shoreham air crash: Families mark 10 years since one of UK’s worst airshow disasters

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Shoreham air crash: Families mark 10 years since one of UK's worst airshow disasters

On the 10th anniversary of the Shoreham air disaster, the families of some of those killed have criticised the regulator for what they describe as a “shocking” ongoing attitude towards safety.

On 22 August 2015, a vintage fighter jet plummeted out of the sky and crashed into one of the busiest roads in Sussex, killing 11 men.

Most of them weren’t even watching the aerobatic display overhead when they were engulfed in a fireball that swept down the dual carriageway.

A crane removes the remains of the fighter jet that crashed on the A27. File pic: Reuters
Image:
A crane removes the remains of the fighter jet that crashed on the A27. File pic: Reuters

Jacob Schilt, 23, and his friend Matthew Grimstone, also 23, were driving to play in a match for their football team, Worthing United FC.

Both sets of parents are deeply angry that their beloved sons have lost their lives in this way.

“It obviously changed our lives forever, and it’s a huge reminder every 22nd of August, because it’s such a public anniversary. It’s destroyed our lives really,” his mum, Caroline Shilt, said.

“It was catastrophic for all of us,” Jacob’s father, Bob, added.

Jacob Schilt died in the Shoreham disaster
Image:
Jacob Schilt died in the Shoreham disaster

Matthew Grimstone on his 23rd birthday, the last before he died in the Shoreham disaster
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Matthew Grimstone on his 23rd birthday, the last before he died in the Shoreham disaster

‘They had no protection’

Sue and Phil Grimstone argue that the regulator, the Civil Aviation Authority (CAA), has not been held accountable for allowing the airshow to take place where it did.

“At Shoreham, the permission given by the CAA did not allow displaying aircraft to perform over paying spectators or their parked cars,” they said.

“But aircraft were permitted to fly aerobatics directly over the A27, which was in the display area, a known busy road.

“This was about ignoring the safety of people travelling on a major road in favour of having an air show. They had no protection.”

Sue and Phil Grimstone say the CAA has not been held accountable
Image:
Sue and Phil Grimstone say the CAA has not been held accountable

A programme for a memorial for Jacob Schilt and Matthew Grimstone
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A programme for a memorial for Jacob Schilt and Matthew Grimstone

Caroline and Bob Schilt
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Caroline and Bob Schilt

A series of catastrophic errors

The crash happened while the experienced pilot, Andy Hill, a former RAF instructor, was attempting to fly a loop in a 1950s Hawker Hunter jet.

But he made a series of catastrophic errors. His speed as the plane pitched up into the manoeuvre was far too slow, and therefore, he failed to get enough height to be able to pull out of the dive safely. The jet needed to be at least 1,500ft higher.

Mr Hill survived the crash but says he does not remember what happened, and a jury at the Old Bailey found him not guilty of gross negligence manslaughter in 2019.

Andrew Hill arrives at the Old Bailey in London in 2019.
Pic: PA
Image:
Andrew Hill arrives at the Old Bailey in London in 2019.
Pic: PA

When the inquest finally concluded in 2022, the coroner ruled the men had been unlawfully killed because of a series of “gross errors” committed by the pilot.

The rules around air shows have been tightened up since the crash, with stricter risk assessments, minimum height requirements, crowd protection distances, and checks on pilots.

But Jacob and Matt’s families believe the CAA still isn’t doing enough to protect people using roads near airshows, or other bystanders not attending the events themselves.

Emergency services attend the scene on the A27.
Pic: PA
Image:
Emergency services attend the scene on the A27.
Pic: PA

The families recently raised concerns about the Duxford airshow in a meeting with the CAA.

While aircraft are no longer allowed to fly aerobatics over the M11, they do so nearby – and can fly over the road at 200ft to reconfigure and return. If the M11 has queuing traffic in the area, the display must be stopped or curtailed.

The Grimstones believe this demonstrates accepting “an element of risk” and are frustrated that the CAA only commissioned an independent review looking at congested roads and third-party protection earlier this year.

“We feel the CAA are still dragging their feet when it comes to the safety of third parties on major roads directly near an air show,” they said.

The family have complained about the CAA to the parliamentary ombudsman.

A memorial for the Shoreham Airshow victims  on the banks of the Adur in Shoreham
Image:
A memorial for the Shoreham Airshow victims on the banks of the Adur in Shoreham

‘There are still question marks’

Some experts also believe the CAA has questions to answer about a previous incident involving Mr Hill, after organisers of the 2014 Southport Airshow brought his display to an emergency stop because he had flown too close to the crowd, and beneath the minimum height for his display.

In its investigation into the Shoreham disaster, the Air Accident Investigation Branch (AAIB) later found that while the CAA inspector present had an informal discussion with the pilot, no further action was taken, and the incident was not reported to the AAIB.

Retired pilot Steve Colman has spent many years looking into what happened at Shoreham, and he believes the CAA failed to fulfil their statutory obligation to fully investigate and report the incident at Southport.

“You have to ask the question – if the Southport incident had been investigated, then was Shoreham more likely or less likely to have occurred?” he said. “I think there can only be one answer – it’s less likely to have occurred.”

Tim Loughton, who was the MP for Shoreham at the time, believes a balance must be struck.

“We don’t want to regulate these events out of existence completely. A lot of the smaller air shows no longer happened because they couldn’t comply with the new regulations […], but certainly there are still question marks over the way the CAA conducted and continues to conduct itself. I would welcome more parliamentary scrutiny.”

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Shoreham air crash victims (from clockwise top left) Matthew Grimstone, Graham Mallinson, Tony Brightwell, Mark Reeves, Matt Jones, Maurice Abrahams, Richard Smith, Jacob Schilt, Daniele Polito, Mark Trussler, Dylan Archer
Image:
Shoreham air crash victims (from clockwise top left) Matthew Grimstone, Graham Mallinson, Tony Brightwell, Mark Reeves, Matt Jones, Maurice Abrahams, Richard Smith, Jacob Schilt, Daniele Polito, Mark Trussler, Dylan Archer

Rob Bishton, chief executive at the CAA, said: “Our thoughts remain with the families and friends of those affected by the Shoreham Airshow crash.

“Following the crash, several investigations and safety reviews were carried out to help prevent similar incidents in the future. This included an immediate review of airshow safety and a full investigation by the Air Accidents Investigation Branch. All recommendations and safety improvements from these reviews were fully implemented.

“Airshows continue to be subject to rigorous oversight to ensure the highest possible safety standards are maintained.

“At a previous airshow in 2014 the pilot involved in the Shoreham accident was instructed to abort a display by the show’s flying director. This incident was investigated by the UK Civil Aviation Authority and regulatory action was taken.”

Mr Bishton added: “As part of the work to review the safety oversight of airshows following the tragic Shoreham crash, the actions taken by the regulator following such a stop call were enhanced.”

But the families of those killed still believe much more could be done.

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