Tag: Treasury

The press release issued by HM Treasury on 29 January 2025.

Chancellor unveils new plans to deliver the Oxford-Cambridge Growth Corridor that will boost the UK economy by up to £78 billion by 2035.

Chancellor Rachel Reeves will today vow to go “further and faster” to kick start the economy, as she unveils new plans to deliver the Oxford-Cambridge Growth Corridor that will boost the UK economy by up to £78 billion by 2035 according to industry experts.

In a speech in Oxfordshire, the Chancellor will tell regional and business leaders that economic growth is the number one mission of this government and its Plan for Change. She will declare that Britain’s economy has “huge potential” and is at the “forefront of some of the most exciting developments in the world like artificial intelligence and life sciences.”

She will back the redevelopment of Old Trafford and will review the Green Book – the government’s guidance on appraisal – in order to support decisions on public investment across the country, including outside London and the Southeast.

The speech comes after the Chancellor last week announced a new approach for the National Wealth Fund (NWF) and the Office for Investment (OfI) to work with local leaders to build pipelines of incoming investment and projects linked to regional growth priorities. This includes the NWF trialling Strategic Partnerships in Greater Manchester, West Yorkshire, West Midlands, and Glasgow City Region and the OfI piloting an approach in the Liverpool City Region and the North East Combined Authority to connect their regions to central government and industry expertise in order to unlock private investment.

Reeves will say “low growth is not our destiny, but that economic growth will not come without a fight. Without a government that is on the side of working people. Willing to take the right decisions now to change our country’s course for the better.”

The Chancellor is expected to say:

Britain is a country of huge potential. A country of strong communities, with local businesses at their heart.

We are the forefront of some of the most exciting developments in the world like artificial intelligence and life sciences. We have great companies based here delivering jobs and investment in Britain.

And we have fundamental strengths – in our history, our language, and our legal system – to compete in a global economy.

But for too long, that potential has been held back. For too long, we have accepted low expectations, accepted stagnation and accepted the risk of decline. We can do so much better.

Low growth is not our destiny. But growth will not come without a fight. Without a government that is on the side of working people. Willing to take the right decisions now to change our country’s course for the better.

That’s what our Plan for Change is about. That is what drives me as Chancellor. And it is what I’m determined to deliver.

In her speech the Chancellor will announce:

• The Environment Agency has lifted its objections to a new development around Cambridge that could unlock 4,500 new homes and associated community spaces such as schools and leisure facilities as well as office and laboratory space in Cambridge City Centre. This was only possible as a result of the government working closely with councils and regulators to find creative solutions to unlock growth and address environmental pressures.
• That the government has agreed for water companies to unlock £7.9bn investment for the next 5 years to improve our water infrastructure and provide a foundation for growth. This includes nine new reservoirs, such as the new Fens Reservoir serving Cambridge and the Abingdon Reservoir near Oxford.
• Confirming funding towards better transport links in the region including funding for East-West Rail, with new services between Oxford and Milton Keynes this year and upgrading the A428 to reduce journey times between Milton Keynes and Cambridge.
• Prioritisation of a new Cambridge Cancer Research Hospital as part of the New Hospitals Programme bringing together Cambridge University, Addenbrookes Hospital and Cancer Research UK.
• Support for the development of new and expanded communities in the Oxford-Cambridge Growth Corridor and a new East Coast Mainline station in Tempsford, to expand the region’s economy.
• That she welcomes Cambridge University’s proposal for a new large scale innovation hub in the city centre. As the world’s leading science and tech cluster by intensity, Cambridge will play a crucial part in the government’s modern Industrial Strategy.
• A new Growth Commission for Oxford, inspired by the Cambridge model, to review how best we can unlock and accelerate nationally significant growth for the city and surrounding area.
• Appointment of Sir Patrick Vallance as Oxford-Cambridge Growth Corridor Champion to provide senior leadership to ensure the Government’s ambitions are delivered.

The Chancellor is expected to say:

Oxford and Cambridge offer huge economic potential for our nation’s growth prospects.

Just 66 miles apart these cities are home to two of the best universities in the world two of the most intensive innovation clusters in the world and the area is a hub for globally renowned science and technology firms in life sciences, manufacturing, and AI.

It has the potential to be Europe’s Silicon Valley. The home of British innovation.

To grow, these world-class companies need world-class talent who should be able to get to work quickly and find somewhere to live in the local area. But to get from Oxford to Cambridge by train takes two and a half hours.

There is no way to commute directly from places like Bedford and Milton Keynes to Cambridge by rail. And there is a lack of affordable housing across the region.

Oxford and Cambridge are two of the least affordable cities in the UK. In other words, the demand is there but there are far too many supply side constraints on economic growth in the region.

Designed to take advantage of the region’s unique strengths and potential, the announcements are further evidence of the government’s modern Industrial Strategy in action as it seeks to create the right conditions to increase investment in our leading growth sectors like life sciences, artificial intelligence and advanced manufacturing.

She will add:

Taken together, these announcements show that for the first time a government is providing real leadership to deliver this project with a clear strategy for the entire region backed by funding for the housing and infrastructure we so badly need.

The speech comes after the Chancellor last week announced a package of investment reforms to spur regional growth across the UK. Rachel Reeves set out a new approach for the National Wealth Fund (NWF) and the Office for Investment (OfI) to work with local leaders to build pipelines of incoming investment and projects linked to regional growth priorities. Putting local knowledge and leadership at the forefront, there will be tailored strategies for each region to ensure investment matches local needs and drives sustainable growth. Putting the government’s Plan for Change into action, the Chancellor set out that the goal is to harness growth everywhere to rebuild Britain and usher in a decade of national renewal. Measures included the NWF trialling Strategic Partnerships in Greater Manchester, West Yorkshire, West Midlands, and Glasgow City Region and the OfI piloting an approach in the Liverpool City Region and the North East Combined Authority to connect their regions to central government and industry expertise in order to unlock private investment.

Science Minister, Lord Patrick Vallance said:

The UK has all the ingredients to replicate the success of Silicon Valley or the Boston Cluster but for too long has been constrained by short termism and a lack of direction.

This government’s Plan for Change will see an end to that defeatism. I look forward to working with local leaders to fulfil the Oxford-Cambridge corridor’s potential by building on its existing strengths in academia, life sciences, semiconductors, AI and green technology amongst others.

Together we will build the infrastructure and partnerships needed to join up this region’s academia, investors and business so that we can boost growth, deliver innovations and create new jobs that improve all our lives.

Transport Secretary, Heidi Alexander said:

Well connected communities are a cornerstone for growth. East West Rail will not only provide better links and lasting benefits to Oxford and Cambridge, but to all the surrounding areas.

I’m also delighted to announce a brand new station at Tempsford, which will be game changing for the region – allowing a new community and businesses to grow, unlocking faster and smoother access to opportunities, and delivering on the Government’s Plan for Change.

More details

• Yesterday, Moderna completed the build for their new vaccine production and R&D site in Harwell, Oxfordshire. They have committed to invest over £1 billion in R&D in the UK, strengthening our position as a global leader in biopharmaceutical innovation.
• £78 billion added to the UK economy. Source: Public First research for the Oxford-Cambridge Supercluster Board (2025).

---

• Dr Andy Williams, Chair of the Oxford-Cambridge Supercluster Board said:

The announcements today are extremely positive for the region and for the country. As Chair of the OxCam Supercluster Board, which comprises 45 members across business, academia, and investors, we know that the region has the potential to deliver truly remarkable growth in the coming decade and beyond, as evidenced by the research published this week. Achieving £78 billion in cumulative economic value by 2035 requires us to work dynamically and pro-actively across government, the private sector, educational institutions, and the investment community, to fully harness OxCam’s strengths and address its weaknesses. With the experience and knowledge of Lord Patrick Vallance leading this effort, we are excited by the opportunity to co-design a policy prospectus that will allow the OxCam Growth Corridor to realise its potential as a global centre for science and innovation.

• Dipesh J. Shah OBE, Chair of the Oxford to Cambridge Partnership said:

I welcome the Chancellor’s drive to accelerate growth in the Oxford to Cambridge corridor and her support for strategic investments in enabling infrastructure. The region houses internationally acclaimed clusters of innovation in each of the growth sectors for the nation. Already one of the world’s great science powerhouses, the region’s full potential will rely on connecting its incredible ecosystems of businesses, places and communities. Investments announced today will spur more and will help local leaders to deliver on their ambitious plans for their communities.

• Professor Alistair Fitt, Chair of Arc Universities Group and Vice-Chancellor Oxford Brookes University said:

This region hosts a great diversity and scale of universities. Together we offer a wide range of key contributions: globally renowned research brilliance, the powerhouse of skills provision provided by cutting edge teaching, world class knowledge transfer and commercialisation. Our universities, working in close partnership, in alliance with others – particular the private sector – are organised into the Arc Universities Group.  We stand ready for the challenge. We welcome the oversight and experience that the leadership of Lord Patrick Vallance brings to the region, and we look forward to helping deliver the Chancellor’s aspirations for growth.

• Darius Hughes, UK General Manager for Moderna said:

We are proud to call Oxfordshire our home with the recent completion of construction of the Moderna Innovation and Technology Centre in Harwell. Today’s announcement demonstrates the government’s commitment to growth and innovation, and we look forward to delivering British-made vaccines to the UK public, advancing cutting-edge research, and strengthening partnerships in this globally significant region.

• Steve Bates, CEO of the UK Bioindustry Association said:

The UK is a global leader in biotech innovation and attracts the most venture capital in Europe. New figures we’ve published this week show that biotech is a vibrant growth sector of the UK economy with an exceptional ability to attract global investment. Delivering the infrastructure needed to support the growth at pace – especially in the Oxford Cambridge growth corridor- is key to the success of our sector.

---

• The government is continuing to work with local partners to deliver sustainable growth in Cambridge, with the additional homes and infrastructure the city needs. Peter Freeman and the Cambridge Growth Company are building the evidence base for an infrastructure-first growth strategy to realise the full potential of Cambridge and improve lives for residents.
• The Chancellor today announced that delivery of a new East Coast Mainline station in Tempsford will be accelerated by 3-5 years. The station will link services directly to London, with services in under an hour. It will eventually also be an interchange with the East West Rail station.
• The A428 (Black Cat to Caxton Gibbet) scheme will improve journeys between Milton Keynes, Bedford and Cambridge. The scheme will see a new 10-mile dual carriageway delivered, as well as three grade separated junctions, three tier at Black Cat roundabout (A1/A421) and two tier at Cambridge Road (B1428) and Caxton Gibbet (A428/A1198) junctions, respectively. Main construction began in December 2023 and the road is expected to open in 2027.
• The Environment Agency have lifted their opposition to new development around Cambridge (Waterbeach and the Beehive centre). This unlocks the delivery of 4,500 new homes and associated community spaces such as schools and leisure facilities as well as office and laboratory space in Cambridge City Centre. This demonstrates how the government, councils, and regulators are working together to find solutions that unlock growth and address environmental pressures.
• The government has agreed water companies’ water resources management plans, including Cambridge Water’s, unlocking a now-confirmed £7.9bn investment in water resources in the next 5 years to provide a foundation for growth and improving our water infrastructure. These plans include nine new reservoirs, including the new Fens Reservoir serving Cambridge to South East Strategic Reservoir Option (Abingdon Reservoir) near Oxford.
• The Chancellor will announce a new Growth Commission for Oxford, similar to the Cambridge Growth Company to bring together key stakeholders across the city and review how best to tackle the barriers that are constraining development of new housing and infrastructure to accelerate growth in the city.
• AI Growth Zones, as recommended in the AI Action Plan launched by the PM earlier this month, are designated areas designed to fast-track the development of AI-focused data centres and supporting infrastructure. By concentrating government support on planning and energy, AIGZs aim to attract significant private investment, accelerate the build-out of critical AI infrastructure, and drive local economic regeneration. The first AI Growth Zone will be in Culham, Oxfordshire.
• On Monday 20th January the Health Secretary announced the Cambridge Cancer Research Hospital is being prioritised for investment as part of wave 1 of the New Hospital Programme. This scheme will improve cancer survival rates by centralising Cambridge University Hospital cancer services under one roof and will further improve the proposition for the life sciences sector in the region, with AstraZeneca and CRUK researchers co-located at the facility, integrating the clinical and research models of cancer services. In doing so it will help create three new research institutes to be integrated with NHS clinical care helping to provide 10 new clinical trials per year and foster increased collaboration between top scientists and clinicians.
• The Chancellor will welcome Cambridge University’s plans for a new largescale innovation hub in the heart of the city. The Global Innovation Index (GII) 2024 has ranked Cambridge as the world’s leading science and technological cluster by intensity for the third consecutive year.

The press release issued by HM Treasury on 20 January 2025.

Financial services sector set for key role in designing first-ever Financial Services Growth and Competitiveness Strategy.

The financial services sector is set to play a key role in designing the first ever Financial Services Growth and Competitiveness Strategy.

The Chancellor will host a series of Industry Forums with industry – covering the entire breadth of the financial services sector – to seek views about the best way to deliver long-term in the sector and across the country.

The Strategy, set to be published in the spring, aims to develop policies that foster growth in the financial services sector, as part of the Plan for Change to grow the economy and put more money in people’s pockets.

Recognising its importance, financial services has been identified as one of the eight key growth-driving sectors in the government’s Modern Industrial Strategy.

The Industry Forums, alongside extensive further engagement at official and ministerial levels, will ensure that industry and senior stakeholders are closely involved in the development of the upcoming Financial Services Growth and Competitiveness Strategy, so that it tackles the key issues that matter most to the industry.

This will ensure that policy is informed by financial services professionals who know first-hand what is needed to deliver growth in each of the significant areas of financial services.

Over the coming weeks, the Chancellor and the Economic Secretary will chair the first of these Industry Forums bringing in leaders from retail banking, wholesale and international banking, insurance and reinsurance, asset management, fintech, and the mutuals and co-operatives sector.

These sessions will build on the government’s Call for Evidence to inform the Strategy, which closed in December 2024.

The Chancellor of the Exchequer, Rachel Reeves said:

Growth is my number one mission. It’s the only way to put more money in people’s pockets and key to our Plan for Change.

The financial services sector is at the heart of this mission, supporting economic activity and financing investment across the country.

I am committed to working hand-in-hand with the industry to make sure that our plans are informed by those who both provide and utilise financial services, including those who know first-hand what is needed to unlock growth in, and drive prosperity through, our world-leading financial services sector.

The first meetings of the Industry Forums will run throughout January and February, reconvening ahead of the government’s publication of the Financial Services Growth and Competitiveness Strategy as part of the Industrial Strategy later this year.

The government will continue to work closely with industry following the publication of the Strategy, to ensure that it is implemented effectively.

The press release issued by HM Treasury on 15 January 2025.

The National Wealth Fund has fuelled 8,600 jobs in the last six months, unlocking almost £1.6 billion of private investment, driving growth across the UK.

The Chancellor began work just days into office to establish a new National Wealth Fund (NWF) that would invest in the new industries of the future to create good jobs and opportunity across every part of the country.

With £27.8 billion of firepower, the National Wealth Fund will help drive the government’s Plan for Change and turbocharge growth across the country to raise living standards in every part of the United Kingdom.

The jobs that have been created will support the digital and clean energy sectors, including 6,500 expected to be created in the retrofit sector across the UK, with the National Wealth Fund providing a financial guarantee that will see Lloyds and Barclays deliver £1 billion of funding to deliver improvements such as low carbon heating and insulation in social housing.

New figures reveal almost £1.6 billion of private investment has been leveraged into projects across the UK’s clean energy and growth sectors over the past six months. This includes to support faster broadband connections for thousands of businesses and households in Cornwall, Yorkshire, Lincolnshire and Cumbria, fuelling economic growth.

Millions of pounds have also been committed to help West Suffolk Council to decarbonise its buildings and transition its fleet to electric vehicles, alongside supporting the expansion of a successful rooftop solar scheme. This innovative investment model has the potential to be replicated by other local authorities and means more businesses can benefit from low cost, low carbon electricity, supporting local businesses and the growth of the clean energy sector.

It comes as today, the National Wealth Fund announces a loan of £92 million to support Denbighshire County Council’s crucial improvements to coastal flood defence barriers in Denbighshire, North Wales, protecting businesses and homes against the devastating impact of flooding, creating jobs and growth in the construction industry.

Chief Secretary to the Treasury, Darren Jones said:

Growth is our national mission, and the cornerstone of our Plan for Change that will improve living standards and put more money in people’s pockets.

And the National Wealth Fund is playing a vital part in delivering economic growth, securing over a billion of private investment since July in industries that turbocharge growth in our economy and create good quality jobs across the UK.

The Chancellor announced in October how the National Wealth Fund would drive long-term investment in Britain, working hand in hand with business to create new high skilled jobs right across the UK, helping make people better off.

To mobilise investment at pace, the NWF will expand on the UK Infrastructure Bank’s offer including additional financial instruments so it is more catalytic and will take on more risk to have a greater impact:

• The NWF has more capital with £27.8 billion – inheriting UK Infrastructure Bank’s £22 billion and having an additional £5.8 billion.
• It has a renewed focus to support the delivery of the wider industrial strategy and the Government’s clean energy and growth missions. At least £5.8 billion of the NWF’s capital will focus on the five sectors announced in the manifesto: green hydrogen, carbon capture, ports, gigafactories and green steel.
• The NWF will have increased resources and focus on conducting more outreach to identify expanded project pipelines and structure innovative transactions.
• It will have a strong regional mandate to unleash the full potential of our cities and regions.

The press release issued by HM Treasury on 11 January 2025.

Closer financial services links with China to support secure and resilient growth in UK as government’s number one mission.

• Lifting of market access barriers across areas such as agri-food, helping British business compete on level-playing field and grow exports.
• Pragmatic cooperation results in agreements worth £600 million to the UK economy over the next five years and sets course to deliver up to £1 billion.
• The UK continues to challenge China on areas of disagreement, with the Chancellor raising concerns over China’s support for Russia’s illegal war, domestic interference and sanctions against British parliamentarians.

Working people and businesses across the UK will feel the benefits of agreements worth £600 million to the British economy, as agreed in the 2025 UK-China Economic and Financial Dialogue (EFD).

Chancellor Rachel Reeves was hosted by Vice Premier He Lifeng in Beijing today, in support of a stable and balanced UK-China relationship. Both sides agreed to deeper cooperation across areas such as financial services, trade, investment, and the climate to support secure growth, while being frank and open on areas of disagreement.

Overall, this government’s reengagement with China sets us on course to deliver up to £1 billion of value for the UK economy.

Chancellor of the Exchequer Rachel Reeves said:

The agreements we’ve reached show that pragmatic cooperation between the world’s largest economies can help us boost economic growth for the benefit of working people – a priority of our Plan for Change.

More widely, today is a platform for respectful and consistent future relations with China. One where we can be frank and open on areas where we disagree, protecting our values and security interests, and finding opportunities for safe trade and investment.

Britain is a leading financial services partner for China. A range of financial services companies with a substantial presence in the market – HSBC, Standard Chartered, Prudential, Schroders, abdrn, Fidelity International and London Stock Exchange Group – accompanied the Chancellor as a business delegation on the trip. The granting of new licences and quota allocations for UK firms such as HSBC, Schroders, abrdn and Aspect Capital to enhance their business in China will further strengthen these ties.

Alongside this are initiatives to improve capital market connectivity – including a commitment to further enhance the UK-China Stock Connect and welcoming the launch of UK-China over-the-counter bond business – as well as initiatives on pensions, countering illicit finance and sustainable finance cooperation.

As part of this, China announced plans to issue an inaugural overseas sovereign green bond – to be used to finance environmentally sustainable projects – in London during 2025. The UK and China will also explore a Wealth Connect programme in recognition of the role asset management has to play in supporting growth. The agreements today in financial services will provide significant value to the UK economy over the next five years.

Both sides have committed to improving existing channels to discuss more sensitive issues, including the need to speak candidly about national and economic security. In her engagement, the Chancellor made clear UK concerns about imbalances in the Chinese economy, and both sides agreed to discuss industrial policy in support of a global level playing field.

The UK and China have agreed to further cooperation including through strengthening the existing UK-China clean energy partnership and committing to a dialogue on international development – to work together in tackling shared global challenges.

The lifting of barriers that restricted export to China across a range of goods and services will support UK exports and innovation, particularly in the agri-food sector where a package headlined by pork, wool, poultry, and pet food stands to boost UK trade with China and support new jobs. China has also agreed to continue to liberalise sectors that restrict foreign investment, such as education and culture, and support a level playing field and fair competition.

The EFD is also part of a wider programme making substantive progress in improving arrangements for UK exports and investors.  This is reflected in new agreements on vaccine approvals, fertilizer, whisky labelling, legal services, automotives and accountancy which set course for the EFD to unlock £1 billion of value for the UK economy.

In her meetings with Chinese government counterparts today, the Chancellor was clear on the importance of open channels on areas where we disagree. She urged China to cease its support for Russia’s defence industrial base, which is enabling Russia to maintain its illegal war against Ukraine.

In recognition that upholding national security is this government’s first duty, the Chancellor raised this government’s deep concerns over cases involving interference in our democracy and malicious cyber activity emanating from China. Reeves also raised the case of British National Jimmy Lai and raised UK concerns around the respect of protected rights and freedoms in Hong Kong.

She raised human rights, including in Xinjiang, and forced labour. The Chancellor made clear that China’s sanctions against Parliamentarians are completely unwarranted and unacceptable.

Looking ahead, regular dialogues and technical exchanges to progress pragmatic cooperation have been established. This includes further engagement at Ministerial and official level on trade, science and tech, intellectual property, customs, sports and creative industries.

Notes to editors

• A full list of outcomes from the 2025 UK-China Economic and Financial Dialogue can be found here.
• The boost to trade includes estimates from the Department for Business and Trade and industry. Further details on the methodology can be found here.

Stakeholder reaction

Sir Mark Tucker, HSBC Group Chairman said:

We welcome the fact that the UK China Economic and Financial Dialogue – and the Financial Services Summit – are taking place for the first time since 2019.

China is the world’s second largest economy, the world’s top goods exporter, second largest source of merchandise imports and the UK’s 4th largest trading partner. Deepening the UK-China partnership on trade, investment, finance, health, education and climate change amongst other priority areas, is vital to delivering growth, investment and high-quality jobs for both China and the UK.

Our focus is to continue contributing to that ambitious agenda and to a mutually beneficial programme of UK-China economic and financial co-operation going forward.

José Viñals, Group Chairman of Standard Chartered, said:

The UK-China Economic and Financial Dialogue is both valuable and important to us and our clients. As a UK-headquartered bank with a long history in China, we continue to see significant growth potential and opportunities to collaborate, as evidenced by the permission to trade China Treasury Bond Futures and receipt of our Type A Bond Underwriting licence. Looking ahead, we encourage further cooperation between our two markets and are enthusiastic about what we, and partner financial institutions, can do to help deliver impactful initiatives such as those in sustainable and transition finance.

Richard Oldfield, Group Chief Executive, Schroders, said:

China has long been an important strategic focus for Schroders; we have been committed to the market for more than 30 years having established our first office in Shanghai in 1994.

We are honoured to be supporting the UK-China Economic and Financial Dialogue, further underscoring our commitment to China.

Over the years, as the market has increasingly opened up, we have been a leader in developing a compelling active investment proposition in the region, grounded in strategic partnerships, supported by a hugely talented team and strong public markets and private assets capabilities.

More recently, we have started to manage money invested into Chinese renewable infrastructure, enabling our clients to meet their emissions targets through investing in high-quality clean generation in China. It is the largest renewables market in the world, and we are focused on enabling the transition from fossil to renewable generation.

Lord Sassoon, President of the China-Britain Business Council:

UK-China Economic and Financial Dialogues have had a significant impact on generating investment, jobs and profitable business for the UK over many years. The resumption of the EFD is welcomed by our members, both in financial and professional services, but also across the wider economy.

CBBC looks forward to hosting a roundtable in Shanghai tomorrow at which British businesses will share with the Chancellor what further market opening and other support they need to grow their business with China.

Miles Celic, CEO of TCUK:

This has been a constructive, practical and ambitious gathering. The British and Chinese financial and professional services industries have a clear and growing role to play in deepening trade and investment between our countries. In the process, we can help as both our societies adapt to ageing populations and move towards Net Zero.

Sir Douglas Flint, Chairman, abrdn;

The resumption of high-level ministerial engagement after a gap of five years has been hugely constructive to opening dialogue to explore and fulfil business opportunities for mutual benefit.

Jonathan Eckley, Agriculture and Horticulture Development Board (AHDB) Interim International Trade Development Director, said:

China is our biggest market for pig meat exports which offers significant opportunities for the UK. The re-listing of two UK sites in December to export to China was an incredibly positive end to 2024 and a great example of collaboration between many stakeholders including government departments, industry and AHDB.

The Economic and Financial Dialogue (EFD) illustrates the further strengthening of our trade relationship with China which we welcome, and we look forward to continuing working with government and industry to explore opportunities for our sectors in this important market.

Neil Willis, Cranswick PLC Director said:

The relisting of UK Pork establishments is a positive step forward and we welcome the effort made by the current UK Government in resolving the approval situation at our Norfolk facility. We look forward to continued collaboration and a proactive approach to safeguarding market access and ensuring uninterrupted trade relationships.

Alan Vallance, ICAEW Chief Executive, said:

I am proud and honoured to have attended the Financial Services Summit and I thank the organisers for their invitation to attend.

Professional and business services have been identified as a growth sector in the UK government’s industrial strategy, so we are delighted by the commitment to accountancy and look forward to working with the CICPA on mutual examination exemptions. Additionally, we’ll continue to work in partnership with our counterparts in China on common areas, like accountancy standards and sustainability, as part of our work in the public interest.

We look forward to working closely with both governments to help them deliver on their ambition to unlock economic growth.

A spokesperson for the British Poultry Council said:

We are thrilled to see the Chancellor prioritising UK poultry meat in the Economic and Financial dialogue with China. Launching discussions on lifting the HPAI ban, introducing regionalisation, restoring trade in high-value breeding stock, and resuming market access talks are key milestones for growth in British poultry meat. These steps are set to drive innovation, create jobs, and boost exports.

Contributing to food security both at home and abroad, such talks reinforce the UK’s position as a global leader in the sector. Thank you to the Agriculture, Food and Drink Counsellor for your support, along with all the government officials in Defra and DBT involved. Working together means building a robust foundation for growth, ensuring the continued success of British poultry meat.

A spokesperson for the Pet Industry Federation (PIF) said:

The Pet Industry Federation fully supports the UK government in committing to a pet food protocol that would enable the export of UK pet food to China. We have seen first-hand the significant enthusiasm from Chinese state officials to facilitate these exports. This presents a major opportunity for UK pet food manufacturers to access one of the world’s largest and fastest-growing markets for pet products.

At present, several EU countries and the USA are able to export pet food to China, which gives them a competitive edge. By securing a similar agreement, the UK can unlock substantial economic benefits, bolster the global reputation of our pet food industry, and take advantage of the strong demand for high-quality UK products overseas. We welcome the Government prioritising this protocol to ensure the UK does not miss out on this vital opportunity.

A spokesperson for UK Pet Food said:

UK Pet Food welcomes the commitment to sign the pet food protocol as part of the Economic and Financial Dialogue in China. This fundamental agreement represents a major step forward in enabling UK pet food manufacturers to access the Chinese market, reflecting the sector’s commitment to producing high-quality, safe, and innovative products. We are confident that this protocol will strengthen bilateral trade relations and create significant opportunities for the UK pet food industry.

By fostering partnerships with the Chinese market, this agreement not only supports the growth of our sector but also meets the rising global demand for premium pet food. UK Pet Food is committed to working closely with the UK government and industry stakeholders to ensure the protocol’s successful implementation and to build long-term cooperation.

A GlaxoSmithKline spokesperson said:

GSK supports the UK-China Economic Financial Dialogue recognizing its importance in fostering mutual growth in healthcare, getting ahead of disease by preventing it with GSK innovative solutions.

A spokesperson for the Association of British HealthTech Industries said:

To ensure equity of access for patients around the world to HealthTech that enhances and saves lives, regulatory harmonisation is a goal we fully support.

The press release issued by HM Treasury on 8 January 2025.

The UK Government has today (8th January 2025) announced a full asset freeze against Blood and Honour, an entity it has reasonable grounds to suspect of being involved in terrorist activities through promoting and encouraging terrorism, seeking to recruit people for that purpose and making funds available for the purposes of its terrorist activities.

All assets and economic resources in the UK belonging to, or owned or controlled by, Blood and Honour must now be frozen. No person or entity required to comply with UK sanctions can deal with any funds or economic resources belonging to, or owned or controlled by Blood and Honour (or any entities it owns or controls). They also cannot make funds, financial services or economic resources available to or for the benefit of Blood and Honour (or any entities it owns or controls) unless they have obtained  a licence from HM Treasury or an exception applies.

This action is the first use of the Treasury-led Domestic Counter-Terrorism sanctions regime to target extreme right-wing terrorism. The designation of Blood and Honour is a clear signal that the UK works proactively to stop terrorist financing and will take action against any who try to exploit the UK financial system for this activity.

Further information:

• From 8th January 2025, all parts of Blood and Honour including any aliases it operates under, which are in the UK, the UK Crown Dependencies and Overseas Territories are subject to an asset freeze. Additionally, prohibitions on making funds, financial services and economic resources available to them or for their benefit also apply.
• Regulation 5 of the Domestic Counter-Terrorism sanctions regulations allows HMT to designate entities by name for the purpose of freezing assets and imposing the prohibitions referred to above which apply to them or any of the entities they own or control.
• An asset freeze means that it is generally prohibited to deal with the funds or economic resources which are owned, held, or controlled by a designated person. The prohibitions on making funds, financial services and economic resources available prevent them from being made available directly or indirectly to a designated person or to another person for the benefit of that designated person. Actions that intentionally directly or indirectly circumvent the asset freeze or the aforementioned prohibitions are also prohibited.
• When an asset freeze is applied, the funds or economic resources are frozen immediately by the person in possession or control of them.
• Imposing an asset freeze does not change the ownership of the frozen funds or economic resource and nor are they transferred to HM Treasury for safekeeping.

Also Sanctioned:

The designation extends to all parts of Blood and Honour including any aliases it operates under e.g. 28 Radio and Combat 18.

The press release issued by HM Treasury on 16 December 2024.

Chancellor of the Exchequer, Rachel Reeves confirms the Spring forecast will take place on Wednesday 26 March.

Today (Monday 16 December) the Chancellor has confirmed to the House of Commons that the Office for Budget Responsibility (OBR) has been commissioned for an Economic and Fiscal Forecast which will be published on 26 March 2025.

This is in line with the Budget Responsibility and National Audit Act 2011 which requires the OBR to produce two forecasts each financial year. This will be accompanied by a statement to Parliament from the Chancellor.

The Chancellor remains committed to one major fiscal event a year to give families and businesses stability and certainty on upcoming tax and spending changes and, in turn, to support the government’s growth mission.

The press release issued by HM Treasury on 13 December 2024.

Chancellor Rachel Reeves and Treasury minister Tulip Siddiq, will today open the 100th banking hub in Darwen, Lancashire.

Chancellor of the Exchequer, Rachel Reeves, and Economic Secretary, Tulip Siddiq, will today open the UK’s 100th banking hub in Darwen, Lancashire, which has been set up in response to bank branch closures in the town.

The newly opened banking hub will give customers of the largest high street banks the ability to get cash out, deposit cheques and ensures that local residents have access to face to face banking services.

Kickstarting economic growth is the number one mission for this Government – something cemented in the Plan for Change launched last week, where the Prime Minister redoubled our commitment to raise living standards in every part of the United Kingdom. The roll out of banking hubs will be a significant boost for local people and businesses, helping to revitalise the local high street and raise living standards across the UK.

The opening of the 100th banking hub is a significant landmark on the road to delivering on the government’s manifesto commitment to work with industry to open 350 banking hubs by the end of this parliament.

Rachel Reeves, Chancellor of the Exchequer, said:

Reaching this milestone of 100 banking hubs is a huge step towards making sure that people across the country have access to essential face-to-face banking services.

High streets are the beating heart of our communities but were neglected for too long under the previous government. We are revitalising our high streets with our target for 350 banking hubs, reforming business rates to make them fairer and clamping down on antisocial behaviour.

Banking hubs are a collaborative industry initiative, set up in response to bank branch closures on high streets across the country.

Instead of one bank owning a branch, the responsibility is shared between the banks. This means that they can share the running costs and all operate in one convenient location.

All customers will benefit from Monday-Friday access to cash and basic banking services via a traditional counter service operated by the Post Office. Community bankers from each of the five banks with the largest number of customers in the area will also come in one day per week to assist their customers with more complex banking issues like debt advice, bereavement services and fraud support.

In the Darwen banking hub, the participating banks are NatWest, Santander, Lloyds, Halifax and Barclays, the banks with the most customers in that location. Opening the banking hub will protect access to cash and banking services for 10,000 local residents and 150 shops within 1 kilometre of Darwen town centre.

The 100th opening is a significant milestone. In September, Economic Secretary secured a historic agreement from industry to deliver on this commitment, with 230 hubs expected to be open by the end of next year, helping to revitalise towns and high streets up and down the country.

Tulip Siddiq, Economic Secretary to the Treasury, added:

We are delighted to see the continued growth of banking hubs, which are playing an essential role in meeting the needs of communities where traditional banking options have declined.

These hubs are not only vital for residents and businesses, but they also play a key role in revitalising our high streets, bringing footfall back to town centres, and repurposing unused buildings for community benefit.

The success of these hubs proves that shared banking services can provide a solution that benefits everyone, from residents to local businesses.

The opening of banking hubs can play an important role in revitalising our high street and repurposing disused buildings in town centres all while providing a vital service to businesses and people in those communities.

Evidence from Brixham in Devon and Rochford in Essex  where banking hubs have recently opened has backed this up, research from Cash Access UK the group that run banking hubs shows that  almost half of businesses surveyed saying it has increased footfall in the town and 30% of residents saying that they visit the town more regularly and stay for longer because a banking hub has opened in the town.

Gareth Oakley, CEO, Cash Access UK, said:

Access to cash and face-to-face banking services remain vital to millions of people and businesses who rely on it.

We’re delighted that banking hubs, alongside deposit services are proving to be successful and are making a real difference to communities and high streets up and down the country.

The press release issued by HM Treasury on 12 December 2024.

What is a Spending Review?

A Spending Review is the process the government uses to set all departments’ budgets for future years. This covers both the services the public uses every day, like the NHS, schools and transport, and how the government will invest in research, energy security and infrastructure to drive economic growth across the country.

In the same way that households budget what they spend, the government does this with public money. This is to ensure it is spent effectively.

How does the government spend money?

The total amount the government spends is known as Total Managed Expenditure (TME). This is made up of:

• Spending by departments – this is the amount that government departments have been allocated by the Treasury to spend each year and is known as Departmental Expenditure Limits (DEL).
• Money spent on things that are harder to plan for, usually because demand for them varies, so budgets are not fixed in advance. This includes welfare, pensions and debt interest payments. This is known as Annually Managed Expenditure (AME). The level of AME spending in the future is forecast by the Office for Budget Responsibility.

DEL budgets are split into two additional categories:

• Resource spending – which covers what the government spends on its day-to-day running and administration costs. These are generally goods and services, like nurses’ pay or medicines.
• Capital spending – which is funding for investment to improve the UK’s infrastructure and public services. For example, new roads, hospitals and military equipment.

What is the Spending Review process?

The Chancellor of the Exchequer and Chief Secretary to the Treasury lead the Spending Review.

First, the government identifies key priorities for all departments, which includes the key outcomes that public services should deliver.

All departments are then asked to submit their budget requests to the Chief Secretary to the Treasury, detailing how much money they will need and how it will be used. Collaboration across government is key to ensuring this process runs smoothly and everyone understands how budget requests across different departments will help deliver the government’s priorities.

The Chief Secretary and Treasury officials review these requests, assess how they align with the government’s priorities and make sure they offer good value for money for the taxpayer, working together with departments to understand the requests. The Chief Secretary then meets with Secretaries of State to discuss and agree a final budget, including how it will be spent and what outcomes it should deliver.

The government often uses a Spending Review to set budgets for several years. At Autumn Budget 2024, the government committed to setting resource budgets for three years and capital budgets for five years, with reviews every two years. This will enable better financial planning and help achieve value for money.

The Chancellor of the Exchequer then approves and allocates final budgets to each department.

What is happening in the current Spending Review?

Spending Review 2025 is taking place in two phases.

At the Autumn Budget on 30 October 2024, the Chancellor set out the outcome of Phase 1 of the Spending Review, which confirmed departmental budgets for 2024-25 and set budgets for 2025-26. She also announced the total level of funding planned for Phase 2 (‘the envelope’), which will conclude and be published in late spring of 2025.

Phase 2 will prioritise delivering the government’s missions. As part of this departments will be expected to make better use of technology and seek to reform public services, to support delivery of the government’s plans for a decade of national renewal.

The press release issued by HM Treasury on 12 December 2024.

Chancellor of the Exchequer launches second phase of the Spending Review.

Government departments will be expected to find savings and efficiencies in their budgets, in a push to drive out waste in the public sector and ensure all funding is focused on the government’s priorities.

Every single pound the government spends will be subjected to a line-by-line review to make sure it’s being spent to deliver the Plan for Change and that it is value for money, as the Chancellor Rachel Reeves today (Tuesday 10 December) launches the next round of government spending.

It will be the first time in over a decade and a half that government departments have been asked to take such an approach, with what’s called a “zero-based review” last undertaken 17 years ago.

Reeves will today begin her work with government departments and reiterate that they cannot operate in a business-as-usual way when reviewing their budgets for the coming years, as the new government continues to fix the foundations after inheriting a £22bn black hole, alongside crumbling public services and damaged public finances.

Secretaries of State across government will need to allocate their budgets to ensure that government spending is focused on the Prime Minister’s Plan for Change, and that every pound of taxpayers’ money is spent well. The Chancellor will work with departments to prioritise spending that supports the milestones to deliver the Plan. This includes boosting growth to put more money in working people’s pockets, fixing the NHS, creating safer streets, making Britain a clean energy super-power and giving every child the best start in life while strengthening our borders, national security and the economy.

Chancellor of the Exchequer Rachel Reeves said:

By totally rewiring how the government spends money we will be able to deliver our Plan for Change and focus on what matters for working people. The previous government allowed millions of pounds of taxpayers’ money to go to waste on poor value for money projects. We will not tolerate it; I said I would have an iron grip on the public finances and that means taking an iron fist against waste.

By reforming our public services, we will ensure they are up to scratch for modern day demands, saving money and delivering better services for people across the country. That’s why we will inspect every pound of government spend, so that it goes to the right places and we put an end to all waste.

The Prime Minister has been clear that public services must reform if they are to be put on a sustainable footing in the long-term, so that outcomes can be improved for people who depend on services every day. Today’s announcement builds on the Chancellor of the Duchy of Lancaster yesterday launching a £100 million fund to pioneer public service reform and deliver the Government’s Plan for Change, by deploying new test-and-learn teams into public services across the country. They will be empowered to experiment and innovate to fix the public sector’s biggest challenges, working towards the Government’s ambitious and far-reaching reform programme that will seek to break down Whitehall silos and galvanise government as it seeks to deliver the Plan for Change.

Departments will ensure budgets are scrutinised by challenge panels of external experts including former senior management of Lloyd’s Banking Group, Barclays Bank and the Co-operative Group. Panels will bring an independent view to what government spend is or isn’t necessary, with a mixture of expertise from local delivery partners, think tanks, academic experts and private sector backgrounds.

In letters sent by the Chief Secretary to the Treasury, departments will be advised that where spending is not contributing to a priority, it should be stopped. Although some of these decisions will be difficult, the Chancellor is clear that the public must have trust in the government that it is rooting out waste and that their taxes are being spent on their priorities.

Work has already begun on evaluating poor value for money spend, with an evaluation into the £6.5m spent on Social Workers in Schools programme, which placed social workers in schools, finding no evidence of positive impact on social care outcomes, meaning the intervention was not considered cost-effective. The Government has made clear it will not shy away from taking the difficult decisions needed to fix the foundations, as shown by the Chancellor’s decisions at the Budget to balance the books.

Departments will be expected to work closely together to identify how their work contributes to the Government’s missions, meeting in mission clusters throughout the process to agree priorities and links.

Throughout this process, the ideas, expertise and innovation of the private sector will be sought out and brought right into the heart of government. An online portal has been launched to give businesses the opportunity to put forward policy proposals for the Spending Review, including on how government can deliver public services more efficiently or effectively. These representations will be collated and shared with departments for consideration in their submissions.

The press release issued by HM Treasury on 14 November 2024.

Chancellor to announce package of reforms to ensure the UK’s status as a global powerhouse for financial services in her first Mansion House speech.

The Chancellor will announce a package of reforms to drive growth and competitiveness in financial services, as she argues that regulatory changes to eliminate risk after the financial crisis have ‘gone too far’ and led to unintended consequences.

In her first Mansion House speech as Chancellor, Rachel Reeves will say that the UK’s status as a global financial centre cannot be taken for granted.

She will argue that, while the UK will always uphold high standards, a system has been created which seeks to eliminate risk taking and holds back economic growth. “The UK has been regulating for risk, but not regulating for growth,” she will say.

The Chancellor will outline a plan to rebalance the system, setting the financial services sector up to innovate, grow and seize the opportunities for investment in businesses, infrastructure and clean energy across Britain.

This will include setting new growth-focused remits for financial service regulators, the publication next year of the first ever Financial Services Growth and Competitiveness Strategy and creating pension mega funds to boost investment so that ordinary people benefit from growth.

Speaking in the City of London, the Chancellor of the Exchequer Rachel Reeves will say:

Before we came into government, I was clear that the financial services sector must play a central part in our economic vision and our plan for economic growth.

Because I know that this sector is the crown jewel in our economy. It employs 1.2m people, from London to Edinburgh, and from Manchester to Belfast. It is one of the country’s largest and most productive sectors, accounting for 9% of our economic output.

And it is a global success story: we are the second largest exporter of financial services in the G7.

But we cannot take the UK’s status as a global financial centre for granted. In a highly competitive world we need to earn that status and we need to work to keep it.

She will add:

While it was right that successive governments made regulatory changes after the Global Financial Crisis, to ensure that regulation kept pace with the global economy of the time, it is important that we learn the lessons of the past.

These changes have resulted in a system which sought to eliminate risk taking. That has gone too far and, in places, it has had unintended consequences which we must now address.

She will conclude by saying:

The changes I have set out today will drive growth and competitiveness through investment and through reform.

A long-term strategy to harness the strengths of the financial services sector: making the UK a global leader in sustainable finance, developing the right approach to redress to reduce uncertainty, reinvigorating our capital markets by unlocking private investment through our pension funds, and reforming our approach to regulation to make it more dynamic and more competitive.

Taken together, these measures represent the most pro-growth financial services package since the financial crisis.

Reform to unlock innovation and growth

While the UK’s regulatory model for financial services is respected around the world, reform is needed to unlock innovation, drive more investment and deliver sustainable economic growth.

High regulatory standards will be maintained but parts of the regulatory system will be rebalanced to drive economic growth and competitiveness. The Chancellor has written to the Financial Conduct Authority, Prudential Regulation Committee, Financial Policy Committee and Payment Systems Regulator to ensure a greater focus on supporting economic growth.

The Financial Ombudsman Service framework will also be modernised so that it continues to play a vital role for consumers to get redress while giving clearer expectations around its decisions for consumers and for financial services firms.

The government will also consult on replacing the current Certification Regime, which applies to staff below senior management level, with a more proportionate approach that reduces costs so that businesses are freed up to focus on growth.

To combat the scourge of fraud that cost UK consumers almost £8.3 billion last year alone and steals money away from investment and lending by the financial services sector, a coordinated effort across sectors, law enforcement and government is needed. The Chancellor, Home Secretary and Secretary of State for Science, Innovation and Technology have therefore written to the tech and telecommunication sectors calling for them to go further and faster in reducing the scale of fraud taking place on their platforms and networks – with an update on progress requested by March 2025 ahead of an expanded fraud strategy.

Further action is being taken to drive innovation in payments with the publication of a National Payments Vision, and reinvigorate the UK’s capital markets by committing to legislate to establish PISCES by May 2025 – a world-first regulated market for trading private company shares where transfers will be exempted from stamp duty taxes on shares.

The government is launching a pilot to deliver a Digital Gilt Instrument, using distributed ledger technology (DLT), demonstrating the government’s commitment to innovation in the financial services sector.

The government is also consulting on introducing a new framework for UK-based captive insurance companies to make the UK insurance market a more attractive hub for businesses seeking efficient risk solutions.

Stability – confidence to invest

Building on the Budget – which fixed the foundations of the economy by repairing the public finances and bolstered economic and fiscal stability – the Chancellor will set out a clear path for growth in the financial services sector.

The government will publish the first ever Financial Services Growth and Competitiveness Strategy in the Spring to deliver long-term certainty and cement the sector’s place at the heart of the government’s 10-year modern Industrial Strategy.

The government will propose focusing on five priority growth opportunities in financial services to take advantage of the UK’s existing strengths and maximise the potential for growth.

These will be FinTech, sustainable finance, asset management and wholesale services, insurance and reinsurance, and capital markets. A Call for Evidence will be published alongside the announcement to ensure that industry voices are at the heart of designing the new Strategy.

The Strategy will reflect the fact that the success of the financial services sector is built on strong ties with international partners. This means strengthening partnerships with established and fast-growing financial centres will be a cornerstone of the government’s approach to financial services: critical to attracting foreign investment and delivering economic benefits for the UK.

Investment through financial services

To deliver more investment in businesses, infrastructure and clean energy, the Chancellor will also announce bold reforms to the pension system and lay the foundations for a world-leading sustainable finance regulatory regime.

Two consultations will be published ahead of the Pension Schemes Bill in the Spring to merge defined contribution pension schemes and the Local Government Pension Scheme in England and Wales into megafunds – mirroring the pensions landscape in Australia and Canada. This, along with reforms to ensure better value from these pension schemes, could unlock around £80 billion new investment in businesses and infrastructure, while boosting savers’ pension pots.

The Chancellor will announce that the British Growth Partnership has secured the support of two UK pension funds for its future launch. Aegon UK – as a substantial cornerstone investor – and NatWest Cushon, who have combined assets worth over £219 billion, have both agreed to work with the British Business Bank with a view to investing in the UK growth companies of the future, subject to commercial and regulatory steps and, where appropriate, agreement from the Trustees. She is also expected to announce that, alongside Phoenix Group, the British Business Bank has completed its LIFTS investment in Schroders Capital, to create a new £500 million investment vehicle to invest in UK science and technology. The government expects 20% of the LIFTS capital to be invested into life sciences.

The Chancellor will also set out plans to mobilise trillions of pounds of private capital to support clean energy and growth as part of the UK’s efforts to reclaims its position as a global leader in climate change. This follows action at the International Investment Summit and Budget to unlock investment, including £27.8 billion of capitalisation for the National Wealth Fund, which is expected to mobilise over £70 billion of private investment.

To deliver a world-leading sustainable finance framework, the Treasury will publish draft legislation to boost investor confidence in sustainable companies by regulating ESG ratings providers, publish a consultation on the value case for a UK Green Taxonomy, commit to consult on economically significant companies disclosing information using future UK Sustainability Reporting Standards and launch a set of integrity principles for voluntary carbon and nature markets ahead of a consultation in the new year.

To underpin continued UK leadership on transition finance, the government is delivering one of the key recommendations of the Transition Finance Market Review by co-launching the Transition Finance Council with the City of London Corporation. The government will also consult in the first half of next year on how best to take forward the manifesto commitment on transition plans in support of its ambition to become the global hub for transition finance –  ensuring the UK’s regulatory framework is growth-focused, internationally competitive and maintains the UK’s status as a global financial hub. It has also emphasised the transition to net zero in the government’s economic strategy within the remit of the Bank of England’s Monetary Policy Committee, and reinstated sustainable finance as an area the Financial Policy Committee should support as part of its secondary objective.

These announcements come alongside COP29’s ‘Finance, Investment, and Trade Day’ currently underway in Baku, Azerbaijan. Representing HM Treasury at COP29, Growth Minister Lord Spencer Livermore laid out the UK’s commitment to making the UK the sustainable finance capital of the world, mobilise climate finance from a range of sources and reform the global financial system so it delivers better on climate change.

The government recognises the invaluable role of the mutual and co-operative sector in driving inclusive growth across the UK. It is therefore announcing a package to help unlock the full potential of the sector. This includes publishing a call for evidence on reform to credit union common bonds in Great Britain, writing to the Financial Conduct Authority and Prudential Regulation Authority asking them to produce a report on the mutuals landscape in 2025, and welcoming the establishment of an industry-led Mutual and Co-operative Business Council.

The government has already laid legislation to support modernisations to the Building Societies Act 1986 and continued funding the Law Commission to conduct reviews considering how the laws governing co-operatives, community benefit societies, mutual insurers, and friendly societies can be modernised.

The Chancellor will also announce an upcoming Financial Conduct Authority consultation to help households make better-informed decisions about their finances, as part of the government and regulator’s joint Advice Guidance Boundary Review.

Stakeholder reaction to the Chancellor’s Mansion House package

David Postings, Chief Executive of UK Finance said:

The Chancellor has set out a positive vision for financial services, which are a UK success story and vital to our economy. I strongly welcome her support for the sector, coupled with the fact that she is addressing how we can best balance risk and consumer protection to help support economic growth. Key to this is the regulatory environment, with the new remit letters rightly stressing the importance of growth and competitiveness in regulators’ work. The Chancellor has listened to industry and is delivering across a range of areas we have called for action on, including a digital gilt, tackling payment fraud, reforming the Financial Ombudsman Service, supporting green finance, and the National Payments Vision. I look forward to continuing to work closely with her and the government to ensure the UK retains a strong and globally competitive financial services sector.

BVCA Chief Executive Michael Moore said:

The private capital industry warmly welcomes the decisive action taken by government to reform our pensions system to boost investment and deliver growth to the UK economy.

Creating greater opportunity for investment by pension funds into private capital could have a transformational impact on the UK’s most promising businesses whilst delivering strong returns for pension savers.

Richard Oldfield, Group CEO Schroders said:

We have all the building blocks we need to generate growth in the UK. We have great, innovative companies; we have the capital, and we have the expertise and a world class capital market to link the two. What we need now is an injection of optimism and a healthier attitude to taking risk in the pursuit of reward. It is great to see the government putting sensible risk taking back at the centre of our economy. Whether that’s on green finance, infrastructure, science or tech; firms like Schroders working in partnership with pension schemes, regulators and the government can unlock the potential of the UK for the benefit of all of us.

James Alexander, CEO, UKSIF said:

We welcome the new Chancellor’s prioritisation of sustainable finance in her first Mansion House speech. We are pleased to see this ambitious suite of measures including further progress on transition plans, harmonisation with international standards, and carbon market integrity. If delivered, these measures could position the UK as a world-leading centre for sustainable finance.