London Daily

Focus on the big picture.

Budget 2021: What has already been announced?

Budget 2021: What has already been announced?

The Treasury has released a deluge of funding announcements, days before the chancellor delivers his Budget on 27 October.

Statements from the government setting out spending for transport, health and education have been put out in the past few days.

Commons Speaker Lindsay Hoyle is furious, telling MPs on Monday it was "not acceptable" to brief the media ahead of MPs and on Tuesday that the government was behaving in a "discourteous manner".

He thundered that ministers used to "walk" if they briefed about a Budget.

Indeed, in 1947, then-Chancellor Hugh Dalton resigned after he leaked details of his budget to a journalist.

Defending pre-Budget announcements, Treasury Minister Simon Clarke said the government had not commented on the "substantive tax measures" that would appear in the Budget.

So what do we know?

Firstly, this isn't the complete story.

Rishi Sunak's Budget won't all be about displays of generosity. The Treasury has asked departments to identify "at least 5% of savings and efficiencies from their day-to-day budgets" and we may hear more about those plans on Wednesday.

The government has already committed to spending for health, schools, defence and overseas aid so other areas such as local government, justice and further education may face a squeeze on their budgets.

And there may be more to some of the seemingly lavish spending pledges than meets the eye.

A word of caution

Analysis by political correspondent Damian Grammaticas

Beware what you are reading! They sound good, all these announcements in the run up to Budget and Spending Review.

But they need to be taken with caution. This is the PR blitz seeking good headlines. We don't yet know the detail of exactly what the government is planning.

The raft of investments will make a difference. But there are questions.

Are the transport links, treatment centres and other projects entirely new or have some parts been announced (with equal fanfare) before now?

Crucially what is happening more broadly to the budgets of the departments getting cash?

A shiny investment in something is great, but is that department's day-to-day spending being squeezed? And what of those areas that aren't getting the handouts?

Best to wait until Wednesday to truly judge the chancellor's largesse.

Transport


The government has announced that England's city regions will receive £6.9bn to spend on train, tram, bus and cycle projects.

This includes £1.07bn for Greater Manchester, £1.05bn for the West Midlands and £830m for West Yorkshire.

However, the figure of £6.9bn only includes £1.5bn of additional spending because the government is including the £4.2bn promised in 2019 alongside funding for buses announced by the prime minister last year.

The chancellor has refused to be drawn on the future of the eastern leg of High Speed Two, which could be delayed or cancelled to save an estimated £40bn. If built, the extension would cut journey times between London and the North East by 31 minutes. It would also shave 52 minutes off trips between London and Leeds.

Scotland, Wales and Northern Ireland will also receive extra funding through the Barnett formula - a mechanism the UK government uses to allocate additional money to the devolved nations when it spends more in England.

Health

NHS England will get £5.9bn to tackle the backlog of people waiting for tests and scans. That covers £2.3bn for diagnostic tests including clinics in shopping centres for scans; £1.5bn on beds equipment and new "surgical hubs"; and £2.1bn to improve IT.

Health bodies welcomed the money but warned it would not solve the problem of staff shortages. According to data published by NHS digital, in June there were 93,806 full-time vacancies across the NHS in England.

National Living Wage rise


Mr Sunak is set to announce a rise in the National Living Wage from £8.91 per hour to £9.50, to come into effect from 1 April next year.

This is a 6.6% increase in the minimum wage for all those aged 23 and over - more than twice the current 3.1% rise in the cost of living.

Assuming a 40 hour week, the new minimum wage amounts to a salary of £1,646 per month or £19,760 a year.

The increases to the wage rates follow recommendations made by the Low Pay Commission, an independent advisory board.

The Treasury has also announced it will be lifting a pay freeze imposed on millions of public sector workers last year as a result of the pandemic.

Independent pay review bodies will recommend how much extra money workers will get early next year.

Taxes


The government's major tax change has already been announced, as earlier this year the prime minister told MPs he would introduce a tax in England designed to tackle the NHS backlog caused by the Covid pandemic and later to pay for social care.

However, we know a few other changes (or rather lack of changes) that will be announced on Wednesday.

Campaigners for a freeze in fuel duty have been told to expect the levy to be frozen for a twelfth year in a row.

And separately, the BBC has been told VAT on household energy would not be cut.

Health research


The health department will get £5bn over the next three years for research and development.

This includes £95m which will go towards researching methods for treating cancer, obesity and mental health.

The money will also be spent on developing genome technology which could detect more than 200 conditions in newborn babies.

Education and skills


£2.6bn will be spent on creating 30,000 new school places for children with special educational needs and disabilities.

The money will also go towards improving school buildings' accessibility and funding new, special provision in free schools England.

The Budget will also include £1.6bn over three years to roll out new T-levels for 16 to 19-year-olds plus £550m for adult skills in England.

Currently there are about 2,000 students on T-level courses, but the government hopes to ramp up those numbers.

Geoff Barton, general secretary of the Association of School and College Leaders, warned that the extra money was a "gamble" as it was unclear how many would want to take the qualification.

The government will also spend a further £830m modernising colleges in England.

Housing

The Treasury is allocating £1.8bn for building around 160,000 new homes on derelict or unused land - also known as brownfield sites - in England.

An extra £9m will also go towards allowing councils to turn neglected urban spaces into "pocket parks" roughly the size of a tennis court.

The chancellor is also expected to confirm £65m for digitising England's planning system.

Research and business


Grants worth £1.4bn will be given to "internationally mobile" companies to invest in UK infrastructure.

This includes £345m aimed at increasing resilience for future pandemics and £800m for the production of electric vehicles in north-east England and the Midlands.

As part of the package, a talent network team will aim to attract high-skilled workers to the UK, through "innovation hotspots" initially based in San Francisco and Boston in the US and Bengaluru in India.

Families and children

The government has announced £500m to support parents and children in England.

This includes £200m to support families with complex issues; £82m to fund centres in 75 different areas to provide advice for parents; £100m for mental health support for expectant parents; and £50m for breastfeeding support.

Labour has argued that the government previously closed over 1,000 children's centres - known as Sure Start centres - and that this new announcement "rings hollow".

Mr Sunak defended past cuts, arguing that the new funding would "create a network of family hubs which are broader than the Sure Start centres".

Other spending announcements


* £850m to restore museums and art galleries including the V&A in London and Tate Liverpool; £125m for a scientific research centre in Oxfordshire and £75m for regional museums

* £700m to protect UK borders including £74m for a new fleet of patrol boats

* £700m for football pitches, tennis courts and youth facilities

* £435m to prevent crime, protect communities and help victims in England and Wales

* £150m for the British Business Bank to encourage development of Dragons' Den-style regional investors outside of London and south east

* £5m for research grants to develop new surgery and treatment options for amputees and blast victims

* A tax change to encourage shipping companies to the UK


 Lindsay Hoyle says it is “not acceptable" for ministers to give briefings to the media before Parliament.


Newsletter

Related Articles

London Daily
0:00
0:00
Close
Unelected PM of the UK holds an emergency meeting because a candidate got voted in… which he says is a threat to democracy…
You Are So Beautiful
Rob Schneider explains California reparations legislation.
Postmodern Jukebox European Tour Version
Who knew badminton could get so intense?
An old French tune (by Georges Brassens) Pomplamoose ft. John Schroeder
Farmers break through police barriers in Brussels.
Sattahip Motor Show 20
London's Iconic British Telecom Tower Sold To Become Hotel
SONATE AU CLAIR DE LUNE - Moonlight sonata
Ukraine Arrests Father-Son Duo In Lockbit Cybercrime Bust
A kiss to build a dream on
US Offers $15 Million For Info On Leaders Of Cybercrime Group Lockbit
Wonderful Tonight - Eric Clapton (Boyce Avenue acoustic cover)
Russia Claims UK Cultural Agency Spied for Ukraine
Mean Blues
Apple warns against drying iPhones with rice
La Chansonnette
Alexei Navalny: UK sanctions Russian prison chiefs after activist's death
Pattaya Addicts
German economy is in 'troubled waters' - ministry
Franz Liszt - Liebestraum - Love Dream
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
Dream a little dream of me
New video
Unchained Melody sung like you've NEVER heard!
Tucker Carlson says Boris Johnson wants "a million dollars, in Bitcoin or cash, from Tucker Carlson to talk about Ukraine.
Dave Brubeck - Take Five
Russia is rebuilding capacity to destabilize European countries, new UK report warns
Édith Piaf - Non, Je Ne Regrette Rien (Sofie)
EU Commission wants anti-drone defenses at Brussels HQ
Rondo Alla Turca
Von der Leyen’s 2nd-term pitch: More military might, less climate talk
Kiss of fire
Global Law Enforcement Dismantles Lockbit Ransomware Operation
Tom Jones - I´ll Never Fall In Love Again 1967, 1989, 2001
Prince William Urges End to Gaza Conflict
Israel Cachao López - Guajira Clásica
UK court to hear Assange's final appeal against extradition to the US, where he faces charges related to his journalistic work—the publication of a classified video in 2010 that exposed US war crimes against humanity.
Edward Maya - Stereo Love (feat. Vika Jigulina) (Extended Mix)
About 50-60% kids either chose to be YouTuber or influencer
Strauss - Radetzky March - Karajan
A viral video of Nationals MP Barnaby Joyce lying on a Canberra footpath is celebrated by his media mates.
La vie en rose
European Countries React to Navalny's Death by Summoning Russian Diplomats
The Temptations - My Girl (Smokey Robinson Tribute) 2006 Kennedy Cent
Israel has gone ‘beyond self-defence’ in Gaza, says Labour’s Streeting
Orlando Cachaito Lopez Redencion
English farmers to be offered ‘largest ever’ grant scheme amid food security concerns
Edith Piaf - NON, JE NE REGRETTE RIEN
Cameron government knew Post Office ditched Horizon IT investigation
RADETZKY MARCH-2008-Wien, New Year Concert
EU Calls for Immediate Ceasefire in Gaza Conflict
Only you (And you alone)
EU Vows To Hold Putin "Accountable" After Meeting Alexei Navalny's Wife
Strangers In The Night
EU Launches Probe Into TikTok Over Child Protection Under Digital Content Law
Charles Aznavour - La Boheme
The EU Initiates Naval Mission to Defend Red Sea Trade Routes
Summer time
EU and UK Announce Joint Effort on Migration
Sting and Stevie Wonder - Fragile (from Sting's 60th birthday concert)
Brazil's Lula Likens Gaza Operation to Holocaust, Israel Says "Red Line" Crossed
Aux Champs Elysees
Ministers Confirm Proposal to Prohibit Mobile Phone Usage in English Schools
Stand By Me - Ben E. King (Boyce Avenue acoustic cover)
Microsoft-backed OpenAI valued at $80bn after company completes deal
La Mer (Beyond the Sea) – Avalon Jazz Band
‘Alexei would want to tell Russia not to give up fighting’
She
Rwandan Footballer's Dismissal Sparks Concerns Over UK Asylum Plan
Nathalie Song by Enzo Petrachi Stjepan Hauser Cello
Whisky Challenges China's Baijiu Market During New Year Celebrations
Shape of My Heart - Sting (Boyce Avenue acoustic cover)
Avdiivka - Symbol Of Ukrainian Resistance Now In Control Of Russian Troops
Radiohead - Creep
Putin Critic Alexei Navalny's "Killers" Refusing To Hand Over Body, Say Allies
Quizás,Quizás,Quizás - Andrea Bocelli - Jennifer Lopez
"Historic Step": Zelensky Signs Security Pact With Germany
Perhaps, Perhaps, Perhaps - Multi-Couples
"Historic Step": Zelensky Signs Security Pact With Germany
Pentatonix Havana
20 Tech Giants Sign Effort To Fight AI Election Interference Across Globe
Paula Cole - Autumn Leaves
Joe Biden Accuses Putin of Causing Navalny's Death
Oscar Benton Bensonhurst Blues
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
OH NANANA vs ABUSADAMENTE
Tucker Carlson grocery shopping in Russia. This is so interesting.
Nina Simone - ”I Put A Spell On You”. Vezi aici cum cântă Jeremy Ragsd
Julian Assange's Wife Warns of His Death if Extradited to US
NIGHTWISH - The Phantom Of The Opera
‘A lot higher than we expected’: Russian arms production worries Europe’s war planners
Motorshow 2016 Tanjay Negros Oriental
Greece Legalizes Same-Sex Marriage and Adoption Rights
Monica Bellucci - Ti Amo
Hungarian Foreign Minister: Europeans will lose Europe, the Union's policy must change drastically
Michael Jackson - Billie Jean Milena The Voice France 2018
In Britain Homeowners are receiving CPO’s (Compulsory Purchase Orders) so their homes can be redistributed to migrants
Michael Buble (Help Me Make It Through The Night) feat Loren Allred
Memories Canon In D - Maroon 5 (Boyce Avenue piano acoustic cover)
Matteo Simoni - Marina
Maroon 5 - One More Night
Maroon 5 - Memories
Mark Knopfler - Brothers In Arms (Berlin 2007 Live)
Mark Knopfler & Emmylou Harris - Romeo And Juliet (Real Live Roadrunni
Marina, Marina - The LUCKY DUCKIES intimist live concert at Guimarães
Major Lazer & DJ Snake – Lean On Mauranne The Voice France 2016
Love Theme from Romeo and Juliet - Joslin - Henri Mancini, Nino Rota
LoLa & Hauser - Love Story
Linkin Park Jay-Z - Numb Encore (Live 8 2005)
Hallelujah Mennel Ibtissem, The Voice France Leonard Cohen
Leonard Cohen - Dance Me to the End of Love
Leonard Cohen & Natasha Rostova - Dance me to the end of love
La casa de papel - Bella Ciao
La Camisa Negra
L'italiano (Toto Cutugno) - The Gypsy Queens
Juanes - La Camisa Negra
Jonathan and Charlotte - Britain's Got Talent 2012 Live Semi Final - U
John Powell - Assassin's Tango
Joe Cocker - You Can Leave Your Hat On (LIVE in Dortmund)
Joe Cocker - Unchain My Heart 2002 Live
Joe Cocker - A Whiter Shade Of Pale
Jay Z & Alicia Keys - Empire State of Mind LIVE
Jason Mraz - Im Yours (live)
Jarrod Radnich - Bohemian Rhapsody - Virtuosic Piano Solo
James Blunt - You're Beautiful
James Blunt - You're Beautiful & Bonfire Heart (Live at The Nobel Peac)
If You Go Away - Helen Merrill & Stan Getz (Tribute to Virna Lisi)
I'LL BE MISSING YOU
I Say a Little Prayer
Hotel California ( Eagles ) 1994 Live
Historia de un amor - Luz Casal. Vezi interpretarea Biancăi Sumanariu
Here Comes The Sun - The Beatles (Boyce Avenue acoustic cover) on Spot
Heart - Stairway to Heaven Led Zeppelin - Kennedy Center Honors
HAVANA by Camila Cabello Zumba Pre Cooldown TML Crew Kramer Pastra
HAUSER and Señorita - I Will Always Love You
HAUSER - Waka Waka
HAUSER - Sway
HAUSER - Lambada
HAUSER - Historia de un Amor
HAUSER - Despacito
Great Pretender
Georgia May Foote & Giovanni Pernice Samba to 'Volare' - Strictly Come
Gary Moore - Still Got The Blues
GIPSY KINGS VOLARE Penelope Cruz
Fugees - Killing Me Softly With His Song
French Latino - Historia de un Amor
For A Few Dollars More The Danish National Symphony Orchestra (Live)
Flashdance • What a Feeling • Irene Cara
Filip Rudan - “Someone You Loved” Audicija 4 The Voice Hrvatska Sez
Eric Clapton - Wonderful Tonight
Enya - Only Time
Enrique Iglesias - Bailando (English Version) ft. Sean Paul
Enrique Iglesias - Bailamos
Elena Yerevan Historia de un amor
Ed Sheeran - Shape of You (Official Music Video)
Ed Sheeran - Perfect Symphony [with Andrea Bocelli]
Ed Sheeran - Perfect (Official Music Video)
Easy On Me - Adele (Boyce Avenue 90’s style piano acoustic cover) on S
ERA - Ameno
ELENA YEREVAN- Cancion Del Mariachi-IN STUDIO-2017 DPR
Dust In The Wind - Kansas (Boyce Avenue acoustic cover)
Don't Let Me Be Misunderstood
Despacito x Shape Of You - Pentatonix
Deep Purple - Child In Time - Live (1970)
David Foster When A Man Loves A WomanIt's A Mans World (SealMichael Bo
Dance me to the end of Love ( Pi-Air Design )
Coolio - Gangsta's Paradise (feat. L.V.) [Official Music Video]
Conquest Of Paradise (Vangelis), played on Böhm Emporio organ
Cielito Lindo
Chico & The Gypsies - Bamboleo
Canción Del Mariachi - Antonio Banderas, Los Lobos • Desperado
Camila Cabello - Havana (Audio) ft. Young Thug
Camila Cabello - Havana ( cover by J.Fla )
California Dreamin' - The Mamas & The Papas José Feliciano (Boyce Ave
Buster Benton - Money Is The Name of The Game
Hallelujah Pentatonix
Bobby McFerrin - Don't Worry Be Happy (Official Music Video)
Bob Dylan - Knockin' On Heaven's Door Emilia The Voice Kids France
Besame Mucho - Cesaria Evora
Ben E. King - Stand by Me Sax Cover Alexandra Ilieva Thomann
Bella Ciao
Bella Ciao - INSTRUMENTAL
Beautiful in White x Canon in D (Piano Cover by Riyandi Kusuma)
Bad Romance - Vintage 1920's Gatsby Style Lady Gaga Cover ft. Ariana Savalas & Sarah Reich(1)
BELLA CIAO 2020 - KARAOKE ITALIANO
BAMBOLEO - Gipsy Kings • Antonio Banderas, Katya Virshilas
BAILANDO (original)
Awesome Ukrainian yodeler - SOFIA SHKIDCHENKO (with English subtitles)
Avicii - The Nights
Atom - The Great Gig in the Sky
Aretha Franklin - (You Make Me Feel Like) A Natural Woman (Official Ly
Antonio Banderas - Cancion del Mariachi (Desperado)
André Rieu - Zorba's Dance (Sirtaki)
André Rieu - Can't Help Falling In Love
André Rieu & Mirusia - Ave Maria
Andrew Reyes Elton John - Don't Let The Sun Go Down The Voice 2020 (
Andreas Kümmert Whiter Shade Of Pale The Voice of Germany 2013 Showd
And I Love You So
All About That Bass - Postmodern Jukebox European Tour Version
Alan Walker - Faded (Piano Cover)
Ain't No Sunshine -- Bill Withers (cover by Canen 12 y.o.)
African music
Adriana Vidović - “Creep” Audicija 4 The Voice Hrvatska Sezona 3
Adriana Vidović - “Believer” Nokaut 3 The Voice Hrvatska Sezona 3
A Fistful of Dollars - The Danish National Symphony Orchestra and Tuva
4 Beautiful Soundtracks Relaxing Piano [10min]
2CELLOS - Whole Lotta Love vs. Beethoven 5th Symphony [OFFICIAL VIDEO]
2CELLOS - Smooth Criminal (Live at Suntory Hall, Tokyo)
2CELLOS - Smells Like Teen Spirit [Live at Sydney Opera House]
2CELLOS - Despacito [OFFICIAL VIDEO]
13 Year Old Girl Playing Il Silenzio (The Silence) - André Rieu
094.All About That Bass
00 - SADNESS PART 1
(Ghost) Riders In the Sky (American Outlaws Live at Nassau Coliseum, 1
(Everything I Do) I Do It For You - Bryan Adams (Boyce Avenue ft. Conn
What a wonderful world
Moon river
×