Sunak rebuked by UK’s statistics watchdog for making misleading claim about government debt – UK politics live | Politics

Richard Adams

Many school and college leaders in England are expressing relief that the government has finally published its draft transgender guidance, promised since 2018. But there is also criticism of both the timing, after term has ended for many schools, and the content.

Paul Barber, director of the Catholic Education Service, which supports more than 2,000 Catholic schools in England, said:

While some clarity from the government is welcome, Catholic schools have been responding to pupils over this issue for many years, on a case-by-case basis, with sensitivity and understanding that each individual’s needs vary. Catholic education focuses on the God-given dignity of each individual, regardless of what gender they are. We will be participating in the consultation in due course.

Leora Cruddas, chief executive of the Confederation of School Trusts that represents many academies, said:

The contents of this consultation will need to be considered carefully. It is a sensitive area, and one where legal opinion is sometimes contested. Given this, we will be seeking appropriate legal advice in order to understand the legal position of schools and trusts.

We have repeatedly asked the Department for Education not to publish major documents and consultations at the end of term and during holidays, which can add significant workload to school leaders and cause unnecessary confusion for staff and families.

Welsh government warns of ‘toughest financial situation since devolution’ as draft budget published including many cuts

Steven Morris

Wide-ranging cuts to public services in areas from policing to flood risk management, culture and sport have been announced by the Labour-led Welsh government as it attempts to shore up the NHS and support local councils.

Its draft budget, which was published today, also includes plans to reduce business rate relief for pubs, restaurants and shops, which means many will be facing rises in bills from April.

In addition, the budget flags up the possibility of increases in the cost of NHS dental care, university tuition fees and home care for the elderly and says that rail fares will have to rise.

Finance minister Rebecca Evans said the protection of the NHS and frontline local council services such as schools and social care was at the heart of the 2024/25 draft budget.

She said there would be an extra £450m for the NHS and the core local government settlement will increase by 3.1% but she warned that even with these rises, health boards and councils faced a “very difficult” year.

The Welsh government says that as a result of high inflation, Wales’ overall budget is worth £1.3bn less in real terms than when it was set in 2021 and the settlement, which largely comes from the UK government in the form of a block grant, is not sufficient enough to respond to the extreme pressures that public services, businesses and people are facing.

Evans said:

We have had to take some really difficult decisions to radically redesign our spending plans to focus funding on the services which matter most to the people of Wales. This is the toughest financial situation Wales has faced since the start of devolution. We have been presented with the most stark and painful budget choices in the devolution era.

Evans said the government will be carefully examining whether charges for NHS dental care, tuition fees and domiciliary care need to be raised but said there would be a consultation on this if the government decided increases were needed.

The biggest hits in the £23bn budget come in the rural affairs and climate change departments. The latter includes transport, housing and Natural Resources Wales.

The leader of the Lib Dems in Wales, Jane Dodds, said:

Huge parts of Wales are still being left behind with this budget, in particular rural Wales. We need more investment in our rural areas and more support for our farmers.

Andrew RT Davies, the leader of the Welsh Conservatives, criticised the Welsh government for blaming Westminster for its problems. He said: “Labour ministers have run Wales for 24 years, failing to reform public services and deliver results for the people of Wales.” He claimed “pet projects” like the wide-ranging 20mph speed limit in Wales was leading to cuts in areas such as rural affairs.

Cuts include smoking and obesity campaigns and plans to increase funding for mental health service has been shelved. The government has “reprioritised” £8.5m from flood risk management and water policy and says it will “carefully monitor the impacts to our flood risk management preparedness and response.”

It has taken the “difficult decision to reprioritise £16m of funding from within culture sport and tourism.” It is also “reprioritising” £7.5m from the budget for police community support officers adding: “Our policing partners will need to reshape their workforce.” It says that Transport for Wales will need to increase rail fares.

Business rate relief for pubs, shops and restaurants will be reduced from 75% to 40%. The Welsh government said the discount, which dates back to the pandemic, was never intended to continue indefinitely.

The Scottish government has published all its budget documentation here.

This chart, from this document, sets out the new tax rates.

These two charts, from this document, show the distributional impact on Scottish households, from benefits received and tax paid, in 2024-25 compared to households in the rest of the UK, where different tax and benefit policies apply. The top chart shows the differences as a percentage of household income, and the bottom one shows the differences in cash terms. Both chart show the Scottish-only policies are progressive, because the rich are paying more.

The Scottish government has published polling to support its policies (which is not something the UK government does to justify a budget). This chart shows that in Scotland there is strong support for a redistributive tax system – although support for this principle has fallen considerably over the past year.

A new tax band of 45p in the pound will be created in Scotland, Shona Robison, the deputy first minister and finance secretary has announced. PA Media says:

Robison said in her budget statement at Holyrood that the “advanced” band will apply to those earning between £75,000 and £125,140.

The top rate of tax, levied against those earning above this figure, will rise by 1% next year to 48p in the pound.

In other areas of tax, the three lowest rates will see no increase to their rates while the starter and basic rate bands will increase by the level of inflation.

The changes will bring in another £1.5bn to Scotland’s finances next year, Robison said.

She also said the Scottish government would fully fund its proposed council tax freeze, providing local government with the equivalent of a 5% rise.

Robison told MSPs the Office for Budget Responsibility projection for inflation next year was 3%, but she wanted to “go further than that”.

She said: “That’s why I will fund an above-inflation 5% council tax freeze – delivering over £140m of additional investment for local services.

“Combined with the other support being provided to local government, this will increase their overall funding by 6% since the last budget, taking local government funding to a new record high of over £14bn.”

Councils will be provided with £1.5m to wipe out school meal debt incurred by pupils across Scotland.

“Due to Westminster mismanagement of our economy, too many households are worrying about debt,” Robison said.

“With our limited powers there is only so much we can do. However, where we can step in, we will.

“That is why I am pleased to confirm we will provide local authorities with £1.5m to cancel school meal debt, removing a worry hanging over families up and down the country who are struggling to make ends meet.”

The introduction of the new band will mean Scotland will have six rates for income tax. In the rest of the UK, three rates apply. The Scottish system is more progressive.

Caroline Dinenage (Con), chair of the culture committee, goes next.

Q: The tourist sector says the end of tax-free shopping is harming it. Will that be reviewed?

Sunak says he will not comment on tax policy. But he knows from his time as chancellor that there are different views on this policy.

Q: I don’t remember Brexit campaigners saying it was going to make tourism less competitive?

Sunak says he does not accept that. The UK is still an attractive country to visit, he says. And he says the UK’s visa regime is easier for people from, for example Asia, to use than most European countries’.

Q: Brexit has also been bad for Britons touring on the continent. And it has been bad for the haulage industry too.

Sunak says the creative industries are booming. The UK is outpacing the rest of Europe in this sector. He is hosting a reception for this sector this evening, he says.

Q: Does the government really understand the value of theatres. The National Theatre exports globally. Around 17.5 million people a year are reached. But there are operating despite under-investment in their infrastructure.

Sunak says he has spoken at the National Theatre. He insists he is committed to the sector. And it is it third largest recipient of Arts Council funding, he says.

Q: Some 350m hours of unpaid care are done every year, mostly by women. Is it right to accept the system would accept without them.

Sunak does not contest that. He pays tribute to the work unpaid carers do.

Q: Mims Davies is the right person to be minister for disabled people. But her predecessor was a minister of state. Davies is a more junior minister. Shouldn’t she be upgraded?

Sunak says what matters is the work that the minister is doing. He cites some of the things the government is doing, including initiatives he pushed when he was a local government minister (such as increasing access to toilets for disabled people).

Q: The disability sector is very disappointed by this.

Sunak repeats his point, claiming the government is doing an enormous amount for disabled people.