Spring Statement 2025: key announcements for Welsh social housing
In its first spring statement, the UK Labour government has promised to go “further and faster” to grow the country’s economy.
At the launch on 26 March, Chancellor Rachel Reeves said that "people will be on average over £500 a year better off" under the current government; and that the OBR had concluded that changes to the National Planning Policy Framework would permanently increase the level of real GDP by point 0.2% by 2029-30.
However, the Office for Budget Responsibility’s updated economic forecast indicates a challenging fiscal environment for the months ahead, with the £9.9bn headroom from the Autumn Budget now depleted. UK Labour remains committed to getting inflation to 2% by 2027, however, and increasing living standards for 'ordinary, working people'.
What does this mean for Welsh housing associations?
Notably for Wales, and the social housing sector, several key announcements were made, including:
Barnett consequential to Welsh Government's budget of £16 million.
Significant changes will be made to welfare policies, specifically Personal Independence Payments (PIP) and the health element of Universal Credit.
Planning policy reform in England may inform the consolidation of planning law we expect in the remainder of this Senedd term.
£2.2 billion additional funding for defence.
Creation of a £3.25 billion Transformation Fund to drive efficiencies in public services and enhance the use of AI and digital technology.
In our latest member briefing, policy and external affairs manager Bethany Howells, and head of policy and external affairs Bethan Proctor analyse the pertinent details, and share CHC’s next steps.
Click the link below to download the briefing in full.