UK government department and the civil service hub coordinating policy machinery
Civil service pension delays after Capita's takeover have left thousands waiting on payments, with some facing rent arrears and food-bank use. The government vows to insource the scheme and enforce improvements as auditors review Capita’s systems.
New prime minister Andy Burnham has vowed to end rough sleeping in the UK, backed by 340m in new funding to create 1,200 homes and provide intensive support for at least 3,000 rough sleepers over five years. The programme builds on Covid-era measures and Manchester’s Bed Every Night, as rough sleeping numbers remain at record levels in 2025, with 4,793 people sleeping rough on a single autumn night.
Mayors will keep a share of income tax and business rates from 2027-28, replacing central grants and empowering local areas to fund transport, housing and jobs. The reform is pitched as the biggest transfer of power in a generation, with details to be announced in the autumn budget as Burnham leads devolution push.
The government has overhauled the public procurement system to prioritise local job creation and skills development for young people in contracts worth over £5m, while maintaining protections for the environment. The policy aims to tackle youth unemployment and regional disparities, but critics warn environmental safeguards must not be sacrificed.
Japan’s real GDP has grown at a 0.3% quarter-on-quarter pace in Q2, with annualized growth of 2.1%, driven by exports and government spending. Private spending has slipped, while energy costs and the Iran war have pressured prices. The Bank of Japan maintains a cautious outlook as wage growth remains tepid.
The government has given English mayors the power to charge an overnight visitor levy as a percentage of accommodation costs with no statutory upper limit. Industry groups and major hotel chains have warned the uncapped power will push up prices, reduce demand and cost jobs; mayors argue revenue will fund local services and infrastructure from 2028.
Leaders of the largest AI labs have endorsed slowing model development, while policymakers press for safeguards. Governments weigh emergency measures, with UK officials resisting a national kill switch and urging targeted interventions.
Two crypto billionaires have donated 72m to Reform UK, triggering a debate over caps on overseas and domestic political contributions as Parliament considers the Representation of the People Bill. The government is pushing to tighten rules while reform argues donations are legal. The story is developing as Lords debate the bill.
The cabinet secretary’s exit payment has been disclosed as 859,496 pounds, the largest severance for a civil servant. Reports show ministers approved the payment amid questions of value for money; accounts reveal ongoing scrutiny of exit terms for senior officials.