UK government department handling welfare, pensions and child maintenance
Labour's leadership contest is shaping how welfare reform is framed. Milburn has argued the government should pursue reform focused on work incentives rather than pure cost cutting, and has held talks with Andy Burnham who is seen as open to revisiting welfare policies during this parliament.
The government has introduced a £3,000 youth jobs grant to encourage employers to hire 18–24-year-olds who have been out of work for six months or more. The grant accompanies a broader package of apprenticeships and local devolution plans aimed at boosting youth employment, with mixed reactions from think tanks and opposition parties.
The UK government has announced a 4.8% increase in state pensions for 2026, aligning with average earnings growth. The full new state pension will rise to £241.30 weekly, and the basic pension to £184.90. The increase supports pensioners facing rising living costs, with ongoing debates about the triple lock policy.
Ofgem has confirmed the energy price cap will increase by 13% from July, pushing typical annual bills to £1,862. The shift is driven by higher wholesale gas prices amid the Middle East conflict. About 40% of accounts are on fixed tariffs and are unaffected. Households are advised to consider fixed deals and smart-meter off-peak pricing.
The government has announced a three-month AI tutoring trial and an AI bootcamp scheme to help young people enter work, backed by over 50 firms. The package targets Neets (1.25m at risk) and includes a “Jobcentre in your pocket” concept and regional investment, as Labour and ministers push a pro-growth, pro-worker agenda.
Major UK retailers have written to the prime minister, coordinated by the British Retail Consortium, urging a review of policies on national insurance, the national living wage, and employment rights to boost youth employment. The move follows Neets data showing over one million 16-24-year-olds not in work or education. Government is rolling out a youth employment package and new payments to support entry-level hiring.
The government has announced the expansion of Youth Hubs to more than 360 locations across Great Britain to bring employment, education and wellbeing support closer to young people. The rollout aims to ensure that no young person is more than an hour away from a hub, with hubs located in community spaces such as sports clubs and libraries. The initiative includes funding and incentives to employers and training providers.
A Reuters Institute report shows social media and video platforms have surpassed traditional outlets as the main source of news in 2026, with 54% of respondents citing these platforms. While youth lean toward digital sources, older audiences still rely on traditional media elsewhere. The shift reflects changing habits, advertising dynamics, and growing trust concerns in legacy outlets.
Public and parliamentary pressure in Egypt calls for lower fuel, gas, and electricity prices as the government balances subsidies with IMF conditions. Lawmakers question price reforms while experts warn that global trends and regional tensions continue to influence domestic costs.