IFS in the news for pension reforms and tax policy impacts. Independent UK think tank on taxation and public policy based in London.
The government has pledged to reach 3.5% of GDP on defence by 2035. Ministers are navigating funding options—tax rises, spending cuts or borrowing—while the Defence Investment Plan awaits publication ahead of NATO talks. Healey has criticized the pace of spending growth, urging clearer funding paths.
The UK government announced a £1 billion scheme to create 200,000 jobs for young people over three years. The plan includes incentives for employers, expanded apprenticeships, and a widened Jobs Guarantee scheme, aiming to address rising youth unemployment and NEET figures, with a focus on those on benefits and long-term unemployed.
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.
A government-backed pensions commission has warned that millions of Britons are not saving enough for retirement, risking a sharp drop in living standards for tomorrow’s pensioners. The interim report highlights a gender gap and a looming balance between state, auto-enrolment and private savings. A final set of recommendations is due next year.