OBR: Spring 2026 Economic and Fiscal Forecast
(4 days, 1 hour ago)
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The Chancellor of the Exchequer (Rachel Reeves)
I have asked the Office for Budget Responsibility to prepare an economic and fiscal forecast for publication on 3 March 2026.
This forecast, in addition to the forecast that was published in November 2025, will fulfil the obligation required by the Budget Responsibility and National Audit Act 2011 for the OBR to produce at least two forecasts in a financial year.
As set out at the Budget, the spring forecast will not make an assessment of the Government’s performance against the fiscal mandate and will provide an interim update on the economy and public finances.
The Government intend to respond to this with a statement to Parliament. This is in line with my commitment to deliver one major fiscal event a year at the Budget. This approach gives families and businesses the stability and certainty they need and, in turn, will support the Government’s growth mission.
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Inheritance Tax: Agricultural Property Relief and Business Property Relief
(4 days, 1 hour ago)
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The Exchequer Secretary to the Treasury (Dan Tomlinson)
The Government have announced changes to the forthcoming inheritance tax reforms to agricultural property relief and business property relief. The Government announced on 23 December 2025 that the allowance for 100% rate of relief will be increased from £1 million to £2.5 million when it is introduced on 6 April 2026. This means a couple will now be able to pass on up to £5 million of agricultural or business assets tax-free between them, on top of the existing allowances such as the nil-rate band.
Taken together with the reform announced at Budget 2025, which made any unused allowance transferable between spouses or civil partners, it is now the case that widows and widowers will benefit from up to £2.5 million of their spouse’s allowance, even if their spouse passed away many years ago.
This increase in the allowance comes after listening carefully to feedback from the farming community and family businesses. The change means the Government are going further to protect more farms and businesses, while maintaining the core principle that more valuable agricultural and business assets should not receive unlimited relief.
This further reduces the number of estates forecast to pay more inheritance tax and further reduces the liability for many of the remaining estates.
Compared with Budget 2025, the expected number of estates claiming agricultural property relief, including those also claiming business property relief, affected by the reforms in 2026-27 halves from 375 to 185. Around 85% of estates claiming agricultural property relief in 2026-27, including those that also claim for business property relief, are forecast to pay no more inheritance tax on their estates under these changes.
Excluding estates only holding shares designated as “not listed” on the markets of recognised stock exchanges, the reforms are also now expected to result in up to 220 estates across the UK only claiming business property relief paying more inheritance tax in 2026-27. This is a reduction from up to 325 such estates forecast to pay more at Budget 2025. This means that just over 80% of such estates making claims are forecast to not pay any more inheritance tax.
The increase to the allowance will be reflected in a Government amendment to the Finance (No. 2) Bill, and this was tabled on 2 January. This will be debated in Committee of the whole House next week, on 12 January.
There is, as the Government have set out, a need to reform agricultural property relief and business property relief. As such, after the increase in the allowance, and subject to certification by the Office for Budget Responsibility, the Government expect the reforms to raise around £300 million in 2029-30.
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Animal Welfare Strategy
(4 days, 1 hour ago)
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The Secretary of State for Environment, Food and Rural Affairs (Emma Reynolds)
We are a nation of animal lovers. People across the country care deeply for animals, and the UK has a proud history of being pioneers when it comes to ensuring the very best for them. This Government are committed to safeguarding the welfare of animals for the long term, and we are changing how we will deliver the improvements needed to achieve the most ambitious reforms to animal welfare in a generation.
On 22 December, the Government published our new animal welfare strategy. This strategy sets out the UK Government’s priorities for England, focusing on the changes and improvements we aim to achieve by 2030.
The strategy is a comprehensive package of reforms that will improve the lives of millions of animals across the UK at home, on farm and in the wild.
We set out how we will deliver our manifesto pledges to ban trail hunting and the use of snare traps, and to end puppy farming and puppy smuggling. We are giving farm animals greater freedom and dignity and protecting our wildlife.
By improving animal welfare standards, we are supporting healthier, more productive livestock that delivers better outcomes for farmers, farm profitability, food security and the high welfare standards that British consumers expect.
The animal welfare strategy builds on this Government’s proven track record in delivering reforms for animals. This includes introducing new world-leading standards for zoos earlier this year and supporting the passage of the Animal Welfare (Import of Dogs, Cats and Ferrets) Act 2025 and the Dogs (Protection of Livestock) (Amendment) Act 2025.
In November last year, we published a strategy on replacing animals in science, which set out how we would partner with scientists, industry, and civil society as we work towards the phasing out of animal testing.
Rather than piecemeal legislation, we will take a more strategic approach—one that targets intervention where it is most needed. This means tighter regulation where standards are weakest, effective enforcement, and working with the sector to provide animal keepers and owners with additional support where they need it.
This animal welfare strategy has been developed in conjunction with key stakeholders including representatives of the companion, wild companion, wild animal, and farming sectors along with non-governmental organisations, and those involved in enforcement. We have held roundtable discussions on priorities while working to understand the underlying issues that lead to poor welfare. We also received input from other interested parties.
The Government recognise that each sector and species of animal has its own needs and challenges that must be considered to ensure good welfare. As such, different approaches are required, balancing priorities, interventions, legislation and roles for different organisations.
Key commitments in the strategy include:
We are ending puppy farming by consulting on reforming dog breeding practices to improve health and welfare and move away from practices that lead to poor welfare and unwell animals.
We will consider the introduction of new licences for domestic rescue and rehoming organisations to ensure rescues have the right checks in place.
We are promoting responsible dog ownership to protect public safety, and are looking forward to seeing the recommendations from the responsible dog ownership taskforce in due course.
We will consult on a ban on the use of electric shock collars due to the possible harm these devices cause to our pets.
As set out in our manifesto, we will ban trail hunting and will consult shortly on how to deliver this ban.
We will end the use of snare traps because they cause suffering to animals and can catch animals that they were not meant to, including pets and protected wildlife.
We will consider how to introduce a close season for hares which should reduce the number of adult hares being shot in the breeding season, meaning that fewer young hares are left motherless and vulnerable to starvation and predation.
We will consult on moving away from confinement systems such as colony cages for laying hens and farrowing crates for pigs so that animals can express their normal behaviours.
We will improve welfare for pigs at the time of killing by phasing out the use of CO2 gas stunning for pigs, which causes pain and distress, subject to a consultation.
We will introduce humane slaughter requirements for farmed fish.
We will work with industry to promote the use of slow growing meat chicken breeds.
We will form a fur working group of both industry experts and stakeholders who support restrictions on the trade in fur to help us explore options for addressing concerns in this area.
We will begin by launching two public consultations in January, on the use of cages for laying hens, pullets and breeder layers, and on lamb castration and tail docking, as the first step toward advancing these ambitious animal welfare reforms.
Our vision is simple: we want as many animals as possible to have the highest welfare standards at every stage of their life. Together with industry, non-governmental organisations and individuals, this Government will deliver the most ambitious reforms for animal welfare in a generation, creating a legacy we can all be proud of.
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