Overall Defra budget cut, but billions pledged for farming, flood defences and nature

FOLLOWING intensive lobbying from the CLA (Country Land and Business Association) amid speculation of heavy budget cuts, the Chancellor has confirmed billions will be spent on:- farming, flood defences and nature recovery.

The CLA has welcomed the news that farming will receive:- £2.7bn a year from:- April 2026, and Environment Land Management (ELMs) payments will go up to:- £2bn by:- 2028/29.

Flood defences will see an investment of:- £4.2bn, with a 5% increase in spending. Tree planting will receive:- £816m, environmental schemes:- £5.9bn and £85m for peatland restoration.

There is still some uncertainty over how this money will be distributed, and we will continue to engage with Defra to ensure this is delivered.

Country Land and Business Association (CLA) President Victoria Vyvyan said:- "While we still need further detail, it is clear that this is a meaningful funding settlement. Many farmers will be breathing a sigh of relief. We now need Defra to work closely with industry to understand how to get the best bang for their buck; to further the impressive gains we have already made in nature friendly farming. Trust and confidence have been shaken, and this is an opportunity to rebuild. It is clear though that Government still has not fully understood the consequences of its anti business policies. Taxes are going up, jobs are being lost and investment in the rural economy is crumbling. Now is the time to get around the table with rural business leaders and thrash out a robust and ambitious plan for growth."

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Statements commenting on Chancellor Rachel Reeves' Spending Review

THE UK Chancellor, Rachel Reeves, has just unveiled how our taxpayer money will be spent up to 2030. these are a few of the comments we have had in regards to her Spending Review announcement. It was great news for Southport for investment, but what about other areas of the Liverpool City Region and the rest of the UK?

Responding to the Spending Review, Cllr Louise Gittins, Chair of the Local Government Association, which represents Councils, said:- "It is positive that the Spending Review delivers on some key LGA asks. Funding announced for children's services and SEND support will help more children get the right support and avoid reaching crisis point. We are also pleased at increased investment in the Affordable Homes Programme and the commitment to a 10 year rent settlement, which will support Councils to invest in maintaining existing homes and ramping up vital new build programmes. Extra investment in places to support regeneration, transport and infrastructure is good news for residents and communities in these places. We will analyse the detail to assess the full impact on Councils and communities. A recommitment to multi-year Local Government funding settlements is essential for financial planning while efficiency and innovation continues across Local Government. However, all Councils will remain under severe financial pressure. Many will continue to have to increase Council tax bills to try and protect services but still need to make further cutbacks. While Government faced tough choices, future funding for adult social care is good news but a lack of significant extra Government money needed to meet immediate pressures is worrying. We expect Government to provide urgent clarity on how it plans to address high needs deficits, which are projected to rise to £5 billion next year, as part of its forthcoming SEND reforms. Over half of Councils have warned they will become insolvent next year when the statutory override flexibility ends and we continue to urge Government to write off these deficits. Public service reform and investment in prevention; especially in social care and SEND; can reduce costs and demand, and Councils want to partner with Government on this agenda. Council financial pressures are also exacerbated by an outdated funding system, so we look forward to the consultation on reform and a roadmap to a sustainable, long term financial model for Local Government."

Liverpool City Region Mayor Steve Rotheram has responded to the Government's Comprehensive Spending Review:- "This Spending Review sets the right tone; and the right priorities; for the road ahead. At a time when tough choices have had to be made, the Chancellor has clearly recognised the value of investing in the parts of the country with the greatest potential and the strongest record of delivery. That's a real vote of confidence in places like the Liverpool City Region, and in the role that Mayors can play as the delivery arm of Government. I welcome the focus on long term investment, Regional fairness and the practical steps being taken to back local areas with the tools and funding we need to succeed. From transport and housing to skills and innovation, this gives us the opportunity to build on our momentum and deliver real, lasting change. We're ready to hit the ground running and I look forward to working closely with ministers to make the most of what's been set out today."

The Chancellor announced that, following calls from Mayor Rotheram, there will be changes to the Green Book used by Treasury to appraise projects. Welcoming the changes, Mayor Rotheram said:- "This is a landmark moment. For too long, the rules governing public investment have tilted the playing field against areas like ours. I've spent years pressing for reform of the Green Book, and I'm really pleased to see the Treasury now recognising the need for a fairer, more practical approach. These changes go far beyond technical tweaks; they represent a fundamental shift in how funding decisions get made. By cutting unnecessary complexity, scrapping arbitrary thresholds, and putting local priorities at the heart of the process, we have a real opportunity to deliver the kind of inclusive growth that benefits every part of the country. The real test now is implementation. That's why I'm offering the Liverpool City Region as a national pilot for this new approach to show how it can work in practice and deliver better outcomes for people in places that have too often been left behind."

On the Liverpool-Manchester Railway, Mayor Rotheram said:- "Today we got some really positive signals from the Chancellor that show our calls for serious investment in the North's railways are finally being heard. We'll be eagerly awaiting the detail in the forthcoming infrastructure strategy. Our proposals for the Liverpool-Manchester Railway are about far more than just laying some railway tracks; it's about better connecting people to jobs and opportunities; supporting growth across the North, and unlocking thousands of new homes. A modern rail link befitting 2 of the UK's great cities could help spark £90bn of economic growth across the North. 2 centuries ago, the Liverpool-Manchester Railway helped power an industrial revolution. With the right backing, we have the chance to lead a new one, delivering growth and prosperity for generations to come."

On transport funding, Mayor Rotheram added that:- "With £1.6bn coming our way, we can crack on with building the kind of transport network people here deserve: new train Stations, a rapid transit system, and a bus service run for people, not profit. It's not just about better connections; good transport is a real engine of growth. It helps people get to work, supports new homes and businesses, and builds the foundations of a fairer, more productive economy. With a Chancellor who's willing to back our ambition, we've now got the funding to make it happen."

Country Land and Business Association (CLA) President Victoria Vyvyan said:- "While we still need further detail, it is clear that this is a meaningful funding settlement. Many farmers will be breathing a sigh of relief. We now need Defra to work closely with industry to understand how to get the best bang for their buck; to further the impressive gains we have already made in nature-friendly farming. Trust and confidence have been shaken, and this is an opportunity to rebuild. It is clear though that Government still has not fully understood the consequences of its anti-business policies. Taxes are going up, jobs are being lost and investment in the rural economy is crumbling. Now is the time to get around the table with rural business leaders and thrash out a robust and ambitious plan for growth."

James Broun, Research Manager at the Royal Society for the Prevention of Accidents, said:- "The UK is in the grip of a public health crisis caused by preventable accidents. Accidental deaths have risen by over 40% in the past decade, claiming more than 20,000 lives and causing millions of injuries annually. There is also a stark economic cost, with accidents costing over £6 billion a year in lost productivity and an additional £6 billion in NHS treatment, putting an enormous and avoidable cost on public services. While the Royal Society for the Prevention of Accidents (RoSPA) is pleased to see investment in areas such as healthcare, housing and policing that directly influence people's ability to live safe lives, it is essential that health and safety is prioritised. Police must be properly resourced to reduce road deaths, and new housing must meet stringent safety standards. Substantial cuts to agencies including:- the Health and Safety Executive (HSE) and trading standards over previous years have limited their ability to protect the public today. We need greater investment to reverse these cuts and the rise in accidents. Otherwise, more people will lose their lives, the NHS will struggle under pressure and the economy will suffer. RoSPA is calling for a National Accident Prevention Strategy, overseen by a dedicated minister, to drive coordinated, life saving action to reduce the huge human and economic costs of rising accident rates. After today's Spending Review and its emphasis on wise investment, this stands out as 1 of the best investments the Government could make."