UK Chancellor Rachel Reeves is launching a new "skills compact" with financial firms like Barclays and Lloyds to retrain thousands of workers for the AI revolution. The initiative commits employers to improving skills and keeping pace with technological changes, aiming to future-proof jobs and maintain the sector's competitiveness.
UK Treasury has not analyzed trade-offs for NATO's 3.5% GDP defense spending pledge. Chief Secretary Lucy Rigby stated funding decisions are for the "next prime minister," citing finite resources and potential tax hikes.
The UK Treasury, led by Chancellor Rachel Reeves, rejected a proposal to cut VAT on public EV charging from 20% to 5%. This decision came despite support from the Department for Transport and pressure from EV operators, who argue the disparity unfairly penalizes drivers without home charging. HMRC is appealing a tribunal ruling that favored the lower rate.
HM Treasury announced reforms to payment services and electronic money rules to support stablecoins and tokenization. The government will consult on creating a single framework for traditional and tokenized payments, reduce administrative burdens for stablecoin providers, and explore how payment regulations apply to AI agents. Former FCA veteran Chris Woolard was appointed digital markets champion. Legislation is expected to take effect in 2027.
