Spring Budget 2025 RECAP: Chancellor Rachel Reeves outlines spending cuts in Spring Statement

By Rachel Amery

Political Correspondent

Published 26th Mar 2025, 11:07 GMT

Updated 26th Mar 2025, 17:36 GMT

Chancellor Rachel Reeves has delivered her Spring Statement, confirming the 2025 growth estimate for the UK has been halved to 1 per cent by the government's official forecaster

Chancellor Rachel Reeves is due to set out her spring statement in the House of Commons from about 12.30pm.

We already know she is planning to cut £5 billion from the welfare budget in a bid to increase defence spending.

Chancellor of the Exchequer Rachel Reeves leaving 11 Downing Street, London, for the House of Commons to deliver her spring statement to MPs. Picture: Stefan Rousseau/PA Wire — Chancellor of the Exchequer Rachel Reeves leaving 11 Downing Street, London, for the House of Commons to deliver her spring statement to MPs. Picture: Stefan Rousseau/PA Wire | PA

placeholder image — Chancellor of the Exchequer Rachel Reeves leaving 11 Downing Street, London, for the House of Commons to deliver her spring statement to MPs. Picture: Stefan Rousseau/PA Wire | PA

The UK government has pledged to increase defence spending from 2.3 per cent of GDP to 2.5 per cent, costing around £16bn.

The Labour government has also said it will cut welfare spending by tightening up the eligibility criteria for disability benefits.

In Scotland, the SNP has already heavily criticised the proposed spending cuts.

Follow along live.

Rachel Reeves Scotland GDP UK Government SNP Labour

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