August Update

• Inflation Rates – In the Bank of England’s June report, the inflation rate was 3.4%, compared to 3.5% in May. The Bank has predicted inflation will peak at 3.7% over the summer before falling back. The target was 2%.
• Interest Rates – The Bank of England interest rate in June were 4.25%, unchanged from May.
• GDP Growth – The UK economy is estimated to have grown 0.7% between January and March 2025 in a June update from The Office for National Statistics (ONS). However, also in June, the ONS reported that the UK economy had shrank by more than expected during April, down by 0.3%, with the services and manufacturing industry contributing to the fall.
• Pound against the Euro – The Pound fell against the Euro at the end of June before rebounding to settle at 1 Pound being worth 1.16 Euros on the 3^rd July.
• House Market Prices – A survey from the Nationwide Building Society in June found that the average house price dipped by 0.8% per cent month-on-month (in June). The typical price of a property in June was £271,619, according to Nationwide.
• Unemployment Rates – The UK unemployment rate climbed to 4.6% in the three months leading up to April.

Bills in Parliament:

• Renters Reform Bill – Members of the House of Lords continued their further examination of the Renters’ Right Bill, with it due to enter the Report Stage on the 7^th July.
• Great British Energy Act  – The Great British Energy Act establishes Great British Energy as a new government-owned, clean energy company. The government has stated it hopes this new company will aid in the creation of jobs and investment in the clean energy sector.
• Planning and Infrastructure Bill – The Bill had its Second Reading in the House of Lords on the 25^th June 2025. The Bill aims to streamline the delivery of homes and critical new infrastructure.

Current Affairs

• Rachael Reeves, along with Sir Keir Starmer and the Labour Government, faced further scrutiny and difficult questions after their flagship Welfare Reform Bill was dramatically watered down in early July after a rebellion from backbenchers.
• According to a national Sky News/YouGov poll, on the 3^rd July, the Reform Party is on track to get the most seats if an election took place this year, with the combined support for the Conservatives and Labour collapsing to less than half of the national vote. It concluded that, with a sample size of 11,500 people, if a general election were to happen tomorrow, Nigel Farage’s Reform UK would win 271 seats, the most of any party.
• A man gets refunded his £70,000 Community Infrastructure Levy (CIL) charge by Waverley Borough Council in a landmark case. According to BBC News, resident, Steve Dally, had been granted planning permission to replace an existing house extension that was exempt from CIL. However, he did not realise that an extra application to make minor amendments was subject to the charge. After the ruling, the Council agreed to launch a scheme which would review if CIL money, taken in error, could be routinely returned in the future.