Rachel Reeves delivers spending review and says use of hotels for asylum seekers to end ‘in this parliament’– UK politics live | Politics

Reeves says the government will continue to rollout breakfast clubs.

She will spend £370m on school-based nurseries, she says.

And there will be £550m of transformation funding during the review period so children do not go into care if that is not needed.

And £130m from the dormant assets fund will be for arts events for underprivileged children at school.

Overall, the schools budget is going up by £4.5bn a year, she says.

Reeves says this spending review was as line by line review. The Tories did not do one like this, she says.

And it means she has found savings, she says.

I have found savings from the closure and sale of government buildings and land, cutting back office costs and reducing consultancy spend – all which the previous government failed to do, reforms that will make public services more efficient, more productive and more focused on the user. I have been relentless in driving out inefficiencies.

Reeves does not give a figure for how much has been saved.

Reeves says the warm homes plan is being expanded.

Millions of homes will be improved, she says.

Reeves says she is paying for more prison places.

And she says police spending power will increase by an average 2.3% in real terms.

This will fund the 13,000 extra police officer promised, she says.

Reeves says she is establishing a growth mission fund. This will fund local project. She gives examples.

We will establish a growth mission fund to expedite local projects that are important for growth projects, projects like Southport pier, an iconic symbol of coastal heritage, which has stood empty since 2022, Kirkaldy’s seafood, seafront and high street, where investment would create jobs and new business opportunities and plans for Peterborough new sports quarter to drive activity and community cohesion.

She says 350 communities will get funding.

Rachel Reeves’s pledge to almost double the grants to support affordable housing to £39bn over the next decade has lifted shares in UK housebuilders today.

Barratt Redrow (+1.7%), Persimmon (+1.66%), and Berkeley (+1%) are all among the top rises on the FTSE 100 share index today in the City.

Smaller rival Vistry, which is focused on affordable housing, are up over 8%.

The construction sector are hopeful that the spending boost will lift housebuilding (as well as trickling down into housebuilders’ profits).

Richard Beresford, chief executive of the National Federation of Builders (NFB), says:

“Rachel Reeves is backing up her planning reforms with the funding required to build the social and affordable homes the nation so desperately needs.

This is a significant step in the right direction and demonstrates that both the Prime Minister and Chancellor have a long-term plan to fix the housing crisis and are not afraid to share the limelight for the good of the nation.”

Reeves says she is allocating £118m over several years to keep coal tips safe in Wales.

Reeves says today she is publishing the outcome of the review of the Treasury’s green book, the document setting out the rules that decide how the government funds investment.

She says this will ensure the rules do not work against investment in the regions.

Reeves says in the coming weeks she will be setting out plans for Northern Powerhouse rail.

She is also allocating £2.5bn for the continuing development of East-West rail.

She also announces the extra £445m for rail in Wales. (See 10.17am.)

Reeves says Transport for London will get a four-year settlement, to provide it with certainty.

And there will be a four-fold increase in local transport grants in other parts of the country, she says.