26 Mar 2025Addressing the House of Commons, Chancellor Rachel Reeves used the 2025 Spring Statement to announce an increase in defence spending and a move from a deficit of £36.1 billion in 2025/26 to a surplus of £9.9 billion by 2029/30. In her speech, the Chancellor commented: 'I can confirm to the House that day-to-day spending will increase in real terms above inflation in every year of the forecast, and in the spending review — apart from the reductions in overseas aid across the departments — day-to-day spending has been fully protected.' Mel Stride, Shadow Chancellor, responded to the Spring Statement and stated that the UK was once growing at the fastest rate in the G7 but growth forecasts have been 'cut in two' as a consequence of decisions and choices made by the Chancellor. He said: '[The Chancellor] chose to be reckless with a sliver of headroom against her fiddled targets. She borrowed and spent and taxed like it was the 1970s.' Meanwhile, Carla Denyer, Co-leader of the Green Party, said: 'To govern is to choose, and . . . many will be disappointed by the choices this Labour government is making.'