Reeves says inflation fall shows ‘plan for change is working’ – as it happened

Reeves says inflation fall shows ‘plan for change is working’ – as it happened


Reeves: inflation figures are latest ‘encouraging sign that our plan for change is working’

Speaking about the latest inflation figures, chancellor Rachel Reeves said there were “encouraging signs that our plan for change is working.”

UK inflation dropped to 2.6% in March, meaning prices are rising slightly more slowly. Reeves said:

Inflation falling for two months in a row, wages growing faster than prices, and positive growth figures are encouraging signs that our plan for change is working, but there is more to be done.

I know many families are still struggling with the cost of living and this is an anxious time because of a changing world.

That is why the government has boosted pay for three million people by increasing the minimum wage, frozen fuel duty and begun rolling out free breakfast clubs in primary schools.

Key events

Closing summary

  • The British and French governments are involved in early talks about a returns agreement that would involve both countries exchanging people seeking asylum. Officials have discussed a pilot scheme under which a small number of people who come across the Channel to the UK by irregular means would be sent back to France.

  • The Conservative shadow chancellor Mel Stride has claimed government choices are “driving up the cost of living.” Reacting to news that inflation had slowed, Stride said: “Inflation remains above target and we know from official forecasts that price rises are set to increase further this year because of the chancellor’s choices.

  • UK inflation has fallen to 2.6%, increasing pressure on the Bank of England to cut interest rates.

  • Some 705 people arrived in the UK on Tuesday after crossing the English Channel, according to provisional figures from the Home Office. It is the highest number of arrivals on a single day so far this year, PA Media reported. The cumulative number of arrivals by small boats in 2025 now stands at a provisional total of 8,888.

  • China has accused UK politicians of “arrogance, ignorance and a twisted mindset” as it defended British Steel’s owner Jingye after a barrage of criticism over the narrowly averted shutdown of its blast furnaces. Beijing’s embassy to the UK accused unspecified British public figures of slandering China’s government and businesses, in comments published on Wednesday on its website.

  • A government minister has reiterated the call for the Unite union to accept a deal and end the bin strike in Birmingham. Speaking on GB News this morning, Lillian Greenwood, parliamentary under-secretary of state for the future of roads, said residents were facing “a completely unacceptable situation”

  • The trade secretary, Jonathan Reynolds, will travel to Beijing to revive a key trade dialogue with China despite saying it had been naive to allow Chinese investment in sensitive sectors, the Guardian has learned

  • Liberal Democrat leader Ed Davey has said he hopes the government won’t consider another Chinese firm for the future ownership of British Steel and the blast furnaces in Scunthorpe. Appearing on Sky News, Davey said “I would caution them against” another Chinese partner, telling viewers “One of the worries that I think we’ve all had is the Chinese firm might have been under orders being influenced by the Chinese government.

  • The UK supreme court is set to rule on the legal definition of a woman. The case against the Scottish government was brought by the campaign group For Women Scotland

  • Water companies’ pollution incidents in England increased by 30% in 2024.

  • Nigel Farage has issued a local election campaign video this morning, which he recorded yesterday afternoon, in which he calls the Conservative party a “self-entitled arrogant up themselves bunch of losers.” He claims that while he has been out campaigning in Durham and Northumberland, the Conservatives “are not on the pitch, not campaigning out around the country, not appearing for any media interviews.”

  • PA Media reports that Tommy Robinson has lost an appeal against his 18-month sentence for the civil offence of contempt of court at the court of appeal. Robinson, whose real name is Stephen Yaxley-Lennon, was jailed in October last year after admitting multiple breaches of a high court order made in 2021.

  • A judge has fined Cambridgeshire county council £6m for health and safety breaches on the world’s longest guided busway after three deaths and multiple incidents of injury. PA Media reports that Ben Compton KC, for Cambridgeshire county council, requested that the authority be given six years to pay the money, adding: “It’s a council – these are hard times.”





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