Spending review 2025

On 11 June 2025, Rachel Reeves delivered her first multi-year spending review settlement as chancellor, and the first from a Labour government since the 2000s.

Reeves had to balance competing priorities, including delivering on the government’s missions (such as improvements to public service performance and creating economic growth), while meeting the government’s fiscal rules. The Institute for Government has looked at how the government can run an effective spending review process, what is the best practice for the Treasury and for departments to achieve their objectives over this parliament, what particular pressures there are in public services, and what trade-offs the spending review decisions brought.