100 Year Partnership: Keir Starmer and Volodymyr Zelensky attend a presentation of Ukrainian military drones during his visit to Ukraine to sign a new long-term partnership deal © PA Images / Alamy Stock Photo
The highly-anticipated AI Opportunities Action Plan was published this week, setting out how AI will be unleashed across the UK to deliver a ‘decade of national renewal’. The Prime Minister threw the full weight of Whitehall behind the industry during a speech on Monday, agreeing to take forward all 50 recommendations set out by his new AI Opportunities Adviser and tech entrepreneur Matt Clifford in his plan, as he emphasised the transformative impact on the lives of working people. Key initiatives include: the creation of AI Growth Zones; expanding sovereign AI compute capacity by at least 20 times by 2030; creating a new AI Energy Council; and the launch of a new dedicated team ‘with a mandate to strengthen the UK’s sovereign AI capabilities by supporting our national champions at the frontier of AI’. The Action Plan is also said to be ‘at the heart’ of the Government’s Industrial Strategy and the first plank of the upcoming Digital and Technology Sector Plan, to be published in the coming months.
Keir Starmer suffered his first ministerial resignation of 2025 as Tulip Siddiq resigned from her role as Treasury Minister after claims she profited financially from her links to her aunt, deposed Prime Minister of Bangladesh Sheikh Hasina. It came ahead of a statement from the PM’s ethics adviser Laurie Magnus on the affair, who did not say that she had broken the ministerial code but advised the Prime Minister “to consider her ongoing responsibilities”. In a letter to Starmer, Siddiq said she had decided to quit as continuing in the role would be a “distraction” from the work of Government. Wycombe MP Emma Reynolds was named the new Economic Secretary to the Treasury shortly after, serving as Pensions Minister before her appointment, with Torsten Bell promoted to fill Reynolds’ spot in the DWP.
With the Tulip Siddiq affair culminating this week, we thought it might be fun to look at the familial and spousal connections of our MPs. While none can claim connections quite as prestigious as being a member of Bangladesh’s founding family, Labour MP Ruth Cadbury’s chocolate-making family comes close! Some examples include Danny Kruger, who is the son of Bake Off’s very own Prue Leith, while Rupa Huq is the sister of Konnie Huq, the longest-serving female presenter of Blue Peter. Marsha de Cordova’s brother is Leicester City’s very own Bobby De Cordova-Reid, and both Barry Gardiner’s father and son are professional football players.
Approximately 27 sitting MPs have had traceable family sit in the Commons. This includes Hilary Benn, the scion of the Benn political dynasty whose father, grandfather and both great-grandfathers sat on the green benches; Kim Leadbeater, who replaced her sister Jo Cox in the non-contested by-election after Cox’s horrific murder; Aphra Brandreth, whose father is Gogglebox star and former Chester MP Giles Brandreth; and Greg Stafford, who was elected last year on the same night his brother, Alexander Stafford, was denied a second term by his constituents in Rother Valley. Neil Kinnock’s son Stephen Kinnock is also married to Helle Thorning-Schmidt, the former Danish prime minister. Since 1997 Parliament has had only its second set of twins sitting concurrently with the election of Maria Eagle to join her sister Angela Eagle (elected five years prior). They are not the only sister act, with Chancellor Rachel Reeves sitting alongside her sister Ellie Reeves in Cabinet.
Meanwhile, 8 sitting MPs have a spouse who at some point sat in the Commons, such as Home Secretary Yvette Cooper and Ed Balls. Set to join this exclusive bunch are the newly elected Louise Jones and Jeevun Sandher, who announced their engagement on 1 December 2024.
A number of MPs have famous or influential family in the political game but outside of the Commons: James Naish is the nephew of political henchman turned podcaster Alistair Campbell; Liam Conlon is the son of the (formerly) powerful Sue Gray; Alistair Strathern is first cousin once removed to Theresa May; and Torsten Bell’s twin brother just this week became the new director of the No. 10 Policy Unit.
2.5% – CPI inflation in the 12 months to December 2024 – unexpectedly down by 0.1% on November.
100 years – the length of the new “landmark partnership” signed between the UK and Ukraine this week.
£3bn – illegal drugs seized by Border Force in the last financial year… up a staggering 52% on the previous year.
£14bn – business investment in AI announced this week as the PM launched his AI Opportunities Action Plan.
£60.4bn – UK exports to the USA in 2023 according to the latest stats. Incoming President Donald Trump has pledged to introduce tariffs of 10-20% on all imported goods…
47% – the fall in the UK’s net foreign direct investment (FDI) earnings in 2023 compared to record recent highs in 2022 – down from £89.1bn to £43.1bn.
£20.37 – the cost of a personal video on Cameo by former Conservative MP and leadership hopeful Steve Baker (h/t Politico London Playbook).
The biggest international news of the week centred around the new Gaza ceasefire agreed by Israel and Hamas which, if formally approved by Israel’s Cabinet (as recommended by the Security Cabinet earlier today), could see the first hostages released as early as Sunday. The first stage of the deal involves a six-week ceasefire, whereby a number of hostages, believed to be 33, will be released in exchange for hundreds of Palestinian prisoners. During this stage, Israeli troops are expected to pull out of all populated areas of Gaza, as Palestinians return to their neighbourhoods; there will also be a surge in humanitarian aid deliveries to Gaza. A Palestinian official has said detailed negotiations for the second stage (a permanent end to the war, the return of the remaining living hostages and full withdrawal of Israeli troops from Gaza) and the third stage (the reconstruction of Gaza) of the deal will begin on the sixteenth day of the ceasefire, with outgoing US President Biden saying the ceasefire will persist “as long as the negotiations continue”.
Keir Starmer visited Ukraine for the first time since becoming Prime Minister, to sign a landmark new 100 Year Partnership between the UK and Ukraine, deepening their relationship across defence as well as non-military areas. During his visit, the PM also announced new military support for Ukraine. He followed this visit with a trip over the border to Poland today, launching talks on a new UK-Poland Treaty, and kickstarting new defence and security negotiations to tackle Putin’s aggression, as well as to ‘smash’ the criminal smuggling gangs and secure energy supplies.
Chancellor Rachel Reeves returned from her trip to China over the weekend, where she visited Beijing and Shanghai with a delegation of business representatives including the Governor of the Bank of England. Whilst there, she agreed the 2025 UK-China Economic and Financial Dialogue, to unlock market access for UK exporters in financial services and agri-products, and boost the UK economy by £600m over five years. Measures agreed include the granting of new licences and quota allocations for UK firms, initiatives to improve capital market connectivity, and plans for China to issue an inaugural overseas sovereign green bond in London later this year. Both sides also committed to improving existing channels to discuss national and economic security more candidly, with the Chancellor also using the trip to raise concerns over human rights, forced labour, the case of Jimmy Lai and China’s support for Russia’s defence industrial base.
However, it wasn’t a great week for the Chancellor, with the Conservatives quick to criticise her cooperation with China, particularly with regard to security concerns. But of more pressing concern were the question marks raised about her future in post, given the economy’s continued poor performance and low levels of business confidence. The Prime Minister’s big AI announcement on Monday ended up being rather overshadowed by media questions about the Chancellor’s future, as he refused (multiple times) to confirm whether Reeves would still be in post by the next election. She at least had some good news on Wednesday as inflation fell to 2.5% in December (down from 2.6% the month before) – that’ll pair well with the generous 0.1% GDP growth in November compared to no growth in the three months prior… a win is a win we suppose!
The new UK Soft Power Council was launched, bringing together influential figures from across the foreign policy and soft power sectors to advise Government. Co-chaired by the Foreign Secretary and Culture Secretary, the Council will use members’ expertise on security, climate and nature, development and more to help the Government build stronger partnerships with external organisations at home and abroad, and identify opportunities for strengthening British reach and reputation. The Council will help the Government shape and drive a new UK Soft Power Strategy.
The Prime Minister welcomed the Malaysian Prime Minister to Downing Street, where they discussed closer cooperation and agreed to upgrade the relationship to a strategic partnership across trade and investment, education, clean energy and defence. This came as Malaysian-owned YTL confirmed £4bn of investment over the next five years into the UK, to transform the Bristol area and deliver over 30,000 jobs across the UK. Also meeting Starmer was the Prime Minister of Iraq, as the two leaders signed a landmark Partnership & Cooperation Agreement, including a trade package worth up to £12.3bn and an agreement on a Strategic Bilateral Defence Relationship.
Conservative leader Kemi Badenoch delivered her first speech of 2025 on Thursday, in which she committed her party to “telling the British people the truth even when it is difficult to hear,” including about the mistakes that they made in Government, and insisted that the Conservatives can “fix the damage that Labour is inflicting.” Friday morning’s headlines however focused on the triple lock, after she suggested her party wants to explore greater means-testing of Government support in an interview with LBC. Responding to a question about the state pension, she said that the UK had a poor record in prioritising assistance to those who need it most – something that was quickly seized on by her opposition, claiming the Tories were planning to shift their stance on the sacred triple lock. Thankfully as we know, Badenoch never makes gaffes and always thinks very carefully about what she says…
The Cabinet Office announced that the UK’s preparation for future pandemics will be stepped up by the largest ever national response exercise due to be held in the Autumn, which will test the country’s capabilities, plans, protocols and procedures in the event of another major pandemic. In addition, the Cabinet Office has create a Risk Vulnerability Tool, creating a map for the UK for different risks it might face. These announcements come following the publication of the Government’s response to the Covid-19 Inquiry Module 1 report on resilience and preparedness.
The House of Commons passed one of the Government’s flagship pieces of legislation this week, as the Renters’ Rights Bill completed its remaining stages. A new measure was added which will prevent landlords from asking for more than one-month of rent in advance, with the Bill easily passing its third reading by 440 votes to 111. In early February it will be the turn of the Lords to scrutinise the legislation. It was also a week when the Parliamentary agenda shifted around at short-notice, with five urgent questions granted by the Speaker and 8 ministerial statements made, including from the Chancellor on the UK-China economic and financial dialogue, the Health Secretary on the NHS, the Foreign Secretary on the Middle East and the Home Secretary on grooming gangs. Pre-announced business, including a debate on the impact of food and diet on obesity and a motion on the Deposit Return Scheme, will now take place next week instead.
It was a legislation-heavy week in the Lords, with long debates on the Great British Energy Bill, the Mental Health Bill, and the Football Governance Bill all taking place. Three pieces of legislation have also been granted Royal Assent – the Lords Spiritual (Women) Act 2015 (Extension) Act 2025; Commonwealth Parliamentary Association and International Committee of the Red Cross (Status) Act 2025; and the Financial Assistance to Ukraine Act 2025. The latter of these enables the delivery of a total £2.26bn loan to Ukraine, which will be paid back by profits from immobilised Russian sovereign assets.
Coming up next week… is the return of Kim Leadbeater’s Terminally Ill Adults (End of Life) Private Members’ Bill, as it will have its Money Resolution in the Commons on Wednesday. On Tuesday the 23 MPs taking the Bill through its next stage - including Justice Minister Sarah Sackman, Health Minister Stephen Kinnock, and Kim Leadbeater herself - will meet to kick off the Bill's proceedings in committee.
While ONS figures indicate inflation falling, only 13% of Britons believe Chancellor Rachel Reeves is performing well, according to a poll from YouGov. Additionally, 78% of Britons say the economy is in a bad state - a figure comparable to the 80% recorded immediately after the disastrous 2022 mini-Budget. Looking ahead to 2025, pessimism remains high, with 51% expecting the economy to worsen over the next year, marking the most negative outlook since 2022.
The Government needs to invest in social housing as it looks to reform Right to Buy in England, according to a new report from Resolution Foundation. The report highlights the cost of building the homes needed for those in temporary accommodation and argues that the level of public investment promised in the upcoming Spending Review will play a big factor in the future of the social rental stock.
As the US is expected to retreat on its climate actions under a second Trump presidency, increased UK-China climate cooperation would be beneficial, argues a new report from Chatham House. The report argues that, between the UK’s expertise in carbon budgeting and China’s success in rolling out low-carbon technology, the two countries’ complementary climate capacities and cooperation should be pursued.
Mark Francois MP stunned Parliament this week by announcing he would now vote to… remain. Well sort of… Marking the 5th anniversary since the UK left the EU, the veteran Tory MP and arch-Brexiteer rose in Parliament during an urgent question on plans for local government organisation on Wednesday, proudly stating that he is, indeed, a remainer. The only catch is he was not referring to a second referendum on Brexit itself, but rather a county-wide referendum in Essex on the Government’s plans for devolution. The Britain Stronger in Europe team can stand down again…
