Sajid Javid vows to 'turn page on austerity' with 'biggest spending boost in 15 years'

  • Video report by ITV News Business and Economics Editor Joel Hills

Chancellor Sajid Javid has vowed to "turn the page on austerity" by injecting the "biggest spending boost in 15 years," as he unveiled plans of the Government's spending review.

He announced an extra £2 billion pounds for "Brexit delivery", bringing the total spend on Brexit preparations, to £8.3 billion, since 2016.

The Chancellor said the "uncertainty" around Brexit should not distract from delivering on the "people's priorities", as the prime minister calls for a snap election.

Mr Javid said the extra cash boost for Brexit "will allow us to reshape the British economy".

He promised he was "turning the page on austerity" as he set out a £13.8 billion cash boost for areas including health and education in a pre-election public spending spree.

The Chancellor’s first major statement was repeatedly criticised by Commons Speaker John Bercow for deviating from the topic of the spending round.

Mr Javid announced the "biggest increase in day-to-day spending in 15 years".

An extra £750 million will be pumped into recruiting new police officers. Credit: PA

He said: "Next year I will add £13.4 billion to total public spending including £1.7 billion added for capital spending.

"These extra funds take the real increase in day-to-day spending to £13.8 billion, or 4.1%."

How much money will be spent for education funding?

He has pledged money to a number of departments, including an additional £7.1 billion for schools and further education.

An extra £7.1 billion has been pledged by the government for funding in schools. Credit: PA

This pledge includes £5,000 per pupil in secondary schools as well as £4,000 per pupil in primary schools across the UK from 2021/2022.

Mr Javid also confirmed that all teacher salaries will start from £30,000 by 2022-23.

What about the NHS?

Investing £210 million in training and retaining nurses, will help to build "a healthier Britain", the Chancellor said.

He made the remarks as he announced his £6.2 billion cash injection into funding the NHS.

Mr Javid confirmed the funds will include a £1,000 personal development budget per nurse as well as an upgrade of 20 hospitals to allow for "easier cancer detection and better treatments of health conditions".

A £6.2bn cash injection will be pumped into the NHS. Credit: PA

Funding for homelessness will rise by 13%, an extra £54 million.

Councils will have access to an additional £1.5 billion to fund social care next year.

But ITV News Business and Economics Editor Joel Hills said this "is not the boast it sounds".

He added: "Council budgets for local services have been cut by 20% since 2010."

Is there an increase to police funding?

Yes. The Chancellor said there is a 6.3% real terms increase in Home Office spending.

He confirmed £750 million will be spent on recruiting new police officers and an additional £45 million to recruit and train up the first 200 officers.

But despite the increased spending, Mr Javid insisted "we won’t be writing blank cheques".

Sajid Javid's spending review only applies to the year 2020/2021. Credit: PA

What's a spending review?

In a spending review, the Chancellor allocates funding to Whitehall departments.

Spending reviews traditionally cover multi-year periods - this one only applies to the year 2020/21, due to the ongoing political upheaval and the economic uncertainty thrown up by the Brexit process.

The sums Sajid Javid has announced will cover department "resource" budgets (day to day spending) rather than capital budgets (money spent on investment).

Shadow chancellor John McDonnell dismissed the statement as "grubby electioneering".