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Moxy Quiz

The government’s Spending Review follow‑up dominated last week’s headlines, but its impact has rapidly intersected with a sharp escalation in the Middle East, presenting new domestic and geopolitical dilemmas for Prime Minister Keir Starmer and Chancellor Rachel Reeves.

The UK’s refreshed industrial approach saw the launch of a £2 billion plan to reduce business energy costs, including scrapping green levies and offering up to a 90% discount on network charges for major industries by 2026. These moves build on the £100 billion capital investment unveiled on 11 June, positioning energy security and industrial competitiveness at the heart of domestic policy.

But the broader narrative has been overtaken by alarming developments in the Israel‑Iran conflict. A high alert COBRA meeting was convened as the US launched strikes on Iranian nuclear facilities and the UK pulled embassy staff from Tehran as tensions escalated. The Foreign Office has issued its strongest travel warnings yet, advising against all travel to Israel and nearby areas, and standby charter flights are being readied for British nationals. In Parliament, Foreign Secretary David Lammy refused to say whether the UK considers the US action legal, reiterating that diplomacy remains the preferred route while condemning Iran’s uranium enrichment. The Prime Minister affirmed Britain’s support for Israel’s right to self‑defence, but stressed the urgent need for de‑escalation and resumed diplomatic engagement.

Meanwhile, Starmer has ordered a military posture shift in the region, relocating RAF jets to the Middle East as a ‘contingency’ measure. Downing Street however, was at pains to clarify this is precautionary, not provocative, insisting there are no plans for offensive UK involvement. Internationally, UK diplomacy has been active. David Lammy travelled to Geneva to join European counterparts in nuclear talks with Iran, while Starmer continues to engage at the G7 and maintains communication with US, French, German and Canadian leaders. European counterparts are urging restraint following US strikes, intent on preserving unity at NATO’s crucial summit in The Hague.

The effect on energy markets is already tangible. Though ministers insist domestic energy bills will fall as planned, there is growing concern over volatility in oil and gas markets, with instability in the Strait of Hormuz exacerbating global supply worries. The Spending Review’s industrial and energy strategy was conceived as a forward‑looking platform for economic renewal. But with fast‑moving conflict in the Middle East, it now doubles as a tactical buffer - a shield prepared to forestall external shocks to UK industry, households and energy security.

Politically, Starmer is walking a tightrope. He must show robust support for allies and maintain strong national security signals - including readiness to deploy jets or authorise Diego Garcia use, while avoiding escalation and upholding UK sovereignty in military decisions. The decision to pull embassy staff and issue travel warnings while preparing humanitarian repatriation reflects that nuanced balancing act.

As NATO and EU leaders converge this week to discuss defence budgets and Middle East ramifications, the UK’s strategic communications will be tested. Whether the government will continue to frame its investment agenda as both a long‑term growth plan and a reactive safeguard, hinges on how events unfold. For now, Atticus will be monitoring how economic planning and global contingency planning intersect, and how that resonates with clients concerned about stability, supply chains, and reputational risk.

What’s on in Parliament

Monday 23rd June

House of Commons 

  • Oral Questions: Work and Pensions 

  • General Debate: Pride Month

  • Westminster Hall Debate: Relating to geo-engineering and the environment

House of Lords 

  • Oral Questions: Support for the live music industry

  • Oral Questions: Impact of business rates reform on Business Improvement Districts

  • Legislation: Children's Wellbeing and Schools Bill - committee stage (day 7)

Tuesday 24th June 

House of Commons 

  • Oral Questions: Medical Aid in Gaza

  • Westminster Hall Debate: Impact of the VAT registration threshold on SMEs

  • Westminster Hall Debate: Right to maintain contact in care settings

  • Westminster Hall Debate: Improving flood defences in Chesterfield

House of Lords 

  • Oral Questions: Improving social care provision over the next two years

  • Oral Questions: Improving nutritional and marketing standards for baby foods

  • Legislation: Employment Rights Bill - committee stage (day 11)

Wednesday 25th June 

House of Commons 

  • Prime Minister’s question time 

  • Oral Questions: Science, Innovation and Technology

  • Westminster Hall Debate: GP Funding in the South West 

House of Lords 

  • Oral Questions: Removal of VAT exemption for independent schools

  • Legislation: Planning and Infrastructure Bill - second reading

  • Grand Committee Legislation: Public Authorities (Fraud, Error and Recovery) Bill - committee stage (day 6)

Thursday 26th June 

House of Commons 

  • Oral Questions: Transport

  • Legislation: Supply and Appropriation (Main Estimates) (No. 2) Bill: Second and Third reading

  • Westminster Hall Debate: Funding of the BBC World Service

House of Lords 

  • Oral Questions: Promoting public information on allergens in England and Wales

  • Oral Questions: Government's 10 Year Health Plan and improved prevention, early diagnosis and access to care and technology for people with diabetes

  • Legislation: Border Security, Asylum and Immigration Bill - committee stage (day 1)

Friday 27th June 

House of Commons 

  • The House of Commons is in recess and will next sit on 30th June 2025

House of Lords 

  • The House of Lords is in recess and will next sit on 30th June 2025

Consultations

Statistics