Political Update

Government Policy Updates

UK borrowing hits five-year high as tax rises loom

UK government borrowing rose to £18bn in August – the highest for the month since 2020 and well above City forecasts of £12.75bn – while the Bank of England kept interest rates at 4% amid 3.8% inflation. Governor Andrew Bailey said inflation should ease gradually but cautioned the economy remains “not out of the woods,” with long-term borrowing costs at 27-year highs. Looking ahead to November's budget, economists warn Chancellor Rachel Reeves may need to raise around £28bn in extra taxes to meet fiscal rules.

Oxford Street Transformation Update

Westminster City Council (WCC) has agreed to transfer “highway authority” powers for Oxford Street to the Mayor, with a public consultation expected later this year. The first phase is expected to focus on the section between Orchard Street and Great Portland Street.

The GLA held a one-day event on 21 September, This is Oxford Street. Recruitment has also been launched for a Chair and Chief Executive to lead the new Oxford Street Development Corporation.

Mayor pushes for permanent al fresco dining across London

The Mayor has announced plans to make al fresco dining a permanent feature of the capital’s nightlife, as City Hall analysis shows changes to licensing laws could boost London’s economy by £2bn a year. The Mayor is set to receive new powers from the Government later this year to extend opening hours and call in licensing applications of strategic importance, supporting outdoor dining and key nightlife venues.

Westminster Cuts Carbon Emissions

Westminster City Council’s latest Climate Emergency Progress report shows that council emissions are down 34% since 2018/19 and city-wide emissions are down 17% since 2017.

Westminster Launches Call for Growth Sites

As part of its new City Plan consultation, Westminster City Council has launched a ‘call for sites’ to help identify major areas for future growth and ensure they are managed effectively.

Consultation on Retrofit Guidance Document

Westminster City Council is undertaking a consultation on the new Retrofit First Policy Guidance. The consultation closes at midnight on 10 October.

HOLBA’s Progress Update

Reducing Crime in the West End

• The Met has signed a data-sharing agreement with BIDs and partners to boost collaboration and intelligence sharing.
• HOLBA urged the Met to set clearer targets, improve business crime reporting, and focus on high-footfall areas in its draft strategy.

Enhancing the West End Proposition 

• With business rate changes due in April 2026 likely to affect over a quarter of members, HOLBA is driving reform — engaging senior stakeholders, securing coverage in The Times , and writing to the Business Secretary.
• HOLBA is pushing for the West End’s redesignation in the next London Plan to strengthen its trading environment. We hosted a delegation from Opportunity London and led a roundtable discussion at the London Real Estate Forum.
• New pedicab regulations are set to come into force next Spring - HOLBA is ensuring business voices shape the new rules in TfL’s final pedicabs consultation (closing on 20 October).

Shaping the West End’s Public Realm

• HOLBA champions a smoother, more accessible public realm for the West End. We called for decluttered pavements and better design in response to a London Assembly consultation on walkability.
• HOLBA called for quicker responses, more sector-specific expertise, and officer resources in its response to Westminster City Council’s planning services consultation.