FTI Consulting UK Public Affairs Snapshot: A King’s Speech Overshadowed

Economy, Industry and Finance 

• Steel Industry (Nationalisation) Bill: Will give the Government powers to bring British Steel into full public ownership – the first time the industry has been nationalised since 1988 – subject to a public interest test. It will also introduce compensation provisions for steel undertakings in respect of which SoS’s transfer powers have been used. It follows the Government’s seizure of operational control of the Scunthorpe plant in April 2025. The legislation is intended to safeguard UK steelmaking capacity and support the Government’s long-term Steel Strategy. 
  
• Enhancing Financial Services Bill: A major overhaul of financial regulation, implementing the ‘Leeds reforms’ set out by the Chancellor in July 2025. This will formally abolish the Payment Systems Regulator, absorbing its remit into the Financial Conduct Authority (FCA), and reform the Financial Ombudsman Service so that firms which have followed FCA rules are found to have acted fairly and reasonably. It will also scale back the Senior Managers and Certification Regime, which requires firms to seek regulatory approval before appointing senior managers. Additionally, it will enable credit unions to expand by improving the rules on who can become a member and update the statutory framework underpinning the ring-fencing regime. 
  
• Small Business Protections (Late Payments) Bill: Will give the Small Business Commissioner powers to investigate and fine businesses that persistently fail to pay their suppliers, and ensure smaller businesses are paid within a maximum of 60 days, with mandatory interest on late payments at eight percent above the Bank of England base rate. 

EU Relations and Trade 

• European Partnership Bill: Will include powers to fulfil treaty obligations in the agreements with the EU where it serves the national interest, enabling domestic implementation of “relevant commitments so that the benefits of the agreements can be unlocked” and provide powers to extend the application of the Bill to new treaties with the EU in the future. The Government are clear that these powers will mean that “Parliament has its say before EU law is applied in the UK.”  

Science, Technology and Digital 

• Digital Access to Services Bill: Will establish the legal framework for the Government to create, issue and use Digital ID, whilst also setting out the information the Digital ID credential will contain, and provide for how it can be issued, maintained, stored, and verified, as well as eligibility requirements. 

Energy and Environment 

• Energy Independence Bill: Will provide a legislative framework for the UK’s transition away from fossil fuels towards clean energy sources. Legislation includes placing government funding for 75% of the domestic costs of the Renewables Obligation scheme on a permanent legal footing for three years, requiring landlords to improve the energy efficiency of rented homes, providing Ofgem with stronger consumer protection powers and giving the Government will new powers to provide targeted support for vulnerable households with energy bills. There will be reforms to planning, regulatory and market frameworks to accelerate offshore wind, hydrogen and smart grid projects. The Bill also enables discounted electricity prices during periods of excess generation. It commits to no new oil, gas or coal licences, bans fracking, introduces Transitional Energy Certificates for existing fields, and strengthens protections and employment rights for offshore energy workers. 
  
• The Clean Water Bill: Will create a new, independent and integrated water regulator by bringing together the relevant functions of Ofwat, the Drinking Water Inspectorate, the Environment Agency and Natural England, whilst introducing a new Water Ombudsman. The Bill will also strengthen the financial resilience and long-term stability of the sector through a modernised economic regulation regime including the new regulator taking a supervisory approach to improve oversight and establishing a Performance Improvement Regime to ensure earlier intervention for poorly performing water companies. It will also Strengthen drinking water protection and public health by giving the new regulator stronger enforcement powers and responsibility for convening expert advisory groups to keep drinking water standards world-leading.  
  
• Nuclear Regulation Bill: The Bill will modernise the way that new nuclear projects are regulated so that the Government can deliver safe, secure and affordable nuclear power and infrastructure sooner, while maintaining strong environmental protections. The Government is overhauling planning and regulation in a boost to the UK’s energy sovereignty and the nuclear deterrent. 

Health 

• NHS Modernisation Bill: Will formally abolish NHS England, merging most of its functions into the Department of Health and Social Care by April 2027, with an overall headcount reduction of around 50%. Will also implement legislative commitments in the 10 Year Health Plan, including establishing a single patient record, changes to the governance of integrated care boards and NHS Foundation Trusts, and simplification of the patient safety landscape- including abolishing Healthwatch and integrating the Health Services Safety Investigation Body into the Care Quality Commission. 

Immigration and Asylum 

• Immigration and Asylum Bill: Will legislate for significant changes to the UK’s asylum and immigration system. Key measures include creating a new independent appeals body to hear asylum cases (replacing immigration judges in the First-tier Tribunal), denying appeal rights to those with clearly unmeritorious claims, further restricting the use of Article 8 of the European Convention on Human Rights in asylum cases, and updating modern slavery legislation to address potential misuse while maintaining essential protections. 

Policing, Security and Justice 

• Police Reform Bill: Will implement the Government’s White Paper from local to national: a new model for policing, published in January 2026. Will merge the 43 existing police forces in England and Wales into larger regional forces, abolish Police and Crime Commissioners and replace them with mayoral authorities and policing and crime boards, and create a new National Police Service by merging the National Crime Agency, the College of Policing and the National Police Chiefs’ Council. 
  
• National Security Bill: The National Security Bill will make the UK a harder target for states, dangerous groups individuals seeking to attack the UK. It will allow for the Secretary of State to specify organisations, including state entities or their proxies, that are engaged in activity to threaten our national security, including espionage, sabotage and interference. The Bill will create new criminal offences to disrupt specified groups operating in the UK and offences in the National Security Act 2023 will apply to the organisations, making it easier to bring prosecutions against individuals who are working for specified proxy organisations 

Constitution and Governance 

• Removal of Peerages Bill: Will introduce a mechanism for the removal of peerage titles from disgraced peers without the need to introduce bespoke legislation for every individual case – a power that does not currently exist in law. Follows media revelations about Lord Mandelson’s association with the late Jeffrey Epstein and widespread calls for his peerage to be removed. 
  
• Overnight Visitor Levy Bill: Will give mayors and potentially other local leaders of Foundation Strategic Authorities the power to introduce a levy to raise and invest money into projects that improve their areas, raise living standards and drive growth. 

Housing 

• Remediation Bill: Will make construction product manufacturers pay towards fixing the problem they caused, with criminal prosecution to compel those responsible to fix the safety problem. There will be a new mandate for how external wall assessments are carried out, and a ‘remediation backstop’ will be introduced to ensure work is completed where landlords fail to act. The Bill delivers on the manifesto commitments to fix the cladding crisis. 
  
• Social Housing Renewal Bill: A Bill to increase long-term investment in social housing. 
  
• Commonhold and Leasehold Reform Bill: Will ban the use of leasehold for most new flats, making a new process for converting to commonhold and will create a new legal framework for commonhold. The bill will cap ground rents at £250 annually, reducing to a peppercorn after 40 years, and abolish forfeiture, replacing it with a fairer lease enforcement scheme. Enfranchisement provisions in the Leasehold and Freehold Reform Act 2024 will be amended to make it easier and cheaper to extend leases, and a new right for leaseholders in flats to request improvements will be created. Applies to England and Wales.  

National Infrastructure & Transport 

• Civil Aviation Bill: Introduced to unlock the benefits of airport expansion. The Bill will strengthen consumer rights and protections, promote economic growth and infrastructure provision, and enhance aviation safety, ensuring that the UK retains its appeal as a competitive aviation hub. 
  
• Highways (Financing) Bill: Will enable roads to be built at pace, including the Lower Thames Crossing. The Bill will enable a new Regulated Asset Base funding model finance large-scale road scheme, supporting the Government’s commitment to deliver a modern transport network that helps people get to where they need to more easily and safely. The Bill also enables the delivery of schemes through private investment, reducing the financial burden on taxpayers while ensuring strong regulatory oversight to protect the interests of users, and an independent regulator will be named to provide strong oversight. 
  
• Northern Powerhouse Rail Bill: Will establish the powers needed to construct the Crewe–Manchester section of the HS2 high speed rail link, stopping at Manchester Airport and Manchester Piccadilly. 

Other Measures 

• Education for All Bill: A Bill that will reform the system of SEND support in England. 
  
• Tackling State Threats Bill: A Bill that will create a new power for the Secretary of State to designate organisations that are engaged in threatening activity linked to a foreign power. 
  
• Electricity Generator Levy Bill: A Bill that will break the link between electricity and gas prices by moving older generators onto new fixed-price contracts. Alongside this, the Government is increasing the rate of the Electricity Generator Levy (EGL). 
  
• Sovereign Grant Bill: A Bill that will deliver the Government’s commitment to reset the Sovereign Grant (the Grant), once the current work to reservice Buckingham Palace comes to an end. 
  
• Draft Taxi and Private Hire Vehicle Bill: A Bill that will give regulators stronger enforcement powers, deliver more accessible services for disabled passengers, and improve transparency and information-sharing nationwide.  
  
• Sporting Events Bill: A Bill to support and enhance the UK’s status as a world leading host of major sporting events. 
  
• Draft Conversion Bill: A draft Bill to ban abusive conversion practices. 
  
• Draft Ticket Tout Ban Bill: A Bill that will make it illegal for tickets to live events to be resold for more than their original cost. 
  
• Competition Reform Bill: A Bill that will deliver further reforms to support the CMA’s operational transformation. 
  
• Regulating for Growth Bill: A Bill that will make the UK’s regulatory system fit for the future so that it plays a full role in delivering growth and supporting innovation. 

Bills Carried Over from the 2024–26 Session 

• Armed Forces Bill: Will increase the maximum age and length for armed forces reservists to be recalled. The Bill will also create a new Defence Housing Service to improve the standard of accommodation for serving personnel, extend the Armed Forces Covenant Legal Duty, and renew the armed forces Act 2006. The Service Justice System will be reformed to boost protections and support for serving personnel. 
  
• Northern Ireland Troubles Bill: Will enable victims and bereaved families across the UK to seek information and accountability through a reformed Legacy Commission, delivering an aim of the Good Friday Agreement. 
  
• Cyber Security and Resilience Bill: Will increase the UK’s defences against cyber attacks and better protect the services that people rely on every day. The Bill will deliver a fundamental step change in the UK’s national security – making essential digital services more secure in the face of cyber criminals and state actors who want to disrupt our way of life – ensuring the economy is better protected. Expand the remit of existing regulations to better protect more of the core services people and businesses rely on, with many managed IT companies will be regulated under the Bill. Ensure the UK is resilient to new threats through giving Ministers new powers to instruct regulators and the organisations they oversee, like NHS trusts and Thames Water, to take specific, proportionate steps to prevent cyber attacks where there is a threat to UK national security.
• Railways and Passenger Benefits Bill: Will formally establish Great British Railways as the single guiding mind for the network, managing passenger services, infrastructure and operational decisions. A new passenger watchdog will be set up, and fares and tickets will be simplified. Applies in England, Wales and Scotland, subject to agreement with devolved governments.
  
• Representation of the People Bill: Will lower the voting age to 16 for all UK elections, introduce automatic voter registration, and allow bank cards to be used as ID at polling stations. Will also tighten party finance rules, including requiring companies making political donations to have a genuine connection to the UK, and cap overseas donations at £100,000 annually. The role and powers of the Electoral Commission will be strengthened to maximise the impact of these reforms. The harassment and intimidation of voters, electoral staff and campaigners, both online and in person, will be tackled. The resilience and capacity of the postal voting system will be improved by bringing forward the deadline for candidate nominations.
• Courts Modernisation Bill: Contains plans to abolish jury trials for some cases in England and Wales to reduce court backlogs, and to reform procedures in sexual offences prosecutions. Magistrates’ court sentencing powers will be extended up to 18 months, and the automatic right to appeal against a conviction or sentence in magistrates’ courts will be replaced with a permission stage.
• Public Office (Accountability) Bill (‘Hillsborough Law’): Introduces a statutory duty of candour and a requirement to cooperate with public inquiries for public authorities and officials. Will reform the offence of “misconduct in public office” – including a new offence of serious impropriety. The bill’s Commons report stage was previously postponed while the Government consulted on how provisions would apply to intelligence services; the Prime Minister is expected to remove the security services exemption. 

Notable Omissions 

• Welfare Reform Bill: The Government will not make a second attempt at significant welfare reform in this session. Starmer’s first attempt- which sought to restrict eligibility for some health-related benefits- resulted in a mass backbench revolt and an embarrassing climbdown in June 2025. Since then, two ministerial reviews have been launched to generate new ideas, and a handful of measures to incentivise employment have been introduced. But primary legislation on welfare will not feature in this session, a significant omission given the pressure on public finances.
• Defence Readiness Bill: Previously committed to in the Strategic Defence Review to provide powers to mobilise Reserves and industry in the event of conflict escalation. It has been confirmed this will not feature in the King’s Speech and will not appear in the Government’s legislative plans until mid-2027 at the earliest.
• Standalone Nature Protection Planning Bill: A further planning bill focusing on nature protection was anticipated but has been ruled out following discussions within Government. Changes to this policy area are instead expected to be made through secondary legislation.
• Audit Reform and Corporate Governance Bill: Announced in the July 2024 King’s Speech, the Government confirmed in January 2026 that it is no longer planning to legislate on audit reform, citing concerns that some reforms would increase costs on business.