The UK Government’s 2025 Spending Review is shaping the future of community services in ways that will influence the commissioning, delivery and accessibility of essential support—ranging from housing and mental health to initiatives like free school meals. While pressures and trade-offs remain, the review offers renewed commitments and practical steps communities can take to maximise wellbeing.
Let’s explore what the latest decisions surrounding the 2025 review mean for people and the organisations supporting them, and how you can find the resources you need.
The Impact on Local Services and Community Wellbeing
The 2025 Spending Review comes at a time when many community-facing services face significant funding pressures, particularly in areas such as local government, police, prisons and the courts. However, there is a clear signal that certain sectors—especially social care, health, and education—are being prioritised for investment, reflecting the government’s recognition of their importance in supporting healthier, more connected communities.
For example, the government has pledged over £4 billion in additional funding for adult social care by 2028/29, with a focus on digital transformation, home-based care models, and enhancing the care workforce. In children’s services, a £500 million transformation fund will support early intervention, aiming to reduce the number of children entering care. Local authorities will also see their core spending power grow by 3.1% per year in real terms through to 2028/29. These investments from the 2025 review should help make early support more widely available, though it is acknowledged that real challenges persist and that the full impact will depend on effective local delivery.
Mental Health and Housing: Renewed Focus and Ongoing Challenges
Mental health services and housing support continue to be areas of significant need. The Spending Review supports ongoing work to integrate these services more deeply into local health and care systems. However, with productivity in public services still below pre-pandemic levels, the government is also pushing for greater efficiency and innovation to achieve better outcomes within tight budgets. This could mean more targeted support, new digital solutions, and closer collaboration between charities, local authorities, and NHS providers.
Charities and community organisations play a critical role in meeting needs that statutory services cannot always address, especially in areas like mental health, housing, and poverty alleviation. The review’s investment in social care and early intervention is a positive step, but the sector will need to remain adaptable and resourceful as demand for support remains high.
Free School Meals and Educational Support
Recent announcements have seen welcome commitments to free school meals, reflecting a broader effort to protect vulnerable children and families from the worst effects of economic pressures. This is part of a wider package of support for education, including increased maintenance investment and a £2.4 billion per year School Rebuilding Programme over the next four years—signalling a long-term commitment to improving educational environments and outcomes.
These measures are not just about meeting basic needs but are also designed to foster better educational attainment, social inclusion, and future opportunities for children and young people.
Positive Steps for Community Action and Wellbeing
While the Spending Review brings challenges, it also opens new opportunities for communities to take action and advocate for their needs. Local people and organisations can make the most of the available support.
2025 Spending Review Actions for Communities:
- Staying informed about changes to commissioning and funding opportunities in their area.
- Engaging with local authorities and community groups to ensure that new investments reach those most in need.
- Exploring digital tools and early intervention services that are now being prioritised within social care and mental health support.
- Accessing resources and directories such as those available on Forelight to connect with local services and support networks.
For more information on housing, mental health, and community support services, visit our Resources pages and browse our Directory listings categories to find the help you need in your local area.
Looking Ahead beyond the 2025 Spending Review
The 2025 Spending Review signals a mixed but hopeful picture for community services. While the outlook for some areas remains challenging, there are clear opportunities to strengthen wellbeing, especially through early intervention, digital innovation and targeted support. Communities that stay engaged, informed and proactive will be best placed to make the most of these changes from the review and ensure that everyone has access to the support they need to live healthier, more connected lives.