This briefing explores what announcements the government could make in the King’s Speech on 13 May 2026 about economics, business and trade. It also summarises the current economic situation.
Research briefing 'King’s Speech 2026: Economic growth, trade and EU partnership' (452KB PDF)
Approximate read time: 30 minutes
In March 2026, the Office for Budget Responsibility (OBR) said the UK’s economic context remained challenging, with weak growth and elevated levels of government borrowing and debt. The ongoing conflict in Iran may also have significant impacts on the UK economy, creating inflationary pressures, particularly for energy prices.
Measures relating to the economy, business and trade the government has previously raised include reforms to the national wealth fund, credit unions and public procurement. The government is also expected to introduce legislation to implement certain agreements it is currently negotiating with the EU as part of its policy of pursuing a ‘reset’ in UK-EU relations.
This briefing has been prepared to assist members of the House of Lords in the debates on the King’s Speech. It draws upon material from the public domain and does not constitute official information about the government’s intentions or provide a complete list of bills to be announced.
Research briefing 'King’s Speech 2026: Economic growth, trade and EU partnership' (452KB PDF)
The Sovereign Grant Bill is a government bill which would amend how the sovereign grant is set. This is a grant paid to the King to support the work of the sovereign. The bill would enable the size of the sovereign grant to be reduced following the completion of a 10-year works project on Buckingham Palace. The bill received cross-party support and was not amended in the House of Commons.
The Commercial Payments Bill [HL] seeks to tackle late payments to small businesses. It would impose minimum payment periods for invoices, prohibit the use of retentions in construction contracts and provide the small business commissioner with greater powers. The bill received an unopposed second reading in the House of Lords on 9 June 2026. 30 government amendments were made to the bill at committee stage.
![Commercial Payments Bill [HL]: Progress in the Lords](https://lordslibrary-parliament.studio24.dev/content/uploads/sites/2/2020/01/Business-VIGs-568x426.jpg)
The Financial Services and Markets Bill [HL] is a wide-ranging bill that aims to reform the way the UK financial services sector is regulated. This briefing provides a summary of the bill’s second reading and committee stage in the House of Lords ahead of its further consideration at report.
![Financial Services and Markets Bill [HL]: Progress in the Lords](https://lordslibrary-parliament.studio24.dev/content/uploads/sites/2/2020/09/Economy-568x426.png)