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Published: 19-May-26 | By APSCo
Public Policy
Political Monitor | May 19th Edition
A lot can happen in 14 days since our last Political Monitor, although the fallout from the local elections was widely predicted. 54% of British councils are now under no overall control, including Birmingham. The PM, Starmer, pushed on with the King’s Speech, followed swiftly by a leadership challenge from Wes Streeting. A by-election in the seat of Makerfield in Greater Manchester is likely to take place on 15th June.
GM Metro Mayor Andy Burnham will need to fight off Reform UK to enter Parliament and formally challenge PM Starmer.
Meanwhile, SNP leader John Swinney expects to be reelected Scottish first minister today.
ONS Labour Market Statistics out today highlight a 3.9% decrease in vacancies over the quarter, the lowest rate in five years. The UK employment rate is estimated at 75% over January – March 2026, up 0.5% on the year. Unemployment has inched upwards to 5% over the quarter.
APSCo News
Read our Policy Talks Q2 blog to learn more about Labour’s factions battling for power and to have a rundown of the key bills in the King’s Speech for the sector.
Parliament, Employment Rights Act & Sector Regulation
Employment Rights Act and Sector Regulations
The Department for Business and Trade and the Fair Work Agency published the final report of the Scale and Nature of labour market non-compliance and other workplace harms in the UK labour market last week after a five-year project. They concluded that 1 in 7 workers reported some sort of non-compliance or workplace harm, with unpaid overtime and workplace stress topping the list. The report extends beyond the remit of “precarious workers” across the labour market.
HMRC and IR35 Caselaw: The latest instalment of the long-running football referees’ case delivered a positive outcome for self-employed contractors and highlights the importance of reviewing the overall working relationship when making the status decision. It strengthens calls from the sector for a CEST overhaul.
PGMOL v HMRC: What the Latest Tribunal Decision Means for IR35 & Status | Qdos
Parliament and Consultations
The Hansard Society produces a weekly summary of what is coming up in Parliament.
This week debates on the King’s Speech continue with backing business as a focus of today’s debate, highlighting the launch of the Small Business Protections Bill (formally known as the Commercial Payments Bill), which will cap payment terms at 60 days between larger and smaller businesses.
Today saw the presentation to Parliament of the findings of the highly critical “Lovegrove Report” on HS2 which lists multiple failings across the Civil Service and public sector governance, and a list of Recommendations for future projects involving Arm’s Length Bodies.
Other Announcements & Publications
Economic and Growth Policy
Working Families is the UK national charity supporting working parents and carers. They have published a new report, the Parental Fog Index 2026, highlighting how the approach to family support varies widely across the UK's largest employers, with many failing to communicate what support they do offer to their employees.
Skills: AI & Technology
The Institute for the Future of Work has published a series of AI adoption case studies across eight sectors. They have taken a “work design” approach. They conclude, “Rushed experimentation, unclear goals, patchy governance, and the absence of shared learning or rigorous evaluation are common." They find “good work design” is positive all around, both for personnel motivation and for innovation and productivity, and it is associated with successful job augmentation. This dovetails with our recruitment transformation reports and gives insight into client experiences.
Immigration
The Migration Advisory Committee has published a report on the factors that influence how long skilled migrants stay in the UK. They conclude from the evidence that higher-skilled and paid workers are likely to stay for a shorter duration than others, such as health and care workers. The UK does not formally match exit against immigration records, cross-referencing Home Office records with carrier data from airlines, etc.
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Political Monitor | April 21st Edition21 April 2026
The monthly ONS Labour market statistics are out today, showing job vacancies declined by 3.9% over January-March 2026. Read more below.
- Public Policy