Welcome to this week\u2019s The State We\u2019re In. Today, I\u2019d like to take you to north London. Specifically, Boxpark in Camden, where I joined the Secretary of State for Work and Pensions, Pat McFadden, at a Youth Guarantee Jobs Fair on Monday.<\/p>\n
This was a far cry from the formality of the job centre I visited in Birmingham<\/a> a couple of weeks ago. <\/p>\n Instead of being greeted by locked doors and security guards, recruiters for employers ranging from Arsenal Football Club to local law firms, from HS2 to the NHS, had set up stalls among food and coffee stands.<\/p>\n \n\t\t\tShorts\n\t\t<\/p>\n \t\t\tScroll to previous short \t\t\tScroll to next short \t\t\t\t NEWS<\/p>\n Spy cams and trackers found in government cars and offices<\/p>\n Hidden cameras, microphones, and trackers are routinely being discovered in Whitehall offices, government cars, and diplomatic outposts,\u00a0The i Paper\u00a0has been told.<\/p>\n Secret bugs are common<\/p>\n Finding bugs is \u201croutine\u201d across government sites for the dedicated \u201ceavesdropping\u201d unit within the Foreign Office tasked with finding covert devices.<\/p>\n The i Paper\u00a0revealed this week that security officials found a hidden camera in a ceiling panel\u00a0in a sensitive UK government building.<\/p>\n This has renewed concerns about the threat of espionage by hostile states like China and Russia.<\/p>\n \t Exclusive<\/p>\n 4 min read<\/p>\n \nWho finds them?\n<\/p>\n There are around 70 staff working for the UK National Authority for Counter-Eavesdropping (Nace), understood to regularly sweep government buildings and sites for bugs.<\/p>\n It mainly checks confidential areas but carries out periodic inspections of less secretive buildings. It is supported by the Ministry of Defence. <\/p>\n What caused the alarm?<\/p>\n The covert device had been placed in a ceiling panel at a building in Marsham Street, Victoria, in central London, that houses the Home Office and the Department for Housing, Communities and Local Government.<\/p>\n Officials in the building were involved in the controversial planning application for China\u2019s proposed mega-embassy in London.<\/p>\n The discovery raised fears over increasing espionage tactics pointed at UK government staff and officials.<\/p>\n There is no suggestion that Russia or China-linked actors are responsible for the device.<\/p>\n It comes after MPs were warned on Tuesday that a Chinese tracking device had been found in the Prime Minister\u2019s car in 2022.<\/p>\n Reminders of Cold War era<\/p>\n It may be time for departments across Whitehall and beyond to dust off old counter-intelligence guidance and for political leaders to be less complacent about the nature and extent of the espionage threat that we currently face.<\/p>\n julian fisher, former uk intelligence officer<\/p>\n Politics<\/p>\n What Burnham would mean for council tax<\/p>\n Many Labour MPs believe they have finally found their moment to scrap a system they call \u201ca tax on deprivation\u201d \u2013 and their hopes rest on Andy Burnham.<\/p>\n The potential for overhaul<\/p>\n Burnham is the frontrunner to replace Keir Starmer should he win next week\u2019s Makerfield by-election. <\/p>\n He has argued that land is under-taxed, fuelling expectations he could overhaul a council tax system that often leaves a modest terrace in the North of England paying more than a London mansion.<\/p>\n \t Big Read<\/p>\n 6 min read<\/p>\n \nAn alternative system\n<\/p>\n Outdated?<\/p>\n The current system is based on 1991 home values.<\/p>\n A different option<\/p>\n MPs want this replaced with a new proportional property tax: a flat percentage of what a home is worth today.<\/p>\n Costs cut for most<\/p>\n They say it would cut bills for three-quarters of households with some northern households gaining \u00a3950 a year.<\/p>\n How Burnham changes things<\/p>\n The reason the issue is suddenly attracting more attention is Burnham.\u00a0<\/p>\n The Greater Manchester mayor, who could soon be Prime Minister, said: \u201cI think land is under-taxed.\u201d<\/p>\n But he has not called for a proportional property tax, the model that many backbenchers support.<\/p>\n A spokesperson for Burnham says\u00a0he \u201cdid not propose any changes to the tax system\u201d, but MPs hope he would be open to going further as PM.<\/p>\n Many of the seats where the current system bites hardest are where Reform UK is advancing fastest.<\/p>\n What it means for you<\/p>\n In the version supported by campaign group Fairer Share, council tax and stamp duty are scrapped and replaced with a flat 0.48 per cent annual charge.<\/p>\n The group estimates 77 per cent of households would pay less, with an average saving of \u00a3556 a year.<\/p>\n It would bring a combined \u00a36.5bn boost to communities outside London. The biggest savings would be in northern seats, with the losers in London and the South East.<\/p>\n \t Explained<\/p>\n 5 min read<\/p>\n Is the UK set for another heatwave?<\/p>\n Temperatures are set to climb again this\u00a0weekend\u00a0and could touch 30\u00b0C\u00a0\u2013 two weeks after a record-breaking\u00a0heatwave.<\/p>\n Rain and showers set to clear<\/p>\n The UK is currently experiencing unsettled weather, with rain and showers affecting most of the country.<\/p>\n But England and Wales will see the mercury rise into the mid to high-20s, with Scotland and Northern Ireland even reaching the low 20s by the end of this week.<\/p>\n \t NEWS<\/p>\n 4 min read<\/p>\n \nHow warm will it get across the UK?\n<\/p>\n WEATHER<\/p>\n Sunshine for England and Wales over weekend<\/p>\n Possible temperatures of 28\u00b0C in south-east England will be around 6 to 8\u00b0C above average for early June.<\/p>\n But other areas are not set to be as warm.<\/p>\n Northern Ireland and southern Scotland highs on Sunday are tipped to be 20 to 22\u00b0C<\/p>\n It will be cloudier across more northern areas of the UK this weekend.<\/p>\n What is an official heatwave?<\/p>\n An official heatwave is classified as temperatures being higher than 25-28\u00b0C in a certain location for three days in a row.<\/p>\n Last month\u2019s heatwave saw the UK\u2019s hottest May day on record, with 35.1\u00b0C recorded at Kew Gardens in south\u2013west London on 26 May.<\/p>\n \t NEWS<\/p>\n 3 min read<\/p>\n \t\t\t\t More than once, I was mistaken for a young person in search of employment and greeted with smiles, treats including chocolate bars, branded pens and baseball caps before a flurry of questions about what I\u2019d like to do with my life. <\/p>\n Coming up in this week\u2019s newsletter:<\/p>\n What happens at a Department for Work and Pensions (DWP) job fair?<\/p>\n How, exactly, do you solve a problem like youth unemployment?<\/p>\n And I ask Pat McFadden whether people have misunderstood the issue of \u201cwelfare reform\u201d?<\/p>\n Since I went to Birmingham, new official figures about the scale of Britain\u2019s youth unemployment crisis have been released. As experts had long predicted, this data confirmed that the situation with so-called Neets (young people who are not in education, employment or training) had worsened<\/a>.<\/p>\n As of the end of May, 1.01 million 16 to 24-year-olds are classed as Neet. This represents 13.5 per cent of all young people, marking the first time the figure has exceeded one million since 2013 in the aftermath of the global financial crisis.<\/p>\n Sitting down with McFadden, I asked whether the man responsible for Britain\u2019s welfare system was worried about Neets. \u201cI think the narrative that says young people are shirkers and snowflakes and too soft for this world and all the rest of it is wrong,\u201d he said.<\/p>\n Since McFadden took over at the Department for Work and Pensions (DWP), improving skills for over-18s has also been added to his remit. \u201cWe\u2019re now matching the traditional benefits role of the department with more of a work and opportunities role,\u201d he explained. \u201cI\u2019m really keen to do more of that.\u201d<\/p>\n This likely hints at the direction of travel for welfare reform, which is expected to be announced for young people later this year once Alan Milburn, the Government\u2019s youth unemployment tsar, makes his recommendations<\/a>.<\/p>\n McFadden described the job fair as \u201cbuzzing\u201d. He\u2019s not wrong.<\/p>\n I meet 21-year-old Daley from north London who is searching for work. Daley is shy, but as we talk he opens up. He\u2019s looking for construction work and says it\u2019s great \u201cto actually be in the same place as employers, so you know you\u2019re talking to a person\u201d.<\/p>\n Nearby, a young woman is wandering around with a stack of physical copies of her CV, which she is handing out. Another young woman is doing the same next to a doughnut stand; she has a young baby in tow. <\/p>\n Increasingly, young people are telling concerning stories about applying for dozens (sometimes even hundreds) of jobs and \u201chearing nothing back\u201d<\/a>.<\/p>\n Amina, 24, has just finished a law degree. This is the situation she finds herself in. She\u2019s currently relying on universal credit because \u201cnobody replies\u201d when she applies for jobs. She is hovering around a stand for a local solicitors\u2019 firm which specialises in family law \u2013 the area she\u2019d like to get into.<\/p>\n \u201cIt\u2019s really competitive and tough at the moment\u2026 I\u2019ve been looking for a job for over six months, but everything is online, and I wanted to come in person and see if it makes a difference,\u201d Amina says.<\/p>\n McFadden is clear that the majority of young people he meets \u201cwant to work\u201d and are putting in the legwork to find a job. On the flipside, he says employers need to do their bit to.<\/p>\n Labour has been criticised for piling additional costs onto employers via increased national insurance contributions and minimum wage rates. However, the Government has also announced a Youth Guarantee \u2013 an \u00a3823m scheme that offers funding to employers who give jobs to long-term unemployed young people, to the tune of \u00a33,000, as well as other funding for training and apprenticeships.<\/p>\n McFadden cites Marks and Spencer\u2019s recent decision to make 1,000 new training roles available for young people. \u201cThat\u2019s fantastic,\u201d he says. \u201cI hope more employers do this\u2026 Government will do what we can to expand work opportunities for young people, but I want to work with employers \u2013 large and small \u2013 to do the same.\u201d<\/p>\n Here, it\u2019s possible to see how that might work in action. The Londoner hotel is offering hospitality roles which come with training. Their stand is next to that of a major homecare company, which has representatives talking to the young people in attendance about why care work might be for them.<\/p>\n In the next row of stalls, Hendon FC, a north London football club, also has a stand. They\u2019re offering paid work experience roles in everything from turnstile management to jobs in the club shop.<\/p>\n Brendan, 19, left college last year. He studied music. \u201cI\u2019m looking for retail roles,\u201d he says. \u201cBut I am also doing an early-years training course, so I could do nursery work as well.\u201d<\/p>\n He is slightly nervous to be at the fair. I ask him why. \u201cIt\u2019s nice to see employers putting the effort in,\u201d he says. He adds that online job applications are \u201ca black hole\u201d because \u201cthey don\u2019t reach out to you to let you know you didn\u2019t get the job or tell you about how you can improve\u201d.<\/p>\n A rejection email came into Brendan\u2019s email \u201cjust last week\u201d telling him he hadn\u2019t got some Christmas temp work he had applied for.<\/p>\n He laughs: \u201cYeah, I\u2019d figured I didn\u2019t get it by May!\u201d<\/p>\n I ask McFadden how he sees the welfare system and whether it\u2019s providing the right support for young people. \u201cWe hear this phrase \u2018welfare reform\u2019 a lot,\u201d the Work and Pensions Secretary says, \u201cBut, I see all of this as welfare reform.<\/p>\n \u201cI see the hiring incentives as welfare reform. I see 300,000 extra work experience places as welfare reform. The best way into welfare reform for me is to put work and opportunity at its heart.\u201d<\/p>\n Britain\u2019s welfare state is as large as it is complex. Changing it is a tall order. Not least because, as I have reported, there are so many cliff edges, which mean people lose support, such as housing benefit, if they enter paid work.<\/p>\n McFadden acknowledges that cliff edges are an issue and says the way to change the welfare state for the better is to start \u201cwith the right exam question\u201d.<\/p>\n As he sees it, that is not assessing people and seeing what benefits they\u2019re entitled to (which has been the modus operandi of the system for some time) but, instead, talking to people and working out how the Government can help them to change their lives.<\/p>\n \u201cFrom there, the policy flows,\u201d McFadden says before heading back out to visit employer stalls.<\/p>\n It is certainly a change in direction, and any reforms won\u2019t be without cost. But, as the world changes, and the way young people engage with the world of work changes, there is no other option.<\/p>\n
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Caption: London,England,United Kingdom-August 21 2019: Low angle view of the main facade of the M.O.D.,stands close to Downing Street and close to the Houses of Parliament.
Photographer: Neil Bussey
Provider: Getty Images
Source: iStock Editorial<\/p>\n![\"Digital](\"https:\/\/www.europesays.com\/britain\/wp-content\/uploads\/2026\/06\/SEI_300970422.jpg\")
Caption: Digital camera lense part
Photographer: ploy
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Source: iStockphoto<\/p>\n![\"An](\"https:\/\/www.europesays.com\/britain\/wp-content\/uploads\/2026\/06\/SEI_300971067.jpg\")
Caption: An infrared security camera on a building facade above a city street.
Photographer: Marcus Lindstrom
Provider: Getty Images
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Andy Burnham said recently that he had long been persuaded of the argument for a land value tax (Photo: Ryan Jenkinson\/Getty)<\/p>\n![\"\"](\"https:\/\/www.europesays.com\/britain\/wp-content\/uploads\/2026\/06\/I-Paper-Bylines-Eleanor-Langford-19158-copy.jpg\")
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Caption: ASHTON-IN-MAKERFIELD, ENGLAND \u2013 MAY 22: Labour Party candidate Andy Burnham meets supporters during his campaign launch for the Makerfield By-election at Stubshaw Cross Community and Sports Club on May 22, 2026 in Ashton-in-Makerfield, England. The Makerfield by-election, scheduled for 18 June 2026, has been triggered explicitly to provide Greater Manchester Mayor Andy Burnham a route back to Westminster. If successful, Burnham is expected to launch a direct challenge against Prime Minister Sir Keir Starmer for the leadership of the Labour Party. (Photo by Ryan Jenkinson\/Getty Images)
Photographer: Ryan Jenkinson
Provider: Getty Images
Source: Getty Images Europe
Copyright: 2026 Getty Images<\/p>\n
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Some households may have been overcharged for council tax (Shutterstock) <\/p>\n![\"Close](\"https:\/\/www.europesays.com\/britain\/wp-content\/uploads\/2026\/06\/SEI_274168466.jpg\")
Council tax will increase
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Council tax arrears has risen over the last year as many struggle with the cost of living (Photo: Matthew Lloyd\/Bloomberg via Getty)<\/p>\n
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Caption: LONDON, ENGLAND \u2013 MAY 26: Women relax on deckchairs in St James\u2019s Park on May 26, 2026 in London, England. The UK has recoded the hottest May temperature on record with a blistering 34.8??C registered at Kew Gardens. Overnight temperatures also reached a record-breaking 21.3??C, marking the country\u2019s first-ever spring \u201ctropical night.\u201d This extreme heatwave has triggered Amber Heat-Health Alerts across central and southern England. (Photo by Carl Court\/Getty Images)
Photographer: Carl Court
Provider: Getty Images
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Caption: A man cools down with a bottle of water during the hot weather in Westminster Bridge, central London. The UK has recorded its all-time hottest May temperature as a part of London hit 33.5C on Bank Holiday Monday. Picture date: Monday May 25, 2026. PA Photo. The Met Office has said heatwave conditions were met in eight parts of England on Sunday \u2013 Heathrow in Greater London, Benson in Oxfordshire, Brooms Barn in Suffolk, High Beech in Essex, Kew Gardens in London, Northolt in London, Santon Downham in Suffolk and Writtle in Essex. Photo credit should read: James Manning\/PA Wire
Photographer: James Manning
Provider: James Manning\/PA Wire
Source: PA<\/p>\n
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Caption: A man tries to cool down in the hot weather in London\u2019s King\u2019s Cross. The UK has recorded its all-time hottest meteorological spring temperature as part of London hit 34.8C on Monday. Picture date: Tuesday May 26, 2026. PA Photo. Photo credit should read: Stefan Rousseau\/PA Wire
Photographer: Stefan Rousseau
Provider: Stefan Rousseau\/PA Wire
Source: PA<\/p>\n
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Work and Pensions Secretary Pat McFadden talks to Vicky Spratt. \u2018The best way into welfare reform for me is to put work and opportunity at its heart,\u2019 he says<\/p>\n![\"Tottenham](\"https:\/\/www.europesays.com\/britain\/wp-content\/uploads\/2026\/06\/SEI_300736112.jpg\")
Tottenham Hotspur FC\u2019s stall at the jobs fair<\/p>\n