The rise of the 'dumbphone': why Gen Z is switching off

For people living with the consequences, the debate in the capital can feel distant. "Nobody asked us," said one resident, who has lived in the area for more than 30 years. "We hear the numbers on the news and then we go outside and see what it actually means."

Officials insist that the plan is fully funded, although the precise breakdown has not yet been published. A spokesperson said further details would follow "in due course".

"There is no perfect option here, but doing nothing was never one of them"

International observers said the decision was being watched closely elsewhere, with several governments understood to be considering similar steps. "This sets a precedent," said a diplomat familiar with the discussions. "Others will now feel they have cover to act."

The situation remains fluid. Further statements are expected later this week, and sources close to the process said that the timetable could still slip if key parties fail to reach agreement on the outstanding issues.

The background

The roots of the current situation go back several years, to a series of decisions that were criticised at the time but attracted relatively little public attention. It was only when the effects began to be felt more widely that pressure for change started to build.

A vote is expected before the end of the month. If it passes, the first changes would take effect early next year, with the full package in place by 2028.