Rachel Reeves announced "we are renewing Britain" as she detailed her plans to allocate hundreds of billions of pounds of taxpayers' money.
The Chancellor revealed that total departmental budgets would increase by 2.3% annually in real terms and pledged a "record cash investment" in the NHS, which translates to an additional £29 billion per year.
During the spending review presentation in the House of Commons, Ms Reeves highlighted that tax increases and relaxed borrowing rules enabled her to allocate an extra £190 billion for the day-to-day operations of public services and £113 billion for investments.
This review signifies a pivotal moment for the Government, coming nearly a year after Labour's overwhelming victory at the polls.
Prime Minister Sir Keir Starmer informed the Cabinet that the spending review "marks the end of the first phase of this Government, as we move to a new phase that delivers on the promise of change for working people all around the country and invests in Britain's renewal".
Despite these announcements, challenges remain for Sir Keir and the Chancellor, as migrants continued their attempts to cross the English Channel in small boats on Wednesday.
Ms Reeves committed to an increase in funding of up to £280 million annually, by the end of the spending review period in 2028/29, for the newly established Border Security Command - and vowed to cease expenditure on hotels for asylum seekers by the forthcoming election.
In a scathing critique of the Conservative legacy, she said: "The party opposite left behind a broken system: billions of pounds of taxpayers' money spent on housing asylum seekers in hotels, leaving people in limbo and shunting the cost of failure onto local communities.
"We won't let that stand."
Her plans include ending "the costly use of hotels to house asylum seekers, in this Parliament" and a pledge to reduce the asylum backlog, process more appeals, and repatriate individuals with no right to remain in the º£½ÇÊÓƵ.
Ms Reeves claimed these measures would save the taxpayer around £1 billion annually.
The Chancellor has declared her "driving purpose" was "to make working people, in all parts of our country, better off" and outlined commitments to invest in school and hospital infrastructure, sanction funding for nuclear endeavours and significant transport developments nationwide.
Plans for the "Northern Powerhouse Rail" will be unveiled in the forthcoming weeks, coupled with a further investment of £3.5 billion to improve the TransPennine route.
Alongside shifting Treasury guidelines to underpin investment in English regions, Ms Reeves announced a spending review allocation of £52 billion for Scotland, £20 billion for Northern Ireland, and £23 billion for Wales.
She highlighted that research and development funding would escalate to over £22 billion annually, also announcing a £2 billion investment for an artificial intelligence action plan, "because home-grown AI has the potential to solve diverse and daunting challenges as well as the opportunity for good jobs and investment in Britain".
The Chancellor committed to a cash increase of £4.5 billion annually for the core schools budget by the conclusion of the spending review period and made pledges up to £2.3 billion yearly to address "crumbling classrooms" as well as £2.4 billion for an initiative to rebuild schools.
Addressing police finances, it was noted that "spending power" – suggestive of additional funds derived from council tax – will see a 2.3% annual rise in real terms throughout the review period, equating to over £2 billion for forces.
