OBR warns Healey: Stealth taxes to blame for living standards slump Economics Stealth taxes are one of three main reasons that British households are set to suffer near-stagnant disposable income growth in the current decade, the government’s budget watchdog has said. Office for Budget Responsibility chief Professor David Miles said that fiscal drag, whereby a freeze on income thresholds pulled more people into higher tax rates as [...]
Voters expect ‘no difference’ to UK economy after Healey’s modest Budget Economics John Healey’s Budget will make “no difference” to the UK economy, voters have said, as concerns over stealth taxes and defence spending overshadowed a series of giveaways in the Chancellor’s maiden fiscal statement. Polling by City AM/Freshwater Strategy showed that about half of voters expected the Budget to make “no difference” to Britain’s economic fortunes. [...]
Next phase of workers rights overhaul risks hammering ‘labour market’ Legal The latest phase of the government’s workers rights overhaul may have “an adverse impact on the labour market”, experts have warned, as businesses deal with the costly implications of taking on new staff. Taking effect on Friday, the next stage of the overhaul comes as part of the government’s sweeping employment reforms in its landmark [...]
Rising welfare bill set to ‘swallow’ stealth tax revenue October 29, 2026 Rising benefit costs will “swallow” all the revenue from frozen tax thresholds that are dragging millions of workers into paying higher rates, analysis has found. The Centre for Social Justice has said that the £33bn increase in benefits spending between 2027 and 2032 will broadly match a rise in projected receipts from frozen income tax [...]
‘What breathing space?’ Top economist and Labour MP debate the Budget October 29, 2026 Moments after John Healey sat down in the Commons, the City AM studio was filling up with guests to chew over what we’d just heard. Our columnist Helen Thomas, aka Blonde Money, joined Editor Christian May and Comment Editor Alys Denby to discuss the economic context and political impact, before it fell to Labour’s Callum [...]
Budget 2026: Four OBR forecasts lay bare Britain’s fiscal vulnerability October 29, 2026 If you’re in a good mood, why not consider ruining it by reading this week’s OBR report. The fiscal watchdog paints a bleak picture of the health of the British economy and the public finances over the rest of this Parliament – one in which the UK is in a steady state of decline, funding [...]
A breathing space Budget? This is asphyxiation October 29, 2026 If there were treats in John Healey’s pre-Halloween Budget they were hidden in a gloopy soup of tricks. Forget the talk about a low-key, ‘do no harm’ fiscal event; the Chancellor has delivered a mess of new interventions, subsidies, tax rises, quangos and complications against a backdrop of truly terrifying economic forecasts. Let’s start with [...]
Healey’s Budget spoiled by ‘grim’ living standards squeeze October 29, 2026 Britain is trapped in a “grim” decade of stagnant living standards, the budget watchdog has said, after John Healey kicked some of the government’s toughest spending decisions on defence and welfare into next year. The government’s fiscal watchdog said that families are about to see household income drop as a result of the country’s rising [...]
‘Pretty bold’: Burnham jumps to defend Healey’s Budget October 28, 2026 Andy Burnham has jumped to the defence of John Healey’s first Budget, claiming it was “pretty bold” and looked to “help everybody”. The Prime Minister said on Wednesday afternoon that the Chancellor delivered on support to British households and businesses. He told broadcasters: “It’s pretty bold to help 20m households with their energy costs through [...]
Labour workers’ rights overhaul to inflict ‘negative’ hit on economy, OBR says October 28, 2026 Britain’s fiscal watchdog has warned Labour’s overhaul of workers’ rights will have a “negative economic impact” as the cost to businesses will far outstrip any boost to workers’ productivity. The government’s sweeping employment reforms in its landmark Employment Rights Act (ERA) have reduced the qualifying period for unfair dismissal to six months, removed the compensation [...]