Healey: We don’t have as much money as we did under New Labour Politics Chancellor John Healey has warned Labour members that the government does not have available funds to spend more on public services. In his address to party activists, Healey said Tony Blair’s government in the late 1990s and early 2000s had more flexibility with public finances given higher growth rates and lower amounts of debt. The [...]
Reeves’ ‘ambitious’ £14bn savings plan leaves Healey with a Budget headache Economics Cost saving measures pencilled in by the last government have dramatically reduced Chancellor John Healey’s ability to look for spending cuts and efficiency gains at his first Budget, economists have warned, raising the prospect of fresh tax hikes. Healey is under pressure to rebuild his £23.6bn fiscal buffer, which is predicted to shrink due to [...]
Emergency government meeting held over high temperature amid ‘strain on public finances’ Economics The government will hold an emergency meeting to discuss the country’s response to this summer’s high temperatures and drought amid fears that it will add a “strain” on the public finances. Prime Minister Andy Burnham will chair the ‘Cobra’ meeting of ministers overseeing health, water, housing and local government, as well as officials from agencies [...]
Investors ‘may be less than impressed’ by John Healey’s £9bn borrowing plans August 5, 2026 Investors may be “less than impressed” by John Healey’s plans to increase borrowing by £9bn a year to take stakes in assets such as infrastructure, analysts have warned. On Tuesday evening, it was reported that the new Chancellor and Treasury ministers were working on a proposal to deploy billions in the direction of infrastructure, housing [...]
Warning for John Healey as key fiscal target missed July 21, 2026 A key fiscal target has been missed on John Healey’s first morning as Chancellor, in a reminder of the poor state of public finances. Official data on Tuesday showed that the current budget deficit, which is critical to the current fiscal rules, surpassed forecasts set by the Office for Budget Responsibility (OBR). The Office for [...]
Burnham backs higher defence spending but rules out ‘crude’ welfare cuts July 2, 2026 Andy Burnham has called for the country to trust him with the public finances stable as he pledged to “take responsibility” for funding Keir Starmer’s controversial Defence Investment Plan. Burnham, who is all-but-certain to enter Number 10 in fewer than three weeks, hit out at “narratives” about him, in a radio interview with LBC which [...]
King Charles to publish tax bill for ‘transparency’ June 21, 2026 The King is to become the first head of state to reveal their personal tax bill to help enhance transparency around royal finances. Charles will publish his financial details as his royal household seeks to increase “clarity and accessibility” around the monarchy’s finances by producing a new report on the subject. The decision by the King, [...]
New HS2 budget to blow £33bn hole in public finances May 21, 2026 The government will need to find as much as £33bn in additional cash from tax and spending measures or from other departments to fund its revamped plans to deliver HS2. According to a City AM analysis, the Department for Transport’s updated proposals for the rail line require between £18bn and £33bn of additional public money [...]
The tax effect: Reeves borrowed less than OBR forecast April 23, 2026 Chancellor Rachel Reeves oversaw lower government borrowing than the Office for Budget Responsibility forecast in the financial year 2024 to 2025, it has been revealed, pointing to the effect sweeping tax hikes have had in narrowing the deficit. The Office for National Statistics has shown that government borrowing over the last financial year was £132bn [...]
Reeves hit by spike in government borrowing March 20, 2026 UK government borrowing rose by more than expected in February, it has been revealed, adding a strain on public finances as Chancellor Rachel Reeves faces trouble ahead with deciding the government’s response to the war in Iran. The Office for National Statistics (ONS) has said that the government borrowed £14bn, with economists having predicted the [...]