Healey Delivers First Budget Promising ‘Breathing Space’ on Bills
John Healey presents his first Budget at about 12:30 today, the first of Andy Burnham’s premiership, conceding that Britain faces “a difficult moment”. Gas standing charges are to go for about 23 million homes and fuel duty is expected to stay frozen. A levy on banks is expected to be the main revenue-raiser, possibly by reversing the cut in the bank surcharge from 8% to 3%.
“This budget is about getting through this difficult moment. But it’s also about putting Britain on a future path,” Healey said in a pre-Budget video. Expect modest measures, with the big decisions on tax and spending put off until next year. More than £1bn is expected for poorer households, mostly through the Warm Home Discount, which could rise by £100 on top of its £150. Online marketplaces may have to collect VAT for large UK sellers, raising up to £1bn. That could pay to lift the small-business rates threshold from £12,000 to £18,000. HSBC’s 32% rise in profit, to about £7.2bn, has weakened the banks’ resistance. All of this remains reported, not announced.