Healey’s first budget to include big devolution package to boost growth

Chancellor will build on Burnham’s promise that local leaders in England will no longer have to ‘come cap in hand to Westminster’

Andy Burnham has promised that local leaders in England will no longer have to come “cap in hand to Westminster” ahead of a fresh drive to devolve spending power in next week’s budget.

In his statement on Wednesday, the chancellor, John Healey, will include plans for a new £1.5bn borrowing facility, to be drawn up in collaboration with mayors over the next two years.

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Is London really the most-taxed city? Banks accused of cherrypicking data

Lobby group’s figures, shared with John Healey, are misleading as they do not include major rival Paris, say campaigners

A banking lobby group has been accused of cherrypicking data and trying to mislead the British government by claiming a tax rise for banks at next week’s budget would leave London less competitive than rival financial hubs.

UK Finance, which represents banks including Lloyds, JP Morgan and Revolut, commissions an annual report tallying up all the taxes shouldered by a large bank, including corporation tax, social security, VAT and bank-specific levies.

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Minister says 32 government services offline due to PHP code flaw – UK politics live

Organisations around the world scrambling to fix a critical security flaw in the programming language PHP used by the majority of websites

The Office for National Statistics has also published a report on the gender pay gap. It says:

The gender pay gap for full-time employees has continued to decline in the UK. It was 6.8% in April 2026, down from 7.2% in April 2025. This compares with 9.4% a decade ago and 16.4% 25 years ago.

Secondly, I asked Healey whether he sees the banks as making excessive profits, which would be the coherent justification for him to increase the surcharge on bank profits – as he is expected to do in the Budget next week.

He said: “You know the banks are the engine of investment in this country. The banks are doing well at the moment and that is good to see.

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Badenoch says Tories would prioritise cutting taxes for businesses over individuals – UK politics live

Conservative leader also called for benefit spending to be cut to fund rise in defence budget

Badenoch says Britain needs tax cuts.

We need to get out of the way of job creators who make our country richer. We need to encourage risk taking, wealth creation, enterprise.

Britain’s tax burden has never been higher. You are taxed on the heating in your home. You’re taxed at the petrol pump filling up your car. You’re taxed when you insure that car. You’re taxed if you take the family away on holiday. You’re taxed if you stay in the UK thanks to Andy Burnham’s tourist tax. You’re taxed to buy a home, taxed to live in a home, taxed to pass on your home. This is clearly not working. Britain does not feel better off.

Andy Burnham wrote in The Times yesterday about the moral outrage of the current benefit system. But as far as I could work out, his answer is to spend even more on benefits.

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‘If voters aren’t better off by the next election, we’re screwed’: Labour insiders voice fears over budget

Some say party risks ‘looking twee’ by focusing on small fixes amid growing nervousness that budget lacks ambition

In the days since Labour’s annual conference, party insiders have been sharing a word cloud produced by the pollsters More in Common, which shows the phrases voters most associate with Andy Burnham.

Such polling is rarely flattering for politicians, and the prime minister’s version had its fair share of negatives. But one of the most prominent words in the cloud – and the one that has caught the imagination of Labour strategists – was “trying”.

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Tory tax break for banks has cost UK public purse £6bn, says TUC

Exclusive: Chancellor urged to reverse Rishi Sunak’s tax surcharge cuts to claw back billions in lost revenue

Tax cuts for big banks have deprived the UK government of £6bn in revenues, according to campaigners, who are calling on the chancellor, John Healey, to increase taxes and force lenders to pay their “fair share” in the budget.

Calculations by the Trades Union Congress (TUC), which represents unions with more than 5.3 million members across England and Wales, shows that the public purse is billions of pounds worse off as a result of tax cuts introduced under the Tory chancellor Rishi Sunak in 2023.

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Healey appoints Labour manifesto writer, fuelling election speculation

Exclusive: Economist Ravinder Athwal who worked in Keir Starmer’s team is poached from Flint Global

Ravinder Athwal, the economist who wrote Labour’s 2024 manifesto, is taking on a senior role as an adviser to John Healey, in a move likely to fuel speculation about an early general election.

The chancellor is keen to beef up his team before the critical budget on 28 October, as the economy is buffeted by high oil prices and rising government borrowing costs.

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UK borrows £18bn in August, putting pressure on Healey before budget

Some economists say it is now ‘inevitable’ that chancellor will need to raise taxes in the budget next month

The UK government borrowed a higher-than-expected £18.3bn last month, increasing the pressure on John Healey as he attempts to calm jittery bond markets before next month’s budget.

Some economists said it was “inevitable” that the chancellor would need to raise taxes on 28 October if he is to meet demands for extra spending on defence without further borrowing investors on international money markets.

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UK minister warns of impact of Trump’s Iran war on next month’s budget

Bridget Phillipson says Burnham’s past criticisms of US president not an issue as PM prepares to meet Trump at UN

Next month’s budget will be made more difficult by Donald Trump’s war with Iran, one of Andy Burnham’s cabinet ministers has said, while adding she did not expect the prime minister’s previous disparaging comments about the US president to be an issue.

Burnham is expected to meet Trump early next week at the UN general assembly summit in New York, the pair having previously spoken twice by phone since Burnham entered No 10.

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Khan addresses Polanski in Urdu at London assembly, mocking Green leader’s byelection video – UK politics live

It comes after the Green leader, who is standing as a candidate in the Holborn and St Pancras byelection, recorded a campaign video in Urdu

Andrew Griffith has delivered his speech, and he is now taking questions.

Q: You want the government to pause the making tax digital programme. Is that an admission that the last government got this wrong when it introduced it?

It is an admission that despite [good] intentions, the execution of that has left a lot to be desired.

In fact, coming to parliament from business, I can confess the law that we pass the most often is the law of unintended consequences. And I think making tax digital is a good example of that.

The truth is that Burnham and Miliband ignored the advice they were given – which was that if they were determined to sanction Israel, they should not do so before the Israeli election on 27 October.

It may not be surprising that this was the message from the Israeli foreign minister, Gideon Sa’ar, when Miliband called him on 11 August to warn sanctions were imminent. ‘He said postpone it until after the elections,’ a diplomatic source confirms. It was also the message the Israeli embassy in London – and its new chargé d’affaires Chris Cantor – was relaying to the Foreign Office. ‘Their message was clear: why do it now? Wait until after the elections, because something might change,’ a senior Labour figure says.

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UK chancellor urged to remove £100k childcare ‘cliff edge’ prompting parents to cut work hours

Critics say threshold pushes higher-paid staff to cut back on work and often mothers to stop working to avoid losing entitlement

John Healey has been urged to fix the £100,000 childcare “cliff edge”, that means some higher-paid employees cut back on work to avoid losing their entitlement.

Since the latest expansion of taxpayer-funded childcare in 2024, families with young children in which both parents earn less than £100,000 a year can be entitled to 30 hours a week of care - or none at all, if one of them cross that threshold.

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