Prime minister says room for manoeuvre was limited by geopolitical crises and Labour’s 2024 manifesto
Andy Burnham has admitted his first budget as prime minister was not as radical as he would have liked because of the economic uncertainty facing the country.
He said he would have liked to have gone further with this week’s announcement – including with higher energy support payments – but felt hemmed in by external events such as the war in Iran, which has pushed up borrowing costs.
Prime minister wrote to ministers saying he did not want them to ‘advocate for specific options or opine on the likely outcome of the process’
Selling nicotine-free vapes to children under the age of 18 has become illegal from today, the government has said.
Children were already banned from buying vapes containing nicotine. But, under the Tobacco and Vapes Act, shops across the UK will now be banned from selling nicotine-free vapes, and nicotine pouches, to children.
Vaping can be a way to help established adult smokers who are already addicted to nicotine from tobacco to swap to a less dangerous product. Vaping is considered safer than smoking, but that is a low bar. Vapes should therefore never be used by children or non-smokers.
Some children have already come to harm from bad reactions to vapes. The long-term health harms of vaping in today’s children will only become clear over time. They are however unlikely to be good; inhaling multiple, often heated, chemicals into the lungs may well do irreversible harm.
A senior Lloyds Banking Group executive has criticised the chancellor for linking bank tax increases to energy bill support for UK households, as he warned the government against extending the higher levy beyond March 2028.
Lloyds’s chief financial officer, William Chalmers, acknowledged that the economic environment was “challenging” but said the government should not seek to ease pressure on households at the expense of the banking sector as it provides loans that could fuel UK growth.
John Healey delivered a “scattergun” budget that did little to boost living standards and left Britain facing “a painful second half” of the parliament, a leading economic thinktank has warned.
The Resolution Foundation said on Thursday that measures to ease household gas and electricity costs would still leave energy bills higher this year than during the last energy shock.
Prime minister wrote to ministers saying he did not want them to ‘advocate for specific options or opine on the likely outcome of the process’
Selling nicotine-free vapes to children under the age of 18 has become illegal from today, the government has said.
Children were already banned from buying vapes containing nicotine. But, under the Tobacco and Vapes Act, shops across the UK will now be banned from selling nicotine-free vapes, and nicotine pouches, to children.
Vaping can be a way to help established adult smokers who are already addicted to nicotine from tobacco to swap to a less dangerous product. Vaping is considered safer than smoking, but that is a low bar. Vapes should therefore never be used by children or non-smokers.
Some children have already come to harm from bad reactions to vapes. The long-term health harms of vaping in today’s children will only become clear over time. They are however unlikely to be good; inhaling multiple, often heated, chemicals into the lungs may well do irreversible harm.
Chancellor’s ‘new course’ includes a £100 one-off payment, low-carbon upgrade loans and an end to standing charges
John Healey has unveiled a package of support for households being buffeted by “global economic storms”.
“I’m setting a new course to get energy costs down in line with Europe,” the chancellor said in his maiden budget. In the long term, he hopes that changes in how Britain covers the cost of renewables and grid upgrades will “drive down all aspects of energy bills”.
John Healey raised taxes on banks and landlords to fund a £100 winter handout for 20 million families as official forecasts made clear there is no end in sight for the cost of living crisis.
In his first budget, the chancellor blamed “global economic storms” for the grim outlook, as the war in Iran drives up oil and gas prices.
British households face a “pretty grim picture” for living standards as the war in the Middle East drags down growth and triggers a fresh cost of living crisis, the government’s independent forecaster has said.
In a report as John Healey announced his first budget, the Office for Budget Responsibility (OBR) issued a sharp downgrade for growth in 2027, household disposable incomes and the public finances despite the measures taken by the chancellor.
Healey hopes to give ‘hope for the future’ but only modest policies are expected with important decisions deferred
John Healey has acknowledged the UK faces a “difficult moment” but insisted he would put the country on a better path as he delivers his first budget on Wednesday against a turbulent global economic backdrop.
But despite the international uncertainty, the chancellor will signal “fresh hope for the future” as he attempts to sound a more optimistic note, by providing households with breathing space from rising cost of living pressures.
Greens say Labour has ‘no respect for young people’ amid reports chancellor will pause equalisation of minimum wage for under-21s with that paid to older workers
Jonathan Reynolds, the business secretary, has not contested reports saying that, in the budget tomorrow, John Healey, the chancellor, will pause the process of equalising the lower national minimum wage paid to people under the age of 21 with the more generous national living wage that applies to older workers.
In an interview on the BBC this morning, Reynolds was asked to respond to a story suggesting the equalisation process has been put on hold because of concerns about youth unemployment.
John Healey will announce plans to increase the minimum wage by nearly 4% but slow the rise for young people after warnings that they are being priced out of jobs.
The Times has been told that the national living wage, which applies to those aged 21 and over, is expected to rise from £12.71 to around £13.20 – an increase of 3.9%.
The manifesto pledge on equalisation still applies, but it was always clear it would happen over time and we would take into account, as the minimum wage uprating each year always does, the relative strength of the labour market and other pressures …
Of course, you want not just good wages, but good work. And the way this has always been done – it is a balance of making sure the pressures on the labour market are taken into account. That is the approach you will see confirmed [in the budget].
Anyone doing a day’s work, needs to be paid the same rate for the same job. A young person’s rent and food bill is no less because they are young, so they need to receive the same wage.
Healey and Burnham are now breaking a manifesto pledge to young people that even Starmer managed to keep. Labour have no respect for young people, who appear to just be there for cheap labour for the wealthy and their corporate donors.
[It] wouldn’t be my cup of tea, but I wouldn’t ban anybody from doing so … I don’t want us to get into a world of cancel culture.
I’m not going to have run a party where we say you can’t talk about that person or that person. We have to be sensible about vetting. And we are.