John Healey blasted by Confederation of British Industry over ‘nothing’ Budget
John Healey has been slammed by the Confederation of British Industry (CBI) after unveiling a "nothing" Budget.
Business leaders accused the Chancellor of failing to meet the “the scale of that ambition” signalled by the Labour Government since Andy Burnham arrived in No10 in July.
Ahead of his first Budget on Wednesday, Mr Healey promised it would deliver "breathing space" for households and businesses across the country.
But Rain Newton-Smith, chief executive of the CBI, said the Budget lacked "the bold moves that would have made it easier for firms to invest, hire and grow".
She said: “Households will be grateful for some relief on energy bills, but there is nothing concrete to provide breathing space for the vast majority of businesses who are already dealing with energy bills a third higher than their European counterparts, and with prices due to escalate further next year.”
The criticism comes after the Prime Minister defended Mr Healey's Budget amid claims it is “not bold enough”.
Tory leader Kemi Badenoch said the Budget is “not good enough, not strong enough, not bold enough”, while Reform UK’s Treasury spokesman Robert Jenrick blasted it as a “nothing burger”.
But Mr Burnham hit back, declaring: “It’s pretty bold to help 20 million households with energy costs through the council tax cut this winter.
“It’s bold to lift 70,000 businesses out of business rates altogether, and that will give a real lift to high streets up and down the country."
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Andy Burnham gags Cabinet on rejoin EU plot as Labour braces for civil war
Andy Burnham has forced Cabinet ministers to stay silent on Brexit despite the Prime Minister opening the door to rejoining the EU.
Mr Burnham told ministers "collective responsibility" still applies to Cabinet, meaning anyone who wants to speak out against the plan must resign.
However, the Prime Minister has already gone beyond his commitment to keep all options open, expressing his personal support for rejoining the Brussels bloc in his lifetime.
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John Healey condemned over 'shameful' £2billion defence raid: 'Penny-pinching our military!'
John Healey has come under fire over his "shameful" decision to slash £2billion from the Ministry of Defence's budget amid growing threats facing Britain.
After delivering his first Budget, it was revealed the Chancellor will hand the Ministry of Defence (MoD) £72.8billion in 2027/28 and £75.5billion in 2028/29.
His predecessor, Rachel Reeves, set the MoD's budget as £73.8billion in 2027/28 and £76.5billion in 2028/29 in Labour's defence investment plan.
Mr Healey insisted the Government will aim to spend three per cent of economic output on defence by 2030, but said a plan to meet the target will not be put forward until next year’s spending review.
He told the House of Commons yesterday: “This year, our defence budget is £14billion higher than it was in the Conservatives’ last year of Government.
“At the spending review next year, I confirm that I will set out the details of how we will meet our Nato commitment to spend 3.5 per cent of GDP on defence by 2035, with a target date for three per cent in 2030."
Tory leader Kemi Badenoch slammed the Chancellor's proposals as a “plan to have a plan”, as her party branded changes to the MoD budget a £2billion "cut".
On Saturday, Shadow Chancellor Andrew Griffith urged Mr Healey to stop "dithering" and have a fully funded plan to boost defence spending to three pre cent or GDP or resign.
Liberal Democrat defence spokesman James MacCleary described the move as “shameful” and warned it will "leave our troops worse off and undermine our security".
Britain's outlook 'pretty bleak' after Budget, former Business Secretary warns
Britain's economic outlook appears "pretty bleak" following John Healey's first Budget, a former Business Secretary has warned.
Vince Cable, who served as a minister during the Tory-Lib Dem coalition years, described living standards as "dire" and said British households should not expect any boost in their finances in the coming years.
The former Lib Dem leader described Britain's fiscal future as “pretty bleak as it has been for much of the past 10 years”.
He told an event at Comment Central: “Living standards, disposable net incomes, which have not grown for the past 10 years are not expected to grown in future either."
Nigel Farage says Reform UK cannot police its own members over Tommy Robinson support
Nigel Farage has said Reform UK cannot police party members who support Tommy Robinson, even though he has distanced himself from the former English Defence League leader.
Mr Farage said "people have different opinions" and argued that liking a social media post did not make someone a "full-blown marcher" for a cause.
Robinson is facing up to 10 years in prison after being convicted of harassing two journalists and causing them to fear violence.
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Campaigners slam 'tone deaf' John Healey after Chancellor seen downing pint after unveiling Budget
Campaigners have accused John Healey of being "tone deaf" after he was seen downing a pint after unveiling his first Budget.
Mr Healey was filmed at The Two Chairmen pub in Westminster, necking a pint of Chancellor's Choice in one go.
Growth Minister and Labour MP for Chipping Barnet, Dan Tomlinson, was heard cheering on the Chancellor as he finished the pint at what is thought to be the oldest public house in Westminster.
Reacting to the footage, Campaign for Pubs described it as “galling and extraordinarily tone deaf”, claiming his Budget will see costs skyrocket by 95 per cent for Britain's boozers and their punters.
Disposable income to plummet by £1,000 by 2029, think tank warns
Disposable income is set to plummet by £1,000 in the next three years, a leading economic think tank has warned.
The Resolution Foundation - which has branded John Healey's first Budget a "scattergun" approach - pointed to forecasts published yesterday as it issued a warning over the decline in purchasing power.
The think tank said: "Putting pensioners to one side, living standards – as measured on our preferred after housing costs disposable income measure – rose at a decent clip in the first year of this Parliament, then stalled, and are now set to fall by 3 per cent (£1,050) between this year and the end of this Parliament."
It added: "This poor outlook reflects falling real wages, a rising tax burden and housing costs rising faster than inflation: between 2026/27 and 2028/29, the OBR projects that average real weekly wages are set to fall slightly (by 0.1 per cent), while rents and mortgage payments will rise more quickly than general inflation."
John Healey insists Labour is doing a 'good job on migration' despite fears arrivals could double
The Labour government is doing "a good job on migration", John Healey has claimed, despite the Treasury's forecaster predicting a doubling in annual net immigration to 230,000 over the next five years.
The Chancellor also told GB News in an interview that a "small handful" of migrant camps will be opened around the UK, costing £150million next year as more hotels housing migrants are closed.
Official forecasts from the Office for Budget Responsibility show that the UK is set to see a doubling of net migration from 120,000 this year to 230,000 a year for the 12 months to the middle of 2031.
In all, nearly one million people will arrive more than the number who will leave in the next five years.
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John Healey denies delaying tough decisions on Britain's 'out-of-control' welfare system
John Healey has denied delaying tough decisions on Britain's welfare system, insisting the Government is making changes “now”.
The Chancellor’s first Budget has come under fire for not addressing the ballooning welfare bill, including from Tory leader Kemi Badenoch, who said Britain is “drowning in an out-of-control welfare system”.
Speaking to GB News, Mr Healey said ministers have already brought in a range of measures to cut the cost.
He told the People's Channel: “This was a broken system. And two years ago we started putting back in place face-to-face assessments. We’ve changed terms of universal credit, so people don’t have to brand themselves as too sick to work.
“So, those are changes we’re making now. But in the long run, as I’ve argued, and the Prime Minister has said, too, we have to bring the cost of benefits down.
“We will, but we have to do that, especially for our young people, in a way that gives them a chance to make something of themselves.
"And when we’ve got a million youngsters that aren’t working and aren’t in education or training, that’s a moral duty to do this, and we will.”
Ofcom warns children evading Labour's social media ban is 'inevitable'
Ofcom has warned it is "inevitable" that children will find ways to evade Labour's proposed ban on social media for under-16s.
On Thursday, the regulator published an assessment on how social media firms could reliably restrict access to adult or harmful content.
Ofcom identified four ways that could be “highly effective” at ensuring those who use the apps are over the age of 16 - banking checks, photo ID, digital ID and facial age estimation technology.
However, the regulator admitted it was it was “inevitable” some children would find ways to get around the checks.
The age-based social media ban was unveiled by Sir Keir Starmer towards the end of his premiership, but Andy Burnham is planning on pressing ahead with the proposals.
John Healey admits Labour cannot 'remove all pressures' facing Britons
John Healey has admitted Labour cannot "can't remove all the pressures that people are facing" today amid the cost-of-living crisis and rising bills.
Speaking to Sky News, the Chancellor insisted his announcement of £100 off energy bills for about 20 million households in England was an "important payment".
He added: "Now, you can't remove all the rises, you can't remove all the pressures that people are facing.
"But my aim is to say, look where we can, we'll act, we'll give people a bit of breathing space and [we're] doing that with this household energy payment."
Andy Burnham defends Budget after John Healey accused of not being 'bold enough'
Andy Burnham has defended John Healey's first Budget amid claims it is “not bold enough”.
The Prime Minister insisted there are “strong signs that the economy will improve” but admitted the Government does not have “huge room for manoeuvre”.
Tory leader Kemi Badenoch said the Budget is “not good enough, not strong enough, not bold enough”, while Reform UK’s Treasury spokesman Robert Jenrick blasted it as a “nothing burger”.
But Mr Burnham hit back, declaring: “It’s pretty bold to help 20 million households with energy costs through the council tax cut this winter.
“It’s bold to lift 70,000 businesses out of business rates altogether, and that will give a real lift to high streets up and down the country."
John Healey's 'scattergun' Budget fails to tackle Britain's economic woes, think tank warns
A leading economic think tank has branded John Healey's first Budget a "scattergun" approach, warning it fails to tackle Britain's mounting financial challenges.
The Resolution Foundation warned that measures designed to ease pressure on household finances would not stop energy bills from soaring beyond the levels recorded during the previous energy crisis.
Mr Healey unveiled his first Budget on Wednesday, promising to give struggling households "breathing space" as the conflict in Iran drives up prices.
However, Ruth Curtice, chief executive of the Resolution Foundation, said: “Faced with a tough backdrop amid global economic turmoil, the Chancellor delivered a scattergun Budget that did little to address the sharp challenges facing Britain.
“Cost of living support is being spread far too thinly and will leave even those families receiving help facing higher energy bills than they did during the last energy price shock.”
John Healey admits the UK could sign up to EU freedom of movement after general election
The UK could join the European Union’s freedom of movement as part of "a bigger discussion about how we get a better Brexit deal" after the general election, John Healey has told GB News.
The Chancellor was pressed on whether he wanted the UK to re-enter the EU's freedom of movement regime, as was mooted by the Prime Minister last weekend.
Mr Healey, whose Rawmarsh and Conisbrough constituency voted by more than two-thirds to leave the EU in 2016, told GB News: "Freedom of movement is not on the agenda, and certainly for this Parliament it's ruled out."
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