By Fatma Younis
British newspapers focus on Chancellor John Healey's first Budget, delivered Wednesday at lunchtime, with front pages highlighting measures to address the cost of living amid what Healey acknowledged as a "difficult moment" for the UK economy. The Guardian reports the Budget will likely be a "relatively modest affair" as Healey grapples with "stark fiscal realities," putting off major tax and spending decisions until next year.
Budget Measures Target Energy Costs
The Times says Healey will announce the scrapping of green levies to cut energy bills "for good," pledging to make Britain more "resilient" against global economic shocks. The Times and the Daily Telegraph report the chancellor will also scrap standing charges on gas household bills — fixed daily fees paid even if no gas is used — which the Telegraph says could knock up to £50 off a typical annual bill. The i Paper reports lower-income households are expected to receive extra help through an increase in the Warm Home Discount, rising from £150 to £250 a year off electricity bills.
Welfare and Tax Decisions Draw Criticism
The Daily Mail writes that Healey will "swerve welfare reform," calling it a "£6bn Budget benefits bonanza" and saying the chancellor will not curb "runaway welfare spending" but instead increase the tax burden to the highest level on record. Sources told the paper Healey has set aside £5.5bn to support a 3.5% increase to benefits paid to approximately 10 million Britons. Conservative leader Kemi Badenoch warns in the Daily Express that Labour is "coming for your pay packets," saying the chancellor has "chickened out of tackling out-of-control welfare" and forecasting a "stealth raid of wages." The Financial Times reports tax rises will be modest and targeted at banks and the gambling sector, with the City of London resigned to a tax raid on bank profits. The Daily Mirror says Healey is likely to crack down on websites such as Amazon and eBay, making them responsible for collecting tax owed by retailers on their platforms.
Support for Business and Infrastructure
The Financial Times reports Healey will confirm £20.4bn of additional support for the state's business lender and infrastructure bank over five years, supporting renewable energy, defence, AI and other projects aimed at boosting Britain's growth prospects and resilience. The paper says the Budget signals the chancellor's goal of long-term reforms to the energy market.
Rosebank Oil Field Assumptions
The Times reports the Budget will assume drilling for oil and gas will be approved at the Rosebank field west of Shetland, generating significant tax revenues. Healey strongly supports the project, but Energy Secretary Miatta Fahnbulleh and Foreign Secretary Ed Miliband are opposed. The Guardian says government insiders indicate Rosebank can be approved without breaching UK carbon emission targets, partly because emissions from burning exported oil no longer count against Britain's domestic targets.
Other Front-Page Stories
The Independent leads on Israel's historic election, the first since the October 7 attacks, with record voter turnout and Benjamin Netanyahu's fate described as "hanging in the balance." The Sun calls for Harry Kane to be knighted following his Ballon d'Or triumph, declaring him "officially the greatest England striker of all time." The Metro reports on a court case in which a husband admitted to drugging and raping his wife over 13 years. The Daily Star reports an unnamed celebrity has asked the High Court to prevent two news groups from publishing his identity and allegations of inappropriate sexual activities with girls and young women; the star denies the allegations and has promised not to return to public life. King Charles III's visit to the Bahamas features prominently, with the King acknowledging slavery as a "great suffering" and noting some of the islands' culture was "born out of darkness," with further remarks expected at next week's Commonwealth Heads of Government Meeting.
