New Chancellor sets date for Andy Burnham’s first Budget and vows to move ‘money and power’ out of London

CHANCELLOR John Healey said his first Budget will “move money and power out of Westminster” and into “every postcode around Britain”. Announcing the Budget on Wednesday October 28, Mr Healey said in a video message: “This Government is working fast to restore hope and back Britain’s communities. Chancellor of the Exchequer John Healey Credit: Getty Healey speaks to Prime Minister Andy Burnham today Credit: Getty “In the past two weeks, we have begun to kickstart growth in every postcode. We have backed British jobs, British skills and British businesses. “And we have provided just a bit of breathing space for those families and businesses that feel so squeezed, that feel without hope. Sign up for the Politics newsletter Thank you! “Today, I’m confirming the date of my first Budget as Chancellor will be Wednesday 28th October. “This will be a Budget that moves money and power out of Westminster and into every postcode around Britain. “It will be built on fiscal discipline. It will meet our fiscal rules. It’ll give businesses and families some of the stability they need to plan for the future. “Now, let’s get on with the job.” Mr Healey used his budget as Defence Secretary to buy kit from UK defence firms and create British jobs Credit: PA Labour’s new policies are designed to ease the pain of spiralling bills but not break the bank Credit: Reuters Looking back at Andy Burnham’s first two weeks as Prime Minister, Mr Healey – who served as Defence Secretary under former premier Sir Keir Starmer – said the new government was “working fast to restore hope and back Britain’s communities” and had “begun to kickstart growth in every postcode”. But he will face significant challenges as he finds more money for Mr Burnham’s devolution priorities and increased defence spending amid warnings the Iran war will further squeeze the public finances. Most read in The Sun Mr Healey’s announcement comes days after he vowed to go on a “buy British” blitz on a scale the country has never seen before. The new Chancellor said every pound the government spends will be focused on creating new jobs and backing businesses in the UK. Mr Healey says he will ‘work in lockstep’ with new Prime Minister Andy Burnham Credit: Crown Copyright Mr Healey quit his previous role as Defence Secretary after a row with former PM Sir Keir Starmer Credit: AFP In his first interview since Mr Burnham put him in charge of the Treasury, Mr Healey said he wants to turbocharge UK plc. And he vowed to “lift that pessimism” that has descended on Brits clobbered by the cost of living crisis and give people “hope for the future”. His boosterist words are in contrast to the more gloomy tone Sir Keir Starmer’s regime adopted about the economy in its first months in government. Speaking exclusively to The Sun on Sunday, Mr Healey said: “We will make every government department a growth department – backing Britain. “You will see this as a determined drive that you have not seen before from a British government. “Buying British not if possible, but by design. So every procurement pound supports British jobs, British apprenticeships and British skills. “Driving wealth creation so the policy decisions we take in government help raise levels of investment and profit and innovation in British business.” In his old job as Defence Secretary, Mr Healey used his budget to buy kit from UK defence firms and create British jobs. Out of the 1,200 major defence contacts handed out, 86 per cent went to British firms. Mr Healey wants to roll that “Buy British” approach out across the government, and sees the new big devolution push as the perfect way to do that. “I will certainly be talking up the resilience and the potential of British business,” he added. “I am as concerned about the cost of business as I am the cost of living. “I am really concerned that where we make government policy and government decisions, these can help raise the levels of investment, innovation and profit in British business.” Mr Burnham used his first weeks as PM to announce a series of eye-catching cost of living policies to provide “more breathing space” to Brits struggling with their bills. Bus fares will be capped at £2, VAT taken off electricity bills and pubs and clubs will get a business rates tax cut. Westminster insiders have dubbed this cost of living blitz a “Tesco approach to government” after the supermarket’s famous catchphrase that “every little helps”. Each individual announcement is only small – designed to ease the pain of spiralling bills but not break the bank. Taken together, they are designed to show that Downing Street “gets it” and are serious about helping families struggling with their bills. “This is about demonstrating Andy Burnham’s view about how to lift the pessimism that people feel about their own prospects and the places they live”, Mr Healey said. “Andy Burnham talks about lifting the everyday pressures people feel. “When you see us taking those steps this week – that is what we are concerned about trying to do. “Give people a sense of hope for the future and a glimpse of the new economy and new hope we want to build for the future of this country.” Mr Healey sees boosting British business and easing the cost of living crisis as two sides of the same coin. Providing good British jobs is the best way of ensuring people can buy a home and pay their bills, he believes. Comment now