🧠 Watchlist Winners: Copy Legendary Investors' Portfolios in One ClickCOPY FOR FREE

Budget is “going to be painful,” PM Keir Starmer warns

Published 27/08/2024, 12:49
© Reuters Budget is “going to be painful,” PM Keir Starmer warns

Proactive Investors - Prime minister Keir Starmer has warned the public of a “painful” budget later this year as the government grapples with a £22 billion “black hole” in public finances.

Speaking at Downing Street on Tuesday, Starmer said there was “no other choice” as the Labour government approaches its first budget on October 30.

“There is a budget coming in October, and it’s going to be painful,” he said, according to PA reporters.

“Those with the broadest shoulders should bear the heavier burden, and that’s why we’re cracking down on non-doms.

“Those who made the mess should have to do their bit to clean it up - that’s why we’re strengthening the powers of the water regulator and backing tough fines on the water companies that let sewage flood our rivers, lakes and seas.”

Starmer added plans remained to ensure national insurance, VAT and income tax would not be hiked, but said he would not “pre-empt the budget” when asked about increases elsewhere.

Discussing an end to winter fuel payments for those not in receipt of pension credit, he urged that it “was a choice that we had to make [...] doing what is necessary to repair the public finances”.

The move is set to see 10 million pensioners lose out on the energy bill support of up to £300 each this year, in turn saving £1.4 billion.

Starmer said there was a need to be “honest with people about the choices that we face”.

“Things will get worse before they get better,” he warned.

Read more on Proactive Investors UK

Disclaimer

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.