Public Reacts to Chancellor John Healey’s Inaugural Budget
Chancellor John Healey has introduced his first Budget, marking a significant moment for the economy with a series of measures including a new tax on banks and a 100 pound energy support payment for millions. As the government charts its financial path, citizens across varying income levels have shared how these policies intersect with their daily financial realities. Has been speaking to people on a range of incomes on how they feel about their finances and how the Budget affects them. We think more about how long we run the hot water when we do the dishes, we try to be more aware.
For 48-year-old Dave Herbert, a professional car delivery driver, the primary concern remains the rising cost of fuel. Herbert, who resides in Ynysddu and commutes 62 miles round-trip to Cardiff, reports spending roughly 350 pounds monthly on petrol. This expenditure represents a 40% to 50% increase compared to the start of the year. While the government has confirmed the fuel duty rate will remain frozen at 57.95p per litre—a level maintained since March 2011—Herbert feels the measure offers no genuine relief. He describes himself as quite angry that no specific duty cut was announced, noting that he must pull funds from an already restricted budget to cover his commute. He admitted that while he desires a hybrid vehicle, current prices for even entry-level used models are prohibitive. He spends around £350 a month on petrol for work and personal use. According to the 48-year-old, who is married with a 12-year-old daughter,, He has to find the extra money for fuel “from an already tight budget” and “dreads” filling up at the pump. And it will be frozen again, but Dave says: “It sounds like they’re giving us something by keeping it frozen but they’re actually still taking it off us, the main fuel duty rate has been frozen at 57.95p per litre since March 2011. I get £4,062 a year. According to robert’s biggest expense currently is his car, which he, He needs for his 32-mile round trip to work at Newcastle Airport. Broadband, my car and some money to socialise, i’d need a TV licence.
The landscape is equally challenging for 19-year-old Emily Nelson from Swindon. I’m frustrated there’s no action on NEETs yet. The 19-year-old from Swindon wants to be an animator but in the meantime is applying for retail and sales roles and apprenticeships.
Since completing her A-levels, she has faced significant hurdles in securing employment. She doesn’t hear back from potential employers, most of the time.
Despite her ambition to enter animation, she has turned her focus to retail and sales roles to no avail.
Nelson expressed frustration that the government has opted to wait for the results of a youth unemployment review before introducing new legislation next year.
While she acknowledged the value of a planned government strategy, she noted that the wait for actionable solutions is stifling for those currently looking for work.
She remains supportive of expanding schemes like the Jobs Guarantee, which provides six-month paid positions, but suggests the eligibility criteria should be lowered to include those who have been seeking work for a year rather than the current 18-month requirement. However, she adds: “It’s not happened today, but it will happen. The scheme, being rolled out across England, Scotland and Wales, guarantees fully funded, six-month paid jobs for 18 to 24-year-olds who have been on universal credit and looking for work for 18 months.
In Gateshead, 29-year-old Robert Portlock is navigating the difficulties of the cost-of-living crisis on a 22,000 pound salary. Robert Portlock, 29, has always lived with his parents in Gateshead and would love to move out.
He views homeownership as a distant dream, noting that rent for a small local flat would consume two-thirds of his wages, leaving little for essential bills or living expenses. His commute to Newcastle Airport adds a financial burden, with car-related costs totaling 750 pounds monthly. Portlock described the Budget as insufficient, specifically citing the 100 pound energy allowance as inadequate given the scale of current price pressures, and noting that food tariff adjustments equate to minor monthly savings. He remains skeptical of the government’s new deposit-assistance scheme for first-time buyers, arguing that meaningful saving is nearly impossible under existing conditions. He says, while action on tariffs on food items will save only £21 a year, or £1.75 per month, the £100 household energy allowance over a year is less than £10 a month. But Robert says: “Saving for a house is impossible at the moment, the government has announced a scheme to help first-time buyers in England who have a deposit of 2.5%.
Conversely, 40-year-old Chloe Chin-Saad, who earns 41,000 pounds, offered a more optimistic view. Managing life as a widow with a 16-year-old son in south London, she has seen energy bills climb to 200 pounds a month, forcing her to implement strict austerity measures in her household. Despite her limited remaining monthly income—sometimes as low as 50 pounds after covering fixed costs like council tax and medication—she expressed relief regarding the planned removal of standing charges on gas bills and the energy payment. She views these targeted interventions as thoughtful steps that offer a sense of hope for the future. Chloe, Emily and Robert all spoke to about what they would like to see in the Budget. It’s all you really can do, i’m trying my best. What am I going to buy with that – a Freddo. According to she lives with her 16-year-old son, and, Her energy bill has risen sharply over the past year and she now pays about £200 a month on gas and electricity.
The perspective from higher earners also varied. Jonathan Whitwam, who earns 150,000 pounds and works in finance, argued that the tax burden on higher earners should have been heavier. His primary focus remains the significant debt load his daughters are accruing through university, which he estimates will reach up to 60,000 pounds each, burdened by interest rates that could compound by 8,000 pounds annually. While he supports the value of higher education, he advocates for capping interest rates on student loans below 1% to prevent long-term financial strain on younger generations.
