Changes are needed to prevent the full, flat-rate state pension becoming liable for income tax after it rises in April.
Healey to shield low-income pensioners from income tax in the Budget
Source: BBC Business
Follow this story
Earlier reports and follow-ups on the same developing story.
- Can curry nights and canny advisers help Healey deliver a budget for everyday people?
- Plan for Northern Olympics to get £7m in Healey's Budget
- Healey’s first budget to include big devolution package to boost growth
- Four ways Labour could raise money in the Budget without hiking income tax
- Has Healey’s military-style budget secrecy really played out so differently to past budgets?
- Healey's Budget needs to sustain the stronger economy through gathering clouds
Related stories
BBC Business
Salon owners urge Budget VAT cut as staffing pressures grow
Marcus Perkins, who owns a hair and beauty salon in Brierley Hill, says he is scared for the future.
CNBC
Private equity pours billions into defense tech as investors debate a bubble
Private equity growth investments in defense reached $4 billion in the first nine months of 2026, up from $500 million in 2024.
CNBC
‘Ticking time bomb’: The world's pension funds face an ageing crisis
The world's pension systems are confronting a demographic crisis as longer lifespans and dwindling birth rates threaten to stretch retirement finances.
The Guardian
AI cloud computing firms face ‘guppy-level death’, Elon Musk warns; French bonds rally after avoiding downgrade – business live
Rolling coverage of the latest economic and financial news UK government borrowing costs are dropping this morning, a welcome sign ahead of Wednesday’s budget. The yield (or interest rate) on 10 and 30-year UK gilts have both dropped by around three basis points (0.03 of a percentage point) this morning. Issuing loans to public financial institutions creates a financial asset that offsets the increase in outstanding government debt. If the investments that the PuFins make generate sufficient returns for the PuFins to repay their government loans, then long term debt sustainability is little affected. Limited transparency and the risk that the PuFins may suffer impairments on their investments will probably make bond market investors skeptical of the extra gilt issuance. Chancellor Healey should avoid a big increase in gilt issuance to fund such intra-public sector lending. Nebius, CoreWe
CNBC
Neocloud stocks fall as Elon Musk says more than 200 of them face 'guppy-level death'
Investors are already questioning the debt-fueled expansion of neoclouds and whether the large AI infrastructure build-out will generate long-term returns.
The Guardian2 outlets
If the PM reboots the UK for working-class people, unions will be with him. But the time for talking is over | Andrea Egan
Andy Burnham has railed against neoliberalism – the historic shift must start with this week’s budget Andrea Egan is the general secretary of Unison After Keir Starmer, things could only get better inside Labour. But Andy Burnham’s arrival as party leader and prime minister didn’t just clear that low bar. It was a cause for hope, especially for those of us in the trade union movement. That’s less because Burnham is streets ahead of his predecessor as a politician – although he is – and more about just how radically the new prime minister has framed his project for the country. I’ve been active in the labour movement for almost four decades. In that time, I cannot count how many times I’ve heard talk of reversing the devastation wreaked by Margaret Thatcher. For socialists and grassroots trade union activists, this kind of political thinking is bread and butter. But not so much for a Labo