Voters Deliver Verdict on UK Defence Secretary John Healey’s ‘Is That It?’ Budget

It has been branded the “Gherkin Budget” after Chancellor John Healey trimmed only a few pennies from the weekly food shop while committing billions more to benefits.

Mr Healey also raised taxes to a record level and sidestepped difficult decisions over whether defence spending should increase.

And voters have delivered a scathing verdict on Labour’s weak response to the cost-of-living crisis – concluding that Andy Burnham‘s government ‘haven’t got a clue’.  

One frustrated Brit told the Daily Mail: ‘I don’t think anyone in the Labour government is financially literate.’ 

Jeffery Runciman, 81, accused the Prime Minister of handing out giveaways to lay the groundwork for an election – despite Mr Burnham promising yesterday that he would not call a snap election during the next 12 months.

The Londoner joked: ‘When they started by congratulating the previous chancellor, I thought, “oh, God, here we go”.

‘After that, it seemed to be one giveaway after another, which can only point to one thing. They can’t afford to offer these giveaways, but they’re doing it for one reason: an election, I think.

‘I give up with it all. I don’t think they’ve got a clue about running the economy. Reversing everything Rachel Reeves did might be a start.’

Alan Moffatt, 67, accused the Chancellor of overlooking pensioners who remain on the old State Pension system and had already missed out on earlier financial support packages.

He was also concerned that the £100 rebate for 20 million homes in council tax bands A to D, intended to ease soaring energy bills this winter, would not benefit pensioners who are already receiving £200 towards those costs.

Mr Moffatt, from Merseyside, said: ‘The first thing I noticed was that I was born before 1951, so I’m on the “old pension”, while people born after 1951 receive around £60 more than I do. Now they’re also getting a tax break. I have had to work to make up for the smaller pension I receive, and I won’t get that tax break.

‘I think Burnham could have raised the tax allowance above its current level, which it has been at for, what, five years? But he has constraints.

‘He has only limited funds available. And I don’t know whether the £100 fuel-bill payment this winter will take into account pensioners who are already receiving £200.’ 

Akif Al-Hussain, a 31-year-old MNA Manager, said: ‘In essence, this budget is not going to be a good idea. I don’t think anyone in the Labour government is financially literate.

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‘To be frank, the only financially literate person we have had is Rishi Sunak, and that is because he comes from a banking background. It helps.

‘He understood what the public needed. Socialism does not work at present. It has to be a capitalist environment.’

‘You know, how are these small savings going to help anyone? People need their mortgage rates down, they need cost of living, stuff to go down. Everything’s too expensive.

‘You’re victimising those who want to do well and giving more tax to those who, some obviously need it, but some are abusing the benefit scheme.

‘We need to find a way to reform it and make sure it goes to the people who deserve it and need it rather than those who abuse it.’  

Deborah Pearson, a retired professional from Newcastle, said: ‘It’s not going to make any difference to us at all. If you want to encourage enthusiasm for business and work and everything else that’s going on in this country then you’ve not just got to look at the area of the population that have been heavily subsidised for so long.

‘They need to look at those in the middle, he’s ignoring the middle-of-the-road income people.

‘We’re from the north east so we see the problems of the country. When they talk about boosting the north they completely forget about the Geordies, entirely.

‘Nothing moves past the Manchester-Birmingham Midlands, which they insist is the North. It’s not, it’s the Midlands, we’re the North. There are 50 miles more north of us. The jobs and the economy that is all grinding to a halt there.’

Her partner Mark, also in his 60s, added: ‘Cut welfare, cut inheritance tax. It’ll encourage people to go out and get a job.’

Joel Defries, a 41-year-old from London, said: ‘We are in a difficult time, small things help. There is no money and no one is going to be happy so I guess who can you ease and appease the everyday burden. Let’s just move the money around, so I say it’s ok?

‘I don’t think any budget can give a massive difference with where we are at. What can you do in this situation? There are no quick fixes here, there is a macro economic headwind that you can’t affect so it’s all optics really, isn’t it?’

Steve Harman, 43 from Brighton, said: ‘Hospitality needs a lot of help. When it comes to minimum wage raises – which is a fair thing – it affects businesses massively, and also supply being affected with the tax increases on alcohol. 

‘It’s just not sustainable. It’s a scary time but we’re British and we’ll get through it.’

Mr Defries added: ‘Stop putting the duty up on alcohol! Who needs to spend £9 on an awful pint.’

Brigitta Ben-Eghan, a 30-year-old who works in finance, said: ‘We need to be looking out for everyone, not just the rich. The people in the middle need to be taken into account, the working class, everybody’s struggling.

‘There’s a supermarket boycott on Wednesday. I don’t know how many people are actually taking part in it, but I am. Because it’s not just for me but for the others who can’t. It needs to be equal for everyone and the government should be doing more to accommodate that.’

READ MORE: Worse off under Mr Burnham: The middle-earners and families struggling with bills who face a fall in living standards under Labour’s ‘is that it?’ Budget