Prime Minister Andy Burnham and Chancellor John Healey are being urged by organisations across the UK to implement a series of key changes in their first Budget on Wednesday, October 28. Demands range from businesses and farmers to working households and transport bosses, each calling for specific policies and law changes to be included in the Budget speech.
Pressure Mounts Ahead of First Budget
The Budget comes at a critical point for the UK's finances. Petrol and diesel prices have surged since the start of the US-Israel war with Iran, squeezing global oil and gas supplies and driving up wholesale prices. Living costs are expected to rise further as households face higher energy bills this winter.
Meanwhile, the UK's national debt has risen to £3 trillion, while the cost of borrowing rises as inflation increases, and gilt and bond markets are concerned that any spending pledges must be backed by proper financial planning.
Key Changes Sought by Organisations
Among the 11 key changes organisations are asking the government to put in place are:
- Abolish Sunday Trading Laws in England – The law currently forces shops larger than a certain square footage to open for limited hours on Sundays, usually between 10am and 4pm. The London Chamber of Commerce has urged Mr Burnham to scrap these limits to boost growth.
- Back third runway at Heathrow – The London Chamber of Commerce also urged Mr Burnham to back a third runway at Heathrow for economic growth. The PM has refused to commit, leaving the decision to local policymakers.
- Reverse National Insurance tax hike – Business bosses say the most recent employer NICs rise has directly caused more than 160,000 UK jobs to disappear. In the 2024 Autumn Budget, then-Chancellor Rachel Reeves announced the rate would increase from 13.8% to 15% from April 6, 2025. The London Chamber of Commerce has urged Mr Burnham to reverse this policy.
- Abolish National Insurance for long-term unemployed hires – The Chamber also urged the Government to entirely scrap NICs when hiring young people out of work for a long time. It added: "A young person who has been out of education, employment or training for a year or more is precisely the candidate an employer is most reluctant to take a chance on, because the perceived risk and training cost are highest, and every month out of work makes the next job harder to get."
Impact on Households
If announced, these changes could affect everything from shopping hours to employment costs and job creation. The Budget speech on October 28 will reveal which of these demands are met, with implications for businesses, workers, and consumers across the UK.
