Former Attorney General Sir Michael Ellis has accused Chancellor John Healey of failing to take action on the 'out of control' welfare budget ahead of the Autumn Budget. Speaking on GB News on Wednesday morning (28 October), the former cabinet minister said Healey was "bottling it" over the welfare bill.
Markets looking for 'responsible actions'
Ellis predicted the Chancellor might deliver a "bland" Budget if he is considering a general election. He said Healey "may do as little as possible to not upset any apple carts" but warned of the consequences.
"The problem with that, though, is that he's got to balance that with the markets. The bond and gilt markets are looking for some responsible actions today. If he's irresponsible and doesn't do enough, the markets may punish him," Ellis said.
'Out of control' welfare bill
Ellis criticised the cabinet for lacking business experience, saying ministers "tend to take the view that the more you tax people, the more money that comes into the treasury." He echoed comments from Leader of the Opposition Kemi Badenoch, saying Healey "genuinely hasn't done anything about the out-of-control welfare budget."
"He is bottling that, and it's because his own party won't let him," Ellis said. "You can't get blood out of a stone. The welfare budget is out of control. Even some on the Labour side recognise that, but it's too difficult for them to deal with. They haven't grasped the nettle, and as a result, there's less money to play with."
Chancellor's plans and opposition warning
Healey is expected to unveil the Labour Government's plans for taxation and spending on Wednesday afternoon. In a brief video shared on X, he promised "breathing space for today and fresh hope for the future," adding: "We'll back British businesses and entrepreneurs; we'll invest in the technologies that drive future growth, and we'll build more homes. In an uncertain world, we'll strengthen national security and our defences, as well as our support for Ukraine."
Writing exclusively for the Express, Badenoch warned: "Before John Healey opens his red box later, I have a warning for him. Do not make the British people pay for decisions you are too frightened to take." She added that "the prime minister's words and his Government's actions are like oil and water; they do not mix," citing tax rises on investors and employers, postponed defence spending, and a failure to cut the welfare bill.
Badenoch concluded: "John Healey has the ability to tackle welfare spending and find the money for defence, now. Not in the future, not at the delayed spending review, not on the tenth of never. He can choose to face down his backbenchers instead of coming after your pay packet. Today, we will discover whose interests he puts first."
