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‘Scattergun’ budget will still leave Britons facing higher energy bills, says thinktank
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‘Scattergun’ budget will still leave Britons facing higher energy bills, says thinktank

A leading economic thinktank, the Resolution Foundation, has criticized Chancellor John Healey’s recent budget as a 'scattergun' approach that fails to effectively boost living standards or protect vulnerable households. The organization argues that despite measures such as scrapping gas standing charges and providing £100 energy payments to millions of lower-band households, typical energy bills will remain higher this year compared to the previous energy crisis. Analysis indicates that the cost-of-living support is poorly targeted, with the poorest half of households gaining an average of £158 over the next two years, only slightly more than the £144 gained by the wealthiest half. The thinktank predicts that typical disposable incomes will fall by £1,050 before the end of the current parliamentary term, resulting in a net increase of just £600 over five years. While Chancellor Healey cited global economic turbulence and the impact of the Iran war on inflation, the Resolution Foundation contends that the budget does little to address the sharp challenges facing Britain and leaves the country reliant on outdated property valuations for determining energy support eligibility.

Tenants face the prospect of higher rents after Chancellor John Healey announced a two-percentage-point increase in tax on rental income, effective from April. The measure builds upon an identical tax hike introduced by his predecessor, Rachel Reeves, during the previous fiscal year. Consequently, the total tax surcharge on property income will stand four points above pre-2026 levels starting in April 2027. The National Residential Landlords Association (NRLA) criticized the decision, stating it has made life harder for renters across the country. Current projections indicate rents are already set to rise by four percent over the next twelve months, adding approximately £700 to the average annual tenant bill. The Office for Budget Responsibility (OBR) warned that the additional tax burden, combined with other housing policies, risks causing a steady rise in rents by reducing rental supply and prompting remaining landlords to increase prices. The OBR, which delivered its economic outlook alongside the Budget, attributed the challenging financial environment to higher borrowing costs and inflation driven by the conflict between the United States and Iran. In response to rising energy prices, Healey outlined measures intended to ease pressure on household finances, including a £100 support payment for up to 20 million households in council tax bands A to D. He also proposed scrapping standing charges on gas bills. However, the Resolution Foundation argued these measures were insufficient to offset the impact of higher energy bills. The think tank described the Budget as a "scattergun" approach that failed to adequately target assistance toward those in greatest need. It noted that the poorest half of households would receive an average gain of £158 over the coming two years, compared to £144 for the richest half. Ruth Curtice, chief executive of the Resolution Foundation, stated this disparity highlighted a complete failure to direct help to those who need it most. Economic forecasts released alongside the Budget paint a grim picture for household incomes. The Resolution Foundation predicts that typical working-age households will see their disposable income fall by £1,050, or three percent, between now and 2029. This limits the total increase in disposable income over the entire five-year parliamentary term to just £600. The Institute for Fiscal Services (IFS) concurred, describing the current decade as the worst for household income growth on record. Curtice characterized the upcoming period as "tough going," noting that the first half of the parliament saw rising living standards and solid growth, but the second half faces significant headwinds. She warned that spending plans appear extremely tight and may not align with the government's desire to deliver them, creating pressure on the strategy to reduce borrowing. Landlord associations reacted sharply to the tax changes. Chris Norris, chief policy officer for the NRLA, pointed to research conducted by Pegasus Insight regarding the previous tax increase. That study found 46 percent of landlords planned to raise rents within 12 months, with 35 percent intending to increase them beyond originally planned amounts. Additionally, 33 percent indicated plans to sell one or more properties. Norris expressed deep disappointment that the Chancellor raised taxes again despite these clear warnings. He cited the OBR’s confirmation that hiking taxes drives up rents and reduces supply. Lucian Cook, head of residential research at Savills, agreed that the policy provides another reason for landlords to reconsider their participation in the buy-to-let sector or to rationalize their portfolios. He suggested this would tighten the supply of rental properties, reducing choice for tenants and exerting continued upward pressure on rental values. Conversely, Hannah Aldridge, a senior research and policy analyst at the Resolution Foundation, offered a more conservative estimate of the immediate impact on rents. She argued that price rises are likely to be small because rents typically track earnings and landlords aim to charge the maximum amount tenants are willing to pay. According to Aldridge, unless supply becomes severely constrained, the increased tax burden will primarily affect landlord margins rather than translating directly into higher rents. Estate agents echoed this caution, suggesting that while new regulations under the Renters’ Rights Act and tax increases will prompt portfolio evaluations, the full effects may take time to manifest. Political opposition focused on the fragility of public finances and the targeting of relief measures. Conservative shadow chancellor Andrew Griffith claimed the Budget left public finances more fragile by reducing the buffer between revenue and expenditure. Liberal Democrat leader Ed Davey acknowledged the £100 energy payment might be viewed as the best item in the Budget for many, but criticized the "stealth tax rises" taking money from pay packets. Healey defended the package on the BBC’s Today Programme, citing global economic storms such as the Iran war and Russia’s invasion of Ukraine as factors affecting nations worldwide. He stated the government was providing help where possible to offer "breathing space." Beyond energy and housing, the Budget included tax breaks for high street businesses and increased taxes on banks and gambling. Andy Burnham, who served as Chancellor during the delivery of the Budget, defended the measures as bold, highlighting the lifting of 70,000 businesses out of business rates entirely. Despite these moves, housing groups expressed disappointment that the Chancellor did not address frozen housing benefit rates. Campaigners urged the government to relink the Local Housing Allowance to market rates, warning that low-income renters are experiencing severe budget squeezes. Analysis by the Resolution Foundation revealed that the shortfall between housing benefit rates and the bottom 30 percent of local rents recently hit a record high of 23.3 percent, equivalent to £170 a month for a typical tenancy.

How this report was made. Objective News wrote this report from 5 source articles, using AI-assisted synthesis under our methodology. It is our own text, not a copy of any single outlet. Read our methodology.

Responsible editor: Matej BašaSpotted an error? Report it

7 reports

The Independent logoThe IndependentIndependentCenterFactual 85Objective 80
Brits needing food banks set to reach record high by 2029, new data suggests

New analysis by the Trussell Trust suggests that the number of people in the UK needing to use food banks could reach a record high of 9.1 million by the year ending March 2029. This projection is based on modeling that incorporates factors such as average earnings growth, social security payments, and rent forecasts provided by the Office for Budget Responsibility. The estimate includes both adults and children, with the previous record peak having been 9.07 million in 2025/26. While there was a slight decrease in food parcel distribution in 2025 compared to 2024, the organization warns that ongoing high inflation and rising energy costs are making it increasingly difficult for many households to afford basic necessities. The report highlights the growing challenge faced by low-income families and calls for urgent action to address the crisis.

Bias read (Center): The article presents statistical projections and quotes from the Trussell Trust, emphasizing the potential increase in food bank usage due to economic factors. It does not exhibit overtly biased language or selective sourcing but rather provides a balanced overview of the issue, including both the严峻

Why factuality (85): The article accurately reports the projected increase in food bank usage based on modeling by Trussell Trust and incorporates relevant factors like changes in social security payments and rent forecasts. However, it lacks specific citations for the WPI Economics models and does not clarify if these

Why objectivity (80): The article maintains a relatively neutral tone, presenting the data and projections without overtly favoring any particular policy or political group. However, it includes a quote from Trussell Trust that emphasizes the severity of the issue, which introduces a slight leaning toward concern without

The Guardian (UK) logoThe Guardian (UK)IndependentCenterFactual 75Objective 90
You be the chancellor: play our budget game to see if you can balance the books

This interactive feature invites readers to simulate the process of balancing the UK national budget ahead of Chancellor John Healey's upcoming announcement on 28 October. The scenario highlights the difficult trade-offs the government faces between raising revenue, maintaining tax acceptability, and reassuring bond markets regarding debt sustainability. It notes that the previous administration left a fiscal headroom of £23.6 billion, but this buffer is predicted to shrink significantly due to rising debt interest costs driven by global inflation shocks linked to the Middle East conflict. The Resolution Foundation estimates this headroom could fall to approximately £12 billion, while bond investors reportedly expect at least £14 billion to remain to prevent market instability. The simulation requires users to navigate these constraints while addressing pressures to fund cost-of-living support, increase defense spending, and implement regional economic development plans.

Bias read (Center): The article adopts a neutral, educational tone typical of an interactive explainer rather than a news report with a strong editorial stance. It presents multiple perspectives, including the government's position, predictions from the Resolution Foundation, and concerns from bond market investors, to

Why factuality (75): The article accurately reflects the current political and economic narrative regarding the UK Autumn Budget. It correctly identifies John Healey as the Chancellor, cites specific figures for 'headroom' (£23.6bn) and predictions from the Resolution Foundation (~£12bn), and lists standard pressures (d

Why objectivity (90): The tone is engaging and interactive ('play our budget game'), but remains largely neutral in its presentation of facts. It presents the challenges facing the Chancellor as objective constraints rather than criticizing the government's performance. The language is accessible and avoids heavy editori

Daily Mail logoDaily MailIndependentProgressiveFactual: no official source document/info detectedObjective 60
Who is London's Batman? Superhero costumed philanthropist buys petrol, pays parking fines and gives out £1 chicken and chips to hard-up Brits

An anonymous individual dressed as Batman has gained attention in London for performing charitable acts, such as covering fuel costs for drivers at a petrol station in South-East London and offering discounted food. The figure claims these actions are intended to provide relief to residents facing economic hardship, specifically citing high fuel prices and inflation. The article contextualizes these stunts against recent reports of rising UK inflation driven by global energy shocks and mentions that Chancellor John Healey faces pressure to reduce fuel duties in an upcoming budget. Interviews with the costumed figure emphasize a desire to take direct action rather than engage in political debate, while customers express gratitude for the financial assistance during difficult times.

Bias read (Progressive): The article frames the subject through the lens of economic hardship and systemic failure, explicitly linking the individual's actions to broader issues like inflation and the need for government intervention (e.g., reducing fuel duty). By highlighting the struggle of ordinary citizens and quoting a

Why factuality: no official source document/info detected

Why objectivity (60): The writing style is sensationalized and narrative-driven, using terms like 'desperate drivers' and quoting a fictional movie line to frame a real-world event. This creates a biased, entertainment-focused tone rather than a neutral report, injecting subjective flair into what should be a straightfor

The Independent logoThe IndependentIndependentProgressive
Fears of rent hikes after chancellor hits landlords with higher property tax

UK Chancellor John Healey announced in the Autumn Budget that property tax on rental income will increase by a further two percentage points starting in April 2027, building on a similar measure introduced by his predecessor. This cumulative four-point tax rise has prompted the National Residential Landlords Association (NRLA) to warn that landlords are likely to pass these costs onto tenants, potentially exacerbating existing rent inflation trends. The Office for Budget Responsibility (OBR) supports this concern, predicting that the tax burden will reduce rental supply and lead to a steady rise in rents. However, Hannah Aldridge of the Resolution Foundation offers a contrasting view, arguing that most of the tax increase will absorb into landlord margins rather than significantly raising rents, provided housing supply does not become severely constrained. Estate agent Lucian Cook noted that while the policy may encourage some landlords to exit the market, the full impact on the rental sector may take time to materialize.

Bias read (Progressive): The article frames the policy primarily through the lens of negative consequences for tenants, using terms like 'fears' and highlighting warnings from tenant advocacy groups. While it includes counter-perspective from the Resolution Foundation, the dominant narrative emphasizes the risk of rising un

BBC News (UK) logoBBC News (UK)State / PublicCenter
'Painful' years ahead, think tanks warn, as living standards set to fall

Economic think tanks in the United Kingdom have issued warnings that residents face several years of declining living standards, with typical working-age households projected to lose approximately 3% of their disposable income by 2029. The Office for Budget Responsibility attributes the grim economic outlook to elevated borrowing costs and inflation driven by geopolitical conflicts, specifically citing the US-Iran war and Russia's invasion of Ukraine. In response, Chancellor John Healey introduced a £100 energy support payment for roughly 20 million households, describing the measure as providing necessary breathing space amidst global economic storms. However, the Resolution Foundation argued that this assistance is insufficient to fully offset rising energy bills, while IFS noted that the current decade represents the worst period for household income growth on record. Opposition parties criticized the budget, with Conservatives claiming it leaves public finances more fragile and Liberal Democrats labeling accompanying fiscal changes as stealth tax rises.

Bias read (Center): The article presents a balanced overview of the economic crisis by juxtaposing critical assessments from independent think tanks with the government's defensive explanations and opposition critiques. It utilizes direct quotes from the Chancellor, the Shadow Chancellor, and the Liberal Democrat lead,

The Guardian (UK) logoThe Guardian (UK)IndependentProgressive
‘Scattergun’ budget will still leave Britons facing higher energy bills, says thinktank

A leading economic thinktank, the Resolution Foundation, has criticized Chancellor John Healey’s recent budget as a 'scattergun' approach that fails to effectively boost living standards or protect vulnerable households. The organization argues that despite measures such as scrapping gas standing charges and providing £100 energy payments to millions of lower-band households, typical energy bills will remain higher this year compared to the previous energy crisis. Analysis indicates that the cost-of-living support is poorly targeted, with the poorest half of households gaining an average of £158 over the next two years, only slightly more than the £144 gained by the wealthiest half. The thinktank predicts that typical disposable incomes will fall by £1,050 before the end of the current parliamentary term, resulting in a net increase of just £600 over five years. While Chancellor Healey cited global economic turbulence and the impact of the Iran war on inflation, the Resolution Foundation contends that the budget does little to address the sharp challenges facing Britain and leaves the country reliant on outdated property valuations for determining energy support eligibility.

Bias read (Progressive): The article frames the government's fiscal policy through the lens of a prominent left-leaning thinktank, emphasizing the lack of targeting for the wealthy versus the poor and using terms like 'complete failure' and 'poorly targeted.' It highlights the disparity in benefits between income groups and

Daily Mirror logoDaily MirrorIndependentCenter
'Do five things with your cash before Wednesday' says money expert

A finance expert advises British households to take specific preparatory actions before the upcoming Autumn Budget scheduled for Wednesday, October 28. The advice includes building a small emergency fund, reviewing bank statements to cancel unused subscriptions, seeking better value on everyday expenses, avoiding impulsive decisions based on budget rumors, and planning for significant future bills. This guidance follows data indicating that nearly one in five people in the UK struggle to cover their basic living costs. The recommendations aim to help individuals manage potential financial impacts resulting from the fiscal announcements.

Bias read (Center): The article focuses on practical personal finance advice rather than taking a stance on the political implications of the budget. It cites a private sector finance expert and general survey data regarding cost-of-living struggles without attributing blame to any specific political party or ideology.

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