People interviewed by The Guardian described energy, housing and food strains ahead of the first budget under Prime Minister Andy Burnham, as Chancellor John Healey prepares to set the government's fiscal course.
Michael, a renter in Winchester with three children, told the newspaper his take-home pay ranges from £2,500 to £3,000 a month. He pays £1,800 in monthly rent and estimated his household has no more than £300 a week for other expenses. Gas and electricity cost about £165 a month, he said, and he expects those bills to rise this winter.
Other people interviewed raised different needs: Sue, from west Kent, wanted more council housing, while Pat, from Aberdeen, sought lower fuel prices. StepChange figures cited by The Guardian show average household arrears among the charity's clients increased from £2,833 in 2022 to £4,345 in 2025. A StepChange spokesperson said roughly half of people seeking the charity's help now have energy debt.
HM Treasury says changes to selected import tariffs, combined with earlier suspensions, could save households up to £21 a year on food shopping. The government says a temporary zero VAT rate for domestic electricity in Great Britain, effective from Oct. 1, 2026, through March 31, 2027, is expected to save households an average £45 a year. Michael told The Guardian he does not qualify for the £150 Warm Home Discount because he does not receive benefits.
The government has also announced that it will continue the fuel duty freeze. The Guardian reported that the policy reduces government revenue while directing more of its benefit toward higher-income households, which are more likely to drive. Rishi Sunak introduced a separate 5p-per-litre fuel duty cut in 2022, when fuel duty rates had already been frozen for more than a decade. Resolution Foundation economist Jonny Marshall separately told The Guardian that some people on low incomes rely heavily on driving and need help with other bills, particularly energy. The newspaper also cited the Iran war's effect on borrowing costs as a constraint on tax and spending decisions.
Healey has pledged to meet the government's fiscal rules. Parliament's schedule lists his budget statement at about 8:30 a.m. EDT (12:30 p.m. GMT) Wednesday, Oct. 28, after Prime Minister's Questions. The Office for Budget Responsibility (OBR) is due to publish updated economic and public-finance forecasts after the statement, the House of Commons Library says.
