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Can the UK afford more help with the cost of living?
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Published 10/29/2026 6:04:05 AM
Can the UK afford more help with the cost of living? | Inflation
A cautious budget from Prime Minister Andy Burnham’s Labour government in the UK.
And an early test of his promise of change.
Finance Minister John Healey says his plan offers “breathing space” for families and businesses.
He announced help with energy bills, higher taxes on banks and greater investment powers for regional mayors, while promising to keep public finances under control.
The backdrop is mixed. Growth has beaten forecasts, but inflation and government borrowing have both come in higher than expected.
That leaves Healey with a difficult balance and little fiscal room.
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France is facing a growing crisis of confidence in its public finances.
Its borrowing costs have reached their highest level in more than two decades.
Investors now demand higher yields on French government bonds than on Italian or Greek ones.
With public debt nearing 120 percent of gross domestic product (GDP) and a deficit above 5 percent, the government is under pressure to rein in spending.
But protesters are demanding more investment in education.
With parliament deeply divided and a presidential election approaching, agreeing on a solution is proving difficult.
The concern now is whether France’s troubles could spread across the Eurozone.
