The key facts

  • Chancellor John Healey will deliver his first Budget on Wednesday; there have been almost no leaks about its contents
  • Chancellor John Healey will present his first budget on Wednesday; there have been almost no leaks about its contents
  • Debt interest spending is at 'historic highs'
  • Residents spoke about rising energy, fuel and rent costs and about their retirement plans

What people are talking about on the eve of the Budget

Chancellor of the Exchequer John Healey is preparing to deliver his first Budget on Wednesday. According to BBC News, unlike previous years there have been almost no leaks about its contents, and the tax and spending plans will be under close scrutiny against the backdrop of government borrowing costs at 'historic highs'. Ahead of the Budget, the BBC spoke to people on different incomes about what they would like to see in it.

Working families and young people

Chloe, a 40-year-old single mother from south London with an income of £41,000 a year, has been raising her 16-year-old son alone since her husband died four years ago. The rent on her flat is subsidised by a housing association, but her energy bills have risen to around £200 a month, and she keeps her weekly food shop to £40. She is asking for more support for single-parent families, for example through the tax system. Robert Portlock, a 29-year-old from Gateshead earning £22,000, lives with his parents: a small flat in his area would cost about two-thirds of his monthly salary. He proposes cutting fuel duty and raising the tax-free personal allowance from the current £12,570 to around £16,000. Emily Nelson, 19, from Swindon, has been unable to find work since leaving college and receives £338 a month in universal credit. She proposes expanding the Jobs Guarantee scheme — guaranteed paid six-month jobs for 18–24-year-oldswho have been looking for work for 18 months — by making people eligible after a year of searching.

Drivers, pensioners and high earners

Dave Herbert, a professional driver from Winsdew earning £30,000, spends about £350 a month on petrol — 40–50% more than at the start of the year — and calls for a drastic cut in fuel duty, which has been frozen at 57.95p per litre since March 2011. Jonathan Whitwam, a 52-year-old financier earning £150,000, is himself calling for taxes on high earners to be raised and for a one-off wealth tax on owners of assets worth more than £10 million; his daughters will start work with debts of £45,000–60,000, on which interest grows by £5,000–8,000 a year. Christine Morris, a 78-year-old pensioner from Worksop with a pension of about £15,000, is spending her savings to get by and falls just short of qualifying for pension credit — a benefit for those receiving £238 a week or less, whereas she receives £241. She is sceptical about Andy Burnham's pledge to scrap the 'triple lock' from 2030 in order to create a national care service in England: in her view, a new service will not appear any time soon, and by then her pension will have shrunk.

What is already known about the Budget's contents

Alongside gathering opinions, the BBC is also publishing individual reports on possible measures: according to the outlet, Healey plans to protect low-income pensioners from income tax in the Budget. The government has also previously announced a scheme to help first-time buyers in England with a 2.5% deposit, and the prime minister has tasked ministers with examining the abolition of standing charges in gas bills. The full contents of the Budget will only become known on Wednesday — the people featured in these reports are setting out their requests precisely before it is delivered.

Composite image of (L-R) Chloe Chin-Saad, Emily Nelson and Robert Portlock
Image caption,

Chloe, Emily and Robert all spoke to the BBC about what they would like to see in the Budget

Infocard showing: Chloe Chin-Saad, 40 Status: Single mother, one child Job: NHS research practitioner Income: £41,000 Housing: £650 rent in housing association. The picture on the right shows Chloe with her hair tied back in a ponytail, wearing black glasses and with a lanyard round her neck.
Infocard showing: Robert Portlock, 29 Status: Single Job: Check-in agent at Newcastle Airport Income: £22,000 Housing: Paying £250 pcm to live with parents. The picture on the right shows Robert with a short brown beard and moustache, wearing a pink T-shirt.
Infocard showing: Emily Nelson, 19. Status: Single. Job: Not in work, employment, education or training. Income: £338.50 per calendar month (pcm) in universal credit. Housing: Lives rent free with parents. The picture on the right shows Emily, a young woman with long brown hair and glasses, smiling.
Infocard showing: Dave Herbert, 48. Status: Married, one child. Job: Professional driver. Income: £70,000 (combined). Housing: £700 pcm in mortgage. The picture on the right shows Dave, who has glasses and a short bushy grey beard, wearing a dark hoody.
Infocard showing: Jonathan Whitwam, 52. Status: Married, with adult children. Job: Financial director for a small business. Income: £186,000 (combined). Housing: £2,300 pcm in mortgage.
Infocard showing: Christine Morris in Worksop, 78. Status: Widowed. Job: Retired. Income: Around £15,000 from pensions. Housing: Owns her home. The picture on the right shows Christine, with short fair hair, wearing a blue patterned shirt.
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John Healey walks along Downing Street with files under his arm and wearing a dark suit and a red patterned tie.Old lady with grey hair sits at home with a brightly coloured blanket around her shoulders, looking at her laptop.