Dan Woodland
Live reporter

Image source, Press Association

A day on from John Healey's first Budget as chancellor, and there has been plenty of reaction to the announcements - here are some of the key measures at a glance.

Speaking to the BBC, Healey said he hopes the plans will help to ease cost of living pressures but admitted the government will never be able to remove them "completely".

He also pointed to the "economic storms" that are hitting "worldwide", saying "people are feeling it", while government costs are being impacted too.

Director of the Institute for Fiscal Studies (IFS) Helen Miller warned the next decade could be the worst for growth in household incomes on record, while Chair of the Office for Budget Responsibility (OBR) Jonathan Haskel described the economic outlook as a "pretty grim picture".

Meanwhile shadow chancellor Andrew Griffith accused Healey of leaving the UK "fragile" by lowering fiscal headroom, adding that welfare was "the biggest out of control part" of government finances.

But, Prime Minister Andy Burnham told reporters the government is working "flat out" to reduce spending on benefits and will look to cut the welfare bill "in a way that supports people into work".

Unsure when the £100 energy support will be paid? Or wondering if you'll pay more tax on savings? We've been answering your questions.

We're ending our live coverage now, but there's plenty more you can read about the Budget across the BBC:

• Burnham says he wants to cut welfare bill 'as soon as we possibly can'
• Your pay, energy bills and savings: How the Budget affects you
• Budget 2026: Key points at a glance

This Budget was micro and that was deliberatepublished at 16:16 GMT

16:16 GMT

Faisal Islam
Economics editor

It was not a mini Budget, but it was rather small. It might be called the "micro Budget".

Small does not necessarily mean bad, but it clearly falls short of radical action to create a promised new economic model.

A new "theory of growth" was not unveiled as promised by the Prime Minister Andy Burnham.

It was the preamble, roadmap, consultation, perhaps the starter to the main course, which appears to be the PM's 10-year plan next month.

It went unsaid, but the clear strategic aim of Healey's statement was to be the "anti-mini Budget".

This "steady as she goes" predictable fiscal event set out to avoid the aftermath seen following Liz Truss's mini-Budget, in which unexpected and unfunded tax cuts spooked the bond and currency markets.

The core of the Budget was to get Downing Street through the impacts of the Middle East conflict shock on energy and borrowing costs.

If these pressures prove enduring there are some unpalatable decisions that will have to be grasped within the next year. The can will have to be picked up rather than kicked down the road again.

• You can read my full piece here

Sadaf Maruf
BBC Your Voice

Image source, Supplied

Matilda Calvert, 25, from St Albans sighs as she looks at her laptop.

"I've got the student loans portal here. It's my party trick, pulling out this huge student loan."

It's now racked up to £61,000.

Matilda studied Fine Art at university in Leeds during Covid, when normal teaching was "cancelled" and lessons went online.

She's been in work for the past few years, but only just started paying back her student loan - which is classed as a Plan 2 - when she got a new job a few months ago.

"The government don't really consider young people. We've been forgotten," she says after seeing the Budget announcements, adding: "We are just not a priority, that's clear to us."

She says she's "not really in a position" to buy a house.

"They've not really delivered anything that will help students piled with this crazy debt. I feel strongly that the government's neglected the issues that impact us like the burden of loans."

Andrew Rogers and Lizzy Bella
BBC Newsbeat

Lilia Dyakova, 24, owns Liva Café in Bournemouth and is worried about the knock-on effects of the rise in minimum wage.

"I really want to give the opportunity to younger people, give them jobs and be able to pay them, but I need to be able to sustain these jobs," she says.

"So it’s hard for businesses as well if the minimum wage goes up, obviously it’s another expense."

From April, workers under 18 on the National Minimum Wage will see their hourly rate increase from £10.85 to £11.27 while staff over 21 on the National Living Wage will be paid £13.21 per hour, up from £12.71.

When Lilia first opened her café, she couldn’t afford to hire any staff and had to juggle everything between herself and her partner.

"It’s really hard for a young business owner to manage everything especially with cost of living," she says.

"Some people see it as a little difference but it does add up at the end of the month."

Kevin Peachey
Cost of living correspondent

Minimum wage rates will rise by 3.9% in April, the chancellor announced yesterday. It means:

• Eligible workers aged 21 and over on the National Living Wage will receive £13.21 an hour, up from £12.71
• If you are aged 18, 19 or 20, the National Minimum Wage will increase to £11.27 an hour, up from £10.85
• For those aged 16 or 17, the minimum wage will rise to £8.31 an hour, up from £8
• The separate apprentice rate which applies to eligible people under 19 - or those over 19 in the first year of an apprenticeship – will also increase to £8.31 an hour, from £8

However, these figures mean, this time around, there's no progress on Labour's manifesto promise to narrow the gap in minimum wages between older and younger workers.

For all workers, the ongoing freeze in the income bands, or thresholds, at which income tax is paid went unmentioned in the Budget.

But it means any kind of pay rise could drag you into a higher tax bracket, or see a greater proportion of your income taxed than would otherwise be expected. Scotland has its own income tax bands.

Kevin Peachey
Cost of living correspondent

Chancellor John Healey said the fee for connecting to your gas supply - so called standing charges - will be scrapped in England, Scotland and Wales, next year "or as soon as possible after".

Tom in Radstock, Somerset, and Sandra in Wales, ask what help is available for those who don’t use gas.

We’ve had lots of questions about this, based on why the chancellor was concentrating on scrapping gas standing charges during 2027 or soon after.

It is worth remembering that there will be winners and losers among gas users – because the cost is shifting onto the price of each unit of energy.

The chancellor did also suggest that they’d look at electricity standing charges too.

This would be more complicated. Lots of levies are placed on the electricity standing charge, precisely because everyone pays it.

Basically, there’s lots for the regulator Ofgem to work through. And, importantly, there’ll be no change on standing charges before energy prices rise sharply in January for millions of people.

The government previously announced some support for people on heating oil, who are already feeling the impact of higher costs.

The VAT cut on electricity bills, which is in place and was due to end in April will be extended to July next year.

Kevin Peachey
Cost of living correspondent

Stephen, in Salisbury, asks what about inheritance tax – nothing was mentioned.

Correct. In fact, sometimes the things that go unsaid in a Budget are important for lots of people.

Of course, it is a long list.

You could also point to student loan repayment rules which were untouched and are a big source of frustration to many graduates.

And it is always worth remembering that income tax thresholds will remain frozen.

It means any kind of pay rise could drag you into a higher tax bracket, or see a greater proportion of your income taxed than would otherwise be expected. Scotland has its own income tax bands.

As we continue to answer your questions, here's a recap of some of the key measures announced in yesterday's Budget.

Several were aimed at giving households "breathing space" as the cost of living rises, including announcements on energy bills and fuel duty.

Increases to the state pension and minimum wage were also announced - although 18-20-year-olds will receive lower increases than in previous years.

Meanwhile, savers will no longer see the annual cash Isa allowance cut to £12,000 from 2027, as Chancellor John Healey reversed a measure outlined by his predecessor Rachel Reeves.

But the tax rate on interest earned from savings will increase - more on that here.

Kevin Peachey
Cost of living correspondent

Peter, in Cheltenham, asks what did the chancellor say about tax on savings.

You do not pay tax on all savings.

There is the annual £20,000 Isa allowance, and an annual savings income allowance (in other words, the tax-free bit on the interest received on a savings pot) of £1,000 for basic rate taxpayers and £500 for higher-rate taxpayers.

But beyond that savings tax rates will rise by four percentage points to 24% and 44% respectively from April.

Landlords could also pay more in tax, which could – in time – affect the availability of rental homes, and raise rents.

Kevin Peachey
Cost of living correspondent

If you are living in a home in council tax bands A to D in England, you will receive a one-off £100 "Household Energy Payment", funded by extra tax on banks.

David, in Scotland, asks when will the £100 be paid?

The Treasury says the payment will be made from January.

As you are in Scotland, David, there are some extra hoops that the devolved nations will need to jump through.

The authorities in Scotland, Wales and Northern Ireland have received the equivalent funding.

They have said they want to match the scheme in England, but will need to work out exactly how practically this will be done.

Kevin Peachey
Cost of living correspondent

We've been answering some of your questions about the Budget.

Graeme, in Stoke, and Jill, in Brighton, ask whether all households in council tax bands A to D get the £100 support.

Yes, this is a one-off payment of £100 going directly into the bank account used to pay council tax by direct debit.

Those who have council tax exemptions or who pay in a different way should still receive the money, but the local authority will need to work out the way to get it to you.

It is a completely separate payment from other help with energy bills. Jill asks, for example, about the winter fuel payment. That will still be paid as normal.

• You can check your council tax band by looking at your annual bill or checking the government's website, external

More now from PM Andy Burnham.

He tells reporters the government's approach to cutting the welfare bill will be focused on "doing it in a way that supports people into work".

"If we just went and made crude cuts, in the end, that leaves people in crisis, and you spend more public money somewhere else, so it’s about getting people into sustainable employment," Burnham says.

He says he wants to see young people coming through a "reformed education system" where "it's not only about the university route" but where there are "strong technical paths".

"That is the long-term approach to getting the welfare bill down," the prime minister says.

Image source, Pool

Prime Minister Andy Burnham says the government is working "flat out" to reduce spending on benefits.

Asked by reporters whether he could confirm benefits spending would be reduced by the next election, he says: "We want to get the welfare bill down as quickly as possible, and we’re working flat out to that end.

"Now that we are through the Budget, the big next priority in front of us is the publication of the Milburn report, long awaited, but it’s coming soon."

He says that the government wants to "get stuck into supporting people to help people off benefits and into work", adding: "There’s no delay there. We want that to happen as quickly as possible."

Henry Zeffman
Chief political correspondent

The government is not setting a "target or timetable" for when welfare spending will fall, Downing Street has said.

Asked about John Healey’s comments on the Today programme appearing to suggest that there would be a cut in the benefits bill before the next election, the prime minister’s official spokesman said: "We’ve never set an arbitrary target or timetable on that."

Asked whether the chancellor misspoke in the interview, the spokesman said that Healey was "completely in line" with what Andy Burnham has said about how "the welfare bill needs to come down".

The spokesman reiterated that "we’re not setting an arbitrary target or timetable on that”.

The spokesman would not say whether the government’s ambition to cut welfare spending meant reducing it below its current level, or ensuring that future spending rises at a slower rate than is currently projected.

The director of the Institute for Fiscal Studies, Helen Miller, has welcomed the chancellor's commitment to fiscal consolidation. But she has also criticised a "a raft of fiddly measures" in the Budget, and says it includes "very little that will move the dial on growth".

The chief executive of the Resolution Foundation, Ruth Curtice, has said that cost-of-living support is being "spread far too thinly". She says even families receiving help will face higher energy bills than they did during the 2022-23 energy price shock.

The Confederation of British Industry has welcomed the support announced to help some of the UK's "most innovative businesses" scale and grow. But it says "further action is needed to ease the significant cost pressures facing businesses".

Meanwhile, some political opponents including the Conservatives have criticised the Budget for not addressing the welfare bill - see our round-up of reactions from the main parties.

Responding to this criticism, Chancellor John Healey said yesterday that two reports are due next month which will help map out how the welfare system needs to change in the long run.

He has also said the government cannot completely remove cost-of-living pressures - but that it can help to create breathing space.

The Office for Budget Responsibility (OBR) will have to reassess its outlook for the UK economy if the government does not approve the Rosebank oil field, according to an energy minister.

Speaking in the House of Lords, Baroness Curran said: "The OBR will have to republish the figures if Rosebank does not go ahead and it will need to be addressed."

She was responding to Lord Bridges of Headley, a Conservative former minister, who asked Lady Curran to confirm "that if Rosebank does not go ahead, the Government’s fiscal headroom will be much reduced".

Included in the OBR's Budget forecast - published yesterday - was tax revenue from Rosebank, even though the North Sea oil field is yet to be approved.

The government is currently balancing arguments from the sector that the field will generate jobs and revenue, against those from environmental groups that say this goes against commitments to tackle climate change.

But as our climate editor Justin Rowlatt writes, the OBR’s assumption is standard practice. Its forecast uses North Sea Transition Authority production figures, which include fields not yet consented.

Here's a recap of how some of you have been reacting to measures announced in yesterday's Budget:

• New mum Alice says the announcement of parental pay for dads who previously missed out, including her self-employed partner Andy, is "really important for other young families"
• Cath, who runs a community centre in Preston, says there "wasn't much mention of the voluntary sector" in the Budget, but adds that she was "dead pleased" to see some "great things for young people" included
• Helen, who is currently on Job Seeker's Allowance after being made redundant in May, wants the government to look at raising the tax-free personal allowance, currently frozen until 2031, so that people have "more cash in their pockets to spend on the ever-increasing bills"
• And 24-year-old Chloe, who is saving for her first home, says the Budget "gives young people a more realistic route to getting on the property ladder", even if it doesn't solve the overall housing affordability issue

You can read more about the measures announced and how they might affect you in our article.

We can now bring you a few more voices from Preston, where people at the Foxton community centre have spoken to BBC Breakfast earlier on.

Self-employed plasterer Lee says the government "could do a lot more for fuel". He says he spends £450-500 per month on fuel on average.

Asked whether he'll feel the benefit of the extension of the fuel duty freeze, he says: "No".

NHS worker Sharon says the £100 help on energy bills is "not going to help a lot". She adds: "We're talking about £8.50 a month".

People might be getting pay rises but it "doesn't cover the cost of all household bills", she says, adding: "We're getting by but things could be better".

Meanwhile, pensioner Peggy says she's "still got questions" about the government's commitment that people who only get an income from the state pension won't be taxed on that income.

On the energy bill support, she says: "Anything we get is very helpful".

Natasha Booty
Live page reporter

Image source, Institute of Fiscal Studies

We've been hearing analysis from the Institute for Fiscal Studies (IFS) on key policies in yesterday's Budget announcement - here's what we heard from the think tank's director Helen Miller:

• "This decade looks set to be the worst decade for growth in household incomes on record," the IFS chief says, with inflation on the rise again and the outlook "depressing"
• It's "sad" that the primary cost-of-living saving measure - a one-off £100 energy payment to most households - is based on property values "35 years out of date", Miller says
• "A lot of small, unhelpful fiddling with the tax system" has accompanied what the PM called "everyday fixes", Miller adds
• On defence spending, the IFS chief says she is in a "grump" over how Healey decided to "plug a hole", and is "still no wiser" on how he'll reach the target of 3% of GDP by 2030
• The change to a taper in the carer allowance - replacing the £204 so-called "cliff edge" - is branded a good thing

• Public spending plans overall "look extremely tight" says Miller, and "don’t look to me like plans that this government would want to deliver".

The IFS is now walking through some of the cost of living measures introduced in the Budget yesterday with inflation "on the rise again".

The three main cash giveaways are: a £100 one-off energy payment, the temporary extension of the fuel duty cut and freeze, and the temporary removal of VAT on domestic electricity.

The overall cost of these is about £5bn over the next nine months and although they are pitched as "temporary", the IFS warns they may be hard to reverse.

The rise in energy prices has made the UK poorer, the IFS analyst continues, and the government can't fully mitigate that through cash transfers.

Meanwhile, household disposable income is forecast for "very little growth" over the next decade (around 2%) - it's set to be the worse decade for real income growth since 1950.

The 2010s saw about 12% growth - and that itself was the worse decade on record since the 1950s.