Tories challenge Chancellor John Healey to meet five Budget tests and rule out any new taxes

From the Newshound archive · first published 11 October 2026.

Shadow Chancellor Andrew Griffith has demanded John Healey commit to no new tax rises in his October 28 Budget, warning that Labour's first two budgets have already put taxes "on course for the highest level ever recorded." Griffith set five formal tests for the Chancellor, covering the deficit, welfare, defence spending and youth employment. City bosses have separately warned Healey that hiking bank taxes could drive financial services businesses out of the UK.

Griffith cited Healey's resignation letter as Defence Secretary, in which he said 3% of GDP on defence is 'what Britain must set', as evidence that the target is binding.

Senior figures from UK Finance and the CBI wrote to Healey warning Britain's financial services sector already carries a heavier tax burden than key international competitors.

Griffith said Healey must 'stop the tax ratchet' and deliver a 'get a grip' Budget rather than 'kick the can down the road'.