John Healey to set out UK growth plans before budget

Britain's finance minister John Healey is expected to set out UK growth plans on September 7, including less government red tape and a new £150-million fund for business innovation in northern England.

The speech will come before Prime Minister Andy Burnham's first budget, scheduled for October 28. The Treasury said Healey would try to present an optimistic economic message despite high living costs, youth unemployment and energy prices pushed higher by the US-Iran war.

Healey is expected to say he wants to see wealth creation and businesses making a profit, while also stressing that growth must be tied to fiscal discipline during global uncertainty, according to the Treasury.

He told the Financial Times at the weekend that the October budget would create a "buffer against uncertainty". He has previously committed to fiscal rules set by his predecessor Rachel Reeves, including funding day-to-day public spending from government revenue.

The chancellor has not given details on possible tax rises or further household support. Since taking office in July, Burnham has offered cheaper bus fares, a tax cut on electricity bills and relief for pubs and other hospitality venues.

High government bond yields and public debt are limiting the government's room for bigger spending commitments. Healey is also under pressure to recommit to raising defence spending to three percent of GDP by 2030.