Burnham Admits Budget Will Be 'Challenging' After Inflation Rises The news that next month's Budget will be "challenging" for Andy Burnham's government is not surprising, given the current state of the economy and global events.
The latest inflation figures show prices rising at a five month high of 3. 1%, leaving households feeling the pinch. Households are already struggling with energy bills set to increase again next month.
The Resolution Foundation think tank estimates that the government's headroom has fallen to between £5bn and £10bn, putting extra pressure on Chancellor John Healey as he prepares to deliver his first Budget under Burnham's leadership.