UK finance minister to pitch devolution as key to national growth push
UK finance minister John Healey will use his first major speech to link devolution with economic growth and announce new funding for northern firms.
Britain's finance minister, John Healey, is set to deliver his first major address since taking office, framing the government's devolution agenda as a central pillar of its strategy to stimulate economic growth nationwide.
In a speech scheduled for Monday at a manufacturing site, Healey is expected to announce that city regions will be granted expanded authority to craft local industrial strategies and attract private investment. The initiative is part of a broader effort to ensure growth reaches "every postcode" across the country.
Excerpts released by his office indicate Healey will champion wealth creation and profitable businesses, arguing that an "active, accountable state at all levels" is necessary to remove obstacles and foster conditions conducive to investment.
The minister is also expected to reaffirm his commitment to "fiscal discipline" while navigating Britain's sluggish economy. The address comes ahead of his debut budget on October 28, with mounting pressure from investors concerned about inflationary risks from rising oil prices linked to the Iran conflict, shrinking budget headroom, and increased spending demands.
As part of the announcement, Healey will confirm that £150 million from the British Business Bank will be directed toward innovative companies in the north of England. Individual investments are planned in the range of £5 million to £15 million, designed to leverage additional private capital.
Both Healey and Prime Minister Andy Burnham have pledged to maintain the previous government's fiscal rules, including balancing day-to-day spending with tax revenues by the decade's end. However, with planned expansions in social care and defence spending, Healey faces significant pressure to raise billions in tax revenue at the upcoming budget.