John Healey is due to set out the Government’s tax and spending plans, in full from 12.30pm today as he delivers his first Budget as Chancellor on Wednesday.

One of the key announcements was shared just before 7am: Standing charges on gas bills, which cover the cost of delivery to homes and businesses, will be scrapped from 2027 “or as soon as possible after”.

This chimes with the Chancellor’s promise of introducing some “breathing space” for households and businesses.

12.50pm

Ed Miliband laughed and saluted John Healey when the Chancellor joked that predictions of economic gloom were “about as accurate as the predictions of who would be the chancellor”.

Before Mr Healey was appointed to the role by Prime Minister Andy Burnham, Mr Miliband had been tipped for the role. He was appointed Foreign Secretary instead.

12.49pm

Chancellor John Healey said he believes the UK will beat its economic forecasts with the action he is taking in the Budget.

“Three months ago, the Bank of England upgraded their forecasts for UK growth this year. Two weeks ago, the IMF did the same,” he said.

“And today, the OBR has upgraded its forecast too to 1.2% this year, followed by 1% next year, 1.6% in 2028, 1.8% in 2029, 1.7% in 2030 and 1.6% in 2031.

“Yes, there are real challenges ahead, but Britain has beaten the forecasts this year, and with the action I’m taking today, I believe Britain can beat the forecasts again.”

12.46pm

Office for Budget Responsibility forecasts put UK growth at 1.2% this year, 1% next year, 1.6% in 2028, 1.8% in 2029, 1.7% in 2030 and 1.6% in 2031, Chancellor John Healey has said during his Budget speech in the House of Commons on Wednesday.

12.45pm

The Office for Budget Responsibility has confirmed that headroom against the Government’s fiscal stability rule is £15 billion in 2029/30 before rising to £22 billion in 2030/31, Chancellor John Healey has said.

12.44pm

John Healey said fiscal discipline is his first commitment as Chancellor.

He told the Commons: “More than ever, it underwrites every promise this Government makes to the British people.

“In the Budget today, I meet the fiscal rules – the stability rule, the day-to-day spending must be covered by tax receipts. And the investment rule, that Government debt, defined as public sector net financial liabilities, must be falling as a percentage of GDP.

“This year, for the first time, I must meet these rules in the third year of the forecast, and I do.”

He had earlier said it was an honour to deliver his first Budget as Chancellor, as he paid tribute to his predecessor Rachel Reeves.

12.42pm

Chancellor John Healey opened his Budget statement by saying it is for “the working people of Britain, for British businesses, big and small”, built on “fiscal discipline”.

He said: “First, by giving Britain some breathing space on the cost of living and the cost of business,

“Second, backing the enterprise of British business to unleash innovation and growth in every postcode

“And third, by tackling the big challenges on energy, on national security, on public service transformation and on housing.”

12.39pm

The budget watchdog predicts the Government will spend £14 billion more on debt interest this year, John Healey has said as he vowed “Fiscal discipline” in the face of economic “storms” the UK must weather.

12.35pm

John Healey promised “a Budget for the working people of Britain” as he began delivering his first fiscal statement as Chancellor.

12.30pm

The Chancellor has begun delivering his Budget in the House of Commons.

It is John Healey’s first autumn statement since taking over the role from Rachel Reeves after Andy Burnham became Labour leader and Prime Minister.

11.30am

The Chancellor has left No 11 Downing Street, where he posed for the traditional photos holding his red Budget box and flanked by his Treasury ministers, including minister for pensions Torsten Bell, economic secretary to the Treasury Lucy Rigby, financial secretary to the Treasury James Murray, chief secretary to the Treasury Emma Reynolds, exchequer secretary to the Treasury Dan Tomlinson and treasury Lords minister Lord Pitt-Watson.

11am

Holly Mackay, chief executive officer of Boring Money, believes the U-turn on Isa limits will be “hugely beneficial to the nation’s overall financial health”.

She said: “If indeed the Chancellor reverses this change, I think that’s a hugely positive move. This was going to add cost and complexity with little evidence of any behavioural change.

“Fear of loss is the main deterrent to investing and we will not fix this by restricting access to cash.”

Meanwhile, Katie Horne, banks relationship manager at Flagstone, said: “We’re continually told we don’t save enough, and cutting the threshold would only have punished rather than rewarded those who do.

“Saving and investing are not mutually exclusive adversaries. They are collaborative partners in an active financial management plan.

“On top of needing to understand market dynamics to some degree, investing requires a certain risk appetite too – something that, for many, takes years to build, and then declines significantly as they get older.”

10am

Mr Healey is reportedly planning to reverse the decision to slash the annual Isa allowance from £20,000 to £12,000 in his inaugural Budget.

Mr Healey is said to believe the allowance cut was the wrong tool to persuade Britons to invest more in stocks and shares and would rather look to educate savers on the benefits of equity investing, according to the Financial Times.

Former chancellor Rachel Reeves announced the Isa cut for savers aged under 65 at the autumn budget last year, with the change set to come into effect in April 2027, as she looked to encourage investment in the stock market.

8am

Prime Minister Andy Burnham said: “Abolishing gas standing charges is about basic fairness and giving people more control over their bills.

“I am determined to reform our broken energy market, so it better serves the public interest.”

7.30am

An early visitor to No 11 Downing Street was MoneySavingExpert founder Martin Lewis. The consumer champion has been urging the Government to remove standing charges to make energy costs more fair.

7am

In a video message ahead of the autumn statement, the Chancellor said: “This Budget is designed to give households breathing space from some of the everyday costs, provide targeted support for businesses and self-employed people, and to start the long-term action needed to get energy costs down for good.”

He acknowledged the country was facing a “difficult moment” and promised changes would be made “responsibly” within Labour’s fiscal rules.

Mr Healey will have limited scope for big giveaways because of stretched public finances, made worse by international market turmoil caused by the Iran war.

He is sticking with the fiscal rules set by predecessor Rachel Reeves, requiring day-to-day spending to be financed by taxes rather than borrowing by 2029/30 and that public debt as a share of the economy should fall in the same year.