Chancellor John Healey to announce Budget with changes to carer's allowance, pension tax, and other measures

Unbiased summary

Chancellor John Healey will present his first Budget on Wednesday. The Budget is expected to include the abolition of the 'cliff-edge' in carer's allowance, replacing it with a taper so that carers can earn above the weekly limit without losing all their allowance. The government will also shield low-income pensioners from income tax by raising their personal allowance to match the new state pension, which is set to rise to £13,036. Concerns have been raised that this could create a 'cliff edge' and a 'two-tier' system, potentially excluding older pensioners on the basic state pension. Other expected measures include welfare reform and changes to the triple lock. The BBC also interviewed members of the public about their financial concerns ahead of the Budget.

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Coverage by outlet

The Guardian left

Angle The Guardian frames the Budget as a corrective to a cruel and unfair carer's allowance system, while also highlighting other 'everyday fixes'.

Bias The Guardian's coverage is largely positive toward the carer's allowance change, using emotive language such as 'scandal', 'ruthlessly chased down', and 'life-changing debts'. It omits any potential drawbacks of the taper system, such as cost or work incentives, and focuses on the benefits. Its pension coverage is more neutral, but it still emphasises the protection for low-income pensioners.

Carers allowed to earn over the weekly limit without losing out as ‘cliff-edge’ abolished in the budget

What is the £100k income ‘cliff-edge’?

Healey is expected to shield low-income pensioners from income tax – but how will it work?

BBC News centre-left

Angle The BBC takes a voter-focused angle, asking ordinary people what they want from the Budget and highlighting their financial struggles.

Bias The BBC's coverage does not directly analyse the Budget measures but instead personalises the impact through individual stories. It omits any mention of the specific policy changes (carer's allowance, pension tax) that are the core of the Budget, focusing instead on general cost-of-living concerns. This deviates from the objective facts by not reporting on the actual Budget announcements.

'I'm a single mum on £41,000 and limit my weekly shop to £40.' What do you want from the Budget?

The Independent centre-left

Angle The Independent provides a preview of the Budget's potential impact on pensions and benefits, with a neutral, explanatory tone.

Bias The Independent's coverage is largely descriptive and does not push a strong narrative. It mentions various rumoured policies and provides context, but it does not delve into the specific details of the carer's allowance or pension tax changes as reported elsewhere. It stays close to the objective facts by not overemphasising any particular angle.

What the Budget will mean for pensioners and income tax

City AM centre-right

Angle City AM focuses on the potential economic downsides of the pension tax shield, framing it as a 'messy' and expensive policy.

Bias City AM emphasises the warning from a former pensions minister about a 'cliff edge' and growing costs, while downplaying the intended benefit of protecting low-income pensioners from income tax. It omits any positive aspects of the policy and frames it primarily as a fiscal risk.

Healey’s state pension shield could create ‘messy £200m cliff edge’

Daily Mail right

Angle The Daily Mail raises concerns about a 'two-tier' system, suggesting older pensioners may miss out on tax relief.

Bias The Daily Mail focuses on the potential unfairness of the pension tax shield, emphasising that older pensioners on the basic state pension could be excluded. It uses phrases like 'two tier' and 'unfair' and highlights the maximum saving of £770, while downplaying the overall benefit to the poorest pensioners. It omits any positive framing of the policy.

Fears oldest pensioners will miss out on £770 Budget tax relief under 'two tier' system