UK Chancellor John Healey will unveil his first Autumn Budget, cutting departmental spending to plug a defense funding gap and planning new taxes on banks and online marketplaces.

UK Chancellor of the Exchequer John Healey will unveil his first Autumn Budget, which will cut departmental spending to fill a defense funding gap and plans to levy new taxes on banks and online marketplaces. This is Prime Minister Andy Burnham's first budget, aiming to tackle high inflation and government overspending, while also pledging to devolve funds and power. The budget plans to address a £4.7 billion funding shortfall in defense investment by cutting other departmental budgets, and commits to increasing defense spending to 3% and 3.5% of GDP by 2030 and 2035, respectively. Additionally, the budget is expected to impose new taxes on banks and online marketplaces such as Amazon, Temu, and eBay. Adjustments to the bank surcharge are projected to raise approximately £2 billion, and cracking down on foreign sellers evading VAT is expected to raise up to £1 billion, which will fund business rate relief for high street shops. The UK government's total borrowing surpassed £3 trillion for the first time in September, with debt interest alone reaching £100 billion annually.