Chancellor Healey Pledges Budget Support for 'Bloody-Minded' Entrepreneurs

Chancellor John Healey has pledged to cut regulation in his maiden Budget on Oct 28 and to back "bloody-minded" entrepreneurs who want to make a profit in Britain, The Telegraph reports.

The pledge lands amid fears Healey could still raise the tax burden by tens of billions of pounds. He is expected to deliver a relatively uneventful Budget, with a likely tax increase on banks but few other major revenue-raising measures.

"I want to be a Chancellor who backs business in Britain making a profit and those entrepreneurs who, in the end, are the ones who challenge the status quo, come up with innovative ideas and are trying – some of them through sheer bloody-mindedness – to keep going through these sorts of pressures," Healey told The Times.

Why does the profit motive matter in this Budget?

Healey mounted an impassioned defence of profit, insisting it is not a dirty word. The comments matter because some in Labour – including Cabinet ministers – have called for higher capital gains tax (CGT) or a wealth tax.

"If you're not making a profit, you've got nothing to put back into the business," he said.

"And for the people who start up these businesses, the ones who really thrive and grow, they have to make a profit – and they will be much more inclined to put it back into their own business. But we want it to grow here and stay here."

Earlier this week, Healey ruled out increasing CGT. He was understood to be concerned that raising the tax would cost the Treasury money because it would push higher earners who make a significant proportion of income from investments to leave the UK.

What pressure have businesses already absorbed?

The backdrop is bruising. Rachel Reeves's two Budgets raised taxes by a combined £80bn and included a £25bn increase in employers' National Insurance.

Hospitality endured increases to the minimum wage, employment taxes and business rates in the Government's first two years. Angela Rayner's workers' rights reforms have also drawn a backlash from entrepreneurs, who warn the changes will make it harder to hire and grow.

Healey appeared to acknowledge that decisions by Sir Keir Starmer and Ms Reeves had hurt British businesses. "I have recognised that in recent times there's been a lot of pressure – employment law, regulation, tax, input costs, supply chains," he said.

He said he was "conscious" of the cost of business in the same way as the cost of living for households.

What about the minimum wage?

Healey conceded a trade-off between employment rates and minimum wage increases, especially for the youngest workers. The Government's Low Pay Commission is drawing up plans to raise the minimum wage for 18 to 20-year-olds to match the rate for those aged 21 and over.

That plan has already met resistance from Labour grandees, including Sir Tony Blair, whose think tank has warned of the damage it could do to businesses.

How bad are the economic conditions?

The Chancellor delivers his first Budget in dire circumstances. On Wednesday, it emerged that Britain's national debt passed the £3tn mark for the first time in September.

Inflation also rose last month, with consumer prices in September up 3.5 per cent on the year – the steepest rise so far in 2026. The Bank of England says Ofgem's energy price cap is poised to rise by almost a quarter in January.

The Oct 28 Budget will show whether Healey's pro-profit rhetoric translates into measures that offset an £80bn tax legacy, or whether businesses absorb yet another round of costs.