Chancellor John Healey used his first major speech before the Oct. 28 budget to pledge fiscal discipline, restore the UK’s credibility in international bond markets and promote regional growth. He said institutions including the National Wealth Fund and British Business Bank would help attract private investment. Higher borrowing costs, renewed inflation concerns linked to the US-Iran war and uncertainty over Prime Minister Andy Burnham’s spending plans are eroding fiscal headroom and strengthening expectations of tax increases. Wealth-targeted measures remain under discussion, including a proposed 2% levy on assets above £10 million backed by Oxfam and Tax Justice UK, while the University of Warwick has estimated potential annual revenue of roughly £24 billion. The Institute for Fiscal Studies has warned of valuation, liquidity and avoidance challenges. The pound moved toward $1.355, oil prices approached seven-week highs after US strikes on Iranian oil tankers, full-time hiring rose in August for the first time in four years and house prices fell year-on-year for the first time since November 2023.