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UK to Reduce Welfare Spending Before Election

British finance minister John Healey announced plans to lower welfare benefit spending before the next election. The move aims to tackle long-term public finance challenges and youth unemployment.

British Chancellor of the Exchequer John Healey presents the Financial Statement and Budget Report at the House of Commons in London, Britain, October 28, 2026. ©House of Commons/Handout via REUTERS

United Kingdom will reduce its welfare spending below 11% of economic output before the next general election. Finance minister John Healey announced the target following his maiden fiscal statement on Wednesday. The move addresses long-term fiscal pressures tied to pensioners and working-age health benefits.