Chancellor calls for 'confidence about Britain' despite 'historic high' borrowing costs

John Healey was giving his first major speech as chancellor Chancellor John Healey has called for a restoration of "confidence about Britain" despite acknowledging the challenge of "historic high" borrowing costs. In an interview with the BBC, Healey promised that "doubling down" on "more growth generated in more places" will be a central priority ahead of his first Budget on 28 October. The chancellor warned that "times are tough", referring to the announcement of 4,000 mostly UK-based jobs at Jaguar Land Rover (JLR). And Healey did not rule out tax increases in next month's Budget, with a recent increase in government borrowing costs piling pressure on the public finances. Pressed about his pre-Budget plans, he refused to comment on any decisions about tax, promising only to "balance the books" and "control public spending". Healey said he wants people to feel "confident about Britain and our future". Faisal Islam: Chancellor's attempts to boost vibes may limit tax rises Asked about the impact of higher borrowing costs, which have surged this month, the Chancellor said that the government was responding to "extreme pressures in the wider market," and reiterated that he wanted to "bring down welfare costs." Earlier, in his first major speech as chancellor, Healey said his mission was to "make Great Britain growth Britain" again. Speaking at the Manufacturing Technology Centre (MTC) in Coventry, he said, "My defining mission as chancellor is growth, good growth in every postcode. And I've set out today the way this government will set about it: more devolution, more public leadership and control, more investment, more innovation, more jobs." Healey said he is in "lockstep" with Prime Minister Andy Burnham about the need for fiscal discipline and having a buffer in the government's spending plans "against the sort of uncertainty that the JLR decision locally has shown". It came as Healey offered an upbeat view of the state of the UK economy ahead of the Budget, building on a recent uptick in consumer and business confidence. Speaking in Coventry, he set out a "new story" of the economy not just turning a corner but being resilient, optimistic and "ready to seize the opportunities of new technologies and ideas". With seven weeks until the Budget, Healey said the government will stick to Labour's manifesto pledge, made under Sir Keir Starmer and former Chancellor Rachel Reeves, to not "increase taxes on working people". He repeatedly refused to comment on possible tax rises or spending cuts ahead of 28 October, stating only: "Staying true to our values means being honest about the need to control government spending." Conservative Shadow Chancellor Andrew Griffith, said: "Healey failed to end uncertainty ." He added that Healey "sounds increasingly like continuity Rachel Reeves".