UK Chancellor John Healey launches 'Buy British' procurement overhaul

New Chancellor of the Exchequer John Healey announced a major overhaul of public procurement, ordering government departments to "buy British" by design. He said every pound spent must support British jobs, apprenticeships and skills, describing it as a "determined drive that you have not seen before from a British government".

Healey highlighted that over 86% of the 1,200 major defence contracts awarded in his previous role as Defence Secretary went to British firms. The policy rollout comes alongside other cost‑of‑living measures announced by Prime Minister Andy Burnham’s government, including a VAT exemption on household electricity, a £2 bus‑fare cap in England, and a 20% business‑rates cut for pubs and small music venues. Healey noted a need to find £5 billion for the defence investment plan but said the target for defence spending would not be addressed in the first week.

The "Buy British" initiative is intended to boost domestic investment, innovation and profit in UK businesses while meeting fiscal rules.