Good morning and happy budget day. Jim Chalmers’ first budget will reveal a $42bn improvement to the bottom line across forward estimates but that will deteriorate after two years. There has been plenty leaked in advance of a plan the treasurer has painted as “solid and sensible”. In the UK the Tories have chosen a new prime minister, while Russia says the Ukraine war is heading for an “uncontrolled escalation”.
Rishi Sunak will become the UK’s next prime minister without a vote being cast by Conservatives. He was the only candidate to muster the support of more than 100 of his fellow MPs as nominations closed, with Penny Mordaunt falling short after Boris Johnson’s withdrawal. Sunak warned his party it was time to “unite or die”, and ruled out an early general election. Sunak will meet King Charles on Tuesday morning before taking over as prime minister. He will become the first prime minister of colour and the first Hindu prime minister, but the last seven years in politics have not been gaffe-free for the former Goldman Sachs banker and ex-chancellor.
