London Daily

Focus on the big picture.
Friday, Oct 30, 2026

Sunak warns over multibillion cost of booster programme

Sunak warns over multibillion cost of booster programme

Exclusive: Chancellor said to not have opposed jab regime but warned of spending cuts or tax rises to pay for it
Rishi Sunak has issued a stark warning to Department of Health officials over the multibillion-pound cost of regular booster rollouts, the Guardian has learned.

Sources said the chancellor raised the point in several Covid meetings that a mooted three-month booster regime – more frequent than originally anticipated – could begin to impact on future spending.

A Whitehall source from outside the Treasury said Sunak had not opposed the measure but warned prices were likely to rise and that the cost to the exchequer should not be underestimated. They said the additional cost would need to be paid for in either spending cuts or tax rises.

“He made the point, rightly, that people would feel the effects of that spending in NHS and household budgets. These doses do not grow on trees,” the source said.

“Worst case scenario, if a new variant comes along or if Omicron doesn’t burn out, if we have to do this for years to come, that’s billions in costs that has not been foreseen which has to be paid for.”

The increase in national insurance, earmarked for NHS waiting lists but eventually aimed to help tackle the increased costs of social care, is expected to bring in £12bn a year which the Treasury could raid for additional cash for jabs.

This month, the government has signed contracts to buy 114m additional Pfizer/BioNTech and Moderna doses for 2022 and 2023. Those are in addition to the 35m additional doses of Pfizer/BioNTech that were ordered in August for delivery in the second half of next year.

Sunak is said to have raised the point most recently during Wednesday’s meeting about “plan B” measures that more regular booster doses were not built into current spending plans. Additional boosters, should they be required every three to six months, could cost an additional £5bn a year.

The UK does not disclose what it has paid for vaccines, citing commercial confidentiality. Reports have suggested a significant additional cost for the doses, after Pfizer raised prices because of increased demand.

In August, the Financial Times reported Pfizer increased the price of its Covid-19 vaccine by more than a quarter and Moderna by more than a tenth in the latest EU supply contracts.

A Treasury source said: “We are continuing to do whatever it takes to support our fight against Covid, including providing new funding to roll out our booster campaign as quickly as possible to protect people from Omicron. We will also ensure that taxpayers’ money is spent responsibly.”

Sunak is also facing the possibility of having to revive Covid support measures for businesses, which have not been reintroduced under plan B measures because firms are not required to close or enforce social distancing measures that can limit capacity.

Powerful business groups such as the CBI have not made public demands for further support – though footfall numbers have begun to drop and leisure and hospitality are likely to feel the effects of public caution.

The research group Springboard found footfall at UK high streets fell by 2.7% in the week to last Saturday. They had been expecting a Christmas shopping surge on Saturday but that did not materialise, suggesting that concerns over Omicron kept people away.

Demands from business groups, as well as MPs, are likely to increase if Boris Johnson needs to impose further restrictions – even if they do not include business closures.

Lobby groups are likely to argue that stricter social distancing measures or curfews would have a significant financial effect that would need to be compensated.

Sunak’s department was forced to defend itself over the weekend after it emerged that Treasury staff held celebratory drinks after the November budget, in contravention of lockdown rules in England.

A spokesperson said it was a “small number” of staff who celebrated around their desk and Sunak was not aware of the event.
Newsletter

Related Articles

0:00
0:00
Close
Water pollution remains high despite £5bn investment
Regional Economic Divergence and Industrial Transformation
Technological Sovereignty and Regulatory Scrutiny
Fiscal Consolidation and Public Service Pressures
Automotive Industry Leadership Warns of Imminent Supply Chain Disruptions Following Recent European Trade Negotiations
High Court Delivers Landmark Ruling Affirming Strict Legal Protections for Corporate Data Privacy Against State Surveillance
Welsh First Minister Eluned Morgan Secures Additional Funding for Regional Transport Infrastructure and Rail Modernization
Scottish First Minister John Swinney Announces Major Green Energy Infrastructure Investment Package for Aberdeen
Department for Work and Pensions Proposes Sweeping Welfare Reforms to Incentivize Long-Term Unemployed Back into Work
Competition and Markets Authority Launches Formal Investigation into Artificial Intelligence Partnerships Involving Major Tech Giants
United Kingdom Foreign Secretary David Lammy Concludes High-Level Strategic Talks in Washington on Middle East Security
National Health Service England Unveils Emergency Winter Resilience Plan to Combat Projected Surge in Emergency Admissions
Bank of England Governor Andrew Bailey Signals Cautious Approach to Interest Rate Cuts Amid Persistent Inflation
British Chancellor Rachel Reeves Finalizes Corporate Tax Overhaul Ahead of Autumn Budget to Fund Public Services
Automotive Manufacturers Urge Government Action as High Energy Costs and Global Supply Chain Disruptions Threaten Production
Metropolitan Police Issue Formal Apology Following Inadvertent Release of Confidential Information During High-Profile Investigation
Scottish Finance Secretary Shona Robison Unveils Devolved Budget Highlighting Housing and Public Service Adjustments
Energy Regulator Office of Gas and Electricity Markets Prepares to Remove Household Gas Standing Charges Following Treasury Mandate
Treasury Confirms Reversal of Planned Cash Individual Savings Account Allowance Reduction Protecting Twenty Thousand Pound Limit
Office for Budget Responsibility Revisions Predict Moderate United Kingdom Economic Growth with Elevated Inflation Pressures
Chancellor John Healey Delivers First Autumn Budget in Parliament Highlighting Temporary Bank Surcharge and Cost-of-Living Support
Met Office Issues Extended Forecast Highlighting Stable High Pressure Weather Patterns Across the United Kingdom
Scottish Finance Secretary Shona Robison Outlines Changes to Tax Thresholds and Residential Property Levies in Edinburgh
Financial Markets and Government Bond Yields Remain Stable Following Muted Reaction to Autumn Budget Measures
Defence Committee Chair Tan Dhesi Criticizes Budget for Delaying Critical Defence Spending Decisions to Next Year
International Monetary Fund Forecasts United Kingdom Economic Growth at One Point Three Percent for Year
Office for Budget Responsibility Assesses Fiscal Headroom Reduced to Fifteen Billion Pounds Following Global Energy Shocks
Chancellor John Healey Delivers First Autumn Budget Introducing Household Energy Support and Bank Tax Hikes
Aberdeen City Council Co-Leader Faces Binding Vote Challenge as Local Councillors Launch High Court Legal Battle
Housebuilding Across Scotland Falls to Eleven-Year Low Despite Government Declarations of a Housing Emergency
Former Prime Minister Gordon Brown Organizes National Innovation Summit in Manchester to Boost Regional Competitiveness
UK Government Faces Mounting Criticism Over Lack of Environmental Consultation During Artificial Intelligence Datacentre Expansion Talks
Greggs Announces Closure of Four Major Manufacturing Facilities Across Britain Resulting in Seven Hundred Forty Job Losses
British Retail Consortium Warns That Cumulative Employment and Regulatory Costs Threaten High Street Price Stability
Lloyds Banking Group Chief Executive Charlie Nunn Warns That Increased Bank Taxes Could Deter Long-Term Economic Investment
Ipsos Polling Reveals Seven in Ten Britons Expect Personal Tax Increases Amid Deep Public Economic Pessimism
Chancellor John Healey Delivers First Autumn Budget in Parliament Amid Tight Fiscal Constraints and Slower Growth Forecasts
United Kingdom Finance Monthly Review Highlights Rising Long-Term Borrowing Costs and Persistent Energy Price Pressures Across British Markets
Royal Marines Pioneer Rapid Autonomous Drone Operations During Major High North Exercise Involving NATO Allies
House of Commons Justice Committee Urges Chancellor to Align Prison and Courts Reform Ambitions With Concrete Budgetary Resources
Government Investigates Rapid Artificial Intelligence Datacentre Expansion Strategy Following Scrutiny Over Power Grid Demands and Planning Backlogs
His Majesty's Inspectorate of Constabulary Warns Third-Party Supplier Breaches Threaten United Kingdom Police and Fire Service Data
Number of British Businesses in Financial Distress Reaches Highest Level in Two Decades Ahead of Fiscal Announcement
Chancellor John Healey Prepares Autumn Budget Amid Intense Market Scrutiny Over Fiscal Headroom and Spending Pressures
Education or Indoctrination? The Growing Debate Over Religious Participation in British Schools
Germany's Vanishing Shopfronts: The Silent Collapse of the Businesses That Built Its Cities
Northern Ireland Executive Reaches Agreement on Public Transport Modernization and Cross-Border Rail Infrastructure Funding
Department for Energy Security and Net Zero Approves New North Sea Carbon Capture and Storage Industrial Clusters
Office for National Statistics Reports Stabilization in Private Rental Growth Across Major English and Welsh Regional Cities
United Kingdom Automotive Manufacturing Output Rises Moderately as Electric Vehicle Assembly Lines Expand in the Midlands
×