Understand
Newspapers cover warnings of a £35bn UK funding gap and Russian attacks following a reported energy ceasefire
Overview
A round-up of the UK morning papers for 12 October 2026 highlights warnings from the Institute for Fiscal Studies regarding a £35bn funding gap in UK finances ahead of the Budget, alongside reports that Russia has attacked infrastructure in Ukraine despite a recently claimed US-brokered ceasefire.
Key points
- The Institute for Fiscal Studies warned of a £35bn funding gap in UK finances ahead of the chancellor's Budget.
- The Daily Telegraph reported that Russia attacked a Ukrainian power plant hours after a US-claimed energy ceasefire.
- The Guardian and The Times noted that Ukrainian President Volodymyr Zelensky was unaware of the reported energy truce.
- The Times reported that the government is paying out sickness benefits to nearly two million people without verifying ongoing eligibility.
- The Financial Times reported that the US threatened to block arms for Kyiv to push for a halt to Russian refinery attacks.