Rishi Sunak will deliver his Budget today and confirm billions of pounds of funding for the NHS and wage rises for millions of workers.
The Chancellor is to bill his tax and spending plans on Wednesday as preparing an "economy fit for a new age of optimism" as the nation recovers from the hardship of Covid-19.
But his speech, along with accompanying forecasts from the Office for Budget Responsibility, should shed light on the impact on the economy of the supply chain crisis, worker shortages and rising prices.
READ MORE: Autumn budget predictions: Everything we expect Rishi Sunak to announce
After 18 months of high spending, Mr Sunak will have the opportunity to restore his conservative credentials by setting out a plan for bringing borrowing under control.
But while he will confirm a rise of the "national living wage" to £9.50 from April and the end of the pay freeze he imposed on public sector workers, the devil will be in the detail.
During his speech, Mr Sunak is expected to say: "Today's Budget begins the work of preparing for a new economy post-Covid.
"An economy of higher wages, higher skills, and rising productivity of strong public services, vibrant communities and safer streets.
"An economy fit for a new age of optimism. That is the stronger economy of the future."
Mr Sunak will confirm a further £5.9 billion in capital funding to help the NHS clear the backlog created by Covid-19, but questions remain over how many years the long waits will linger for.
The Treasury has pledged green investment and policies to take advantage of post-Brexit freedoms and has touted nearly £7 billion of new funding to overhaul local transport.
Mr Sunak must also raise revenues to address national debt, but the Treasury is understood to have all but confirmed to MPs that he will not do this by raising fuel duty.
However, reports have suggested that VAT on household energy bills will not be cut to help families struggling with soaring prices.
Mr Sunak could also approve large hikes to council tax to help struggling local authorities, including to cover social care.
What time is the budget today? How to watch Rishi Sunak's announcement:
The Chancellor will give the 2021 Budget on Wednesday, October 27.
It usually takes place after Prime Minister's Questions, around 12.30pm.
You can watch the speech on BBC News, through BBC iPlayer, or on Sky News YouTube channel.
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