'Healey to defer defence spend target' and 'Fergie's coming home'

The FT Weekend leads with a report that Chancellor John Healey will "shelve" his own target of spending 3% of GDP on defence by 2030, when he sets out his first Budget in October. A government insider tells the paper that "bigger decisions on an uplift in defence spending" will be delayed until a Treasury review next year.

Under the headline "Surrender" the Daily Mail, external says Healey has been branded a "hypocrite", given he resigned as Sir Keir Starmer's defence secretary because he believed not enough was being spent on the military.

Any such delay will risk angering the US, according to the Daily Telegraph, external, which says Washington is looking at ways to "incentivise" the UK to increase defence spending. The paper says that one measure being considered is opposing British sovereignty over the Falkland Islands.

As the chancellor ponders his Budget, a former economic adviser to Andy Burnham tells the Times , externalthat it would be "stupid" to raise taxes on wealth. Senior allies of the prime minister are reported to be calling for an increase in capital gains tax but Lord Jim O'Neill says this would encourage entrepreneurs to leave the country. In an interview with the i Weekend, external, the former director of the Institute for Fiscal Studies Paul Johnson says the government should aim to reduce the "huge" amount spent on benefits.

The Daily Express, external welcomes Burnham's announcement that he will stay neutral in the vote on assisted dying. It says his commitment will "bring relief" to campaigners who back a change in the law. But the Guardian, external points out the prime minister "has no wish to affect the process in either direction".

"Fergie's coming home" is the headline in the Sun, external. It says that Sarah Ferguson is returning from "exile", after "fleeing" the UK when emails she had sent to Jeffrey Epstein were revealed. The former Duchess of York has previously said her friendship with Epstein was a "gigantic error of judgment".

And the front page of the Daily Mirror, external says the King has written to the families of the two police officers who were killed in the crash on the A66 last weekend. A royal source tells the paper that Charles was "shocked by the devastating events".