I've used Azure with spending limits. They do work, they shut down things, and the lights go off. [1], Only some external resources you are unlikely to use don't follow spending limits, but when you create such resources, they are clearly marked as external.
That's one positive side of Azure.
[1]: https://learn.microsoft.com/en-us/azure/cost-management-
These limits are only for subscriptions with a credit amount e.g. $200 trials, Visual Studio subscriptions etc. As soon as you are on a pay as you go, you only have access to budget limit.