Rachel Reeves to set out Budget priorities as major think tank warns tax rises are ‘inevitable’
UK faces ‘inevitable’ tax hikes as Reeves tackles debt
- Chancellor Rachel Reeves is scheduled to deliver a pre-Budget address on Tuesday, paving the way for significant tax rises aimed at filling a public finance deficit of up to £50bn.
- Her speech will outline three core priorities for the upcoming Budget: reducing hospital waiting lists, tackling national debt, and easing the cost of living for the public.
- A prominent think tank, the Resolution Foundation, has warned that tax increases are "inevitable" and suggested measures such as freezing personal tax thresholds and reforming wealth, motoring, and property taxes.
- The foundation also recommended implementing targeted policies, like energy bill support, to assist with the cost-of-living crisis.
- These anticipated tax adjustments are set against a backdrop of "harsh global headwinds" and an expected downgrade of UK productivity by the Office for Budget Responsibility.