Reeves finally admits she will raise taxes in Budget

Taxes will almost certainly be raised in the autumn Budget, Rachel Reeves has said.

- DAVID LYNCH, NINA LLOYD

The chancellor said Labour would stick to its election manifesto promises not to raise national insurance, income tax or VAT, but left open the possibility for other tax hikes on 30 October.

“I think that we will have to increase taxes in the Budget,” she said while speaking to The News Agents podcast. Ms Reeves‘s admission comes a day after she scrapped a series of infrastructure projects, and announced the winter fuel allowance for pensions would be means-tested, among a series of measures aimed at filling a £22bn black hole in the public finances.

Ms Reeves did not state what taxes would be raised when asked on the podcast whether Labour would stick to its manifesto promises, and instead raise inheritance tax or capital gains tax, or undertake pension reform.