Britons up and down the country are steeling themselves for Rachel Reeves’s second Budget as Chancellor.
Today, Ms Reeves will head to the despatch box to bring an end to months of speculation and reveal exactly what is in her tax plans.
She is likely to announce tens of billions of pounds of new tax increases – and last night, it emerged that she would move to introduce a so-called “dirty dozen” of tax raids.
The 12 expected to rise are on cash ISAs, Chinese imports, cycle-to-work schemes, dividends, electric vehicles, gambling, incomes, sugary drinks, salary sacrifice schemes, homes worth more than £2million, taxis and tourists.
Ahead of her “nightmare before Christmas” address, the Chancellor said she would “take the fair and necessary choices to deliver on our promise of change”.
“I will not return Britain back to austerity, nor will I lose control of public spending with reckless borrowing,” Ms Reeves vowed in a broadside against her outspoken critics on the Labour left.
Though rather than the “dirty dozen”, the Chancellor has instead spun her hikes as three priorities: cutting the cost of living, cutting NHS waiting lists alongside delivering public service reforms, and starting to reduce the cost of public debt.
“I will push ahead with the biggest drive for growth in a generation,” she added. “Investment in roads, rail and energy. Investment in housing, security and defence. Investment in education, skills and training.
“So together, we can build a fairer, stronger, and more secure Britain.”
But her shadow counterpart Sir Mel Stride fired back, saying: “Rachel Reeves is dressing up a dirty dozen tax hikes as fair and compassionate – but working people can see the truth.
“It looks as though this Budget will dodge all the tough choices, punish those who play by the rules, and proves Labour still can’t be trusted with the nation’s finances.”
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The five taxes to watch out for in the Budget – and what they mean for your wallet – ANALYSIS by Elliot Keck
PICTURED: The official Budget 2025 document as unveiled by the Treasury on Tuesday | TREASURY
Despite, or perhaps because of, months of speculation, there’s little we can say with certainty about what exactly is going to be in this Budget, Elliot Keck of the Taxpayers’ Alliance writes.
What we do know is that Rachel Reeves is expected to announce a package of tax rises aimed at balancing the books.
So what could actually be announced when the Chancellor reveals the Budget later today, and what will it mean for households up and down the country?
