Budget 2024 latest: Reeves to unveil plan to rip up debt rules and unlock £50bn at IMF in Washington
Chancellor will reportedly confirm new debt rules after much speculation
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Rachel Reeves will announce Labour’s first Budget since coming into power on 30 October, leading one of the most anticipated fiscal events in over two decades.
Ahead of her announcement, the chancellor has ventured to the US to attend the International Monetary Fund’s (IMF) annual meeting in Washington. It is expected that she will announce a plan to change Britain’s debt rules at the event, unlocking up to £50bn extra to spend on infrastructure projects.
There has been weeks of speculation about the changes, which some experts have said run the risk of flouting a key Labour manifesto commitment.
Speaking ahead of the IMF event on Wednesday, Ms Reeves said: “A Britain built on the rock of economic stability is a Britain that is a strong and credible international partner.
“I’ll be in Washington to tell the world that our upcoming budget will be a reset for our economy as we invest in the foundations of future growth.”
We’ll be bringing you all the latest updates ahead of the big event on 30 October here, on The Independent’s liveblog.
Mayors in talks to soften local transport cuts – reports
Local mayors have reportedly engaged in a last-minute lobbying campaign to persuade the chancellor to soften potentially hundreds of millions in transport cuts.
There are fears bus, tube and tram projects in all 12 combined authorities represented by metro mayors could be at risk of underfunding. Following the local elections in May, 11 of these posts are held by Labour mayors.
“The mayors have been pushing back on the idea that their sustainable budgets should be cut, not least because many of them thought the money was guaranteed until 2027,” one official told The Guardian.
With the Budget only a week away, Ms Reeves will have already submitted her proposals to the Office for Budget Responsibility, making any last-minute changes unlikely.
The chancellor already made a substantial cut to rail infrastructure projects in July, when she announced the cancellation of the Tory-era Restoring Your Railways project alongside unveiling the £22bn shortfall in public spending:
The 36 rail projects at risk of being scrapped to plug Labour’s £22bn black hole
Exclusive: Transport secretary Louise Haigh – who previously criticised Rishi Sunak for the ‘great rail betrayal’ of HS2 – now finds herself wielding an axe over £85m worth of projects
What should I do with my savings ahead of the Budget?
Ahead of the Budget on 30 October, there has been fevered speculation about changes to pension savers’ tax allowances and other perks.
Reports that pensioners could have tax breaks cut or axed led to savers withdrawing chunks of their retirement pots ahead of Chancellor Rachel Reeves’s big announcement.
What should I do with my savings ahead of the Budget?
Reports that pensioners could have tax breaks cut or axed have led to savers withdrawing chunks of their retirement pots ahead of the chancellor’s announcement
UK economy to grow faster than thought in pre-Budget boost for Reeves
The UK economy will grow faster than previously thought as lower inflation and borrowing costs lead to a boost in business activity, a boost for chancellor Rachel Reeves as she aims to fix the nation’s finances.
The update from the International Monetary Fund also suggested that the fight against inflation and the cost of living crisis had “largely been won”.
UK economy to grow faster than thought in pre-Budget boost for Reeves
Only Spain was given a bigger economic upgrade by the IMF, making the UK the biggest beneficiary for extra growth in the G7 – although the US’s new growth rate of 2.8 per cent is higher
Jeremy Hunt “had a tough job” says Rachel Reeves
Chancellor Rachel Reeves has said she has a “good relationship” with her predecessor Jeremy Hunt.
“I may not be particularly impressed with the state of the public finances that he left me, but I do recognise that after Kwasi Kwarteng, he had a tough job to do as well,” she told BBC Radio 5 listeners.
She adds that if there were one person she could “pick up the phone to now” it would be Alistair Darling, who delivered Labour’s last budget in 2010.
The veteran politician died last year at the age of 70. He served in cabinet for 13 years under both Tony Blair and Gordon Brown, working as chancellor during the 2008 financial crisis.
“I hope that he would be proud of what I’m doing as the next Labour chancellor after him,” Ms Reeves said.
How make-or-break Budget has fractured Keir Starmer’s cabinet
How make-or-break Budget has fractured Keir Starmer’s cabinet
With the prime minister’s poll ratings at rock bottom, Sir Keir Starmer is grappling with cabinet unity ahead of Rachel Reeves’ Budget, writes Political Correspondent Archie Mitchell
Budget 2024: Inheritance tax set to rise – here’s what it means for you
Inheritance tax set to rise – here’s what it means for you
Only around 4 per cent of families have to pay ‘death tax’ under current legislation
Public sector pay rises hand Reeves a £6.7bn headache ahead of Budget
Public sector pay rises hand Reeves a £6.7bn headache ahead of Budget
The surprise rise in borrowing came despite the cut to Britain’s expenditure on winter fuel allowances
Inheritance tax already up 10 per cent as Reeves looks to squeeze levy in Budget, official figures show
Brits are already paying 10 per cent more on inheritance tax before Reeves’ budget
Chancellor warned that hiking the tax at next week’s Budget risks punishing middle-class homeowners
Wes Streeting warned inflation-busting NHS Budget deal will not be enough
Wes Streeting warned inflation busting NHS Budget deal will not be enough
Health experts urge the government to find more money to tackle waiting lists and improve NHS care
Air Passenger Duty may go up in Reeves’s Budget – could the ‘Inverness Immunity’ come to an end?
Air Passenger Duty may rise in Reeves’s Budget – could the ‘Inverness Immunity’ end?
Plane Talk: Why it’s not always a good idea to tax the traveller until the pips squeak
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