Overview

• Facing the 26 November Budget, the chancellor said she cannot guarantee ending the freeze on income tax thresholds beyond 2028.
• Pressed on VAT, she declined explicit assurances and repeated that Labour’s manifesto commitments on headline rates "stand."
• Reeves said she will bring forward a combination of tax and spending measures to restore stability and meet fiscal rules.
• Official data show higher borrowing and weaker growth, with economists estimating a gap of roughly £20–40bn to close at the fiscal event.
• Industry and analysts are urging paths ranging from radical tax reform to targeted measures such as VAT base changes, property or land taxes, and pension relief adjustments.