UK Chancellor Signals Smaller Tax Cuts in Spring Budget

Hunt's announcement follows IMF's warning against further tax cuts, citing the need for responsible fiscal management.

UK Chancellor Jeremy Hunt has warned that the tax cuts in the upcoming Spring Budget will be smaller than those announced in the Autumn Statement due to 'major structural weaknesses' in the economy.
Hunt's comments come after the International Monetary Fund (IMF) advised against further tax cuts, suggesting that any tax giveaways would likely require additional borrowing or post-election spending cuts.
The Chancellor's decision in the Autumn Statement to reduce national insurance by two percentage points is estimated to cost the Treasury around £9.76 billion in the 2028 tax year.
Hunt has indicated that while 'smart tax reductions' can boost growth, 'untargeted tax cuts that are just crowd pleasers' are not a good idea.
Despite the IMF's warning, there is pressure within the Conservative Party for further tax cuts ahead of a likely election later this year.