What are UK taxes that are expected to rise in the autumn budget?

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On Wednesday, the ministers warned that there will be “financial consequences” to confront them in the wake of the decline of the Labor Party in charge of luxury, which paves the way for a possible tax rise in the autumn budget.

Estimates of up to 25 billion pounds can provide up to 25 billion pounds, according to estimates of economists in the economy, a government can provide up to 25 billion pounds, as estimates of 25 billion pounds can provide estimates that the government by the government regarding luxury, as well as the possibility of weaker growth expectations, can achieve financial success of up to 25 billion pounds, According to the estimates of economics analysts in the capital.

Rachel Reeves does not have palatable options to fill this deficiency in the next budget. “Nothing of this is easy,” one of the ally admitted the advisor, who was Disturbed In the House of Commons on Wednesday.

What taxes can rise?

The Labor Party statement ruled out the increase in income tax, national insurance, value -added tax, or corporate tax. However, the government’s first budget increased the national insurance contributions to employers by 25 billion pounds annually.

Refiz You may be careful not to try the same step again, given the damage to the labor market. Another option is a form of the so -called hiding tax that was preferred by the last conservative government.

The consultant can extend a freezing on personal tax thresholds after 2028, which is the revenue lifting procedure that she refused to take last October, saying that the matter would harm “workers.”

If the thresholds in which taxpayers pay higher prices on their income until the end of Parliament instead of increasing them in line with inflation, Reeves will collect 9.2 billion pounds, according to the Institute of Financial Studies.

Another way is to hit companies and wealthy people with more tax increases. The percentage of the percentage of the percentage in the corporate tax will increase 4 billion pounds in 2028-29, although the Labor Party promised that the tax of 25 percent is not increased.

Deputy Prime Minister Angela Rainer earlier this year suggested eight a possible tax increase in a memorandum of the advisor, including a life -replacement replacement and the high -community tax rates of banks. The memo said that the measures will collect together 3 billion pounds per year.

Some Labor Party deputies urged Reeves to put a “wealth tax”, an invitation that angered the counselor. One of the ally said: “What do people mean? Can you remove it on a piece of paper?”

There is a great danger to Reeves is that it is forced to roam in many tax increases on a small scale because it excluded the revenue of the main revenue. This can distort the tax system more, undermining the “first task” of promoting GDP growth.

Can the consultant reduce financial rules?

Reeves described its financial rules as “Clad Iron” and “non -negotiable”, although she did not rule out the potential overcoming autumn budget when you ask her specifically about the idea of ​​Sir Mel Stride, Tory Shadow, on Tuesday.

Reeves has already announced the most flexible borrowing system in its first budget, however, allowing it to borrow an additional 113 billion pounds to spend on the infrastructure in this parliament. The bond markets are unlikely to respond well if they change the rules again, after only one year, analysts warn.

Among the possible options for mitigating the financial rules, the transition to prolonging the timeline to meet the current budget base, which is currently due to the contraction from five to three years during Parliament.

Reeves may also seek to strengthen its room related to the lack of deficit of no more than 0.5 percent of GDP – a scenario already in the financial rules but only as a temporary procedure for evaluation of the resolution of the treasury between financial events.

Ben Zaranko, an economist at the Institute of Financial Studies, said that other potential changes may involve a key in the target, for example to use a scale for the amended budget balance of the economic cycle.

But he warned that the comprehensive reform of the loose financial rules already will decrease “very bad with financial markets” and raise the cost of borrowing to the government.

He added: “Abandoning the rules in the second opportunity because the government, which includes a majority of 165, cannot obtain spending reforms through Parliament, is unlikely to enhance the government’s reputation for financial credibility.”

Many investors see 10 billion pounds as a minimum of Reevz’s needs against its main financial base of daily spending with tax revenues.

Anything less means that public financial resources will claim their stability through small movements in borrowing costs or growth assumptions.

But even this amount is only a third of the average safety buffer that the advisers have left over the past fifteen years.

What about curbing spending?

After the shock of the luxury disaster on Tuesday, Starmer and Starmer are unlikely to try the new discounts to the benefits bill anytime.

Meanwhile, REEVES has just announced a review of narrow spending covering spending on departments over the next three years, which will witness an average of the average annual increases in daily spending by 1.3 percent. Some major public services face real discounts.

Reeves can a pencil in more severe discounts in 2029-30 to help achieve a balance between books, but given that there must be elections by July 2029, that would test the credibility of investors.

Upon entering the last elections, the Conservative Party was widely accused of chairing “financial imagination” by making its numbers more than very narrow spending plans in external years of its expectations.

“Parliamentary chaos last night on control that is retracting from the government over public spending,” said Neil Mehta, RBC Bluebay Asset Management, “The markets will be at maximum alert in the coming months.”