UK government spending reports and sector-specific investment announcements

Reeves Unveils £40bn Tax Rise in Biggest Budget by First Female Chancellor

Oct 30, 2024, 12:43 PM

Rachel Reeves, the Chancellor, delivered the Labour government's first Budget in 14 years, announcing £40 billion in tax rises—the biggest tax-raising Budget in modern times—aimed at investing in public services and restoring economic stability after years of Conservative rule. She emphasized the need to 'invest, invest, invest' to drive economic growth and rebuild Britain, comparing her task to the post-WW2 rebuilding effort. Reeves also highlighted that this is the first Budget delivered by a woman in the country's history. She criticized the previous Conservative government for hiding a £22 billion 'black hole' in public finances from the Office for Budget Responsibility (OBR), stating their fiscal forecasts would have been materially different had all information been disclosed. The Budget includes measures such as compensation for victims of the infected blood scandal and the Post Office Horizon scandal, and promises no austerity, focusing instead on long-term investments to boost growth.