Reeves faces ‘Groundhog Day’ as Budget tax hikes loom

cityam10-16

Rachel Reeves risks having to hike taxes at future Budgets if the headroom is too narrow, a new report has suggested. Chancellor Rachel Reeves risks having to hike taxes ever higher in forthcoming ...

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Chancellor Rachel Reeves risks having to hike taxes ever higher in forthcoming ...</p>\n\n<a href=\"https://www.cityam.com/reeves-faces-groundhog-day-as-budget-tax-hikes-loom/\">Source Link</a>\n\n</div>\n","source":"cityam_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Reeves faces ‘Groundhog Day’ as Budget tax hikes loom</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nReeves faces ‘Groundhog Day’ as Budget tax hikes loom\n</h2>\n\n<h4 class=\"meta\">\n\n\n2025-10-16 13:00 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.cityam.com/reeves-faces-groundhog-day-as-budget-tax-hikes-loom/><strong>cityam</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Rachel Reeves risks having to hike taxes at future Budgets if the headroom is too narrow, a new report has suggested.  Chancellor Rachel Reeves risks having to hike taxes ever higher in forthcoming ...</p>\n\n<a href=\"https://www.cityam.com/reeves-faces-groundhog-day-as-budget-tax-hikes-loom/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"LU0300738514.USD","symbol_name":"TEMPLETON EMERG MKTS SMALLER CO \"A\"(USD) ACC","start_time":0,"source_url":"https://www.cityam.com/reeves-faces-groundhog-day-as-budget-tax-hikes-loom/","article_id":"2575791556","we_media_id":null,"thumbnails":["https://www.cityam.com/wp-content/uploads/2025/03/GettyImages-2200003982-e1741171502199.jpg?w=400&h=225&crop=1"],"rights":{"source":"cityam_highlight","url":"https://www.cityam.com/reeves-faces-groundhog-day-as-budget-tax-hikes-loom/","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2575791556","pubTimestamp":1760590800,"columns":[],"sourceInfo":{"source_id":"cityam_highlight","name":"cityam"},"weMediaInfo":null,"summary":"Rachel Reeves risks having to hike taxes at future Budgets if the headroom is too narrow, a new report has suggested.  Chancellor Rachel Reeves risks having to hike taxes ever higher in forthcoming budgets if she leaves herself with 9.9bn in headroom, a joint report by Barclays and the Institute for Fiscal Studies  has warned.The research has suggested that spending cuts would send a “crucial” signal to the bond markets that the government had the “political will” to abide by fiscal rules while tax hikes would need to be carefully designed to avoid further damaging UK growth.In a new report, top economists warned that Reeves should build a headroom larger than 9.9bn to ease gilt traders’ nerves and give herself greater flexibility at future Budgets.Helen Miller, director of the IFS, said the upcoming Budget will “feel like Groundhog Day” and the situation was largely “of her own making”.","collect":0,"end_time":0,"defaultTopTitle":"cityam.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"LU0300738514.USD":"TEMPLETON EMERG MKTS SMALLER CO \"A\"(USD) ACC","LU0029865408.USD":"TEMPLETON LATIN AMERICA \"A\" INC","LU0300738605.USD":"TEMPLETON EMERG MKTS SMALLER CO \"A\" INC","LU0128526570.USD":"TEMPLETON LATIN AMERICA \"A\" ACC","IFS":"Intercorp Financial Services Inc.","LU0320763518.SGD":"FTIF - Templeton Latin America A Acc SGD","BK4207":"综合性银行"},"translate_title":"随着预算增税迫在眉睫，里夫斯面临“土拨鼠日”","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"IFS":1},"content_text":"Rachel Reeves risks having to hike taxes at future Budgets if the headroom is too narrow, a new report has suggested.  Chancellor Rachel Reeves risks having to hike taxes ever higher in forthcoming budgets if she leaves herself with £9.9bn in headroom, a joint report by Barclays and the Institute for Fiscal Studies (IFS) has warned. The research has suggested that spending cuts would send a “crucial” signal to the bond markets that the government had the “political will” to abide by fiscal rules while tax hikes would need to be carefully designed to avoid further damaging UK growth. In a new report, top economists warned that Reeves should build a headroom larger than £9.9bn to ease gilt traders’ nerves and give herself greater flexibility at future Budgets. Helen Miller, director of the IFS, said the upcoming Budget will “feel like Groundhog Day” and the situation was largely “of her own making”. \n\nReeves told business leaders last November she was “not coming back with more borrowing or more tax hikes” but on Wednesday she conceded that further tax hikes were being considered to fill a hole in the public finances. \n\n\n\n\n\n\nNews Updates\nStay ahead with our three daily briefings delivering all the key market moves, top business and political stories, and incisive analysis straight to your inbox.\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nMiller said: “When choosing to operate her fiscal rules with such teeny tiny headroom, Reeves would have known that run-of-the-mill forecast changes could easily blow her off course,” Miller said.“A key challenge is ensuring that fiscal Groundhog Day doesn’t become a twice-yearly ritual. There is a strong case for the Chancellor to build more headroom against her fiscal rules.“That wouldn’t be costless – but nor is limping from one forecast to the next under constant speculation that policy will be tightened again.”\n\nRaising income tax would ‘support fiscal stability’In the extensive report, Barclays’ fixed income strategist Moyeen Islam said the bond market will only judge tax hikes and spending cuts positively if they are “credible and deliverable’. He wrote that gilt traders – otherwise known as UK government bond holders – will judge spending reforms in the public sector and around welfare as key to maintaining fiscal credibility, with any refusal to make savings likely to lead to a break from Labour manifesto commitments. “Without reductions in spending, to deliver the sums required solely via tax increases could require breaking manifesto promises – not something done lightly,” Islam wrote. “Should the Chancellor raise the basic rate of income tax, it would be the first rise in over 50 years and would demonstrate a willingness to spend significant political capital in order to support fiscal stability.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"-1","news_tag":"","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.35.9","shortVersion":"4.35.9","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2575791556","isCrawlerRequest":true}