26 Nov 2025, 07:35
Rachel Reeves to present the budget with new tax measures and expenditures
- Rachel Reeves will introduce new tax measures to cover the deficit.
- The economy of Great Britain is facing rising inflation and increased living costs.
- Changes in the tax system are expected, including the freezing of tax rates.
On November 26, 2025, the finance minister of Great Britain, Rachel Reeves, plans to present her second budget, focusing on the necessity of increasing taxes to cover the deficit of public finances.
In her speech in parliament, Reeves will emphasize that the budget should include measures to reduce the deficit, which, according to forecasts, could reach £20-30 billion. This involves finding new sources of revenue, as raising income tax, usually a priority before elections, is currently not being considered.
The economic situation in Great Britain remains challenging. Despite the fact that the country was one of the fastest-growing in the first half of the year, the economy is again slowing down. Problems such as high inflation and rising living costs continue to impact households and businesses.
Reeves plans to implement changes that will include freezing tax rates, which may lead to more people falling into higher tax brackets, as well as new taxes on wealth and changes in the tax system for private pensions.
Changes in tax policy have previously included a range of measures, including the scrapping of planned social benefit cuts and support for households in relation to high energy and food prices.
Tags: Europe/Economy