Chancellor Reeves' £40bn Tax Budget Sparks Concerns

Chancellor Rachel Reeves is preparing to unveil a significant £40 billion tax-raising Budget, which includes increases in inheritance tax, National Insurance Contributions, and potentially ending the 5p cut in fuel duty. These measures aim to address a £22 billion shortfall in public finances but have raised concerns about economic repercussions, such as job losses and stagnation, as well as political risks for the Labour party. The proposed changes could significantly impact middle-class families and small businesses, and Labour MPs have urged Reeves to focus on taxing the wealthy instead. The government plans to close existing inheritance tax loopholes and exemptions, potentially affecting a greater number of estates. Despite criticism, the government pledges to maintain the triple lock on state pensions, which could inadvertently lead to higher taxes for pensioners.