PA
Labour is reportedly reviewing three key revenue-raisers ahead of the Budget, Bloomberg’s political editor Alex Wickham is reporting.
Rachel Reeves will announce the party’s first Budget in 15 years on 30th October as speculation mounts around what measures could be included.
The chancellor faces a difficult task, with the fiscal event set against the backdrop of the £22 billion ‘black hole’ in public spending which she announced in late July.
Prime minister Sir Keir Starmer has likewise warned the fiscal event is going to be “painful” but that there is “no other choice given the situation that we’re in”.
According to Wickham, the Treasury is reviewing three key revenue-raisers which would have all impacted the well-off.
The VAT on private school fees, which Labour said would raise £1.5 billion to fund 6,500 teachers and mental health support for schools, may be delayed after being tipped to be introduced from January.
Crackdown on non-doms may also be reconsidered, while the private equity raid, which was going to raise funds to bring in 8,500 mental health staff, could also be pushed back.
The delay and reviews mean that, just three weeks from the budget, it is now unclear how Labour will fund its manifesto commitments.
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