Reeves: Rachel Reeves: If renewal is our mission and growth are our challenge, investment and reform are our tools. Credit: HM Treasury Flickr
The Chancellor has confirmed that the date of the Budget will be Wednesday 26 November.
In a video message posted this morning, Chancellor of the Exchequer Rachel Reeves said: Britain's economy isn't broken. But I know it's not working well enough for working people. Bills are high. Getting ahead feels tougher. You put more in, get less out. That has to change."
She said the UK has got "huge potential" with world-leading brands, dynamic industries, brilliant universities, and a skilled workforce – noting the UK was also a global hub for trade.
Reeves said that "fixing the foundations" had been her mission this past year but said there was "more to do" – noting that cost of living pressures were still real and adding that the government must "bring inflation and borrowing costs down by keeping a tight grip on day-to-day spending through our non-negotiable fiscal rules".
She said it was only by doing this that the government could afford to do the things it wanted to do.
Reeves said: "If renewal is our mission and growth are our challenge. Investment and reform are our tools."
The announcement comes as the government's borrowing costs have risen sharply – with the yield on 30-year gilts reaching their highest level since 1998 yesterday, closing at 5.698%
There has also been increased speculation that the Chancellor will use the Budget to target pensions – with speculation that Rachel Reeves is considering moves, such as cutting the tax-free pension lump sum in a bid to save more than £2bn a year.
Last month, Professional Pensions reported on four 'lucrative areas' for Budget pension reform – a move on tax-free lump sums, tax relief, salary sacrifice or the annual allowance.
