UK Chancellor of the Exchequer Rachel Reeves speaks to the media before delivering the keynote speech at the 2024 Labor Party Conference at ACC Liverpool on September 23, 2024 in Liverpool, England.
Ian Forsyth | Getty Images News | Getty Images
LIVERPOOL, England — Finance Minister Rachel Reeves vowed Monday that Britain would not return to austerity, saying her budget proposals would focus on rebuilding the country.
“This will be a truly ambitious Budget… a Budget that delivers the change we promised. A Budget that rebuilds Britain,” she told a group of Labor delegates on Monday. “There will be no return to austerity.”
Her speech was briefly interrupted by a question from a protester in the crowd.
The ruling Labor government has faced criticism for creating an apocalyptic atmosphere over the state of public finances, with Prime Minister Keir Starmer warning after the party’s election win in July that the party would ” “Painful” decision.
Reeves said taxes were likely to rise in the upcoming autumn budget on October 30 after uncovering a £22 billion ($29 billion) “black hole” in the public finances. Her predecessor, Jeremy Hunt from the rival Conservatives, denied the claims “virtual.”
Reeves has ruled out raising income tax, National Insurance social security payments, VAT (sales tax) and company tax.
However, the government announced that millions of pensioners will no longer receive winter home heating bills, a decision criticized by Labor supporters.
Half of Britons, including a quarter of Labor voters (26%), are disappointed with the government’s achievements so far, Ipsos poll shows Friday. Gideon Skinner, senior director of politics at Ipsos UK, said the findings showed the government’s “honeymoon period” was over.
“After months of hope following the general election, pessimism and concern have returned,” Skinner told a Labor conference earlier on Monday.
This is a breaking news story. Please check back for updates.
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