Rachel Reeves Caught Red-Handed Over Budget Fibs
Chancellor Rachel Reeves is facing fierce backlash after a bombshell letter from the Office for Budget Responsibility (OBR) revealed she knew months ago that the UK’s public finances weren’t in crisis.
Despite this, Reeves spun a grim yarn to push through historic tax rises. Just days before last week’s Budget, she blamed Brexit, austerity, and even Donald Trump for an economy on the brink, hinting at breaking Labour’s no income tax rise pledge and warning of savage spending cuts if taxes stayed flat.
OBR Letter Exposes The Truth
The OBR’s letter peels back the curtain: since September, Reeves had been informed that rising tax revenues nearly offset a £21 billion hit from falling productivity. By late October, the government even boasted a £4 billion fiscal buffer and was on track to meet spending rules — meaning no tax hikes were necessary.
Political Spin Over Facts
Ignoring the clear numbers, Reeves rammed through a £30 billion tax hike. This move was largely designed to appease rebellious Labour MPs demanding bigger welfare payouts. She only dropped explicit income tax rises after a Financial Times leak blew the cover on her plans.
Tories Demand Reeves’ Sack
Conservative leader Kemi Badenoch tore into Reeves on X, saying: “More proof the Chancellor must go. For months she lied to justify the biggest tax hikes ever — for welfare giveaways, not economic stability.”
Tory frontbencher Neil O’Brien blasted Reeves for twisting “better than expected” numbers to pull a “budget rabbit” and avoid clearly raising rates.
OBR Chair Spells Out The Timeline
Richard Hughes, the OBR chair, confirmed that forecasts from 17 September and 3 October already included productivity downgrades balanced by rising tax revenues. By 31 October, the government was firmly on track to meet all fiscal targets — no extra tax needed.
This explosive leak shows Reeves’ doom-laden Budget warnings were a political smokescreen — misleading the public while hiking taxes to fund handouts, not fix the country’s books.
