Treasury chief's unexpected u-turn shows hidden money problems after taking office
New Chancellor admits mistake in pre-election promise about taxes after finding unexpected issues in Treasury. Recent Budget brings major changes to farming inheritance and business taxes
Rachel Reeves made a surprising turn-around about her pre-summer statement on taxes: she admits being wrong when she said no tax hikes would be needed. The newly-appointed Chancellor found some un-expected issues in public money (that nobody knew about during election-time)
I was wrong on the June 11
The Treasuryʼs new boss says she discovered a money-gap after taking office in early-july; however ex-Chancellor Jeremy Hunt doesnt agree with this view. While Labour talks about a 22-billion-pound problem the Governmentʼs money-watchers only found 9.5-billion in hidden costs
The new Budget brings big changes to farm-land inheritance rules. Starting april-2026 only properties worth up to 1-million pounds can skip tax payments - a change that makes many farmers worried about their future. Jeremy Clarkson who owns a farm himself wrote a not-happy piece about this decision
- Social-care companies dont get tax breaks
- Private health-care providers must pay more
- NHS gets extra cash for new costs
- Companies might slow-down wage growth
The Treasury chief stays firm on these choices saying its not about ideas but about fixing money problems. Even with all the push-back from different groups the Budget will likely pass due to Labours strong position in Parliament
