Rachel Reeves and Keir Starmer’s chief secretary have given the strongest hint yet that manifesto commitments not to raise taxes on working people could be broken in November’s budget – with average workers facing a £214 hike.
Workers earning £60,000 could find themselves paying an extra £643 if the Chancellor freezes tax thresholds – a so-called stealth tax – which is on the table along with a mansion tax .
Speaking at the Labour conference in Liverpool, the Chancellor warned of “further tests” facing the party in the coming months – a reference to the Budget taking place in late November. New Feature
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She insisted to activists that she had been right to raise taxes and enforce fiscal discipline despite unrest from businesses unhapp