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Millions of households may face an income tax hike at November's Budget.

It comes after Keir Starmer refused to rule out a tax increase - despite previously promising not to break manifesto pledges.

Speculation has been growing that the Chancellor Rachel Reeves will hike income tax at the Budget on November 26.

READ MORE: HMRC deducting £300 from state pensioners' bank accounts from Saturday

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The tone has shifted in recent days, with both Chancellor and Prime Minister refusing to rule it out.

Starmer was asked at Prime Minister's Questions on Wednesday about Labour's tax plans.

Until recently, the Government had consistently ruled out hiking either income tax, VAT or National Insurance - which was a

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