The Mirror explains how income tax works and all the latest reported plans that could be announced in the Budget

Rachel Reeves will deliver her Autumn Budget on November 26 — but what will this mean for income tax and national insurance?

As part of its manifesto, Labour promised not to increase VAT, national insurance, or income tax for working people. Earlier reports suggested the Chancellor was considering breaking this pledge with a plan to increase income tax by 2p, while cutting national insurance contributions.

Then in new reports last week, it was claimed these plans have now been dropped, following fear of backlash from voters and MPs and after the Government received better-than-expected economic forecasts. The last time the basic rate of income tax was increased in the UK

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