Rachel Reeves may be forced to HIKE taxes after she wiped out £9billion of spending headroom, experts warn RACHEL Reeves will be forced to hike taxes or slash spending after wiping out her £9.9billion economic buffer, experts have warned.
Labour had banked on securing economic growth to fund their spending plans, but that has been lacklustre since they took office.
Most experts expect the Chancellor to cut Whitehall spending rather than raise taxes even more, which she has admitted is not desirable.
Ms Reeves yesterday warned of being "kicked out” of office if Labour do not deliver on the NHS and living standards amid the threat from Reform.
“Without changing taxation and spending plans, this means that there is no buffer through which to absorb cyclical economic shocks were they to materialise over the remainder of the parliament.”.
