The UK’s chancellor, Rachel Reeves, has confirmed that the autumn Budget will take place on Wednesday 26 November – later than experts had expected.
It comes as the Treasury faces growing pressure to fill in a “black hole” in the public finances, with some think tanks warning that the shortfall could be as big as £50bn. Speculation has been mounting around how the chancellor intends to close the gap, with suggestions including a potential property tax, levying national insurance on landlords’ rental income and an inheritance tax raid on lifetime gifts.
Jason Hollands, managing director at Evelyn Partners, said the timing of the Budget is “a bit of a surprise” given the rife speculation over tax rises and rising gilt yields.
“It is certainly a very late date in the calendar year for the Budget, though not so late in the context of a fiscal year,” he added. “While November Budgets and fiscal events are not unusual, you have to go as far back as the mid-1990s to find ones as late as this.
“Cynics will assume that holding such a hotly anticipated event a month later than last year is a sign that the chancellor needs more time to work out what measures are required and confirmation that she isn’t wholly in control of its contents.
“It does however also mean another month of uncertainty, speculation, and kite-flying about where the chancellor will make her moves in search of tax receipts. That is unnerving for people trying to make important financial decisions.”
Announcing the Budget date, Ms Reeves (pictured) said she is “determined to deliver” the priorities of the British people, adding: “Britain’s economy isn’t broken, but I know it’s not working well enough for working people…cost of living pressures are still real, and we must bring inflation and borrowing costs down by keeping a tight grip on day to day spending through our non-negotiable fiscal rules.”
