The Latest Breaking News from Rachel Reeves

THE INDEPENDENT DEBATE: As Rachel Reeves prepares her first Budget and warns of ‘painful decisions’ ahead, debate is growing over whether she should raise taxes to fix the public finances or find fairer, alternative ways to boost revenue. Now it’s time to have your say...

The Chancellor refused to rule out tax hikes and said the upcoming Budget will focus on lowering inflation.

The chancellor might need to break manifesto pledges and a 50-year taboo, but she has a chance to steer UK finances back on track, says Ruth Curtice of the Resolution Foundation

Chancellor says she is focused on priorities for British people in pre-budget speech laying ground for expected tax rises

Sterling drops against dollar as chancellor’s speech is taken as a sign that taxes will rise in the budget, and interest rates may fall faster

U.S. Defense Secretary Pete Hegseth has praised South Korea’s plans to raise its military spending, saying the Asian ally will take a larger role in defending itself from North Korean threats

Rachel Reeves has said the Budget will focus on ‘getting inflation falling’ and ‘creating the conditions for interest rate cuts’

In recent weeks No 10 has repeatedly refused to re-commit to Labour’s manifesto pledges

In today’s newsletter: The Labour Party recently sounded resolute in its intention to cut the two-child benefit cap. But against an ugly fiscal backdrop, the chancellor may be having second thoughts