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Chancellor Faces Budget Crisis Amid £27bn Deficit Warning

10/8/2025

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Chancellor's Budget Challenge

The Chancellor faces pressure to balance budget by November 26, despite last year's £40bn measures.
Labour's manifesto bars income tax, National Insurance, and VAT increases during this Parliament.
Experts warn of a £27bn gap by 2029-30 without action; £35-40bn in tax rises may be needed.
National Insurance rose from 13.8% to 15% last year; experts warn increases could harm businesses.

Right

Badenoch Advocates Pension Debate

Kemi Badenoch, at the Conservative Party Conference, urged debate on means-testing the state pension amid triple lock concerns.
She said the triple lock has cost £10 billion more than expected since 2010, but defended it as citizen-funded.
Richard Fuller proposed a means-tested pension akin to Australia’s, citing £4 trillion liabilities; the state pension is set to rise 4.7% next April.

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Chancellor's Budget Challenge

The Chancellor faces pressure to balance budget by November 26, despite last year's £40bn measures.
Labour's manifesto bars income tax, National Insurance, and VAT increases during this Parliament.
Experts warn of a £27bn gap by 2029-30 without action; £35-40bn in tax rises may be needed.
National Insurance rose from 13.8% to 15% last year; experts warn increases could harm businesses.

1 / 2