Resolution Foundation urges tax rises in October Budget

Summarised from 2 outlets · Updated 13 Oct, 12:44 · Archive

The Resolution Foundation wants Chancellor John Healey to raise £8 billion in taxes, including on pensioners, at the October 28 Budget.

The Resolution Foundation, a think tank with influence on Labour Government policy, has urged Chancellor John Healey to raise some £8 billion in taxes at the Budget on October 28. The think tank warned that delaying tough decisions is 'not the right approach'.

The predicted fiscal buffer has dropped from £24 billion to as little as £12 billion, the foundation said, citing the impact of the Middle East war alongside other pressures on public finances. James Smith, chief economist at the Resolution Foundation, said the Treasury faces 'a pretty chunky deterioration in the public finances'.

Smith warned against the apparent Treasury plan to defer key choices to next year's spending review, arguing that the government should face its challenges head on immediately. The think tank called for tax rises, including on pensioners, and targeted support for those struggling most with cost of living. The first priority should be helping families through 'the difficult winter ahead', Smith said, including support with soaring energy bills for households where no one has an income of more than £24,000.

Resolution Foundation urges tax rises in October Budget — Image: Independent Business

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How it is being reported

Healey warned against delaying tough Budget decisions as fiscal buffer halvesThe Resolution Foundation called for the Budget on October 28 to hike taxes – including on pensioners.Independent Business · 13 Oct, 12:20
Healey warned against delaying tough Budget decisions as fiscal buffer halvesThe Resolution Foundation called for the Budget on October 28 to hike taxes – including on pensioners.Evening Standard · 13 Oct, 12:20

In this story: John Healey · Resolution Foundation · Labour Government · James Smith

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