Chancellor Rachel Reeves is set to present Labour’s first Budget on Wednesday, 30 October, outlining key economic decisions for the UK.
At the beginning of September, Reeves hinted at “difficult decisions” regarding tax, spending, and benefits, but her speech at the Labour Party conference struck a more optimistic tone, focusing on future economic growth.
Each year, the chancellor of the exchequer presents a Budget to the House of Commons, detailing the government’s plans for taxes and public spending.
These plans impact essential services like healthcare, education, and policing.
The last Budget, delivered by former Conservative Chancellor Jeremy Hunt in March 2024, will now be followed by Labour’s new financial priorities for the country.
The Budget speech will begin around 12:30 PM UK time and will be broadcast live on BBC iPlayer and the BBC News website.
Following Reeves’ address, Conservative Party leader and opposition leader Rishi Sunak will respond with a speech.
In tandem with the speech, the Treasury will release a detailed report on the proposed measures and their costs, while the independent Office for Budget Responsibility (OBR) will offer an economic assessment.
Afterward, MPs will debate the plans for several days before voting to approve them, turning the proposals into law through a Finance Bill.
Boosting the economy is a central theme for the Labour government. Reeves emphasized the “long-term prize” that will come from restoring stability to the UK economy.
While the country experienced solid growth in early 2024, becoming the fastest-growing economy among the G7 nations, it faced a slowdown by June and July.
Reeves has noted the challenging financial situation Labour inherited, claiming the government faces a £22 billion “black hole” in finances—something the Conservative Party denies.
Reeves has indicated that some tax increases may be necessary to close this gap, driven by rules that limit how much the government can borrow over the next five years.
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