Connect with us


Everyone will have to pay more tax & make ‘sacrifices’, Chancellor Jeremy Hunt says ahead of Budget

EVERYONE will have to pay “a bit more tax” and make “sacrifices”, the Chancellor has revealed.

Jeremy Hunt said that difficult economic times mean the government will “ask everyone for sacrifices”, but he said that people on low incomes “only have so much to give.”

The Chancellor spoke of ‘difficult choices’ in his interviews this morning

Mr Hunt spoke of “difficult choices” but emphasised that any plan would show “compassion and support for the most vulnerable”.

On this, he told the BBC: “This is a government that is committed to helping people with the greatest difficulties and committed to our public services.”

Challenged on the details of tax and spending measures, he replied: “We do have to do some tax rises and spending cuts to show that we are a country who can pay our way.”

He added that this would be part of a plan to “bring down debt responsibly over time” and make sure that any recession was as “short and shallow” as possible.

He also announced that he would “reveal a plan to hold down rises in energy prices”.

When asked if this would be a new plan, replacing the existing energy price guarantee, he explained that the cost of the current energy bill support is like the economy “supporting a second NHS”, and implied that support would not be “uncapped or unlimited”.

However, he did say energy support was one of the things previous PM Liz Truss and her Chancellor Kwasi Kwarteng “got absolutely right”.

Discussing the prospect of nurse strikes, he recognised that doctors and nurses are under “unbearable pressure” and that the health service is in a “very tricky situation”.

Addressing NHS union’s pay demands, he said: “If we gave everyone inflation-proof pay rises, inflation would stay.

“The way through this is to bring down inflation.”

In a later interview with Laura Kuenssberg, though, he refused to rule out a decline in the quality of public services in the short-term.

However, he emphasised that economic growth may be hindered by the “big increase in the number of people not taking part in work, even though they perhaps could”.

Despite this, the Chancellor did admit that “we will all be paying a bit more tax”, adding: “I’m not going to be hiding anything I do.”

Explaining this he said: “Conservatives know that a thriving and dynamic economy needs low taxes and sound money – but sound money has to come first.”

The Chancellor recognised that there would be economic pain but said: “we don’t have the option of doing nothing.”

He explained that if the government did nothing then it would force the Bank of England to raise interest rates, which would hit people’s pockets “just as insidiously as taxes”.

He also said that he will “talk about” defence spending in the statement, adding that “it’s really important”.

Overall, he said it is “not just bad news”, stating he wants to set out a plan to “show the way through” the difficult circumstances facing the UK.

He added: “This will be a plan to help bring down inflation, help control high energy prices and also get our way back to growing healthily, which is what we need so much.”

1 Comment

1 Comment

  1. Pingback: Households face soaring council tax and energy bills hike thanks to Autumn Statement

Leave a Reply


Must See


More in Money