Rachel Reeves expected to extend ‘stealth’ freeze on income tax thresholds

Rachel Reeves is understood to be targeting alternative measures amid concerns that a crackdown on non-doms is likely to bring in less than anticipated. Photograph: Tayfun Salcı/ZUMA Press Wire/REX/Shutterstock

Rachel Reeves is expected to extend a “stealth” freeze on income tax thresholds beyond the 2028 deadline set by the previous Conservative government to raise billions of pounds in the budget.

The chancellor is contemplating the move, first reported by the Financial Times, as she seeks tax-raising measures to plug a £40bn shortfall in the public finances that Labour claims was left by the Conservatives.