The mood music emanating from the Treasury ahead of the November 17 Autumn Statement is funereal: tax rises and spending cuts are imminent. Amid anaemic economic growth and following a mini-Budget that spooked the markets and saw the cost of borrowing rise, there is a clear need to make the numbers add up. How the Government goes about that is critical.
Ministers say it is “inevitable” that “everybody would need to contribute more in tax in the years ahead”, not just the rich. This is, of course, at the same time as mortgage rates, rents, energy bills and the cost of food continue their seemingly inexorable rise.
