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After almost everyone in the UK was beginning to grow concerned that nobody was safe from the upcoming budget, with increases to basic income tax and National Insurance seeming likely, the Chancellor has apparently scrapped these ideas.
According to sources close to the Treasury, Reeves has produced two budgets, one with hikes to income tax and NI and one without and decided to go with the latter after a number of MP's expressed concern over breaking manifesto promises.
Whilst you may think this would benefit the Pound, it has in fact had the opposite effect, with GBP broadly down -0.50% this morning. The reason for this is that traders are now nervous about where else the taxes are now going to come from.
Even larger concerns that the Chancellor may not be able to fill the fiscal black hole she has raised alarms about. The upcoming increase in the tax burden may now shift to businesses rather than individuals, likely making the unemployment situation worse and growth even weaker.
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