Fears are mounting of 'inevitable' tax hikes in the Autumn as Cabinet warring over spending and benefits cuts rages.
Rachel Reeves faces having to fill a gap of between £10billion and £30billion in the public finances, with growth slowing and Trump's tariffs hitting global trade.
The Chancellor's problems have been fuelled after a Labour revolt forced Keir Starmer to commit to partly reversing the scrapping of the winter fuel allowance.
The government has also been dropping strong hints about easing the two-child benefits cap, while MPs are fighting to block other mooted curbs to the welfare budget.
Ministers are also wrangling bitterly over departmental spending settlements due to be announced next month.
