Tax hikes will come if economy shrinks any further, IFS warns Reeves

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In a scathing assessment, the Institute for Fiscal Studies (IFS) suggested the Treasury was at times ‘making up the numbers’

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The influential Institute for Fiscal Studies (IFS) has warned Rachel Reeves that any more bad economic news will “almost certainly” spark more tax rises.

A day after the chancellor unveiled her spending plans for the rest of the parliament, the IFS added to concerns that she has left herself with little room for manoeuvre.

Tax hikes will come if economy shrinks any further, IFS warns Reeves

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