Rachel Reeves faces having to take drastic action on spending unless she abandons her pledge not to hike taxes on 'working people', the IMF warned today.
The international body highlighted the 'difficult decisions' facing the Chancellor in its latest assessment of the UK's position.
The report pointed to medium-term pressures from the aging population, suggesting that unless more revenue is raised the pensions triple lock could have to be axed, or NHS services means-tested.
The verdict came as Ms Reeves desperately hunts for options to increase taxes as she faces an estimated £30billion black hole in the public finances at the Autumn Budget.
Labour has ruled out increasing income tax, employee national insurance or VAT.
