By JAMES TAPSFIELD, UK POLITICAL EDITOR Published: 12:19 BST, 30 September 2025 | Updated: 14:36 BST, 30 September 2025
Ordinary Brits are facing tax pain after it emerged Rachel Reeves has reassured businesses they will not be targeted at the Budget.The Chancellor is said to have given assurances to executives about how the estimated £30billion black hole will be filled during private sessions at the Labour conference yesterday.The previous raid on employer national has been widely blamed for slowing the economy - with warnings UK plc is descending into a 'doom loop'. Official figures today confirmed GDP grew by just 0.3 per cent in the second quarter, compared to 0.7 per cent in the previous three months.However, the apparent protection for business raises questions about how large sums can be raised from workers and pensioners. Rachel Reeves is said to have given assurances to executives about how the estimated £30billion black hole will be filled during private sessions at the Labour conference yesterdayNo10 enforcer Darren Jones has hinted that manifesto promises on income tax, National Insurance and VAT might not last.He insisted the commitments still applied 'today' – but only because no decisions have been taken.Speculation has been mounting that VAT could be expanded to things such as taxi fares, even if the headline rate is not changed. Ms Reeves used her conference speech yesterday to admit that tough 'choices' are coming in the Budget on November 26, as stalling growth and rising borrowing costs lay waste to her plans. The Chancellor insisted she was going to keep taxes 'as low as possible', but acknowledged the position has been made even harder by 'global headwinds'. 'I will make my choices at that Budget. They will be choices to take this country forward... I will take no risks with the trust placed in us by the British people,' she said.Speaking on BBC Radio 4's Today programme, Steve Rigby, chief of the tech-focused Rigby Group, said Labour's business day had been 'better than last year'.‘What we’re all waiting for desperately is news on the Budget… we didn’t get that. But what we did get is a more conciliatory tone from government,' he said. Official figures today confirmed GDP grew by just 0.3 per cent in the second quarter, compared to 0.7 per cent in the previous three months‘They recognise that things haven’t gone as well as they hoped, they recognise they are under pressure… ‘Mr Rigby said it was 'sensible' that the government was considering whether the manifesto pledges should be abandoned.He added: ‘They did give confidence yesterday, very specifically I asked Rachel Reeves around businesses taxes, and she did give confidence that they aren’t going after further business taxes in the Budget.’
