Party claims its policies would eliminate ‘black hole’ Rachel Reeves faces in the budget – but Labour says the ‘fantasy numbers don’t add up’

A Reform UK government would block EU nationals from receiving universal credit, a move that would rip up the post-Brexit trade deal with Europe and risk potential retaliation from Brussels.

It is among several proposals that will be announced by Nigel Farage at a press conference on Tuesday. The party claims its measures would save £25bn a year in total – enough to cover the supposed shortfall faced by Rachel Reeves in next week’s budget.

Other proposed cost savings would involve cutting overseas aid to a maximum of £1bn a year – a 90% reduction from the current level of 0.3% of national income – and almost tripling the NHS surcharge paid by non-UK residents.

While Farage will present the package as prioritising the welfare of British nationals over non-citizens, the proposal to unilaterally junk elements of the post-Brexit deal with Brussels could affect the UK economy if it sparked reciprocal measures such as trade restrictions.