Further tax raids

Further tax raids loom Economists predict that Labour will need to implement further tax increases before the next general election due to weak economic growth during its tenure. A survey of 96 experts indicated that while the UK may outperform France and Germany in 2025, national insurance hikes are expected to undermine job security and the economy. Maxime Darmet, senior economist at Allianz Trade, said: “Growth will undershoot the Government and the OBR's forecasts.” The majority of respondents believe Chancellor Rachel Reeves will have to raise taxes again, despite her assurances against a significant tax-raising Budget. Concerns over rising costs and inflation are fuelling anxiety among workers, with Andrew Goodwin from Oxford Economics noting that the OBR's growth forecasts are overly optimistic. The overall sentiment suggests that the UK will continue to struggle with weak investment and productivity.