Reeves says budget tax rises may impact wages but investment will boost long term growth

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Chancellor has been appearing on TV and radio defending her budget

Rachel Reeves is now being interview on ITV’s Good Morning Britain. She is being interviewed by Ed Balls, the former Labour shadow chancellor who is now a TV presenter. He asks her to confirm that workers will end up losing out because of the employers’ national insurance contributions increase. Reeves says the NICs increase will have an impact. But she says living standards are expected to rise during this parliament.

Balls pays a clip from the budget speech, where Reeves explained why she was freezing fuel duty. Q: If raising fuel duty was the wrong choice for working people during a cost of living crisis, why was cutting the winter fuel allowance the right choice? Reeves says, if she had not frozen fuel duty, petrol costs would have gone up sharply. On pensioners, she says the state pension is going up by £470. And she says the investment in the NHS will help everyone who uses the NHS.

 

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