Labour tax U-turn? Rachel Reeves refuses to rule out more rises despite CBI pledge

Sign up for the View from Westminster email for expert analysis straight to your inbox Get our free View from Westminster email Get our free View from Westminster email SIGN UP I would like to be emailed about offers, events and updates from The Independent. Rachel Reeves refused to rule out more tax rises As MPs voted through the controversial Budget increase in national insurance contributions, Mr Stride pressed Ms Reeves on whether she would stick by her pledge at the CBI conference where she told business leaders: “I’m really clear, I’m not coming back with more borrowing or more taxes.” Mr Stride asked if Downing Street has “changed its mind”, or if Ms Reeves “spoke without thinking”. Mr Stride said: “I think there is a risk of tax rises in the future given how tight the chancellor’s fiscal headroom is and the risks that lie ahead.” After a “choppy” first few months in office, Sir Keir and his chancellor appear poised to end their all-out pursuit of economic growth, a key plank of their election message. One said: “Growth is still the goal ; on Thursday we’ll set out additional milestone re living standards.” Another said: “You can only improve the cost of living through growth.” Jonny Haseldine, policy manager at the British Chambers of Commerce said: “Businesses are facing tough decisions as they look to deal with significant extra cost burdens in the months to come. The pledge to not tax working people did not survive the chancellor’s first Budget, so we should not be surprised that she is already rowing back from her pledge to not come back for more.” Ms Reeves tried to calm nerves among business leaders when she spoke in a “fireside chat” at the Great Northern Conference in Hull, where she committed to boosting economic growth in the north of England, and announced new powers for mayors to attract international investment.