Britain's wealth squashed under Reeves... and it could get WORSE: Brits face an extra YEAR of flatlining wealth, a record tax burden with fears of more to come - and the only thing propping up GDP is

Brits are facing four years of flatlining wealth - and a new record tax burden - as a grim report underlined how even meagre economic growth has been driven by immigration. The tax burden is still on track to hit a record high of 37.7 per cent of GDP in 2027-28, from 35.3 per cent this year, with frozen thresholds inflicting more pain on Brits. The OBR highlighted the role of net migration - which has hit a new record annual high of 906,000 - in the growth of the economy over recent years The report said structural weakness in productivity was to blame for around a third of the one percentage point downgrade in forecast growth this year Rachel Reeves delivered her Spring Statement to the Commons today Spring Statement 2025: What has Rachel Reeves announced? Chancellor says the 'world is changing before our eyes' as she takes veiled swipe at Donald Trump for causing 'more unstable' global trade She insists her fiscal rules are 'non-negotiable' and says she has 'restored' nearly £10billion of 'headroom' in her financial plans by 2029/30 Ms Reeves reveals Office for Budget Responsibility found a gap of around £14billion in the public finances since October's Budget OBR slashes growth forecast for 2025/26 to 1 per cent from 2 per cent She swerves further tax increases but announces new measures to tackle tax avoidance estimated to raise another £1billion Chancellor announces extra welfare cuts with health element of Universal Credit to be cut for new claimants by 50 per cent and then frozen She was forced to act after the OBR judged that previous welfare cuts were not worth the £5billion that ministers claimed Ms Reeves shaves £6.1billion from day-to-day Whitehall spending by 2029/30, but capital spending is boosted by an extra £2billion a year Ministry of Defence to get an extra £2.2billion in bid to make Britain a 'defence industrial superpower' OBR says Labour's housebuilding blitz will grow the economy by 0.2 per cent by 2029/30, worth around £6.8billion But watchdog says Government is only on track to build extra 1.3million homes - not the 1.5million promised The alarming picture had put Ms Reeves on track to break her own 'fiscal rules' before she scrambled to make up the shortfall. The OBR has sharply downgraded growth forecasts for this year 'Tax as a share of GDP is forecast to rise from 35.3 per cent this year to a historic high of 37.7 per cent in 2027-28 and remain at a high level for the rest of the forecast,' the report said.