5 days ago
Reeves will have to ditch key party manifesto pledge, IMF warns
The International Monetary Fund (IMF) commended Rachel Reeves' overall economic strategy but issued a warning regarding the UK's limited fiscal headroom.
The IMF indicated that this lack of financial flexibility might compel the Chancellor to abandon key manifesto pledges.
Suggested measures from the IMF included potentially increasing taxes on working people, replacing the state pension triple lock, or introducing charges for NHS services for higher-income users.
The IMF also identified the ongoing impact of Donald Trump's tariffs as a challenge for the UK economy.
Rachel Reeves responded by asserting that the government's decisions are fostering economic recovery and that their plans are designed to tackle inherited economic challenges.
