This will be a big budget.
Huge tax increases, huge borrowings, huge expenditures.
And it has a big political impact. Because it will determine the political landscape for years to come.
Prime Minister Rachel Reeves has promised to “invest, invest, invest” and will tell the House of Commons: “My faith in Britain burns brighter than ever.
“There’s more money in people’s pockets, and the NHS is there when you need it most.
“The economy grows, creating wealth and opportunity for everyone.”
Please take note of the bright atmosphere after the dark statements made by ministers recently.
The government also emphasizes “protecting working people’s payslips.” This means an increase in national insurance contributions paid by employers rather than employees, and has been one of the biggest uproars in recent weeks.
Labor will use this budget to try to open a political dividing line with the Conservatives – much like what Gordon Brown tried to do a decade and a half ago – with the Conservatives hoping to use the so-called ”, that is, spending, as opposed to what they label as “decline” presented by the Conservatives.
Conservative leader Rishi Sunak, on his last big day in office before choosing his successor on Saturday, will understandably later criticize the Prime Minister.
“She calls National Insurance a ‘jobs tax’ that ‘takes money out of people’s pockets’,” he says.
“And worst of all, the problem with national insurance is that it is purely a tax on people who go to work and those who employ them,” she said.
“Rather than protecting workers, she will literally raise the only major tax that specifically hits workers.”
The Liberal Democrats are expected to focus on social care and the availability of GP and dentist appointments in their response to the Budget.
It’s been 14 years and seven months since the Labor Prime Minister waved the Budget’s red box on the steps of 11 Downing Street.
Wednesday 24 March 2010 was the day of Alistair Darling’s third Budget, tabled on the eve of an election campaign that Labor would go on to lose.
By the way, what was the most expensive measure that day? A promise to spend £600m to increase winter fuel allowance for another year.
Labour’s idea continued throughout the Coalition and Conservative governments, only to be discontinued for the vast majority of pensioners when Labor won again in July.
For 800 years, men have run the country’s finances. There have been 110 prime ministers since Sir Richard Sackville was appointed in 1559, a lineage spanning centuries. These include Henry Bilson Legge, who was Prime Minister three times in the 18th century, and William Gladstone, who was Prime Minister four times in the 19th century. 19th century.
That is, until Rachel Reeves was appointed.
The Conservatives could have ruled through the first three female prime ministers, given Labour’s current zero track record, but the first Budget by a female Chancellor of the Exchequer is a genuine historical moment.
So what can you expect?
Well, the big things have been talked about in advance through nods and glances, public conferences, and unauthorized leaks.
There will be a tax increase, which is expected to include employer national insurance and inheritance tax.
The government’s voluntary debt rules have changed, allowing more debt.
There is also an increase in the minimum wage.
Britain has money to rebuild schools.
And there are plans for new equipment for the NHS, including scanners and radiotherapy machines.
Expect Rachel Reeves to talk a lot about what she calls “choices.”
Her team views this as a “once in a generation” budget, and it is argued that its size matches the scale of the challenges they face.
They think this is the national code, and it’s in shambles, and it will be expensive to fix it.
How much that is, and whether billions of more taxpayers’ money will be the solution, is an open question.
