What To Expect From Jeremy Hunt's Spring Budget

Chancellor Jeremy Hunt is under pressure from backbench Tory MPs to deliver tax cuts in the Spring Budget, as the government looks for ways to try to convince voters not to abandon the Conservatives in the general election.

Hunt will announce the Budget in the House of Commons on Wednesday, setting out the Treasury’s taxation and spending plans for the next financial year, alongside an updated economic forecast.

While the Treasury has been seeking to play down expectations of major reforms until the economy performs better, many Tory MPs believe it is the government’s last chance to shift the dial before the next general election, expected by the end of this year. A poll published by Ipsos UK on Monday suggested only 20 per cent of the public plan to vote Tory, the lowest Ipsos score ever recorded by the party.

Here is everything we know so far about what could be included in the Budget: 

In the Autumn Statement last year, Hunt went some way to placate pro-tax cut Tories by reducing the main National Insurance rate from 12 per cent to 10 per cent. However, the UK's tax take still grew to its highest level on record by the end of 2023, meaning Hunt is expected to make further tax cuts in this Budget in an attempt to satisfy calls from increasingly impatient Conservative MPs.  

He is reportedly considering doing this through a 1 per cent cut to either National Insurance or income tax, recently telling the BBC’s Political Thinking podcast that his long-term goal was to “lighten the tax burden”.

This move would not be universally welcomed. The International Monetary Fund has warned against tax cuts, arguing that "fiscal consolidation" is needed with spending on key areas such as health, education and tackling climate change to