Simon Case, the former cabinet secretary, has warned that voters may abandon centrist parties if Chancellor Rachel Reeves fails to address the UK’s economic challenges in next week’s budget. Speaking to the Guardian, Case said the budget is a pivotal moment for the centre-ground, which must demonstrate it can solve entrenched problems in tax, spending and debt.
Case revealed that during last year’s general election, while still in post, he believed Labour would be forced to break its manifesto pledge not to raise taxes due to the state of public finances. He noted that Whitehall was “very worried” about such promises given knowledge of the fiscal reality awaiting the new government.
The former civil service head argued that arguments about specific tax rises breaching manifesto promises miss the wider point. He called for a “really big conversation” about spending hundreds of billions to transform the UK economy, warning that unless the government tackles unsustainable processes, voters will look elsewhere, including to Reform UK.
Reeves has faced a dramatic buildup, with heavy briefing that she would breach the manifesto on income tax, before a Treasury row-back. She is now expected to seek revenue through measures such as a freeze on income tax thresholds and possible levies on gambling, avoiding direct tax rises. Despite this, thinktanks had previously labelled Labour’s no-tax-increase promises unrealistic.
Separately, the chancellor will announce a renewed crackdown on illegal vapes, including new powers for Border Force and HMRC to seize products on the spot and fine rogue traders up to £10,000. A government source said high streets are “flooded with illegal vapes” and the measures aim to protect shoppers and back honest businesses.
