What time is the budget? Potential tax rises and who could be worse off

Chancellor Rachel Reeves is set to deliver the government's first budget today (October 30).

Here, we’ve taken a look at the taxes which could rise following the budget.

When is the budget?

Reeves will give her budget speech to the House of Commons at around 12:30pm.

It will be the first Labour budget since the late Alistair Darling delivered the final budget of the Gordon Brown premiership in March 2010.

What tax rises could be in the budget?

The government has ruled out raising VAT, income tax and National Insurance for “working people”.

However, Reeves is reported to be considering raising the following taxes:

National Insurance increase for employers

An NI rate increase for employers is also expected to be in the budget, along with lowering the threshold for when employers start paying tax.

Businesses say the increase may prevent them from hiring as many staff as they would have previously, and, if employers decided to reduce pay rises, could affect employees.

Capital gains tax

Capital gains tax is a tax on the profits made when selling, or ‘disposing of’, an asset that’s increased in value - like second homes or investments. Rates differ depending on the amount of income tax you pay. Some assets are tax-free.

Inheritance tax

Inheritance tax, which is currently 40%, is a tax on the estate of someone who has died. Usually, you don’t have to pay inheritance tax if: the value of your estate is below £325,000, you leave everything above the £325,000 threshold to your spouse, civil partner, a charity or a community amateur sports club.

Freezing income tax thresholds

The chancellor is expected to continue the Conservative’s income tax thresholds freeze. This would continue the phenomenon of ‘fiscal drag’, where more people pay tax, or higher rates of tax, as their rising income passes the thresholds. An estimated 400,000 more people could be paying basic rate income tax.

Who could be worse off following the budget?

Politics expert Dr Steve McCabe says people who own second homes or rental properties, as well as those who have investments, could be worse off after the budget.

Dr McCabe also highlights the impact the already announced winter fuel payment cuts will have on pensioners.