Summary

  • Rachel Reeves is set to be questioned by Laura Kuenssberg after the Budget - watch live from 09:00 GMT

  • Tory leader Kemi Badenoch, who called the Budget a "smorgasbord of misery", will also be on the show

  • Now the chancellor's big choices are out there, what's the best and worst that could happen for Labour? Read the analysis from Laura Kuenssberg

  • Here's a glance at what's in the Budget, and how it will affect you and your money

  • Also on the show today will be model David Gandy, who will share his view on toxic masculinity

Live Reporting

Edited by Tinshui Yeung

  1. Analysis

    Reeves taxes big and spends big

    Chris Mason
    Political editor

    Chancellor of the Exchequer Rachel Reeves outside 11 Downing Street on Budget Day holding her ministerial red box

    Folk in government defiantly and proudly regard the Budget as a truly Labour Budget.

    Tax rises for good reasons, they argue, as their critics to the right argue spending, benefits and taxes are out of control.

    At the heart of this Budget was the chancellor choosing to tax big and spend big.

    Rachel Reeves argues doing so means the government can do what party figures regard as "good Labour things" like the decision to scrap the two-child limit on the child element in universal credit.

    There isn't universal support for it though on the Labour benches – there is an awareness that as popular an idea as it is for many within the party, opinion polls suggest maintaining the cap was popular too.

    It is an illustration of the different audiences the chancellor needs this Budget to appeal to.

  2. The Budget - key points at-a-glance

    • A freeze to National Insurance and income tax thresholds will be extended for an extra three years beyond 2028
    • Cash Isas (Individual Savings Accounts) will be capped at £12,000 a year for under-65s
    • The two-child benefits cap is being scrapped
    • The legal minimum wage will rise - this includes a 4.1% increase for over-21s, with pay for 18 to 20-year-olds rising to £10.85 an hour
    • Basic and new state pension payments will go up by 4.8% under the "triple lock" policy
    • A cap of £2,000 will be introduced on salary sacrifice schemes for the amount that can be shielded from NI contributions
    • A "mansion tax" on properties over £2m will face a council tax surcharge
    • A 5p "temporary" cut in fuel duty on petrol and diesel was extended (again) until September 2026
    • Premium cars will be excluded from the Motability scheme
    • Regulated rail fares for journeys in England will be frozen next year
    • A pay per mile tax for electric vehicles and plug-in hybrid cars will be introduced from 2028
    • Remote gaming duty - paid on online casino betting - will rise from 21% to 40% from April 2026
    • Green levies will be taken off energy bills and paid through general taxation, in a move the Treasury says will save households £88 a year
    • Tax on sugary drinks will be extended to pre-packaged milkshakes and lattes from 2028

    Head to our story for a more detailed look at all the measures included in Rachel Reeves's Budget.

    Watch: How Budget day unfolded

  3. Analysis

    What's the best and worst that could happen for Labour?

    Laura Kuenssberg
    Presenter, Sunday with Laura Kuenssberg

    A treated image of Rachel Reeves holder her ministerial red box Copyright

    Now the chancellor's big choices are out there, what's the best-case scenario for Reeves and Starmer, and what's the worst that could happen next?

    On the positive side of the ledger, Labour MPs have gone off to their constituencies in a better mood this week. That is in large part down to the chancellor's decision to scrap the limit on bigger families getting some extra benefits.

    One government source described it as a "restatement of values, something that MPs wanted to see, government being more bold about what it believes in and what a Labour government is".

    What about the worst-case scenario?

  4. Starmer to back Budget in speech tomorrow

    Nick Eardley and Yang Tian

    Keir Starmer gives a thumbs up and Rachel Reeves claps as the pair stand in a community centre with other people sitting around clappingGetty Images

    Prime Minister Keir Starmer will give his backing to the chancellor's Budget in a speech on Monday.

    He will say Chancellor Rachel Reeves's statement will help to ease cost of living pressures, lower inflation and ensure economic stability.

    The prime minister will also promise to cut "unnecessary red tape" in infrastructure, after a report found the UK had become the most expensive place to build nuclear power infrastructure.

    He'll call for reform in the sector and an urgent correction to "fundamentally misguided environmental regulation".

    The speech, just five days after the Budget, may suggest some nervousness over how the government's economic plans have been received by the public, though No 10 say a statement was already planned.

    You can read more in our news story.

  5. A truly dismal rise in household spending, IFS says

    Dearbail Jordan
    Senior business and economics reporter

    Britain's households are facing a "truly dismal" increase in their disposable income following the Budget, the Institute for Fiscal Studies (IFS) think tank says.

    The IFS highlights analysis from the Office for Budget Responsibility (OBR), which forecasts that average disposable income will grow by "only" 0.5% a year over the next five years.

    "This is truly dismal," says IFS director Helen Miller. "Especially when compared to the more than 2% per year we achieved across every parliament from the mid-1980s to mid-2000s."

    Alt text: Bar chart titled ‘How budget will raise taxes by £26bn by 2029-30’, showing contributions from different measures. The largest increase is £8bn from freezing the personal tax thresholds, followed by £4.7bn from salary sacrifice pension changes and £4.4bn from other tax measures. Smaller increases include £2.3bn from tax administration and debt collection, £2.1bn from property, savings and dividends income tax, £1.5bn from a corporation tax change, £1.4bn from a new electric car mileage tax, £1.1bn from gambling tax changes, £0.9bn from capital gains tax changes, and £0.4bn from a “mansion tax” on properties over £2m. A fuel duty freeze extension reduces revenue by £0.9bn. Source: HM Treasury and the OBR

  6. Reeves and Badenoch to face Laura Kuenssberg

    Composite image of Rachel Reeves and Kemi BadenochGetty Images

    Rachel Reeves has had quite the week.

    On Wednesday, the chancellor delivered her much-anticipated Budget to MPs.

    While some measures were announced in the days prior, the majority were revealed 40 minutes before she was due to speak due to the mistaken (and dramatic) publication of the budgetary watchdog's forecast.

    There was plenty to unpack - and we'll be bringing you a reminder of the key changes shortly.

    In the days since, the chancellor has faced much media scrutiny, including questions over whether she misled the public over the state of the nation's finances ahead of the Budget (which No 10 denies).

    Today, Reeves will face questions from the BBC's Laura Kuenssberg - follow live at the top of this page from 09:00 GMT.

    We'll also be hearing from Leader of the Opposition Kemi Badenoch, who called the Budget a "smorgasbord of misery" on Wednesday.

    Separately, model David Gandy be speaking to Laura about his views on toxic masculinity.

    Stay with us for the updates and analysis on all of this and more.