Tories demand answers from OBR over Reeves's income tax backtrack

"The Conservatives have accused Chancellor Rachel Reeves of undermining the Budget process and dragging the Office for Budget Responsibility (OBR) into political controversy after Labour briefed that improved economic forecasts prompted her to abandon plans for an income tax rise. Shadow chancellor Sir Mel Stride has written to Richard Hughes, chairman of the OBR, demanding clarity on when the Chancellor received the watchdog's forecasts and whether they played any role in last week's surprise U-turn."

"Reeves dropped the plans two weeks after the OBR handed over its final pre-Budget forecast on 31 October. The timing has fuelled suspicions among Conservatives that the Chancellor's decision was politically driven rather than dictated by the numbers. In his letter, Stride said the government's explanations "simply don't stack up," adding that the Chancellor had "sullied the Budget process" by briefing details to the press and "drawing the independent OBR into the crossfire.""

"Government sources claimed that Reeves acted on updated Treasury analysis of the OBR's long-term growth projections received on 10 November, which reportedly showed a £10 billion improvement in the public finances. However, the OBR's own published timetable says its final economic forecast-produced before any policy decisions-was delivered on 31 October and should provide the "stable base" for the Chancellor's choices."

Conservative MPs accused Chancellor Rachel Reeves of undermining the Budget process and of dragging the Office for Budget Responsibility (OBR) into political controversy after Labour briefed that improved forecasts led her to abandon a planned income tax rise. Shadow chancellor Sir Mel Stride wrote to OBR chair Richard Hughes seeking clarity on when forecasts were received and whether they influenced the U-turn. Reeves had been expected to announce a 2p basic rate rise but reversed course amid speculation over party leadership. Government sources said Reeves acted on updated Treasury analysis received on 10 November showing a £10 billion improvement, while the OBR timetable shows a final forecast delivered on 31 October that should form a stable base. Stride asked whether projections changed since then and whether confidentiality was breached when Reeves commented publicly on OBR downgrades to the UK's long-te

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