Rachel Reeves is gearing up to break a major manifesto promise as the Chancellor prepares to hike income tax.

In a speech from Downing Street, the Chancellor is expected to say she will “make the choices necessary to deliver strong foundations for our economy” for “years to come.”

Downing Street has repeatedly refused to re-commit to Labour’s manifesto pledges, fuelling speculation that its promise to avoid hiking income tax looks set to be broken today.

In her speech, the Chancellor will say: “You will all have heard a lot of speculation about the choices I will make. I understand that, these are important choices that will shape our economy for years to come.

“But it is important that people understand the circumstances we are facing, the principles guiding my choices, and why I believe they will be the right choices for the country.”

It follows comments from Sir Keir Starmer, who took a swipe at the Conservatives and Reform UK, accusing them of planning to “return us to austerity.”

The Prime Minister said last month: “It is becoming clearer that the long-term impact of Tory austerity, their botched Brexit deal and the pandemic on Britain’s productivity is worse than even we feared.

“Faced with that, we will make the tough but fair decisions to renew our country and build it for the long term. A Labour government making Labour choices. The Tories and Reform would return us to austerity.”

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Kemi Badenoch to lay down gauntlet to Labour – ‘Britain has stopped working’

Kemi Badenoch is expected to heighten her attacks over the U-turn in a speech on Tuesday, claiming “Britain has stopped working” and accusing Labour of having “given up” on lowering the benefits bill.

The Tory leader will also call on the Chancellor personally to “demand the Government withdraws the Employment Rights Bill altogether, before it becomes Labour’s Unemployment Act”.

Mrs Badenoch is expected to say later today: “Britain has stopped working, because it has stopped making sense to work. Far from solving this, Labour seem intent on making it worse.”