Watch live: Rachel Reeves makes major pre-Budget speech

Watch Rachel Reeves explain her economic priorities in her pre-Budget speech on Tuesday 4 November.

The Chancellor refused to rule out increasing income tax, VAT or National Insurance to plug a gap in the public finances when he was asked to address speculation that Labor would break its manifesto commitments on tax rises.

In her speech in Downing Street, Ms Reeves said “easy answers” to solving economic problems would be “irresponsible”, hinting at painful decisions later this month.

Asked whether she would raise taxes on working people, Ms. Reeves said: “I will be laying out the individual policies of the budget by November 26. That’s not what today is about. Today is about setting the context for that budget.”

Speculation has increased over the possibility that the Chancellor will break one of Labour’s main manifesto commitments on tax.

The party promised in its 2024 manifesto that it would not increase any of the main taxes.

He promised not to “increase taxes on employees”, meaning they would not increase National Insurance, basic, higher or additional Income Tax rates or VAT.

On Monday (November 3) Sir Keir Starmer said it would be a “Labor budget based on Labor values” but added that “tough but fair decisions” would be taken.

Speaking at a party meeting in Westminster, he told Labor MPs the long-term impact of Conservative austerity and the failed Brexit deal was “even worse than we feared”.