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UK chancellor says ordinary people will pay 'a little bit more' as she defends Budget · INSIGHT TODAY

• 0:00
  Speaker 1: Millions of people will now pay more tax by twenty
• 0:03
  Speaker 1: thirty after the Chancellor unveiled her budget, raising taxes by
• 0:07
  Speaker 1: twenty six billion pounds to an all time high. Over
• 0:11
  Speaker 1: three quarters of a million people will now pay income
• 0:14
  Speaker 1: tax for the first time, and more than nine hundred
• 0:16
  Speaker 1: thousand people will be dragged into the higher rate of
• 0:19
  Speaker 1: tax after Rachel Reeves decided to freeze income tax thresholds
• 0:24
  Speaker 1: until twenty thirty one. That's everywhere except in Scotland. The
• 0:28
  Speaker 1: two child benefit cap will be scrapped from April next
• 0:31
  Speaker 1: year to help lift hundreds of thousands of children out
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  Speaker 1: of poverty. Doing so will cost the government three billion
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  Speaker 1: pounds a year. By twenty thirty, there's a new mileage
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  Speaker 1: based charge on electric and hybrid cars. From April twenty
• 0:45
  Speaker 1: twenty eight, a so called mansion tax will be introduced
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  Speaker 1: for properties valued over two million pounds in England that
• 0:53
  Speaker 1: will be paid on top of council tax. A lot
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  Speaker 1: of the money being raised will be used to create
• 0:58
  Speaker 1: a financial buffer wriggle room for the Chancellor. She has
• 1:01
  Speaker 1: now doubled that to almost twenty two billion pounds and
• 1:04
  Speaker 1: will be hoping it means she won't have to come
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  Speaker 1: back for more money at the next budget well. The
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  Speaker 1: Conservative leader Kemmy Baidenock said the budget was littered with
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  Speaker 1: broken promises and called it a total humiliation for the Chancellor.
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  Speaker 1: Our first report tonight is from our political editor Chris Mason.
• 1:22
  Speaker 2: Step forward with the timeless choreography of budget day, Chandler
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  Speaker 2: is Christmas cancel, the traditional photo outside number eleven Downing Street,
• 1:34
  Speaker 2: and before the Chancellor's speech the key question what is
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  Speaker 2: in the box today? An astonishing twist. The entire thing
• 1:44
  Speaker 2: was published in advance when the forecaster and watchdog, the
• 1:47
  Speaker 2: Office for Budget Responsibility managed to put their report on
• 1:51
  Speaker 2: it on the Internet by accident hours early, and I
• 1:56
  Speaker 2: was on the telly at the time and couldn't believe it.
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  Speaker 2: This is wild even I'm reading that out. The sheer
• 2:01
  Speaker 2: absurdity of reading out something that the Chancellor has not
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  Speaker 2: yet announced in the House of Commons is mind blowing.
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  Speaker 2: I call the Chancellor of this shatter yet another shambles
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  Speaker 2: and a shambolic pre budget countdown, said critics. Rachel Reeves
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  Speaker 2: was livid.
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  Speaker 3: This is deeply disappointing and a serious error on.
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  Speaker 2: Their parts with that dealt with We heard the Chancellor's
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  Speaker 2: overarching argument and aims.
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  Speaker 3: To cut NHS waiting lists, to cut the cost of living,
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  Speaker 3: and to cut debt and.
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  Speaker 2: Borrowing, cutting debt relative to the size of the economy
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  Speaker 2: in the hope less has to be paid in debt interest.
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  Speaker 4: Brick by brick.
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  Speaker 3: We've been building our economy, building roads, building homes, getting
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  Speaker 3: spades in the ground and cranes in the sky.
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  Speaker 2: Next, income tax, the rates aren't changing, but the thresholds
• 2:59
  Speaker 2: when people start paying it or pay higher rates are
• 3:03
  Speaker 2: being frozen for longer, which means over time more people
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  Speaker 2: will pay more income tax.
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  Speaker 3: I know that maintaining these thresholds is a decision that
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  Speaker 3: will affect working people. I said that last year and
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  Speaker 3: I won't pretend otherwise now, Madame Doctor Speaker, I am
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  Speaker 3: asking everyone to make a contribution.
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  Speaker 2: The Scottish government will have to decide what it does
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  Speaker 2: in response to this. In England, if you've got a
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  Speaker 2: very expensive house, you'll soon be paying more.
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  Speaker 3: From twenty twenty eight, I am introducing the High Value
• 3:37
  Speaker 3: Council Tax surcharge in England, an an your two thousand,
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  Speaker 3: five hundred pounds charge for properties worth more than two
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  Speaker 3: million pounds, rising to seven and a half thousand pounds
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  Speaker 3: for properties worth more than five.
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  Speaker 2: Million pounds, And wherever you are, there'll be a limit
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  Speaker 2: on the tax benefit you'll get when saving for your pension.
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  Speaker 3: I am introducing a two thousand pounds on salary sacrifice
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  Speaker 3: into a pension, with contributions above that taxed in the
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  Speaker 3: same way as other employee pension contributions.
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  Speaker 2: Fuel duty has been frozen again, and as more folk
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  Speaker 2: drive electric cars and so don't pay fuel duty, the
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  Speaker 2: Chancellor's found a way of making sure something is paid.
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  Speaker 3: Because all cars contribute to the wear and tear on
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  Speaker 3: our roads, I will ensure that drivers are taxed according
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  Speaker 3: to how much they drive, and not just by the
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  Speaker 3: type of car they own, by introducing the Electric Vehicle
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  Speaker 3: Excise duty on electric cars.
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  Speaker 2: Outside a reminder of how targeted tax rises can cause
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  Speaker 2: a government grief. Plenty of farmers are still angry at
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  Speaker 2: last year's announcement to charge them inheritance tax back in
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  Speaker 2: the commons, a crowd pleaser for labor and pas, even
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  Speaker 2: if pole suggests most people disagree with it.
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  Speaker 3: I can announce today, fully costed and fully funded, the
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  Speaker 3: removal the two child limits in full from.
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  Speaker 2: The Chancellor removing the two child cap on universal or
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  Speaker 2: child tax credit payments.
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  Speaker 3: We are lifting four hundred and fifty thousand children out
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  Speaker 3: of poverty with the end of the two child limits.
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  Speaker 2: And then the closing arguments from the Chancellor.
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  Speaker 3: Those are labor choices promised and delivered by this budject,
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  Speaker 3: promised and delivered by this labor government. And Madam Deputy Speaker,
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  Speaker 3: I commend this statement to the House.
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  Speaker 2: But does the jubilation you can see here on Labour's
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  Speaker 2: benches last? Here is what their opponents make of it.
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  Speaker 5: Government spending up, welfare, spending up, universal credit, laymens up,
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  Speaker 5: unemployment up, debt, interest up, inflation up, and what about
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  Speaker 5: the things that you want to go up?
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  Speaker 3: What about the things you want to go up?
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  Speaker 5: Growth down, investment, business confidence down, the credibility of the
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  Speaker 5: Chancellor and not just down.
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  Speaker 3: Through the floor.
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  Speaker 4: Under this budget, the tax burden will hit an all
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  Speaker 4: time high. Man w Speaker. There is an alternative to
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  Speaker 4: all these conservative and labor taxes, and the shocking reality
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  Speaker 4: is the government knows it and that's a new trade
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  Speaker 4: deal with Europe.
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  Speaker 2: The Scottish National Party said the budget was tone deaf
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  Speaker 2: to the challenges people face, particularly in Scotland, Pliedcumery said
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  Speaker 2: the budget did not address what it claims is the
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  Speaker 2: injustice in the way Wales is funded and you'll hear
• 6:42
  Speaker 2: the reaction of the Green Party after Reform UK.
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  Speaker 6: To answer your question how we would have approached this
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  Speaker 6: budject is from completely the other side, which is to
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  Speaker 6: look at the spending side of the ballots. There is
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  Speaker 6: a total crisis in expenditure. We just mentioned benefits, that
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  Speaker 6: is the big one.
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  Speaker 1: What we've had today is a Chancellor who has effectively
• 7:00
  Speaker 1: squeezed everybody by freezing the income TAXT thresholds and she
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  Speaker 1: hasn't taken that decision to tax wealfairly.
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  Speaker 2: Government ministers are now heading out to sell their plans
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  Speaker 2: to try to persuade you they're a good idea. Chris Mason,
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  Speaker 2: BBC News at Westminster