Published by Global Banking & Finance Review®
Posted on December 10, 2025
2 min readLast updated: January 20, 2026
Add as preferred source on GoogleRachel Reeves criticizes unauthorized leaks of UK budget details, impacting the bond market and prompting a government inquiry.
By David Milliken and Andy Bruce
LONDON, Dec 10 (Reuters) - British finance minister Rachel Reeves on Wednesday condemned leaks about key details of her November 26 budget that appeared in media before her annual tax and spending statement to parliament.
Britain's government bond market was rocked by a Financial Times story on November 13 that said Reeves had U-turned on a planned rise to income tax rates.
Reeves told parliament's Treasury Committee that the leak to the FT was not the result of an authorised private briefing and presented what she said was a partial and inaccurate view of her budget strategy.
Political opponents have accused Reeves of misleading the public in the run-up to the budget and seeking to justify tax increases to fund higher welfare spending, a charge she denied.
"I would reiterate in the strongest terms that leaks are unacceptable. The budget had too much speculation. There were too many leaks, and much of those leaks and speculation were inaccurate and very damaging," Reeves said.
The government is due to conduct an inquiry into whether civil servants, ministers or political advisers passed information to the media.
Reeves also said it was unlikely that the Office for Budget Responsibility, Britain's independent fiscal watchdog, will have a new chair to replace Richard Hughes in time for her next fiscal update in the spring.
Hughes resigned after an investigation showed systemic issues were to blame for the OBR's inadvertent publication of budget documents shortly before Reeves was due to present her tax and spending plans.
In her question-and-answer session with lawmakers, Reeves ruled out charging capital gains tax on primary residences and scrapping the so-called triple lock on state pensions during the remainder of the parliament which is due to run until 2029.
The triple lock pegs increases in the state pension to whichever is the highest out of consumer price inflation, average wage growth or 2.5%.
Prime Minister Keir Starmer pledged not to charge capital gains on primary residences or scrap the triple lock ahead of his Labour Party's election victory in July 2024.
(Reporting by David Milliken and Suban AbdullaWriting by Andy BruceEditing by William Schomberg)
Income tax is a tax imposed on individuals or entities based on their income or profits. It is typically calculated as a percentage of the income earned.
Capital gains tax is a tax on the profit made from selling an asset, such as stocks or real estate, that has increased in value since it was purchased.
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