Britain’s Labour Party government is set to deliver a high-stakes budget aimed at fixing public finances and boosting economic growth. It's a tough task. Inflation remains high, borrowing is up, and the economy is sluggish. Treasury chief Rachel Reeves faces limited options, with tax increases as the main revenue-raising measure. The government did the same last year, in what it billed as a one-off set of tax hikes. Critics warn more taxes could harm growth, while many Labour members worry about the party's deep unpopularity. A misfiring budget could add to pressure on Prime Minister Keir Starmer from those in his party who fear a big defeat in the next election.
