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Chancellor Rachel Reeves has expressed concern over the number of unauthorised leaks that occurred in the lead-up to her Budget announcement last month. The frequent media revelations about potential content in her financial statement prompted criticism from Speaker Sir Lindsay Hoyle, who described the Budget as a “hokey-cokey Budget,” remarking to MPs that “one minute it’s in, the next minute it’s out.” Among the leaks under investigation was one published by the Financial Times on 13 November, which claimed the Chancellor had abandoned plans to raise income tax.
During her testimony to the Treasury select committee, Reeves emphasized the damaging nature of these leaks and stated the need to prevent similar breaches in the future. The situation was further complicated shortly before her Budget speech on 26 November, when the Office for Budget Responsibility (OBR) accidentally released the Budget’s details prematurely. Moreover, various proposed measures, such as a pay-per-mile charge on electric vehicles and a tourist tax, had been divulged to journalists weeks in advance. In addition, an economic downgrade from the OBR and an initially planned income tax increase—later reportedly scrapped—were also topics of media speculation.
Reeves conveyed her frustration, noting that much of the information circulating before the Budget was inaccurate and harmful. She revealed that a review of Treasury procedures is currently underway, and the National Centre for Cyber Security has been engaged to conduct a forensic investigation into the IT systems following the OBR’s inadvertent early release. The fallout from that incident led to the resignation of OBR Chairman Richard Hughes.
In the period before the Budget, Reeves herself had hinted at the possibility of raising income tax during a speech where she warned of difficult choices ahead, suggesting that maintaining Labour’s pre-election promises—including no income tax increase—would require “deep cuts” to public investment. However, a later leak to the Financial Times disclosed that the plan to raise income tax was dropped. Reeves condemned that leak, calling it “not an authorised briefing” but “a leak” that was “incredibly damaging and frustrating,” and declared that it misrepresented key aspects of the Budget strategy. She also addressed rumours of discord between the Treasury and Downing Street, stating that she worked closely and frequently with the Prime Minister throughout the Budget process and that decisions were made collectively. Permanent Secretary to the Treasury James Bowler added that the Cabinet Office is leading the ongoing inquiry into the leaks, examining officials and ministers alike, and emphasized that disciplinary actions have been taken in cases of confirmed leaks, countering claims that such investigations are ineffective
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