Starmer Defends 'Tough' Tax Rises as Government Aims to Get Britain Back to Work

On Monday, the Prime Minister stood firm on the upcoming “tough” tax rises in the Budget, emphasising the need to get more people into work to rebuild the nation's economy.

Sir Keir Starmer has pledged that Chancellor Rachel Reeves' Autumn Statement, set for Wednesday, will help break Britain out of what he described as a “pay more, get less doom loop.”

Acknowledging the unpopularity of higher taxes, Sir Keir said, “No one wants higher taxes, but we have to be realistic,” stressing that his government will resist the “populist chorus of easy answers.” Instead, the focus will be on tackling deeper economic issues head-on.

The Chancellor will unveil £240 million in funding aimed at boosting local services designed to help people re-enter the workforce. The initiative is part of a broader effort to combat economic inactivity and get Britain working again.

Speaking in Birmingham, Sir Keir explained, “Rebuilding Britain and delivering growth will require the skills and effort of all of us. That’s why this Budget will also focus on getting Britain back to work.

“It will lay the foundation for reforms that address the root causes of economic inactivity and ensure that those who are able to work do work. As a Labour Government, we will always support those who genuinely cannot support themselves, but we must address the issue that the UK remains the only G7 country with higher inactivity levels now than before Covid.

“And this isn’t just bad news for our economy—it’s a lost opportunity for countless individuals who are currently locked out of the workforce.”

To tackle this challenge, Sir Keir confirmed that the Chancellor will announce £240 million in funding to bolster local services, giving people the support they need to get back into work. This funding aims to unlock opportunities, stimulate growth, and empower communities across the UK.

With this Budget, the government hopes to make meaningful strides toward reducing economic inactivity, rebuilding the nation's workforce, and fostering a more resilient economy for the future.