Benefits and pensions set to rise with inflation in Autumn Budget - reports

Inheritance tax freeze

Pensions and benefits are set to rise in line with inflation, while inheritance tax is facing a freeze that would cause a ‘stealth rise’, according to reports.

After previously saying that "difficult decisions" had to made, Prime Minister Rishi Sunak faced significant pushback on cutting real benefits by not raising them in line with inflation. The Times reported the pledges have been sent to the Office for Budget Responsibility to be forecast into the Autumn Budget, which will cost an estimated £11bn next year. Nevertheless, it is still expected that there will be public spending cuts in other sectors, as new Chancellor Jeremy Hunt aims to approach the budget deficit with a '50:50' approach to cutting spending and raising taxes. Jeremy H...