The Office for Budget Responsibility [OBR] said taking the March and October budgets together, Sunak had raised taxes by more this year than in any single year since Norman Lamont and Ken Clarke’s two 1993 budgets in the aftermath of Black Wednesday.
Sunak told the commons he did not like tax rises but they were a result of the “unprecedented crisis” of the pandemic. He also said that Boris Johnson was committed to tax cuts in the coming years.
The budget contained plans for government spending at levels not seen since the 1970s. And Sunak told MPs the Conservatives were the “real party of public services” as he announced £150 billion of extra cash for public services.
The chancellor was given wriggle room in the budget thanks to better-than-expected economic growth and tax rises.
The spending spree further moved Tory tanks onto Labour’s lawn, but critics argue it will do little to help the poorest in the midst of a cost of living crisis.
The OBR said the cost of living could rise at its fastest rate for 30 years, with suggestions inflation could hit almost 5 per cent.