good evening from westminster, i have been trying to think of the best word to describe this budget and it is this. big, really big. i will bring you the key moments and the reaction in the next few minutes. as people right across the uk digest today's budget — we are in lowestoft on the suffolk coast, finding out what it means for your finances and for your public services. there is going to be an increase. it is certainly a challenge to find that extra money. being a working mum, i think she has thought about that as well, and getting people back to work. also tonight — devastation in spain. at least 72 people have died in flash floods after a year's worth of rain injust eight hours. and i've been to meet one viewer who got in touch with your voice your bbc news about plans to put hundreds of pylons up across this suffolk countryside. on bbc london... and coming up on bbc news... it's manchester united's first match since sacking erik ten hag tonight, with the club's first choice

replacement ruben amorim yet to make a decision on his future. good evening and welcome to the bbc news at six, live from the east point pavilion here in lowestoft — the most easterly place in the uk. the chancellor, rachel reeves, has used the first labour budget in 14 years to lay out a series of tax rises aimed at raising £40 billion — it's the second highest tax raising budget in history. the scale of it is huge. employers and businesses will carry a lot of the tax burden. some £25 billion will come from a rise in employers�* national insurance contributions. there's an increase to capital gains tax, levied on profits from selling assets like shares, the surcharge on stamp duty for second homes in england

and northern ireland will go up too, to 5%, as of tomorrow. so what will it be spent on? £22.6 billion pounds will go to the nhs in england for its day—to—day spending. investment in education to pay for maintenance and buildings will increase to £6.7 billion in england next year and an extra one billion of which is earmarked for special educational needs. and £11.8 billion has been put aside to compensate victims of the infected blood scandal. there's £1.8 billion, too, for victims of the post office scandal. the opposition leader rishi sunak described the budget as "an enormous borrowing spree" that contains "broken promise after broken promise". tonight we're in lowestoft to look at what the budget means for you, we'll get reaction from people here in the town. but first, let's go straight to our political editor, chris mason in westminster — to give us a sense of the scale of today's announcements.

hello to you. it is back to the point i was making a moment ago. this is big with a capital b. if you ever allow yourself to think the big two parties, there is not much difference between them, boy, take a look at this budget which was stamped throughout it with labour�*s instincts and worldview. it isn't the most famous door on downing street but the build up on what has been going on behind it is been growing for weeks. the focus getting sharper on what would be in the budget and who is unveiling it. a genuine moment of history, this. hundreds and hundreds of blokes, for centuries and centuries, have had a moment like this, delivering a budget as chancellor and yet this is the first time ever it has been done

by a woman and a big budget it is, too. big borrowing, big spending and big tax rises. i too. big borrowing, big spending and his tax rim-— big tax rises. i call the chancellor ofthe big tax rises. i call the chancellor of the exchequer. _ big tax rises. i call the chancellor of the exchequer. the _ big tax rises. i call the chancellor of the exchequer. the first - big tax rises. i call the chancellor| of the exchequer. the first budget from labour _ of the exchequer. the first budget from labour in _ of the exchequer. the first budget from labour in nearly— of the exchequer. the first budget from labour in nearly 15— of the exchequer. the first budget from labour in nearly 15 years - of the exchequer. the first budget from labour in nearly 15 years and | of the exchequer. the first budgetl from labour in nearly 15 years and a reminder if you really mean it, say it three times. the reminder if you really mean it, say it three times.— it three times. the only way to drive economic _ it three times. the only way to drive economic growth - it three times. the only way to drive economic growth is - it three times. the only way to drive economic growth is to . it three times. the only way to - drive economic growth is to invest, invest, invest. drive economic growth is to invest, invest. invest-— invest, invest. investing means spending. _ invest, invest. investing means spending. even _ invest, invest. investing means spending, even if _ invest, invest. investing means spending, even if the _ invest, invest. investing means spending, even if the hope - invest, invest. investing means spending, even if the hope is l invest, invest. investing means spending, even if the hope is it| spending, even if the hope is it will lead to lots of long—term gains and spending is necessary, rachel reeves claimed, because of the bills the conservatives left them. their failure to assess _ the conservatives left them. their failure to assess the _ the conservatives left them. their failure to assess the scale - the conservatives left them. their failure to assess the scale of - the conservatives left them. tue: " failure to assess the scale of the challenges facing our public services means this budget raises taxes by £40 billion. em} services means this budget raises taxes by £40 billion.— services means this budget raises taxes by £40 billion. £40 billion! a colossal amount _ taxes by £40 billion. £40 billion! a colossal amount of _ taxes by £40 billion. £40 billion! a colossal amount of money. - taxes by £40 billion. £40 billion! a colossal amount of money. this - taxes by £40 billion. £40 billion! a colossal amount of money. this is| taxes by £40 billion. £40 billion! a| colossal amount of money. this is a huge change making budget, one way or the other. a massive money raiser

for the chancellor, hiking the national insurance paid by employers. both the rate and when it kicks in. tt employers. both the rate and when it kicks in. , employers. both the rate and when it kicksin. , kicks in. if the party opposite chooses to — kicks in. if the party opposite chooses to oppose _ kicks in. if the party opposite chooses to oppose this - kicks in. if the party opposite i chooses to oppose this choice, kicks in. if the party opposite - chooses to oppose this choice, then they are choosing more austerity, more chaos, more instability. this is the choice that our country faces, too. is the choice that our country faces. toe-— is the choice that our country faces, too. �* ., �* , ., . faces, too. but it won't be a choice of a sum to — faces, too. but it won't be a choice of a sum to pay — faces, too. but it won't be a choice of a sum to pay more _ faces, too. but it won't be a choice of a sum to pay more capital- faces, too. but it won't be a choice of a sum to pay more capital gains| of a sum to pay more capital gains tax and inheritance tax or vat on private school fees, so where is all this money going? sum for the ministry of defence, a rise in the minimum wage and the health service is getting a big chunk more. this minimum wage and the health service is getting a big chunk more.— is getting a big chunk more. this is the laruest is getting a big chunk more. this is the largest real _ is getting a big chunk more. this is the largest real terms _ is getting a big chunk more. this is the largest real terms growth - is getting a big chunk more. this is the largest real terms growth in i the largest real terms growth in day—to—day nhs spending outside of covid since 2010. but day-to-day nhs spending outside of covid since 2010.— covid since 2010. but if you fear the cost of _ covid since 2010. but if you fear the cost of filling _ covid since 2010. but if you fear the cost of filling up _ covid since 2010. but if you fear the cost of filling up going - covid since 2010. but if you fear the cost of filling up going up i the cost of filling up going up courtesy of the chancellor, it isn't. t courtesy of the chancellor, it isn't. . . ., ., isn't. i have decided today to freeze fuel _ isn't. i have decided today to freeze fuel duty _ isn't. i have decided today to freeze fuel duty next - isn't. i have decided today to freeze fuel duty next year . isn't. i have decided today to | freeze fuel duty next year and isn't. i have decided today to i freeze fuel duty next year and i will maintain it at 5p for another

year, to. will maintain it at 5p for another ear, to. �* ,., .,, year, to. but the government has found a way _ year, to. but the government has found a way for— year, to. but the government has found a way for loads _ year, to. but the government has found a way for loads more - year, to. but the government has| found a way for loads more money year, to. but the government has - found a way for loads more money for a longer term spending, what they call investment, by changing their own rules on how much they can borrow. butjust like for you and me, it costs to borrow money. this is a moment _ me, it costs to borrow money. this is a moment of— me, it costs to borrow money. t�*t 3 is a moment of fundamental choice for britain. investing in our future, delivering change, rebuilding britain. we on these benches commend those choices and i commend this statement to the house. responding in his last big moment in thejob, rishi sunak. time responding in his last big moment in the job, rishi sunak.— the job, rishi sunak. time and auain, the job, rishi sunak. time and again. we _ the job, rishi sunak. time and again, we conservatives - the job, rishi sunak. time and | again, we conservatives warned labour— again, we conservatives warned labour would tax, borrow and spend far beyond _ labour would tax, borrow and spend far beyond what they were telling the country and time and again, they denied _ the country and time and again, they denied they— the country and time and again, they denied they had such plans. but today, _ denied they had such plans. but today, the — denied they had such plans. but today, the truth has come out. proof that they— today, the truth has come out. proof that they planned to do this all alone —

that they planned to do this all alonu. �* .. ., that they planned to do this all alonu. �* ., ., along. and here, the reaction from others. along. and here, the reaction from others- for — along. and here, the reaction from others. for our _ along. and here, the reaction from others. for our constituents, - along. and here, the reaction fromi others. for our constituents, these benches will _ others. for our constituents, these benches will push _ others. for our constituents, these benches will push the _ others. for our constituents, these benches will push the government| others. for our constituents, these l benches will push the government to do far more for our economy, nhs and care. they are what liberal democrats will always champion. tt democrats will always champion. if your school business, you will be saying _ your school business, you will be saying what have i done wrong, why do i saying what have i done wrong, why do i deserve — saying what have i done wrong, why do i deserve this massive tax burden? _ do i deserve this massive tax burden? as a result of the decision of the _ burden? as a result of the decision of the labour party have made. this was a seriously _ of the labour party have made. this was a seriously risky budget. taxes are up. _ was a seriously risky budget. taxes are up. spending— was a seriously risky budget. taxes are up. spending is— was a seriously risky budget. taxes are up, spending is up, _ was a seriously risky budget. taxes are up, spending is up, the- was a seriously risky budget. taxes are up, spending is up, the books. are up, spending is up, the books have— are up, spending is up, the books have been— are up, spending is up, the books have been cooked _ are up, spending is up, the books have been cooked and _ are up, spending is up, the books have been cooked and we - are up, spending is up, the books have been cooked and we are - are up, spending is up, the books- have been cooked and we are looking at a fantasy— have been cooked and we are looking at a fantasy forecast _ have been cooked and we are looking at a fantasy forecast and _ have been cooked and we are looking at a fantasy forecast and i _ have been cooked and we are looking at a fantasy forecast and i am - at a fantasy forecast and i am desperately— at a fantasy forecast and i am desperately worried. - at a fantasy forecast and i am desperately worried. this - at a fantasy forecast and i am desperately worried.- at a fantasy forecast and i am desperately worried. this is the bi . . est desperately worried. this is the biggest tax _ desperately worried. this is the biggest tax rise _ desperately worried. this is the biggest tax rise in _ desperately worried. this is the biggest tax rise in a _ desperately worried. this is the | biggest tax rise in a generation, this is classic labour, isn't it? big tax, big spender? t’m this is classic labour, isn't it? big tax, big spender?- big tax, big spender? i'm not dis-rutin big tax, big spender? i'm not disputing the _ big tax, big spender? i'm not disputing the fact _ big tax, big spender? i'm not disputing the fact this - big tax, big spender? i'm not disputing the fact this is - big tax, big spender? i'm not disputing the fact this is a - big tax, big spender? i'm not disputing the fact this is a big i disputing the fact this is a big budget, the first budget of this parliament, it wipes the slate clean. �* , parliament, it wipes the slate clean. �* ., thisis clean. and costs a fortune? this is not the sort _ clean. and costs a fortune? this is not the sort of _ clean. and costs a fortune? this is not the sort of budget _ clean. and costs a fortune? this is not the sort of budget we - clean. and costs a fortune? this is not the sort of budget we would i clean. and costs a fortune? this is i not the sort of budget we would want to repeat but this is the budget thatis to repeat but this is the budget that is needed. the to repeat but this is the budget that is needed.— that is needed. the office for budaet that is needed. the office for budget responsibility, - that is needed. the office for- budget responsibility, independent watchdog, says the growth in wages and salaries and profits are

constrained by the increase in employer national insurance. you guys talk about yourself being pro—business and pro—worker, the 0br don't believe it, so why should anyone else? tt don't believe it, so why should anyone else?— don't believe it, so why should an one else? . , , anyone else? if we had 'ust reversed the unfunded — anyone else? if we had 'ust reversed the unfunded cuts _ anyone else? if we had 'ust reversed the unfunded cuts the _ anyone else? if we had just reversed the unfunded cuts the conservatives| the unfunded cuts the conservatives are made, that would have all been felt by working people. so it are made, that would have all been felt by working people.— felt by working people. so it is a miaht felt by working people. so it is a might have _ felt by working people. so it is a might have been _ felt by working people. so it is a might have been worse - felt by working people. so it is a i might have been worse argument? we might have been worse argument? - have made the decision to put the tax burden we are having to increase today on the wealthiest and on business. , . , , , business. the scrutiny is 'ust beginningfi business. the scrutiny is 'ust beginning here i business. the scrutiny is 'ust beginning here as i business. the scrutiny is 'ust beginning here as the i business. the scrutiny isjust| beginning here as the crowds business. the scrutiny isjust i beginning here as the crowds are departing and a new political landscape is emerging. chris mason, bbc news in westminster. the chancellor was on her feet for more than an hour and a quarter — it was one of the longest budget speeches in years. 0ur chief economics correspondent, dharshini david, has been going through the numbers. thank you. pay now, gain later — but did rachel reeves�* pledge to stabilise public finances, avoid a return to austerity

and boost growth in her budget deliver on its hefty price tag? compare today's tax rises with those from previous chancellors. relative to the size of our economy, they're the second biggest ever. so our tax burden — the proportion of the nation's income going in tax — will hit a record of 38% by 2030. she's expecting to raise an extra £41 billion in tax by 2030. but from where? some measures — such as vat on school fees and capital gains tax — raise relatively little. compared to clamping down on tax avoidance. but it's the increase in employers' national insurance contributions that raises the most — £25 billion — the government's independent forecasters warn that largely could be passed on as slower wage and jobs growth — there could be 50,000 workers fewer than otherwise. the chancellor says her decisions mean that working people will not see higher taxes in their payslips — but as she's chosen to retain a previous

conservative policy, many will — because of fiscal drag. here's how. let's say you're on a salary of £30,000. normally the thresholds at which you pay higher tax rates increase with inflation. but the conservatives froze those until 2028, getting more tax as pay goes up. so you could be paying £227 more in taxes. and someone on £51,000 will pay £561 more in tax in 2030 than if rachel reeves had abolished the freeze altogether. and this means the number of taxpayers will now exceed 40 million by 2028. what do we get in return? rachel reeves has boosted budgets for public services in the next couple of years. but under her new rules, spending on day to day services must match the income the government brings in in five years time. so after 2026, if the budget for nhs

england rises by the average rate of 3.6% above inflation per year, then the budgets of some departments — for the likes of law courts — could fall relative to inflation. is austerity over? i think the worry for the government is, once they've had that great big increase, they are pencilling in really quite tight budgets for the following years of this parliament. and whether they are actually able to keep to that i think is going to be one of the big challenges. and if they can't, then they will end up spending more and therefore taxing or borrowing more than they are currently planning. they are really banking on big upfront increases really working. why the squeeze? as we get older and sicker, more is going on welfare and health. interest payments on our existing debt also account for about £1 in every £10 the government spends. but billions more will be spent on infrastructure projects such as hospital equipment and investments in industries of the future, such as electric car manufacturing to accelerate growth —

but that takes time. they could be an extra £24 billion for that by 2028 but the official forecast also reckon today's measures could reduce business investment which puts at risk the chancellor's ambition to turbo boost growth and provide more funds for public services which we will need if today's tax rises are to be a one sophie. our business editor simonjack is in central london — what impact will today's budget have? this is a bombshell of a budget for business. you have got that incredibly big rise in national insurance contributions, £25 billion. also a 6.7% inflation busting pay rise for minimum wages which was announced alongside the budget and so although there were some measures to shelter the

smallest of businesses from the most of the blast, for many businesses this was not a recipe for growth. there are some things to be welcomed in this— there are some things to be welcomed in this budget such as the extension of business — in this budget such as the extension of business rates relief but the overall— of business rates relief but the overall measures on employment and the recent— overall measures on employment and the recent regulation means there is a cost _ the recent regulation means there is a cost of— the recent regulation means there is a cost of doing business in a crisis for pubs _ a cost of doing business in a crisis for pubs and — a cost of doing business in a crisis for pubs and hospitality businesses which _ for pubs and hospitality businesses which will— for pubs and hospitality businesses which will drive up prices, will drive — which will drive up prices, will drive down investment and ultimately will not _ drive down investment and ultimately will not be _ drive down investment and ultimately will not be good forjobs. as drive down investment and ultimately will not be good forjobs._ will not be good for “obs. as you are will not be good for “obs. as you hearing h will not be good for “obs. as you are hearing from i will not be good forjobs. as you are hearing from chris _ will not be good forjobs. as you are hearing from chris there, i will not be good forjobs. as you | are hearing from chris there, the 0br, the budget watchdog, largely agrees with him, saying most of this burden on business will be felt through ultimately lower wages, higher inflation, less investment and the holy grail, less growth. simonjack our business editor, thank you. let's take a look at some of the other main measures announced in this budget. the five pence cut to fuel duty,

introduced by the conservatives was due to end next april — it will stay in place though for another year. rail links between york, leeds, huddersfield and manchester will be upgraded. railfares will go up by 4.6% next march. and, after describing potholes as �*a visible symbol of national decline', the chancellor said £500 million has been put aside for road maintenance. vat on private school fees will be introduced from january next year and the government will also work to remove their business rates relief. a "flat rate duty" on vaping liquid will begin from october 2026, with taxes on tobacco also going up. and there were cheers in the commons as the chancellor announced draught duty on alcoholic drinks would fall by1.7%, meaning "a penny off a pint in the pub". so how will this budget affect you? 0ur cost of living correspondent coletta smith has been talking to people here about what it

will mean for their finances. this will mean for their finances. is a town that gets act early. this is a town that gets active early. and for the reynolds family, breakfast is served. i don't want to hold you back, are you heading out any second now? fik hold you back, are you heading out any second now?— any second now? ok for a minute. becky runs — any second now? ok for a minute. becky runs her _ any second now? ok for a minute. becky runs her own _ any second now? ok for a minute. becky runs her own party - any second now? ok for a minute. | becky runs her own party business. quite savvy as a mum, making sure i get the best out of everything. 5am get the best out of everything. sam works for an — get the best out of everything. sam works for an electrical company. next year is remortgage time. tt works for an electrical company. next year is remortgage time. it has been all hands _ next year is remortgage time. it has been all hands on _ next year is remortgage time. it has been all hands on deck _ next year is remortgage time. it has been all hands on deck to _ next year is remortgage time. tit t—.3 been all hands on deck to keep next year is remortgage time. tit t:3 been all hands on deck to keep the finances on track. t been all hands on deck to keep the finances on track.— finances on track. i took a 'ob on this year. — finances on track. i took a 'ob on this year. t i finances on track. i took a 'ob on this year. i would i finances on track. i took a 'ob on this year. i would work i finances on track. i took a 'ob on this year. i would work alli finances on track. i took a job on this year. i would work all hours | finances on track. i took a job on i this year. i would work all hours in a pub and then do the school run the next day, but my business needed it. catch you later today after the budget. most people are watching a very different performance at this community theatre. but with seven

staff to pay, des is keeping an eye on the budget. is it going to cost you more as a business? tbs, on the budget. is it going to cost you more as a business?- on the budget. is it going to cost you more as a business? a staff pay rise will have _ you more as a business? a staff pay rise will have a _ you more as a business? a staff pay rise will have a knock-on _ you more as a business? a staff pay rise will have a knock-on effect i you more as a business? a staff pay rise will have a knock-on effect on l rise will have a knock—on effect on other salaries as we go rise will have a knock—on effect on ot