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One of Scottish Labour’s biggest donors has accused Chancellor Rachel Reeves of “getting it wrong” on the economy . ‌

In a blistering analysis, Lord Haughey also said he is worried the Budget is being been drawn up on the “back of a fag packet” after a u-turn on hiking income tax. ‌

Reeves is facing a Budget black hole of at least £20bn but she is struggling to come up with the tax rises needed to close the gap . ‌

Plans to hike income tax by 2p in the pound were widely trailed, and then dropped after a backlash, with senior party figures believing her position is under threat. READ MORE : Labour plan to overhaul UK asylum system 'will push more families into destitution', warns SNP READ MORE : Anas Sarwar brands SNP 'economically illiterat

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