Chancellor Rachel Reeves is under scrutiny following accusations that she misled the public regarding the UK’s financial situation ahead of her Autumn Budget. The controversy intensified after the Office for Budget Responsibility (OBR) downgraded economic growth forecasts, which Reeves had previously downplayed.

In a press conference on 4 November, Reeves discussed anticipated reductions in productivity levels, suggesting that these would necessitate "hard choices"—widely interpreted as tax increases. However, she did not disclose that tax receipts had risen sufficiently to offset the productivity decline, a fact known to her since 31 October. This omission has led to claims that she created a misleading impression of the UK’s finances.

Chris Mason, the BBC’s political editor, stated, "In my judgement, on one specific element of what the chancellor and the Treasury told us before the Budget, we were misled." He emphasised that Reeves’ failure to mention the increased tax receipts left the public with an inaccurate understanding of the fiscal landscape.

Sky News economics editor Ed Conway echoed these sentiments, asserting that the Chancellor's tax increases were a result of policy choices rather than solely the OBR's downgrade. He remarked, "To imply this was down to the OBR is misleading, plain and simple."

ITV’s Robert Peston also weighed in, highlighting that the OBR had locked down all pre-measures fiscal numbers by 31 October, prior to Reeves’ press conference. He noted that her subsequent statements regarding the necessity of tax rises contradicted the information provided by the OBR.

The fallout from these revelations has prompted calls for Reeves to resign, with Scottish First Minister John Swinney labelling her position as "untenable." Despite the mounting pressure, Prime Minister Keir Starmer has publicly supported Reeves, asserting that there was "no misleading" involved in her statements.

In response to the criticism, Reeves defended her actions, stating that the Cabinet was briefed on the Budget numbers on the morning of the announcement. She also contended that the OBR’s reported £4.2 billion surplus did not account for recent welfare reforms or the abolition of the two-child benefit cap, which she argued were significant factors in the fiscal calculations.

As the political landscape continues to shift, the implications of Reeves’ statements and the OBR’s forecasts remain a focal point of discussion among MPs and the public alike.