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Sweeping tax rises for everyone as Rishi Sunak prepares for ‘rough’ road ahead

On Monday, the Treasury said that while those with the broadest shoulders should bear the greatest burden, it is “inevitable” that everybody would need to contribute more in tax in the years ahead given the “enormity” of the challenge.

“It is going to be rough,” said the source. “The truth is that everybody will need to contribute more in tax if we are to maintain public services.

“After borrowing hundreds of billions of pounds through Covid-19 and implementing massive energy bills support, we won’t be able to fill the fiscal black hole through spending cuts alone.”

The source said that the pair had reiterated their commitment to continuing to protect the most vulnerable during what will be a “difficult period”.

Government insiders believe billions more are needed to fund the NHS, to clear the Covid backlog that has led to record waiting lists. It is feared that without more money, waiting lists will peak much later than the currently expected date of March 2024.

The warning from the Treasury came as Suella Braverman was fighting for her political life in the House of Commons.

The Home Secretary claimed she was the victim of a “witch-hunt” and denied claims she had ignored legal advice or blocked plans to use hotels to tackle chronic overcrowding at the main asylum processing centre for Channel migrants at the disused Manston airfield, in Kent.

She insisted it was “practically impossible” to house all the migrants, as she said “illegal immigration was out of control” and that the south coast faced an “invasion” – with 40,000 migrants arriving so far this year at double the rate of 2021. “Let’s all stop pretending that they are all refugees in distress,” she said.

It came on the same day as Mrs Braverman admitted she had sent official documents to her personal email on six occasions while Home Secretary, as she published her version of events leading up to her resignation for breaching the Ministerial Code.

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