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Rachel Reevesโ€™s fiscal rules buffer should be โ€˜significantly largerโ€™, say peers

28 April 2026 at 04:00

Lord committee says chancellor and recent predecessors have allowed themselves too little room for manoeuvre

Rachel Reeves should aim to run a โ€œsignificantly largerโ€ buffer against her fiscal rules, according to a report from a House of Lords committee that says the UKโ€™s public debt is on an unsustainable trajectory.

The chancellor raised taxes at last yearโ€™s budget in order to more than double the โ€œheadroomโ€, or buffer, against her fiscal rules to ยฃ22bn โ€“ some of which is expected to be eroded by the impact of the Iran war.

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ยฉ Photograph: Sean Smith/The Guardian

ยฉ Photograph: Sean Smith/The Guardian

ยฉ Photograph: Sean Smith/The Guardian

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