The Chancellor has hinted that he would like to lower taxes as the Conservative Party are gearing up for a general election.
Jeremy Hunt will deliver his Budget on 6 March and said that the lower taxed countries are “more dynamic” and “generate more money” for public services.
Speaking at the World Economic Forum in Davos, Switzerland, the Chancellor said, “In terms of the direction of travel we look around the world and we note that the economies growing faster than us in North America and Asia tend to have lower taxes, and I believe fundamentally that low-tax economies are more dynamic, more competitive and generate more money for public services like the NHS.
“That’s the direction of travel we would like to go in, but it is too early to say what we are going to do.”
The general election not expected until the second half of 2024, so Hunt could be preparing to use an autumn statement to lower taxes further.
The Guardian reported that the Chancellor said, “The Prime Minister hasn’t decided on the date of the election yet, or if he has he hasn’t told me.
“By law there have to be two fiscal events each year. We will see where we get to after the spring Budget.”