Treasury: UK government will hold autumn budget on November 26

Treasury: UK government will hold autumn budget on November 26

The UK government has announced that the autumn budget will be held on November 26, according to sources familiar with the matter [3]. This date marks the latest a chancellor has announced a major set of tax and spending decisions since 2014, when George Osborne held an autumn statement on December 3 [3].

Chancellor of the Exchequer Rachel Reeves is expected to unveil her spending plan at this critical event, which is seen as a defining moment for both Reeves and Labour Party leader Keir Starmer. The budget comes at a time when the UK's public finances are under significant strain, with the government facing a £40 billion hole to fill [2].

The autumn budget is expected to be a challenging one, with Reeves potentially needing to raise taxes or cut spending by as much as £51 billion to restore her current fiscal buffer of just under £10 billion [3]. This follows a series of unpopular spending cuts and reversals that have seen the Labour Party's approval ratings decline and the party's polling numbers fall [3].

Reeves faces several challenges, including higher borrowing costs linked to stubborn inflation, concerns about the UK's large debt pile, and an expected downgrade in productivity estimates from the Office for Budget Responsibility (OBR) [3]. The OBR is expected to provide Reeves with updated forecasts in the weeks before the budget, which will help determine the size of the black hole she must fill [3].

The late timing of the budget announcement gives less time for households and businesses to plan for any tax changes scheduled for the new financial year that begins in April. This is set to be the latest a chancellor will announce a major set of tax and spending decisions since 2014 [3].

Retailers, facing escalating tax and cost burdens, have urged the government to address these issues ahead of the budget. The British Retail Consortium (BRC) has highlighted mounting financial pressures on the sector and called for measures to protect prices, investment, and jobs [1]. The BRC warns that food price inflation could reach 6% by the end of the year, increasing pressure on household budgets [1].

The autumn budget is expected to be a crucial test for Reeves and Starmer, as they seek to address the UK's economic challenges while minimizing backlash from the public, financial markets, and their own restive backbenchers.

References:
[1] https://finance.yahoo.com/news/uk-retailers-warn-chancellor-ahead-090843027.html
[2] https://dailybusinessgroup.co.uk/2025/09/pressure-on-reeves-as-borrowing-hits-27-year-high/
[3] https://www.bloomberg.com/news/articles/2025-09-03/reeves-expected-to-set-crunch-uk-budget-date-for-late-november