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I can't rule out tax rises, says Reeves

July 05, 2025

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The Guardian

Chancellor said she hoped most people 'could relate' to her distress at work

- Pippa Crerar

I can't rule out tax rises, says Reeves

Rachel Reeves has said it is impossible for her to rule out tax rises in the autumn budget and insisted she never thought of quitting despite a turbulent week for her and the government. In an interview with the Guardian, the chancellor said "there are costs" to the watering down of the welfare bill and acknowledged it had been a "damaging" week for Downing Street.

Her tears in the Commons spooked the financial markets and raised questions about her future in the job, but No 10 quickly weighed in behind her on Wednesday saying she and the prime minister were in lockstep.

She said she had never considered resigning from her position, despite being the focus of some Labour back-bench anger over her handling of the economy, saying: "I didn't work that hard to then quit."

Reeves said she regretted going into prime minister's questions in tears after a "tough day in the office" but hoped that people "could relate" to her distress.

"It was a personal matter, but it was in the glare of the camera. And that's unfortunate, but I think people have seen that I'm back in business and back out there," she said.

Reeves added: "I went to prime minister's questions because I thought that was the right thing to do, because that's where I always am at lunchtime on a Wednesday. You know, in retrospect, I probably wished I hadn't gone in... [on] a tough day in the office. But, you know, it is what it is. But I think most people can relate to that, that they've had, they've had tough days."

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