Taxpayers with 'broadest shoulders' should pay fair share, says Reeves

Rachel Reeves has said those with the "broadest shoulders" should pay their "fair share" of taxes and promised measures to tackle inflation, as she draws up next month's budget.

- Heather Stewart Economics editor

Speaking in Washington DC, where she was attending the annual meetings of the International Monetary Fund (IMF), Reeves confirmed she was looking at wealthy taxpayers as she draws up her budget plans.

She also promised a new package of anti-inflation measures, after the IMF's warning that UK consumers are expected to suffer the highest price rises in the G7 this year and next.

"Inflation is still too high," she said. "We do want to bear down on some of the costs that people face." She added that she would introduce "a range of policies to do that".

The Bank of England has repeatedly pointed to "administered prices" - those set by regulators or government - as a key cause of above-target inflation. In the Bank's August monetary policy report, it cited changes in sewerage charges, bus fares, vehicle excise duty and VAT on private school fees. Reeves pointed to the recent competition review of vets practices, and the government's decision to freeze prescription prices, as examples of what can be done.