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Rishi Sunak has promised he will cut taxes now the government has achieved its pledge to halve inflation by the end of the year.

The prime minister has been under pressure from many in his party to reduce the tax burden – which currently sits at a 70-year high – ahead of the next election, and rumours have been swirling that such policies could be announced in the autumn statement on Wednesday.

Politics live: Vallance giving evidence to COVID inquiry

Making a speech in north London on his economic plans, Mr Sunak said his “argument has never been that we shouldn’t cut taxes – it’s been that we can only cut taxes once we have controlled inflation and debt”.

And with the change in inflation – confirmed last week by the Office for National Statistics (ONS) to have dropped to 4.6% – it was time for the government to “begin the next phase” of its plan and “turn our attention to cutting tax”.

The prime minister did not reveal what taxes would be for the chop, but they are expected to be confirmed on Wednesday when Chancellor Jeremy Hunt delivers his statement in the Commons.

Can the chancellor lift the gloom? Watch live coverage on Sky News of the autumn statement from 11am on Wednesday.

During his speech, Mr Sunak celebrated the fall in inflation – though it still remains more than double the Bank of England target of 2% – saying it showed “when we make a major economic commitment, we will deliver it”.

Then moving on to the big question ahead of the autumn statement, he said: “I want to cut taxes, I believe in cutting taxes, what clearer expression could there be of my governing philosophy than the belief that people, not government, make the best decisions about their money.

“But doing that responsibly is hard. We must avoid doing anything that puts at risk our progress of controlling inflation, and no matter how much we might want them to, history shows that tax cuts don’t automatically pay for themselves.

“And I can’t click my fingers and suddenly wish away all the reasons that taxes had to increase in the first place – partly because of COVID and Putin’s war in Ukraine, and partly because we want to support people to live in dignity in retirement with a decent pension and good health care which will cost more as the population ages.”

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But the prime minister added: “Now that inflation has halved and our growth is stronger, meaning revenues are higher, we can begin the next phase and turn our attention to cutting tax.”

The prime minister said the government “can’t do everything at once”, and it would take “discipline” to “prioritise” what should be reduced.

However, he promised to make the reductions “in a serious, responsible way, based on fiscal rules”, adding: “Over time we can and we will cut taxes.”

Sunak’s argument has flaws – he’ll have to work hard to win it


Sam Coates

Sam Coates

Deputy political editor

@SamCoatesSky

Well, that was wild. Today, Rishi Sunak appeared to have perfected the art of the low-key big speech.

The prime minister announced tax cuts are coming right now, set out the five long-term priorities he’ll fight the election on and made his most aggressive attack on the Tory right’s belief in self-funding tax cuts.

All done on a hugely busy political day, competing with the COVID inquiry, CBI annual conference featuring the chancellor, an AI event with the deputy prime minister on the day a refreshed plan for foreign aid spending was being released and Lord Cameron’s formal arrival in the Lords.

At the heart of Sunak’s speech was an argument that having reduced inflation and debt, now everyone can share in the rewards. A prime minister – justifiably – wanting to share some of the credit for Wednesday’s tax cut announcement in the autumn statement.

This is his argument: “We could only cut taxes once we’ve controlled inflation and debt… and the official statistics show that promise has now been met.”

There are there problems with this statement from the prime minister. The first is that he has met only one, not both of his inflation targets – his government’s other is to get it back down to 2%, and at 4.6% it’s still very high by the standards of the last 20 years.

Secondly, debt is not going down – in absolute terms it is rising. Sunak means, but does not say, that debt is falling as a proportion of GDP, a slight of hand that matters.

Thirdly, he is boasting about growth, saying: “Our growth is stronger.” Yes, stronger than the March budget, but the last quarterly GDP figures came in at 0.0%, nil growth, and the latest indications from business point to all but no growth and maybe even recession in the coming months.

Instead what has changed is circumstance – the election, even at its furthest away point, is getting closer, while his colleagues are circling on a range of topics and he feels more unstable than at any point since the start of the year after the Rwanda court defeat.

This is an argument he is going to have to work very hard if he wants to win.

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What chancellor could announce in autumn statement

Over the weekend, Mr Hunt insisted the focus of the upcoming budget would be on growth for business, telling Sky News he wanted to help create a “productive, dynamic, fizzing economy”.

But the chancellor also said “everything is on the table” when asked about swirling rumours over possible tax cuts.

Sky’s deputy political editor Sam Coates understands taxes on personal incomes will fall in Wednesday’s statement, as the government also seeks to help households with the cost of living crisis.

In the latest edition of the Politics at Jack and Sam’s podcast, by Sky News and Politico, he said the cut was unlikely to be on the basic rate of income tax though.

Click to subscribe to Politics at Jack and Sam’s wherever you get your podcasts

However, the head of the Institute for Fiscal Studies, Paul Johnson, warned there was “no headroom there at all” for major tax cuts.

The economist said chancellors could “always find a few billion in a budget or an autumn statement if they want to”, but the public finances were “in such a mess” due to the amount being spent on debt interest, that there wasn’t a lot of wriggle room for Mr Hunt.

During his speech, Mr Sunak also promised to “clamp down” on welfare fraudsters, calling it a “national scandal” and “an enormous waste of human potential” that around two million people of working age were not in employment.

The government is said to be considering a big squeeze on benefits in order to find savings, effectively cutting working age welfare payments for millions of people.

The prime minister said: “We believe in the inherent dignity of a good job, and we believe that work, not welfare is the best route out of poverty.

“So we must do more to support those who can work to do so, and we will clamp down on welfare fraudsters because the system must be fair for taxpayers who fund it.”

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Chancellor: ‘Tax burden is too high’

Mr Sunak also used his speech to launch an attack on Labour for having “no experience” in business, and accused Sir Keir Starmer and the shadow chancellor Rachel Reeves of offering “fairy tale” answers to the questions of how to grow the economy.

But Labour’s national campaign coordinator, Pat McFadden, said: “The Tories have failed to deliver on so many pledges from the past. Why should people believe they will deliver on pledges for the future?

“It sums up this Conservative Party to claim things will be better tomorrow when they can’t even fix the problems of today.”

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Widow has ‘no regrets’ over assisted suicide of husband despite ‘ongoing’ police investigation

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Widow has 'no regrets' over assisted suicide of husband despite 'ongoing' police investigation

A woman who is under police investigation after assisting the suicide of her husband at Dignitas in Switzerland has told Sky News she has no regrets.

Louise Shackleton has spoken publicly for the first time since her husband’s death in December, as parliament prepares to vote again on legislation to introduce assisted dying in England and Wales.

Mrs Shackleton surrendered herself to police after returning from Switzerland having seen her husband Anthony die. He had been suffering with motor neurone disease for six years.

“I have committed a crime, which I have admitted to, of assisting him by simply pushing him on to a plane and being with him, which I don’t regret for one moment. He was my husband and I loved him,” she said.

“We talked at length over two years about this. What he said to me on many occasions is ‘look at my options, look at what my options are. I can either go there and I can die peacefully, with grace, without pain, without suffering or I could be laid in a bed not being able to move, not even being able to look at anything unless you move my head’.

“He didn’t have options. What he wanted was nothing more than a good death.”

The law in the UK prohibits people from assisting in the suicide of others, but prosecutions have been rare.

For Greg Milam story. Copy and pictures submitted via email. A woman who is under police investigation after assisting the suicide of her husband at Dignitas in Switzerland has told Sky News she has no regrets. Louise Shackleton has spoken publicly for the first time since her husband’s death in December. Mrs Shackleton surrendered herself to police after returning from Switzerland having seen her husband Anthony die. He had been suffering with Motor Neurone Disease for six years.
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Louise Shackleton has spoken publicly for the first time since her husband Anthony’s death

In a statement, a North Yorkshire Police spokesman told Sky News: “The investigation is ongoing. There is nothing further to add at this stage.”

The next vote on the assisted dying bill for England and Wales has been delayed by three weeks to give MPs time to consider amendments.

The legislation would permit a person who is terminally ill with less than six months to live to legally end their life after approval by two doctors and an expert panel.

‘He was at total peace with his decision’

Mrs Shackleton says she saw her husband “physically and mentally” relax once on the flight to Switzerland.

She said: “We had the most wonderful four days.

“He was laughing. He was at total peace with his decision.

“It was in those four days that I realised that he wanted the peaceful death more than he wanted to suffer and stay with me, which was hard, but that’s how resolute he was in having this peace.

“I was his wife, we’d been together 25 years, we’d known each other since we were 18. I couldn’t do anything else but help him.”

For Greg Milam story. Copy and pictures submitted via email. A woman who is under police investigation after assisting the suicide of her husband at Dignitas in Switzerland has told Sky News she has no regrets. Louise Shackleton has spoken publicly for the first time since her husband’s death in December. Mrs Shackleton surrendered herself to police after returning from Switzerland having seen her husband Anthony die. He had been suffering with Motor Neurone Disease for six years.

‘We need to safeguard people’

She said the hardest part of the journey came after her husband’s death.

“There was this panic and this fear that I was leaving him,” she said. “That was a horrific experience.

“If the law had changed in this country, I would have been with family, family would have been with us, family would’ve been with him. But as it was, that couldn’t happen.”

Opponents to the assisted dying bill have raised concerns about the safety of vulnerable people and the risk of coercion and a change in attitudes toward the elderly, seriously ill and disabled.

They say improvements to palliative care should be a priority.

“I think that we need to safeguard people,” said Mrs Shackleton. “I think that sometimes we need to suffer other people’s choices, and when I mean suffer I mean we have to acknowledge that whilst we’re not comfortable with those, that we need to respect other people, other people wishes.”

For Greg Milam story. Copy and pictures submitted via email. A woman who is under police investigation after assisting the suicide of her husband at Dignitas in Switzerland has told Sky News she has no regrets. Louise Shackleton has spoken publicly for the first time since her husband’s death in December. Mrs Shackleton surrendered herself to police after returning from Switzerland having seen her husband Anthony die. He had been suffering with Motor Neurone Disease for six years.

Read more:
Assisted dying: What is in the legislation?
Debate over assisted dying delayed

Anthony, who died aged 59, was a furniture restorer who had earned worldwide recognition for making rocking horses.

“I think the measure of the man is that nobody has ever said a bad word about him in the whole of his life because he was just so caring and giving,” his widow said.

‘This is about a dying person’s choice’

She said she had chosen to speak publicly because of a promise she had made him.

“I felt that my husband’s journey shouldn’t be in vain. We discussed this on our last day and my husband made me promise to tell his story.

“He told me to fight and the simple thing that I’m fighting for is people to have the choice.

“This is about a dying person’s choice to either follow their journey through with disease or to die peacefully when they want to, on their terms, and have a good death. It’s that simple.”

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Feminists ‘feel braver about speaking out’ after gender ruling – but critics say it ‘stokes culture war’

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Feminists 'feel braver about speaking out' after gender ruling - but critics say it 'stokes culture war'

A former Labour MP who quit the party over Sir Keir Starmer’s leadership has welcomed the landmark Supreme Court ruling on the definition of a woman as a “victory for feminists”.

Rosie Duffield, now the independent MP for Canterbury, said the judgment helped resolve the “lack of clarity” that has existed in the politics around the issue “for years”.

She was speaking to Ali Fortescue on the Politics Hub on the same day the UK’s highest court delivered its verdict on one of the most contentious debates in politics.

Politics latest: MPs respond to Supreme Court ruling on gender

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How do you define a woman in law?

The judges were asked to rule on how “sex” is defined in the 2010 Equality Act – whether that means biological sex or “certificated” sex, as legally defined by the 2004 Gender Recognition Act.

Their unanimous decision was that the definition of a “woman” and “sex” in the Equality Act 2010 refers to “a biological woman and biological sex”.

Asked what she made about comments by fellow independent MP John McDonnell – who said the court “failed to hear the voice of a single trans person” and that the decision “lacked humanity and fairness” as a result, she said: “This ruling doesn’t affect trans people in the slightest.

“It’s about women’s rights – women’s rights to single sex spaces, women’s rights, not to be discriminated against.

“It literally doesn’t change a single thing for trans rights and that lack of understanding from a senior politician about the law is a bit worrying, actually.”

However, Maggie Chapman, a Scottish Green MSP, disagreed with Ms Duffield and said she was “concerned” about the impact the ruling would have on trans people “and for the services and facilities they have been using and have had access to for decades now”.

Susan Smith and Marion Calder give a statement, as the Supreme Court rules on an appeal by For Women Scotland about whether a person with a full gender recognition certificate which recognises that their gender is female is a woman under British equality laws, outside the Supreme Court in London, Britain, April 16, 2025. REUTERS/Maja Smiejkowska
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Susan Smith and Marion Calder, directors of For Women Scotland celebrate after the ruling. Pic: Reuters

“One of the grave concerns that we have with this ruling is that it will embolden people to challenge trans people who have every right to access services,” she said.

“We know that over the last few years… their [trans people’s] lives have become increasingly difficult, they have been blocked from accessing services they need.”

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‘Today’s ruling only stokes the culture war further’

Delivering the ruling at the London court on Wednesday, Lord Hodge said: “But we counsel against reading this judgment as a triumph of one or more groups in our society at the expense of another. It is not.

Campaigners for For Women Scotland (FWS) celebrate outside the Supreme Court in London after terms "woman" and "sex" in the Equality Act refer to a biological woman and biological sex, the Supreme Court has ruled. Picture date: Wednesday April 16, 2025.
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Campaigners celebrate outside the Supreme Court. Pic: PA

“The Equality Act 2010 gives transgender people protection, not only against discrimination through the protected characteristic of gender reassignment, but also against direct discrimination, indirect discrimination and harassment in substance in their acquired gender.

“This is the application of the principle of discrimination by association. Those statutory protections are available to transgender people, whether or not they possess a gender recognition certificate.”

Read more:
Supreme Court decision has immediate real-world consequences
Prisons across England and Wales now 98.9% full

Asked whether she believed the judgment could “draw a line” under the culture war, Ms Chapman told Fortescue: “Today’s judgment only stokes that culture war further.”

And she said that while Lord Hodge was correct to say there were protections in law for trans people in the 2020 Equality Act, the judgment “doesn’t prevent things happening”.

“It may offer protections once bad things have happened, once harassment, once discrimination, once bigotry, once assaults have happened,” she said.

She also warned some groups “aren’t going to be satisfied with today’s ruling”.

“We know that there are individuals and there are groups who actually want to roll back even further – they want to get rid of the Gender Recognition Act from 2004,” she said.

“I think today’s ruling just emboldens those views.”

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Arsenal reach Champions League semi-final with dramatic win over Real Madrid

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Arsenal reach Champions League semi-final with dramatic win over Real Madrid

Arsenal have reached the semi-finals of the Champions League after a dramatic victory over holders Real Madrid in Spain.

The north London side, who became the first English team to win twice at the Bernabeu following their triumph there 19 years ago, will face Paris Saint-Germain in the last four after the French side beat Aston Villa on Tuesday.

It is the third time the Gunners have made it through to the semis of the top club football tournament in Europe, and the first since 2009.

Arsenal went into the second leg of their quarter-final clash on Wednesday with a 3-0 lead.

Backed by a raucous home crowd, Madrid tried to get off to a strong start and Kylian Mbappe scored after two minutes. However, the goal was disallowed for a clear offside.

Arsenal had the chance to go ahead in the 13th minute but winger Bukayo Saka missed a penalty.

The Spanish hosts were awarded a penalty of their own about 10 minutes later when Mbappe stumbled under pressure from Declan Rice in the box – but the decision was overturned by VAR.

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Saka atoned for his tepid penalty as he chipped the ball past Madrid’s keeper Thibaut Courtois when put through on goal by auxiliary striker Mikel Merino in the 65th minute.

But Arsenal were pegged back just two minutes later as Vinicius Junior caught William Saliba dawdling on the ball and fired Real Madrid level.

Arsenal’s resolute defending kept the home side at bay until Gabriel Martinelli made a late break through the home side’s defence to put his side 2-1 ahead three minutes into injury time, as the Gunners made it 5-1 on aggregate.

(L-R) Arsenal's Declan Rice and Mikel Merino celebrate after the defeat against Real Madrid. Pic: AP
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(L-R) Arsenal’s Declan Rice and Mikel Merino celebrate after the defeat against Real Madrid. Pic: AP

‘We knew we were going to win’, says Rice

Arsenal midfielder Declan Rice has insisted his team are intent on winning the Champions League after their victory in Madrid.

Speaking to TNT Sport, Rice, who was named player of the match, said: “It’s such a special night, a historic one for the club. We have the objective of playing the best and winning the competition.

“We had so much belief and confidence from that first leg and came here to win the game. We knew we were going to suffer but we knew we were going to win. We had it in our minds, then we did it [in] real life. What a night.

“I knew when I signed, this club was on an upward trajectory. It’s been tough in the Premier League but in this competition we’ve done amazingly well.

“It’s PSG next, who are an amazing team.”

‘We have to be very proud of ourselves’, says Arteta

Arsenal boss Mikel Arteta told TNT Sport: “One of the best nights in my football career.

“We played against a team with the biggest history.

“To be able to win the tie in the manner we have done, I think we have to be very proud of ourselves.”

He added: “The history we have in this competition is so short. The third time in our history of what we have just done and we have to build on that. All this experience is going to help us, for sure.”

Real Madrid were seeking their third Champions League title in four seasons.

Mbappe twisted ankle

Their forward Mbappe twisted his right ankle during the game and was jeered by part of the crowd when his substitution was announced after a lacklustre performance.

The French star, who is still looking for his first Champions League title, was replaced by Brahim Diaz in the 75th minute following his injury. He was able to walk off the pitch by himself, but was limping slightly.

The other semi-final will be between Barcelona and Inter Milan.

The first legs are set to be played on 29 and 30 April, with the second legs on 6 and 7 May.

The final will be on 31 May.

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