Britain will announce the annual budget and income tax issues have become a difficult problem.

The British Labour Party government is scheduled to release the Autumn Budget for 2025 on the 26th of this month, and whether to raise the income tax rate has been a focus of attention. British media reported on the 14th that Chancellor Rachel Reeves has canceled this tax increase plan. This news has sparked negative reactions in the market, with the British stock market, currency market, and bond market all experiencing a "triple kill". The Financial Times of UK quoted sources as reporting that Reeves has decided this week not to raise the income tax rate, but instead to increase taxes through other means. Reeves has communicated with the Budget Responsibility Office of the government on this matter. Analysts believe that if the Financial Times' report is true, it will shake market confidence in the UK government's efforts to improve its financial situation. The Budget Responsibility Office of the UK released a report in early July stating that the UK public debt is currently at its highest level since the early 1960s, and is expected to further increase in the medium to long term. The UK government urgently needs to increase fiscal revenue further in order to achieve its fiscal goals.