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Taxes likely to be raised after Keir Starmer's abandons flagship welfare reforms | Business Live

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July 2, 2025

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Join Darren McCaffrey live as the prime minister abandoned his flagship welfare reforms last night, leaving his authority damaged and his government facing a widening fiscal hole to fill.

The climbdown marks a costly blow for Keir Starmer and his Chancellor, who is increasingly expected to have to raise taxes at her autumn budget, as the government gave up all of the savings initially sought from the reforms.

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