Rachel Reeves has suggested that tax rises are on the horizon in her Budget, telling the nation “each of us must do our bit”.

The Chancellor stopped short of reaffirming Labour’s manifesto pledges not to increase income tax, national insurance or VAT, instead warning “we will all have to contribute”.

She attributed the need for “hard choices” to global challenges including the tariff war sparked by US President Donald Trump and domestic concerns such as the budget watchdog’s anticipated downgrade of economic productivity.

Ms Reeves made the rare move of delivering a speech three weeks before her Budget to lay the groundwork for the anticipated tax increases she is set to unveil.

Speaking from Downing Street she said: “As I take my decisions on both tax and spend, I will do what is necessary to protect families from high inflation and interest rates, to protect our public services from a return to austerity and to ensure that the economy that we hand down to future generations is secure with debt under control.

“If we are to build the future of Britain together, we will all have to contribute to that effort. Each of us must do our bit for the security of our country and the brightness of its future.”