Sunak Eyes Pre-Election Tax Cuts If UK Inflation Dips Below 3%

  • Official projections suggest premier may have room to cut tax
  • Governing Tories trail Labour by about 20 points in polls

Rishi Sunak

Photographer: Hollie Adams/Bloomberg
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UK Prime Minister Rishi Sunak plans to offer pre-election tax cuts in next year’s budget if inflation falls below 3% this year, people familiar with his thinking said.

Signaling his optimism at a pre-budget Cabinet meeting on Wednesday, Sunak told ministers: “As Conservatives we all want to reduce the size of the state and cut taxes,” one of the people said. They all requested anonymity disclosing private discussions.