London Daily

Focus on the big picture.
Friday, May 29, 2026

No tax rise 'horror show', Sunak tells Tory MPs

No tax rise 'horror show', Sunak tells Tory MPs

Chancellor Rishi Sunak has reassured recently-elected Tory MPs there will not be a "horror show of tax rises with no end in sight", as the government deals with the costs of coronavirus.


He urged the 2019 Conservative intake to show trust to overcome the "short-term challenges" the party faces.

Some MPs have expressed fears U-turns are hurting the government's standing.

Mr Sunak accidentally revealed the wording of his statement while holding his notes outside 11 Downing Street.

The Conservative Party, which won an 80-seat majority at December's general election, has seen its opinion poll lead over Labour cut in recent weeks.

This has led to concerns among some MPs who won seats in traditional Labour heartlands in the Midlands and northern England, known previously as its "red wall".

An unnamed "red wall" Conservative told the Press Association MPs in these areas, and others in marginal seats, were "jittery" following a series of U-turns on subjects including exam results, the wearing of face coverings and school meal funding. They described the situation as a "megadisaster".

And Sir Geoffrey Clifton-Brown, treasurer of the 1922 Committee of Tory MPs, warned against "own goals", saying: "We may have a big majority but that still doesn't mean to say that we shouldn't be as competent as possible as a government."


A photographer picked up the words in Rishi Sunak's statement


It was reported at the weekend that substantial corporation tax rises and capital gains tax changes are being considered by the Treasury to deal with the enormous costs of coronavirus. But the government dismissed this as "speculation".

The wording of Mr Sunak's statement, read out during a meeting in Parliament on Wednesday with Tory MPs first elected in 2019, which the prime minister also attended, was revealed when a photographer noticed the chancellor holding a script sheet while leaving 11 Downing Street.

It read: "We will need to do some difficult things, but I promise you, if we trust one another we will be able to overcome the short-term challenges."

Referring to the reports that there could be tax increases to pay for costs incurred during the pandemic, including the furlough scheme, it added: "Now this doesn't mean a horror show of tax rises with no end in sight."

It continued: "But it does mean treating the British people with respect, being honest with them about the challenges we face and showing them how we plan to correct our public finances and give our country the dynamic, low-tax economy we all want to see."


Analysis


By Leila Nathoo, political correspondent

With more MPs back at Westminster, the prime minister and his chancellor took the opportunity to reassure restless Tory backbenchers about the government's strategy.

How to pay for the huge package of interventions to deal with the pandemic and its effects is at the forefront of Rishi Sunak's mind ahead of the Budget later this autumn.

Borrowing has ballooned and the prime minister has already promised there will be no return to austerity.

But there is nervousness among Tory MPs about rumours of tax rises and about the government's decision-making and messaging more broadly.

Mr Sunak told his Conservative colleagues that ministers needed to show people the plan for correcting public finances. He faces difficult choices while devising it.

Government sources denied the revelation of the chancellor's words in this way was "embarrassing", adding that they would have become a matter of public record anyway.

Discussing the coronavirus crisis, Boris Johnson told the MPs: "I know it's been tough. I've got to warn you, it's about to get tougher. The waters are about to get choppier. But we are going to deal with it."

The prime minister later addressed a meeting of all backbench Conservative MPs, with the 1922 Committee getting together for the first time since Parliament's summer recess.

One MP present said he had been "full of beans", while a minister added that both the day's meetings had been about "calming the troops".

Newsletter

Related Articles

0:00
0:00
Close
Japanese Technology Firm Fujitsu Launches Advanced Artificial Intelligence Tool for Corporate Disclosures
South Africa Officially Launches Nationwide Campaign for Highly Contested Local Government Elections
United Kingdom Commits Additional Funding for Unexploded Ordnance Clearance in Laos
Singapore Announces Stringent New Greenhouse Gas Regulations for Commercial Cooling Systems
Cambodia and Thailand Hold High-Level Border Security Talks at United Nations Headquarters
Myanmar Military Government and China Sign Major Agreement to Upgrade Media and Cultural Cooperation
Knife Attack at Swiss Train Station Leaves Three Injured in Suspected Act of Domestic Terrorism
Transnational Extortion Gang Threatens Canadian Police With Army of One Thousand Armed Operatives
Australia Imposes Forty-Two-Day Quarantine on Cruise Ship Passengers Following Deadly Hantavirus Outbreak
International Monetary Fund Unlocks Seven Hundred Million United States Dollars for Sri Lanka Following Economic Reforms
Australia Launches Record One Point Four Billion Dollar Lawsuit Against Chemical Giant 3M Over Contamination
China and Canada Foreign Ministers Meet in Ottawa in Effort to Stabilize Strained Diplomatic Ties
Indonesia Demands Urgent United Nations Security Council Reform Amid Escalating Global Conflicts
Extreme Weather Patterns Trigger Severe Drought in Madagascar and Destructive Flooding in East Africa
Indian State of Karnataka Faces Political Upheaval as Chief Minister Siddaramaiah Abruptly Resigns
Philippines and Japan Reaffirm Defense Ties as Crucial for Indo-Pacific Regional Stability
Norway Joins French Nuclear Deterrence Initiative in Major Shift for European Security Architecture
Global Critical Mineral Alliances Expand as Western Nations Move to Counter Chinese Supply Dominance
United States Imposes Fifty Percent Tariffs on Mexican Steel and Aluminum Ahead of Trade Pact Review
European Union and China Head Toward Major Trade Conflict Over Clean Technology Exports
United States Economic Growth Severely Downgraded to One Point Six Percent as Stagflation Fears Mount
World Health Organization Warns Central African Ebola Epidemic is Outpacing Containment Efforts
United States Treasury Department Conditions Sanctions Relief on Reopening of the Strait of Hormuz
Iranian Air Defenses Intercept and Destroy United States Military Drone Over Bushehr Province
Iranian Armed Forces Launch Ballistic Missiles Toward Unspecified Targets Prompting Regional Condemnation
United Nations Secretary-General Warns Global Order Facing Highest Level of Conflict Since 1945
Israel Issues Sweeping Evacuation Orders in Southern Lebanon Amid Intensified Hezbollah Conflict
Russia Announces Systemic Military Strikes Targeting Ukrainian Defense and Energy Infrastructure
United States and Iranian Negotiators Reach Draft Agreement to Extend Ceasefire and Resume Nuclear Talks
United Nations Security Council Deeply Divided Over United States Capture of Venezuelan President
US and Iran Exchange Direct Military Strikes Amid Fragile Gulf Ceasefire
World Health Organization Warns of Catastrophic Ebola Outbreak in DR Congo
Russia Threatens New Wave of Strikes on Ukrainian Infrastructure and Embassies
Scientists Warn Atlantic Ocean Currents Could Collapse Faster Than Projected
Anthropic Reaches $900 Billion Valuation in Historic AI Funding Round
Washington Imposes Crippling Sanctions on Iranian Maritime Authority
Japan and the Philippines Initiate Strategic Intelligence-Sharing Pact
Microsoft Deploys Autonomous Computer-Using AI Agents to Global Markets
Anthropic Secures $45 Billion Compute Infrastructure Agreement With SpaceX
U.S. Director of National Intelligence Resigns Amid Administration Shakeup
Micron Technology Crosses Trillion-Dollar Valuation Amid Unprecedented Hardware Demand
Canada and Germany Finalize Historic Long-Term LNG Export Agreement
China Expands International Travel Restrictions on Domestic AI Researchers
Japan Approves Sweeping Overhaul of National Intelligence Apparatus
Global Airlines Scramble Logistics as Middle East Airspace Remains Fractured
Japan's Naphtha Imports Plunge 47 Percent Amid Strait of Hormuz Closure
Global Crude Prices Retreat Below $96 as Gulf Tensions Momentarily Ease
Generative AI Outperforms Human Baselines in Landmark Global Creativity Study
NASA Partners With Private Aerospace to Unveil Permanent Lunar Base Architecture
South Korean Equity Markets Surge on Next-Generation Memory Chip Frenzy
×