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Per Alix Culbertonpolitical reporter
Tax rises are likely to be announced in the autumn budget, the chancellor has admitted.
Rachel Reeves said Labour would stick to its election manifesto pledge not to raise national insurance, income tax or VAT.
During the election campaign, Labour candidates avoided answering questions about whether other taxes would be raised – and the Conservatives warned that Labour would raise other taxes.
But on Tuesday, a day after announcing several money-saving measures, Ms Reeves told The News Agents podcast: “I think we’re going to have to raise taxes in the budget.”
She did not say what taxes could be raised during the Labour government’s first budget on October 30.
Sky News looks at who could be targeted.
Inheritance tax
This is one of the taxes most likely to change.
Inheritance tax is charged at 40% on the value of an estate over £325,000 when someone dies.
The tax rate could be increased or the amount people have to pay for inheritances could be reduced to raise money.
There are currently several exemptions, including for farmland and family businesses, but these could be revoked to include them.
The government could also reduce the number of years allowed to gift assets before someone dies, before inheritance tax kicks in.
A leaked recording from March revealed that current Chief Secretary to the Treasury Darren Jones said inheritance tax could be used to “redistribute wealth” and address “intergenerational equality”.
Capital gains tax
Capital gains are taxed on profits from the sale of capital assets, including second homes, shares, business assets and most personal property worth £6,000 or more, excluding cars.
Currently, people do not have to pay tax on the first £3,000 of profits, or £1,500 for trusts.
The minimum threshold could be removed and the tax could be applied to currently exempt assets.
Like inheritance tax, it is one of the taxes most talked about as a target.
city tax
In the leaked recording of Mr Jones, he said he was frustrated with the “outdated” council tax system and hinted that homes worth over £1m may have to pay more.
Former shadow minister Jonathan Ashworth told Sky News during the election campaign that Labour would not change council tax bands.
Council tax is currently set in bands based on house values in 1991, which has been called “absurd” by the Institute for Fiscal Studies (IFS) and “incredibly poorly designed” by the Institute for Government (IfG).
Gemma Tetlow, chief economist at the IfG, said council tax could be reformed “in a very sensible way… instead of having a band system, you could move to something that is a tax that is much more proportional to land revenue”.
She added: “You could do this sensible structural reform and raise some extra money at the same time.”
Commercial tariffs
Labour is understood to be consulting on changes to business rates, which are charged on most non-residential properties, with exemptions for some including small businesses, retail, hospitality and leisure properties.
A change could be made so that they are related to the land value rather than the current rateable value, which is an estimate of how much it would cost to rent that property for a year in April 2021.
Stamp tax
Stamp duty is paid on the cost of a property over £250,000, with more tax paid for second homes and by non-UK residents, plus relief for first-time buyers.
This currently discourages people from moving home and is part of the reason why older people are not moving out of larger, more expensive properties.
Labour could change the tax so it focuses on an annual tax on land values rather than a transaction – but that could be a hard sell for the party.