This is not a Budget we want to repeat, says Rachel Reeves

In a marathon 76 minute speech which outlined a change in priorities from Conservative predecessors, the first female chancellor laid out big spending and tax decisions.

Health, education and transport will see spending increases, with the biggest hike in funding for the NHS since 2010 – £22bn extra for the front line and another £3bn for equipment and buildings.

In a surprise move, Reeves decided not to continue a freeze on income tax thresholds beyond 2028, which would have dragged millions of people into the tax system for the first time or pushed them into paying higher rates.

And she announced changes to Labour’s self-imposed borrowing rules to allow the government to pump billions into the UK’s infrastructure.

She said Labour would fulfil its promise to voters in July’s election to “invest, invest, invest” to “drive economic growth”.

But the government’s promise to make the UK the fastest growing economy in the developed world has been undermined by its own financial watchdog.

The Office for Budget Responsibility said the package of economic measures unveiled by Reeves would ultimately “leave GDP largely unchanged in five years”.

Asked about the underwhelming forecasts, she said: “I absolutely accept this is not the summit of my ambitions. I want the economy to grow faster than this.”

She added that the “growth numbers this year and next year are being revised up and that’s good news”.

The OBR says the economy will grow by 2% in 2025, up 0.1% on its previous forecast, but it will drift down in subsequent years to 1.5% in 2028.

In her Budget speech, Reeves said “working people” would not see an increase in income tax, National Insurance or VAT, fulfilling a promise made by Labour at the general election.

Instead, employers will see an increase in National Insurance contributions on their workers’ earnings which will raise up to £25bn a year for the government.

There will also be an increase to capital gains tax on share sales and a freeze on inheritance tax thresholds.

In his response to the Budget, Conservative leader Rishi Sunak accused Reeves of “hobbling” economic growth.

“They’re taxing your job, they’re taxing your business, they’re taxing your savings. You name it, they’ll tax it,” Sunak told MPs in his final Commons appearance as leader of the opposition.