Rachel Reeves given extra £3bn for budget after VAT error fixed

The GuardianWednesday, October 8, 2025 at 8:20:14 AM
Rachel Reeves given extra £3bn for budget after VAT error fixed
Rachel Reeves has received an additional £3 billion for her upcoming budget after the Office for National Statistics (ONS) corrected a significant error in public finance data. This adjustment revealed that government borrowing had been overstated by £200 million to £500 million each month since January. This correction not only provides Reeves with more financial flexibility for her November budget but also highlights the importance of accurate financial reporting in government planning.
— Curated by the World Pulse Now AI Editorial System

Was this article worth reading? Share it

Recommended Readings
French political crisis: Will budget agreement save government?
NeutralWorld Affairs
The political landscape in France is currently tense as outgoing Prime Minister Sébastien Lecornu navigates a crisis. He is advocating for a budget agreement that could stabilize the government, emphasizing the importance of support from various factions to avoid dissolving the National Assembly. This situation is crucial as it could determine the future of governance in France and the effectiveness of the current administration.
French political crisis: Will budget agreement save government?
NeutralWorld Affairs
The political landscape in France is currently tense as outgoing Prime Minister Sébastien Lecornu navigates a crisis. He is advocating for a budget agreement that could stabilize the government, emphasizing the importance of support from various factions to avoid dissolving the National Assembly. This situation is crucial as it could determine the future of governance in France and the effectiveness of the current administration.
U.K. Public Borrowing Revised Down $4 Billion Due to Data Error
NeutralWorld Affairs
The U.K. has revised its public borrowing figures down by $4 billion due to a data error, which is a notable adjustment. However, even with this revision, borrowing levels remain higher than what was initially projected by the government's budget watchdog earlier this year. This situation highlights ongoing challenges in fiscal management and the importance of accurate data in economic planning.
U.K. Public Borrowing Revised Down $4 Billion Due to Data Error
NeutralWorld Affairs
The U.K. has revised its public borrowing figures down by $4 billion due to a data error, which is a notable adjustment. However, even with this revision, borrowing levels remain higher than what was initially projected by the government's budget watchdog earlier this year. This situation highlights ongoing challenges in fiscal management and the importance of accurate data in economic planning.
French Socialist Party say there are no guarantee pension reform will be suspended
NegativeWorld Affairs
The French Socialist Party, led by Olivier Faure, has expressed concerns that there is no assurance the government's pension reform will be halted. This statement comes after Faure's discussions with caretaker Prime Minister Sébastien Lecornu, who is engaging with various political parties following his recent resignation. The Socialist Party also indicated it cannot back the current budget proposal, highlighting ongoing tensions in French politics. This situation is significant as it reflects the challenges the government faces in implementing reforms amid political opposition.
French Socialist Party say there are no guarantee pension reform will be suspended
NegativeWorld Affairs
The French Socialist Party, led by Olivier Faure, has expressed concerns that there is no assurance the government's pension reform will be halted. This statement comes after Faure's discussions with caretaker Prime Minister Sébastien Lecornu, who is engaging with various political parties following his recent resignation. The Socialist Party also indicated it cannot back the current budget proposal, highlighting ongoing tensions in French politics. This situation is significant as it reflects the challenges the government faces in implementing reforms amid political opposition.
'Abject failure' as UK's homeless deaths rise - including children
NegativeWorld Affairs
The recent report highlighting the rise in homeless deaths in the UK, including among children, is a stark reminder of the ongoing crisis in housing and social support. This alarming trend underscores the urgent need for government action and increased funding for charities that support vulnerable populations. As the situation worsens, it raises questions about the effectiveness of current policies and the responsibility of society to protect its most at-risk members.
'Abject failure' as UK's homeless deaths rise - including children
NegativeWorld Affairs
The recent report highlighting the rise in homeless deaths in the UK, including among children, is a stark reminder of the ongoing crisis in housing and social support. This alarming trend underscores the urgent need for government action and increased funding for charities that support vulnerable populations. As the situation worsens, it raises questions about the effectiveness of current policies and the responsibility of society to protect its most at-risk members.
The Papers: 'China given a free pass' and 'Kemi: trust me'
NegativeWorld Affairs
Recent reports highlight a troubling situation where a spying case involving China fell apart due to the government's reluctance to label Beijing as a 'threat.' This raises serious concerns about national security and the implications of such decisions on international relations. The public's trust in government actions is at stake, and this situation could have far-reaching consequences.
The Papers: 'China given a free pass' and 'Kemi: trust me'
NegativeWorld Affairs
Recent reports highlight a troubling situation where a spying case involving China fell apart due to the government's reluctance to label Beijing as a 'threat.' This raises serious concerns about national security and the implications of such decisions on international relations. The public's trust in government actions is at stake, and this situation could have far-reaching consequences.
Green groups criticise plans to weaken protections for English national parks
NegativeWorld Affairs
Over 170 organizations have voiced strong opposition to proposed changes by the UK government that would weaken protections for national parks like Dartmoor and the Lake District. They argue that these changes, driven by a desire for economic growth, could have devastating effects on the environment and biodiversity. This situation highlights the ongoing tension between development and conservation, emphasizing the need for sustainable practices that protect natural landscapes for future generations.
Green groups criticise plans to weaken protections for English national parks
NegativeWorld Affairs
Over 170 organizations have voiced strong opposition to proposed changes by the UK government that would weaken protections for national parks like Dartmoor and the Lake District. They argue that these changes, driven by a desire for economic growth, could have devastating effects on the environment and biodiversity. This situation highlights the ongoing tension between development and conservation, emphasizing the need for sustainable practices that protect natural landscapes for future generations.
Latest from World Affairs
Taiwan’s president ‘prostituting himself’ – Beijing
NegativeWorld Affairs
Taiwan's president, Lai Ching-te, is facing harsh criticism from Beijing, which accuses him of 'prostituting himself' by promoting separatist ideas and aligning with foreign powers. This situation is significant as it highlights the ongoing tensions between Taiwan and China, with Beijing's strong disapproval of any moves towards independence. The rhetoric from Chinese officials underscores the delicate balance Taiwan must maintain in its international relations, especially as it navigates its identity and sovereignty in the face of external pressures.
German police to be given power to shoot down drones
PositiveWorld Affairs
In a significant move to enhance national security, German police will soon be authorized to shoot down drones, as announced by Interior Minister Alexander Dobrindt. This decision comes in response to increasing concerns over suspected Russian surveillance flights targeting military sites and critical infrastructure. By empowering law enforcement with this capability, Germany aims to protect its airspace and ensure the safety of its citizens, reflecting a proactive approach to emerging security threats.
Umm al-Khair, a Palestinian West Bank village engulfed by Israeli expansion
NegativeWorld Affairs
The recent approval of over 20,000 housing units by Israeli authorities in the occupied West Bank has intensified tensions in the Palestinian village of Umm al-Khair, where daily confrontations between locals and Israeli settlers are becoming increasingly common. This situation is significant as it highlights the ongoing conflict and the impact of settlement expansion on Palestinian communities, raising concerns about human rights and the future of peace in the region.
Rose is afraid of walls
NegativeWorld Affairs
The impact of two years of genocide has left a profound mark on a three-year-old girl, shaping her childhood with fear and anxiety. This situation highlights the long-lasting effects of violence on young minds, emphasizing the urgent need for support and healing for children affected by such traumatic experiences.
At least 24 killed as army paraglider bombs Myanmar Buddhist festival
NegativeWorld Affairs
A tragic military attack in Myanmar has left at least 24 people dead during a Buddhist festival, causing chaos and making it difficult for locals to identify the victims. This incident highlights the ongoing violence in the region and raises concerns about the safety of civilians during cultural events. The attack not only disrupts a significant religious celebration but also underscores the broader implications of military actions on community life.
Landslide kills 15 after striking bus in northern India
NegativeWorld Affairs
A tragic landslide in Himachal Pradesh, India, has claimed the lives of at least 15 people after striking a bus. This devastating event highlights the ongoing risks posed by natural disasters in the region, raising concerns about safety measures and emergency response protocols.