London, UK - Nov 27, 2025 (CCTV - No access Chinese mainland)
1. National flag of Britain
2. London Tower Bridge, buildings, the Thames
3. Various of buildings, pedestrians
4. London Tower Bridge, buildings, the Thames
5. Entrance to restaurant
6. Bowls of rice, vegetables on table
7. SOUNDBITE (English) local resident:
"I think it's a terrible budget. It's not a budget for growth, it' s a budget for stagnation. Thirty eight percent of GDP will now be represented by tax, which is the highest ever."
8. Various of buildings, pedestrians, the Thames
9. The London Eye
10. Various of Big Ben, traffic, pedestrians, bridge, river

British citizens voiced concern Wednesday after Chancellor of the Exchequer Rachel Reeves unveiled the 2025 Budget, which imposes the highest tax burden in the country's history and intensifies pressure on household incomes amid rising living costs.

The budget outlines major shifts in public spending and taxation, with Reeves aiming to steer the UK out of economic stagnation through stability, investment, and reform.

The Chancellor delivered a Budget that brings British taxes to an all-time high, the Financial Times reported, noting that Reeves increased taxes by 40 billion pounds (about 53 billion U.S. dollars) in her first budget last year and announced a further 26 billion pounds (34.5 billion U.S. dollars) rise on Wednesday.

"I think it's a terrible budget. It's not a budget for growth, it' s a budget for stagnation. Thirty eight percent of GDP will now be represented by tax, which is the highest ever," said a London resident.

A bowl of rice now costs four pounds ninety, up from three pounds just three years ago, a 63 percent surge that starkly illustrates the pressure of soaring prices in the UK.

The budget is widely regarded as the heaviest tax burden in British history. Against the backdrop of persistent high inflation, the government's continued tax hikes will undoubtedly increase the financial strain on ordinary citizens.

Analysts say that the core of the 2025 Budget is to strengthen public finances through tax increases.

It is projected to generate an additional 26 billion pounds in total tax revenue by the 2029-2030 fiscal year. Starting in 2028, measures include freezing the income tax and National Insurance contribution thresholds, reducing the tax-free savings allowance, introducing a surcharge on high-value homes, implementing a mileage-based tax for electric vehicles, and adjusting pension and investment tax schemes.

These steps aim to broaden the tax base without raising major tax rates.

However, multiple institutions caution that the long-term freeze on thresholds and increased taxes on investment income will increase household tax burdens, reduce disposable income, and exert pressure on consumption and the property market.

Economists generally opine that while the budget creates fiscal breathing room, its impact on boosting the sluggish British economy remains limited. The country continues to face structural challenges including high inflation, stagnant productivity, and high debt levels.