"Rachel Reeves won't dismiss potential tax hikes following turbulent week"

Rachel Reeves has stated she cannot guarantee there will be no tax increases in the upcoming autumn budget and maintained that she never considered resigning despite a difficult week for her and the government.

In an interview with CuriosityNews, the chancellor noted there were financial consequences to scaling back the welfare bill and admitted it had been a damaging period for Downing Street.

Her emotional moment in the Commons on Wednesday unsettled financial markets and led to speculation about her future, but the prime minister's office quickly expressed support, emphasizing that she and the prime minister remained fully aligned.

Reeves affirmed she had not thought about stepping down, despite criticism from some Labour backbenchers over her economic decisions, stating, "I didn’t work this hard just to walk away."

She expressed regret over attending the prime minister’s questions while visibly upset after a "tough day" but hoped people would understand her reaction.

"It was a personal matter that unfortunately played out in public. But I believe people can see I’ve moved forward," she said.

"I went to the session because I thought it was the right thing to do—that’s where I always am on Wednesday afternoons. Looking back, maybe I shouldn’t have been there after such a difficult day. But most people can relate to having tough moments."

The incident occurred the same week a backbench revolt forced the government to abandon major welfare reductions, leaving a £5bn gap in the budget.

"It’s been difficult," she conceded. "But we’re now conducting a review led by Stephen Timms, who is highly respected and experienced, which is the right approach. Governance requires listening—both to colleagues and to external voices."

Timms is collaborating with disability advocates to reform the personal independence payments (Pip) system, which had initially been targeted for cuts before the government reversed course.

Reeves acknowledged the need to work closely with lawmakers and the public ahead of what is expected to be a challenging budget.

"As we prepare for the autumn budget, I want to involve people in discussing the necessary compromises,” she said.

When asked if she would rule out tax increases, she replied, "I won’t, because it would be irresponsible. Last year, we made decisions to address unfunded commitments and financial mismanagement to prevent future crises. But undoing past actions comes at a cost."

While tax increases could still be part of future measures, Reeves stressed the importance of transparency in fiscal planning.