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flag UK plans VAT expansion on services to close £30B gap, sparking uncertainty despite no tax hikes promised.

flag UK Chancellor Rachel Reeves is considering expanding VAT to previously exempt services like private healthcare and financial services to address a projected £30 billion fiscal gap, potentially affecting up to eight million families. flag While Labour’s manifesto pledged no increases to VAT, income tax, or National Insurance, officials are exploring base broadening measures, including lowering the small business VAT threshold. flag Health Secretary Wes Streeting denied reports of a VAT charge on private healthcare, calling them unfounded, and criticized the BMA for obstructing NHS digital reforms. flag Despite reassurances that manifesto promises remain, uncertainty persists over upcoming tax changes as economic pressures mount.

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