Liberal Democrats As the Budget approaches, the Chancellor still has time to
change course



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Dear John,

In two weeks, the Chancellor will announce her Budget, in what could be a make
or break moment for the Government.

The stakes couldn’t be higher.

People work hard all month but have almost nothing left over after sky-high
bills and spiralling food prices - meaning they are being priced out of even
small joys like a restaurant meal or family day out.

High street businesses are being hammered by the jobs tax and higher business
rates bills, as many are boarded up, taking with them vital jobs and local
community spaces.

We need real ambition to turn this around. So, yesterday, I set out the
Liberal Democrats’ bold alternative.

We’re calling for an emergency ‘households and high streets’ support package,
to cut energy bills and boost hospitality businesses - putting £270 in the
pockets of the typical household. This would last up to April 2027 and be paid
for by a new, time-limited windfall tax on the big banks.



Watch me explain our policy ➜
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The Liberal Democrats would slash VAT from 20% to 15% for pubs, restaurants,
entertainment and accommodation venues, making going out affordable again,
boosting local businesses, and helping to save our high streets.

We’d also remove the main renewables levy from energy bills, instead paying
for it with revenue from the bank windfall tax, to ensure that renewable energy
keeps receiving support while bringing down bills. This would cut the typical
electricity bill by over £90 a year, and households with electric heaters, many
of whom are on low incomes, would see an even bigger saving of around £250 a
year.

Our windfall tax on the big banks would also help fund a new Energy Security
Bank, offering cheap loans for families and small businesses to make
energy-saving home upgrades.

These steps would ease the cost of living, restore our high streets, and
immediately boost the economy - giving the British people a much-needed morale
boost.

John, this is a bold, fair vision for our economy - one that delivers real
change and takes everyone with us.

As the Budget approaches, let’s stand up for households and our high streets.
Please share our plans with your friends and family and join our party to help
make them happen.


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Best wishes,






Daisy Cooper MP (she/her)
Deputy Leader & Treasury Spokesperson
Liberal Democrats





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