UK Braces for 'Brutal Budget' Amid Rising Inflation and Interest Rate Uncertainty

The UK is bracing for what could be a 'brutal budget' next month, with Labour accused of softening people up for cuts and tax rises.

SNP Westminster leader Dave Doogan made this claim after Prime Minister Andy Burnham admitted that the upcoming Budget would be 'challenging.'

The warning comes as inflation has reached a five-month high of 3.1% in August, driven by elevated petrol and diesel costs.

Bank of England governor Andrew Bailey warned that if energy market volatility persists, interest rates may need to rise to push inflation back down to its 2% target.