Labour's tax commitments have put Rachel Reeves in a challenging position as she prepares for her first budget, according to the Institute for Fiscal Studies (IFS). The thinktank noted that Reeves has effectively "one hand tied behind her back" due to her pledge not to increase four key taxes—income tax, national insurance, VAT, and corporation tax—which together account for 75% of the government's revenue. The IFS warned that this restriction could lead the Chancellor to make decisions that may be detrimental to the economy. With these major tax increases off the table, there is growing speculation that Reeves may look to generate additional revenue through hikes in capital gains tax, inheritance tax, and stamp duty on property transactions.