Spring Budget 2025: when is the UK Spring Statement, date - Chancellor Rachel Reeves announcement predictions

• Chancellor Rachel Reeves will deliver the 2025 Spring Statement on March 26
• The statement is a mid-year economic update outlining public finance forecasts and potential policy changes
• Reeves is set to announce welfare spending cuts and benefits system reforms
• But charities warn disability benefit reductions could push vulnerable people into poverty

The Spring Statement, often referred to as the "mini-budget," is an annual update delivered by the UK's Chancellor of the Exchequer - currently Labour’s Rachel Reeves.

It provides an overview of the nation's economic health, outlines public finance forecasts, and may introduce adjustments to fiscal policies.

Unlike the primary Budget, which is typically presented in the autumn and encompasses comprehensive tax and spending plans, the Spring Statement serves as a mid-year review, allowing the Government to respond to emerging economic developments.

Traditionally, the Spring Statement includes updates from the Office for Budget Responsibility (OBR), assessments of government borrowing, and minor tweaks to taxes or public spending to address immediate concerns.

But this year's statement is particularly significant, as it will address challenges such as increased borrowing costs and subdued economic growth, which are expected to necessitate a raft of spending cuts.

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When is the Spring Budget 2025?

Chancellor Rachel Reeves is scheduled to deliver the Spring Statement on Wednesday, March 26, 2025.

What could be announced in this year’s Spring Statement?

A major talking point ahead of the upcoming statement is the Government’s expected cuts to welfare spending, and reforms to the benefits system.

Reeves has expressed concerns about the current system, saying it "lets down taxpayers because it's costing too much" and "lets down our economy because there's too many people trapped on out-of-work benefits."

The Chancellor is expected to propose significant cuts, with potential plans to slash welfare spending and other public expenditures to stabilise the nation’s finances.

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Some Labour backbench MPs have expressed unease over the planned welfare cuts, particularly concerning their impact on vulnerable populations. They have warned that any such measures would disproportionately affect poorer and vulnerable people.

Over a dozen charities have raised alarms about potential cuts to disability benefits, warning that such measures could have a "catastrophic impact" on disabled individuals.

Charities - including Disability Rights UK, Citizens Advice, Scope, and Sense - say that reducing these benefits may not achieve the Government's goal of increasing employment among disabled people, and could instead push many into poverty.

And the Scottish Greens have urged Labour leaders to oppose the anticipated welfare cuts, emphasising the potential for adverse effects on those with the least resources.

They say that leaders should stand by commitments to avoid austerity measures that could harm vulnerable communities.

What else could be announced?

Aside from benefits reform and welfare cuts, other areas are expected to see some attention in Reeves’ statement.

In light of global security concerns, the government has committed to increasing defence spending to 2.5% of GDP by 2027.

And as part of the Government's efforts to reduce public spending, there is speculation that Support for Mortgage Interest (SMI) could face cuts or elimination.

This could be a big blow for homeowners who rely on it to help cover interest payments on their mortgages. SMI is particularly important for disabled people, pensioners, and those on low incomes who cannot easily increase their earnings.

Without this support, many could struggle to keep up with their payments, increasing the risk of mortgage arrears, repossessions, and homelessness.

The Spring Statement is set to bring major changes, from welfare reforms to spending cuts - but what do you think? Will these measures help stabilise the economy, or will they hit the most vulnerable the hardest? Share your thoughts in the comments.