Mr Sunak has ordered Treasury officials to review options for reducing the tax burden, which is set to rise to its highest level for 70 years.
It has been reported the measures could include a 2p cut in the basic rate of income tax and slashing the rate of VAT.
Officials were also thought to be considering whether it would be possible to scrap the 45p higher rate of income tax and to raise the threshold at which inheritance tax becomes payable.
The aim would be to deliver cuts ahead of the next general election, due in 2024. It is understood the work – described as “very explorative” – is still in the early stages, with no guarantees any of the proposed cuts can be delivered given the uncertainties surrounding the public finances.
It is likely to to be seen as an attempt by Mr Sunak to restore his reputation as a “low-tax Tory” following the decision to hike national insurance.