Rachel Reeves became the first female Chancellor to give a budget last month (Image: Getty)
Treasury officials have removed a social media post making “dubious” claims about National Insurance rises.
Shadow Chancellor Mel Stride wrote to the department last week when it provoked fury by saying “we’re not increasing the basic, higher, or additional rates of Income Tax, National Insurance or VAT”.
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Mr Stride said: “It is right that the Treasury have taken down their misleading post on the Chancellor’s National Insurance hike.
“Given this response, I hope all Government ministers will now correct the record accordingly.”
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He wrote to Treasury Permanent Secretary James Bowler about the social media post from the department’s official account, claiming they may have broken civil service guidance.
Mr Stride asked Mr Bowler whether they had been pressured to say this, in line with Labour’s election manifesto.
In a response published today, Mr Bowler said: “The post was linked to the taxes of working people and, as such, the reference applied to the National Insurance Contributions (NICs) levied on employees. The fact that employer NICs is increasing was widely documented, most obviously in the Budget document and that Chancellor’s Budget speech.
“Nonetheless, for the avoidance of any doubt, the post has been taken down.
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Chancellor Rachel Reeves increased employer national insurance contributions to raise an extra ￡25bn – the main tax rise in the Budget.
Paul Johnson, Director of the Institute for Fiscal Studies, said of the original post on X: “Seriously? I know this was in the Red Book. And I'm no expert on rules covering what government depts can/cannot say. But at best this is dubious. And that's being generous. Increasing NI was the central tax raising measure in the Budget. What is the point in pushing this line?”