Hammond’s tax rise ultimatum

PHILIP Hammond has warned the Cabinet there will be no extra spending in the Budget next month unless they agree to tax rises to pay for it.

Tory MPs fear a backlash from voters if the Chancellor uses the speech to launch a raid on older voters.

But Mr Hammond has told colleagues if they are going to spend more they need to raise money, argu- ing there is ‘not a box of money in the Treasury waiting to be spent’.

Looming rows over the Budget, which will take place on November

, come as Mr Hammond’s position is looking increasingly precarious as he lacks the unanimous backing of the Tory backbenches over claims he is too gloomy and has been dragging his feet over Brexit.