Chancellor Rachel Reeves has warned of “difficult decisions” which could have a significant impact on people’s savings and mortgages. Government sources indicate potential tax rises and spending cuts totalling £40billion in a bid to fill the hole in the public finances. The Chancellor has stated that Labour inherited “the worst set of circumstances since the Second World War” regarding Government finances, a claim disputed by the Conservatives. Despite pledging “no return to austerity”, Reeves suggests that most of the financial gap will likely be filled by tax increases rather than spending r…