The head of a key UK business group says employers were caught “off-guard” by the hike in national insurance contributions in Rachel Reeves’ budget. In a stinging speech, Confederation of British Industry chief executive Rain Newton-Smith said the said the measures announced last month have made it harder for businesses to “take a chance” on hiring new people.

Chancellor Rachel Reeves has told businesses she is "not coming back with more borrowing or more taxes" as she defended the tax rises on businesses announced in the Budget. Reeves told the Confederation of British Industry (CBI) conference that despite "a lot of feedback" on her tax and spending plans, she had not heard many alternatives.

Public services face another four years of "tight budgets", warns the Chancellor, as she pledges not to put up taxes again for the duration of this parliament, writes the i newspaper. The paper also shows a photograph of a man covered in muck from Storm Bert, adding that "more flooding" is expected.