Mr Sunak said taxes will be cut over time, ahead of the Chancellor’s Autumn statement (Picture: REUTERS)

Rishi Sunak has vowed the government will cut taxes in a ‘responsible way’ after meeting its pledge to halve inflation.

The Prime Minister refused to comment on speculation ahead of a crunch autumn statement due to be unveiled in the Commons by Chancellor Jeremy Hunt on Wednesday.

But Mr Sunak did say the government could move onto the ‘next phase’ of its economic plan after inflation fell to 4.6%.

He has revealed the focus will be ‘very much the supply side and growing the economy’, signalling cuts for businesses rather than individual taxes.

Mr Sunak and Mr Hunt tried their hand at electrical work during a visit to a north London college today.

Giving a speech, Mr Sunak said he was taking ‘five long-term decisions’ for the economy and public finances.

They will centralise on reducing debt, cutting tax, building sustainable energy, backing British businesses and delivering world-class education.

He said this would be achieved ‘in a serious, responsible way’, based on ‘fiscal rules to deliver sound money’, together with independent forecasts from the Office for Budget Responsibility (OBR).

Rishi Sunak and Jeremy Hunt doing electrical work during a visit to a north London college today (Picture: REUTERS)

‘We can’t do everything all at once,’ Mr Sunak warned.

‘It will take discipline and we need to prioritise.

‘But over time, we can and we will cut taxes.’

Inflation hit double figures for the first time in more than 40 years after rocketing to 10.1% according to data released last August.

It has now tumbled to its lowest rate in two years, the Office of National Statistics said last week.

However, prices are still rising – just not as fast.

Inflation is calculated using the Consumer Price Index – which measures the annual change in the cost of around 700 goods and services regularly purchased by households.

Data showed these items rose by 4.6% in the 12 months up to October this year.

In September, the figure stood at 6.7%.

Despite the drop, it is well above the Bank of England’s 2% inflation target.

Mr Hunt previously said in his Budget statement in March that inflation would drop to 2.9% by the end of the year.

In his speech today, Mr Sunak also promised to ‘clamp down’ on benefits cheats in a bid to get more people into work.

He branded it a ‘national scandal’ that around two million working-age people are currently jobless – with Mr Hunt expected to announce plans to squeeze benefits, despite the ongoing cost of living crisis.

Mr Sunak is desperate to win over voters ahead of a general election expected next year, as opinion polls continue to point to a Labour win.

Recent data from YouGov on Westminster voting intention figures put the Conservatives on 21% of the vote compared to 44% for the party fronted by Sir Keir Starmer.

Mr Sunak took a swipe at the Labour leader and Shadow Chancellor Rachel Reeves for plans to continue the ‘big government, big spending approach’ seen during the pandemic.

The chancellor and PM assisting an apprentice today(Credits: via REUTERS)

‘Blowing tens of billions of pounds on unfunded spending is just as dangerous as blowing tens of billions of pounds on unfunded tax cuts,’ he said.

And in a direct pitch to voters, the prime minister insisted he could be trusted on the economy – as he drew on his past experience ‘working and investing in businesses large and small’.

The Conservative leader said: ‘Whether you like me or not, I hope you know that when it comes to the economy, when it comes to your job, your family, your incomes, I’ll always take the right decisions for our country.’

‘So now you can trust me when I say that we can start to responsibly cut taxes.’

Sir Keir and Rachel Reeves at the Labour party conference in October (Picture: Getty)

But responding to the news of Mr Sunak’s five ‘long term decisions’, Ms Reeves reposted a message on X, formerly Twitter, from Labour’s Shadow Chief Secretary to the Treasury, Darren Jones, suggesting the prime minister has ‘given up on growing the economy’.

Labour’s shadow chancellor of the Duchy of Lancaster and national campaign co-ordinator, Pat McFadden, said: ‘The Tories have failed to deliver on so many pledges from the past. Why should people believe they will deliver on pledges for the future?

‘After 13 years of Conservative governments, working people have been left worse off and the Conservative economic record lies in tatters.

‘Only Labour can get our economy growing and deliver change for working people.’

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‘…Over time, we can and we will cut taxes,’ the Prime Minister has said.