"We all, of course, hope that growth will return strongly in the coming year, which would improve the state of the public finances as tax revenues would increase and benefits payments would fall. But there is a structural deficit in the British public finances that will need to be closed even if growth rebounds vigorously."
"Economies will be needed to fill the gap over the coming years. Hiking taxes considerably would be self-defeating as it would stifle consumer demand. Public spending should take most of the strain."
As far as possible tax rises should take the strain, with real terms spending cuts there as a last resort. The opportunity has arisen to promote lovely lefty social justice tax reform under the banner of plugging the public finance gap at the same time. That's all good. Us lefties always want higher and more socially just taxes, well now we've got another bandwagon to ride to a better future.