Wages in the UK rose by 5.9% in the three months leading to January, while inflation was recorded at 2.5%, according to the Bank of England. The Office for National Statistics reported that the unemployment rate remained steady at 4.4% during the same period. Chancellor Rachel Reeves is not anticipated to raise taxes in the upcoming spring statement, with government sources indicating potential budget cuts instead. Additionally, the government plans to increase defense spending to 2.5% of the UK's economic output by 2027, aligning this commitment with broader economic growth.