The chairman of the UK's independent fiscal watchdog has resigned following a major security breach that saw key Budget details published online ahead of the Chancellor's official statement.
Unprecedented Leak Causes Parliamentary Chaos
Richard Hughes, the Chair of the Office for Budget Responsibility (OBR), announced his departure on December 1, 2025. His resignation comes after the OBR's detailed forecast, outlining the potential impacts of measures in Chancellor Rachel Reeves' Budget, was accidentally published on its website.
The sensitive document went live approximately 40 minutes before Reeves began her speech in the House of Commons. This unprecedented early release triggered immediate chaos among MPs, who complained they were unable to scrutinise the government's major decisions before they became public knowledge.
In a statement, Hughes said he was stepping down to allow the organisation he has led since October 2020 to "quickly move on" from the incident. He had been reappointed to a second five-year term earlier in the year.
Political Fallout and Contradictory Narratives
The immediate political fallout was severe. Chief Secretary to the Treasury, James Murray, addressed the Commons, confirming the resignation and putting on record the government's thanks for Hughes's "dedication to public service".
Interestingly, a spokesperson for the Chancellor had expressed full confidence in Hughes to continue leading the OBR immediately after the Budget was delivered. However, pressure mounted in the following days as attention remained fixed on the watchdog.
This focus intensified because OBR officials appeared to publicly contradict the Chancellor's economic narrative in the weeks leading up to the Budget. Reeves had argued that low UK productivity necessitated tough decisions like tax hikes. The OBR's analysis, however, suggested that falls in productivity had been more than offset by increases in tax intake.
Leadership Reactions and Accusations
Prime Minister Keir Starmer defended his Chancellor today, stating there was "no misleading" from Reeves ahead of the Budget. He argued the OBR's review showed the Treasury had £16 billion less to work with, a difficult starting point even if countered by higher tax revenues.
Opposition leader Kemi Badenoch responded sharply to the resignation on social media platform X. She accused the Chancellor of trying to use the OBR Chair as a "human shield" and criticised the Labour leadership's tendency to blame others.
The OBR was established in 2010 by the Conservative-Liberal Democrat coalition government to provide independent economic and fiscal forecasts. The resignation of its chairman marks a significant moment of turmoil for the institution tasked with holding government finances to account.
