British finance minister Jeremy Hunt said he hoped to be able to cut taxes further in his annual budget on Wednesday, but it would be "deeply unconservative" for him to do so in a way that required higher borrowing.

"What you saw in the Autumn Statement was a turning point, when we cut two pence off the National Insurance rate. We will hope to make some progress on that journey, but we're going to do so in a responsible way," Hunt told Sky News on Sunday.

"It would be deeply unconservative to cut taxes in a way that increased borrowing," he added.

(Reporting by William Schomberg; writing by David Milliken)