How can the UK government use fiscal policy to target inflation levels in the economy?

Fiscal policy is the adjustment of government spending and taxation to manipulate macroeconomic objectives, such as inflation. For example, if inflation is above the 2% (+/-1%) target set out by the Monetary Policy Committee then the government can pursue a contractionary fiscal policy. By increasing taxation in the economy the government can reduce real disposable income which should decrease consumer expenditure in the economy which in turn decreases inflation. 

Furthermore, the goverment can decrease government expenditure as part of its contractionary fiscal policy. For example, it can decrease levels of welfare payments which means people have less money to spend in the economy. However, although this may be effective in decreasing inflation levels, it may have detrimental implications for other macroeconomic objectives such as economic growth as there will be less consumer spending which directly effects aggregate demand.