Starmer to Publicly Support Budget Amidst Transparency Concerns and Accusations Against Reeves
Labor leader Sir Keir Starmer is set to deliver a speech backing Chancellor Rachel Reeves’s recent Budget statement, arguing it will help ease cost of living pressures, lower inflation, and foster economic stability. the move comes as the Treasury faces scrutiny regarding the transparency of its assessment of public finances leading up to the Budget.
The Conservatives have claimed Reeves misled the public by presenting an overly pessimistic economic outlook, notably considering more positive official forecasts. Tory leader Kemi Badenoch stated a letter from the Office for Budget Duty (OBR) chairman revealed reeves had “lied to the public” and should be sacked. The letter, sent to MPs on Friday, detailed that the OBR informed the Chancellor on September 17th that the public finances were stronger than previously understood.
No 10 has defended Reeves, denying she misled voters.
Despite the OBR downgrading growth forecasts from next year, starmer will assert that “economic growth is beating forecasts,” while emphasizing the need for continued government efforts to encourage further growth. He is expected to advocate for protecting investment and public services as drivers of financial growth.
Starmer will also pledge to reduce “unneeded red tape” in infrastructure projects,citing a recent report identifying the UK as the most expensive location globally for building nuclear power infrastructure.He will call for reform within the sector and a correction to what he describes as ”fundamentally misguided environmental regulation.” Business Secretary Peter Kyle will be tasked wiht applying lessons from the nuclear power report to broader infrastructure initiatives.
The Prime Minister’s speech, scheduled for Monday, just days after the Budget, has been interpreted by some as a response to public reaction to the government’s economic plans, though No 10 maintains the statement was already planned.
downing Street has publicly supported Reeves following accusations from political opponents that she deliberately highlighted potential economic downgrades to justify tax increases. The Treasury previously stated it would not comment on the OBR’s processes or thier relation to pre-Budget decision-making,but reiterated the Chancellor’s choices were made to address cost of living concerns,reduce hospital waiting lists,and increase fiscal headroom.
Both Chancellor Reeves and Kemi Badenoch are scheduled to appear on the BBC’s Sunday with Laura Kuenssberg program.
