Rachel Reeves shoots Starmer in foot as economic slump sinks relaunch | Personal Finance | Finance




There are plenty of candidates, given Labour's desperate talent shortage. But one in particular stands out.

First, though, Starmer should start by blaming himself. Because what's the point of preparing a big set-piece speech when you've got nothing new to say?

All he did was double down on a lot of weak ideas and impossible targets that Labour will never hit.

Waffling on about “milestones for a mission-led government” only shows that Starmer has nothing meaningful or measurable to say.

But Starmer won’t blame himself. The PM exhibits all the self-knowledge of Greg Wallace’s Instagram feed.

So he’ll continue to shoot himself in the foot every time he opens his mouth. And he won’t be the only one.

Misfiring energy secretary Ed Miliband will pepper Labour's credibility as his rushed energy transition threatens blackouts and sends electricity bills through the roof.

Angela Rayner, secretary of state for housing, will blow another hole in business growth with her £5billion employment rights package.

Incredibly, neither is Starmer’s biggest liability. That honour belongs to his closest political ally, chancellor Rachel Reeves.

What a disappointment she's been. During the election, we heard a lot about how clever she was, but that was based on an older version of her CV.

There's nothing clever about her stint as chancellor, either politically or economically.

Her first move was to turn millions of pensioners against Labour by axing their Winter Fuel Payment. Labour's own figures show almost 4,000 will die as a result.

Reeves pushed that through despite warnings from Treasury officials, thinking it would show she was willing to make tough decisions.

That was only the start.

She went on to talk down Britain, panic businesses and consumers with pre-Budget threats, then confirm their worst fears with the biggest peace time tax raid in history.

None of this will reduce the deficit, cut the national debt or get the economy moving again, which is what Labour has pledged to do. Quite the reverse.

While Starmer shot himself in the foot yesterday, he was already hobbled by Reeves.

Labour has zero chance of delivering on Starmer's Plan for Change because it relies on a growing economy, and Reeves has sent it into reverse.

Today the Confederation for British industry (CBI) warned that Budget tax hikes will hit household incomes.

This will blow a hole in Starmer’s newly minted goal of of “raising living standards in every part of the UK”.

That's another of his “measurable milestones”. One so vague it's impossible to measure in any meaningful way.

With allies like Reeves, Starmer doesn't need enemies (although he has plenty of those too).

If I was the PM, I’d be examining my footwear, and wondering where all the holes came from. Then I'd want a quiet word with Rachel Reeves.

After that, Starmer should look to himself.



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Posted: 2024-12-06 11:08:38

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