Rachel Reeves

He could choose to allow borrowing to be a bit higher.

Actually, Rachel Reeves left a fair bit of what we call headroom against the fiscal rules with about £24 billion.

So he could allow borrowing to go up a bit and have less buffer against his rule.

It's possible that he could announce spending cuts, but I think some form of tax rise is quite likely.

They're all places which traditionally businesses are very resentful about.

And don't forget, they're already paying through employer taxes that were raised under Rachel Reeves.

Because if they took his message to the Labour conference...

they would all say, sorry, did George Osborne suddenly come back?

I think that's a very, very fair observation.

Um, Graham license is maybe they need to call Rachel from accounts to save them.

Um, We need a supreme leader like Mr. Blobby, says UK Dave.

Smith Wickman says, Comrade Burnham doesn't have an economic bone in his body and is a self-aggrandizing populist class warrior.

His politics worry me because ideologies of any kind always avoid maths.

And they put in place policies that they think should be the way it goes without considering the second and third order effects of these policies.

For example, this Labour government, when Rachel Reeves and Starmer were in place in their first budget, thought that employers should carry more of the burden of the tax that the country needs to pay, and therefore employers could shoulder more a higher level of employers' national insurance, which is a tax on jobs.

All the employers warned her that would cause a massive loss of jobs.

It simply has to be.

And if you cast your mind back, I think it was the end of last year when Keir Starmer and Rachel Reeves, if we all remember them, tried to get some very modest welfare changes through Parliament.

They couldn't.

The Labour backbenchers revolted against that.

Uh, yes, we absolutely do.

So, um, what I found quite interesting is, uh, Rachel Reeves, when she was chancellor, made a big play about the sort of the growth objective, uh, which is sort of the second objective, you know, um, for the government.

And they, uh- The Chancellor wrote to lots of organizations and lots of regulators and said, "Can you tell us what you're going to do to change, um, to, to, to generate growth in your sector?" And all of these, um, institutions and regulators wrote back to the government with a really, really long list saying, "These are all the things that we'd quite like to do," and the government went, "Oh, that looks quite hard." [laughs] And they're just sort of sitting on this list.

And I think one of the challenges we have is, you're right, I think it was the right thing to do in the wake of the 2008 financial crisis.

These are deep-seated, long-running challenges that we will absolutely grapple with because it's right for them i

understand that and as you say and that's completely fair points that you're making but two budgets by rachel reeves since you've been in power have raised the cost to businesses for in front for employing young people and have raised the cost to businesses on regulation which means that businesses say we are not going to be able to employ so many young people so the numbers of uh young people out of work is directly linked to the policies you have put in place since you became the government.

This is the question I think the voters look at this and say, well, they're saying they're going to do all these things, but the figures are going in the opposite direction.

Just like welfare, jobless unemployment for young people is going up, not down.

Yes, we absolutely do.

So what I found quite interesting is Rachel Reeves, when she was Chancellor, made a big play about the growth objective, which is the second objective for the government.

And the Chancellor wrote to lots of organisations and lots of regulators and said, can you tell us what you're going to do to generate growth in your sector? And all of these institutions and regulators wrote back to the government with a really, really long list saying, these are all the things that we'd quite like to do.

And the government went, oh, that looks quite hard.

And everyone will be reading the tea leaves right now.

What does this mean? What does this mean? What's going to be in the budget? And this was what we saw with Rachel Reeves' budget.

So even her economic statements, they tried to downplay the ones in the spring just to kind of stop all the kind of craziness that happened.

It's