Scottish Labour leader warns Rachel Reeves must use Budget to restore public trust in party
A member of the Labor leadership has warned that the chancellor must use his budget to restore confidence in the party.
write specifically for IndependentScottish Labor leader Anas Sarwar said on Wednesday the budget was “a moment to rebuild confidence and get the Labor government back on track”.
The intervention came at a dangerous moment for Labor; Less than two days until Rachel Reeves stands to deliver her make-or-break budget and six months until a series of elections that could decide Sir Keir Starmer’s future as prime minister.
The elections include elections to the Scottish Parliament, where Mr Sarwar hopes to return Labor to power against the SNP for the first time since 2007.
Read our Live Budget updates HERE
But Labor, which won 37 of the 59 seats in the UK parliament in Scotland last year, finished third in Scottish polls behind the incumbent SNP and rebel Reform UK.
Mr Sarwar warned: “Trust is vital in politics. It is the trust of the people that gives a government the power to make laws.”
“What is also vital in our effort for economic growth is the trust of our businesses.
“But in recent years, trust has weakened: public trust, business trust, and trust in the political leadership’s ability to deliver stability and growth.”
He acknowledged that rot had set in under the previous Tory government.
“We all know the damage done to business confidence by the debacle of the EU exit process, Boris Johnson’s ‘fuck business’ attitude and the economically illiterate self-destruction of the Liz Truss Mini budget.”
But he added: “To be honest, the strain of ending this failure has also damaged the trust between Labor and many businesses.
“This trust will not be rebuilt with slogans or short-term solutions.
“It needs to be earned. Priorities start with honesty about past failures and what the country needs now.”
Mr Sarwar said the Budget should set out “Labor values of fairness and action to tackle the cost of living and poverty”.
He added: “We need a budget that tackles poverty, cuts bills, rejects austerity and restores business confidence.
“Growth will be difficult to achieve without consumer confidence from families with more money in their pockets to spend.
“So cost-of-living action is in the best interest of business, but it is not enough.”
The Office for Budget Responsibility (OBR) will reportedly cut its UK growth forecasts to 2029 in line with Ms Reeves’ Budget plans, while Mr Sarwar warned growth was needed to restore confidence.
The Labor Party came to power in July last year with “mission number 1” to boost economic growth. But since then growth has plateaued and fallen.
Mr Sarwar said: “Without growth we cannot fund public services, attract investment or raise living standards. Without growth we cannot end the Conservative Party’s cycle of doom and bring prosperity back into people’s pockets.
“Every serious analysis comes to the same conclusion: Long-term prosperity requires clarity, predictability, and a government willing to make choices that support entrepreneurship and innovation.
“This means showing honesty, being upfront about what went wrong and being clear about how it will be fixed.”
He expressed concern that business now has to deal with an even greater sense of policy instability.
“Ultimately, voters and businesses alike will have benefited from the decisions taken by the UK Labor government,” he wrote.
“But the real tragedy is that the failure to project confidence and communicate these changes leaves them feeling uncertain.”
