Britain’s Starmer backs his Treasury chief after U-turns dent the government’s fiscal plans
British Prime Minister Keir Starmer’s Office said on Wednesday that Treasury Chief Rachel Reeves said he was safe in his business after reducing a series of government plans to generate revenue.
After the speculation about Reeves’s future appeared in tears at the House of Commons on Wednesday, the day after the embarrassing reversal of plans to reduce welfare expenditures for the government. Many viewers observed that Reeves looked exhausted and sad while sitting behind Starmer during the weekly prime minister’s questions.
The Treasury said Reeves was dealing with a “personal issue .. It wouldn’t be detailed.
Starmer initially refused to say that when the opposition leader was asked by Kemi Badenoch, Reeves would still have his job in 2029 when the next election was called.
However, Starmer’s press secretary later said that Reeves did not go anywhere ”. The Prime Minister has full support.
On Tuesday, the Starmer government was forced to irrigate plans to reduce prosperity expenditures by deputies to suppress a rebellion from their party.
With an empty victory, the draft passed the first major House of Commons by preventing the government’s workers’ rebels and softening and delaying the cuts for the benefits of welfare for the disabled. Nevertheless, 49 business deputies voted against the bill.
The result is a major blow to Starmer’s authority, while calculating with a stagnant economy and rock -based approval ratings, while approaching the one -year anniversary of the Friday elections.
In addition, it makes tax increases more likely by quitting the money it trusts to invest in public services. The government promised that it will not increase key taxes, including income tax and sales tax.
The government estimated that welfare reforms would save 5 billion pounds ($ 7 billion) a year, but after changes, it is unclear that they cannot save money and save any money.
On the contrary, in May, he followed a plan to leave a plan to end winter home heating subsidies for millions of retirees that Reeves also trusted to make money.
