Labour to inherit ‘worst economy since Second World War’, Rachel Reeves warns

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Labour would inherit the worst financial state of affairs of any incoming authorities “since the Second World War” if the get together comes into energy on the subsequent normal election, Rachel Reeves has mentioned.

The shadow chancellor pointed to “debt interest payments, growth, living standards and taxation” as she accused the Conservative Party of “burning the whole house down” throughout its time in authorities.

She advised Sky News: “This is the worst inheritance any incoming government will have had since the Second World War in terms of debt interest payments, growth, living standards and taxation.

“(Former chancellor) George Osborne said in 2010 that they were going to fix the roof. What they’ve done is smash the windows, broken the door down and are burning the whole house down.

“That is the reality for whoever is prime minister and chancellor after the next election – that’s the inheritance that whoever forms the next government is going to have to deal with.”

Her feedback come forward of subsequent week’s spring Budget, with Chancellor Jeremy Hunt mentioned to be contemplating a squeeze on public spending plans so as to ship tax cuts within the fiscal occasion on March 6.

Mr Hunt faces continued strain from Conservatives to reduce taxes when he delivers what is probably going to be his ultimate Budget earlier than the following election, as the general tax burden approaches document ranges.

Ms Reeves signalled she would doubtlessly replicate any impending tax cuts, however they would want to be in step with her fiscal guidelines.

She mentioned: “Fiscal responsibility is non-negotiable for me. The sums have to add up.

“Everything will be subject to the fiscal rules I’ve set out.

“I want taxes on working people to be lower. But it has to be affordable.”

If Labour does emerge victorious within the election, Ms Reeves mentioned there can be a “relentless focus” on financial progress.

“I am not going to be able to turn everything round overnight,” she mentioned.

“We are going to have to grow the economy. There will be a relentless focus on what we need to grow the economy.”