Reeves 'investigated over expenses’ while at HBOS

Pressure on chancellor as it also emerged she was at Bank of England for nine months less than stated on LinkedIn profile

- ARCHIE MITCHELL MILLIE COOKE

Rachel Reeves is under mounting pressure over allegations she used company expenses in a former job to buy handbags, perfume, earrings and wine for colleagues, and exaggerated her Bank of England experience on her CV.

Before entering parliament, the chancellor was one of three employees investigated by Halifax Bank of Scotland (HBOS) for using her expenses to “fund a lifestyle” with inappropriate spending on dinners, events, taxis and gifts, the BBC has alleged.

The broadcaster uncovered documents it said showed Ms Reeves was accused of spending hundreds of pounds on the items, including one gift for her boss. Concerns were reportedly raised about her spending on taxis and on a Christmas party, with one whistleblower believing it to be excessive, the BBC said.

A former colleague told the BBC Ms Reeves was among senior managers who had “a very cavalier attitude regarding the budget in the department”, and cited a leaving meal for a colleague costing more than £400 for which Ms Reeves used a company spending card. The BBC investigation also found Ms Reeves stopped working for the Bank of England nine months earlier than it stated on her LinkedIn profile.

The reports are a major embarrassment and are likely to lead to more questions over whether she can continue as chancellor, as the economy struggles under the impact of her Budget. But Ms Reeves’s spokesperson said she did not recall being investigated by HBOS or facing questions over her expenses.

Sir Keir Starmer backed Ms Reeves, and his official spokesperson said the prime minister has no concerns about her conduct.