Reeves in 'last chance saloon'

RACHEL Reeves is said to be in the “last chance saloon” as she battles Cabinet colleagues before expected huge spending cuts.

- By Jonathan Walker Whitehall Editor

One veteran Labour former minister said: “If this goes wrong then either the Chancellor or the Prime Minister will have to go, and it won’t be the Prime Minister.”

A Whitehall source said Ms Reeves was “trapped by rules she made herself” which insist day-to-day spending is funded by revenue such as taxes, without borrowing. So departments face cuts for budgets up to 2029 in the June 11 Spending Review.

Richard Fuller, Shadow Chief Secretary to the Treasury, said: “Rachel Reeves is completely out of her depth. Addicted to borrowing she has hiked taxes to record levels.

“She’s now drinking in the last chance saloon with even her own Labour Cabinet colleagues looking on with alarm.”