'We can't just carry on like we have been spending...'

THE Chancellor denied the Government is heading towards austerity as she confirmed plans to cut Civil Service costs by 15%.

- By Martyn Brown

Rachel Reeves insisted more money was being poured into capital spending and the NHS, but Labour was looking to cut back the state - which she said had swelled during Covid - by the end of this parliament. It comes amid a backlash, including from Labour ranks, over welfare spending cuts and slashing foreign aid to fund a boost to defence spending.