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A defining moment Labour MPs fear tough budget will bring new set of problems
The Guardian
|October 26, 2024
When Rachel Reeves stands up in the Commons on Wednesday, her budget will end months of speculation, allowing the government to fully set out what it stands for. And that, some Labour MPs fear, could herald a whole new set of problems.
For all the expectation management about a disastrous economic inheritance and the fabled £22bn fiscal "black hole", the lack of money and tight constraints over tax rises mean that however well Reeves presents her choices, many of them will be painful.
Several Labour MPs have privately expressed concern about how the image of the government may emerge post-budget, given the inevitably slow pace of tackling the crisis in the NHS.
"We're going to be compared to the Tories," said one. "It's going to be really hard to explain the so-called boost to the NHS, which doesn't really touch the sides of what's needed, alongside the cuts they've already planned to winter fuel payments, and the two-child benefit cap which will undoubtedly put more pressure on the NHS."
Another added: "Our campaign was focused on change. The expectations are high. If they're going to make the tough announcements early with things like the winter fuel payment, they need to be confident and give people some hope on Wednesday."
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