Chancellor John Healey’s allies are attempting to claim that he and Burnham didn’t know how bad the British fiscal position was until they got inside the Treasury. Pull the other one, it’s got bells on…
An ominous pitch-rolling briefing to the FT:
‘Healey discovered he would become chancellor just days before he entered the Treasury, giving him no time for the customary meetings with officials to see the state of the government’s books ahead of taking power.
“I don’t think John Healey knew; I don’t think Andy knew,” says a senior Labour official. “Until you get the proper briefings you can only know so much. John was not in access talks with the Treasury until it was way too late.”’
This is the same strategy pursued by Reeves and Starmer in July 2024, when they claimed that they only saw the real cash deficit left by the Tories once they were inside government. Reeves said:
“I don’t think anyone realised quite how bad things were… They called an election because they weren’t willing to take tough decisions and they just ran away.”
Unfortunately for Labour, then as now the poor fiscal position is quite clear to anyone bothered to look. The market screens currently being refreshed in the Treasury can be seen by all…
Rachel Reeves has changed her bio on X since leaving No11. Back to her roots…
It now reads:
“MP for Leeds West and Pudsey🌹| Former Bank of England economist”
It’s good that she doesn’t claim to have been an economist at HBOS as she did previously. She worked in complaints…
Reeves has been posting about running and baking cakes and so on since refusing to serve in Burnham’s Cabinet. Maybe another book is in the works – try not to plagiarise passages this time, though, Rachel…
The Treasury’s rising headcount has led the total wage bill to balloon in just a single year. As revealed in its annual report out this week…
Headcount grew on average to 3,849 from 3,745. The bill jumped commensurately:
That’s a total bill of £368 million in 2025-26, up from £313 million the year before. Spending on consultancy and contingent labour only fell by £4 million, from £29 million to £24 million…
The Treasury also paid out £10.7 million in exit packages across the Group in 2025-26, up from just £126,000 the year before. 202 people left with packages versus six the previous year. Two mandarins got packages over £200,000…
The latest figures from the ONS show the UK economy grew by 0.1% in May, after a 0.1% decline the previous month. Over the three months to May, GDP growth was up 0.7%. A slight drop from 0.8% in the three months to April…
ONS director of economic statistics Liz McKeown said:
“The slight growth in GDP in May was driven by services alone, with production and construction both falling back.”
Rachel Reeves’ legacy is to leave an economy on life support…
Reeves gave her third and most likely last Mansion House speech last night. In 2024’s one, after Guido exposed the Chancellor’s real career history, she said:
“Before entering politics, I worked as an economist at the Bank of England. And then in financial services.”
This time, there was no such mention or reflection on her long career to the top. She boasted about the economy instead, and said:
“If I had said two years ago that this is where we would be today, many people would have doubted it, but we have proven the doubters wrong.”
She also laid out future-facing policy despite likely having less than a week in the job:
The next No11 occupant might have different ideas…
On the first floor of Portcullis House a painting of Rachel Reeves has appeared. Next to one of Elizabeth II…
By Sally Ward and painted this year, the accompanying plaque has the following to say:
“Rachel Reeves (born 1979) is the first woman to hold the post of Chancellor of the Exchequer. This informal portrait captures her ahead of delivering her first budget in October 2024. It is based on a photographic reference image by Simon Dawson. Reeves is shown in Downing Street, rehearsing with her advisors ahead of leaving for Parliament. The iconic red box sits behind her, the speech in front.
This portrait was purchased by the Speaker’s Advisory Committee on Works of Art as part of a collaboration with the Society of Women Artists to mark the Society’s 170th anniversary in 2026. Sally Ward’s portrait was selected for the Parliamentary Art Collection from a call to society members. The call sought works to mark women’s achievement in the last 170 years, focused on the great strides made in parliament within this time.
This collaboration is a part of the Committee’s commitment to celebrate diversity in the Parliamentary Art Collection. Reeves has commented, ‘I hope this portrait serves as a reminder to every young woman and girl across the country that there should be no ceiling on their ambition.’“
A passing Tory staffer said: “It is bloody disgrace that this total abject failure of a Chancellor has managed to get her portrait up while she’s still making a total mess of office… next to our most beloved monarch no less! Rachel Reeves won’t be remembered for being our first female Chancellor, if she’s remembered at all it will be as one of the worst Chancellors we’ve ever had.” Burnham hasn’t even kicked her out yet…
Bookmark this from Andy Burnham:
2029: “that’s when the next election will be.”
May 2027: “Absolutely not.”
“No election any time soon.”
“All of this speculation on an early election, I can knock that dead.”