Rachel Reeves, the shadow chancellor, has staked her economic vision on a relentless pursuit of growth, using the word 58 times in her recent Mais lecture. She promised reforms to planning, investment, and skills, but critics note a lack of concrete detail.
Reeves acknowledged the limitations of GDP as a measure of national wellbeing, pointing out that it ignores unpaid work and can rise from cleaning up disasters. This comes as the US saw strong GDP growth yet fell out of the top 20 in the World Happiness Report, highlighting the disconnect.
She insisted that her goal is rapid, sustainable growth that benefits everyone and supports net zero. However, she ruled out “running the economy hot,” deferring to the Bank of England on interest rates and committing to fiscal rules overseen by the Office for Budget Responsibility, avoiding US-style subsidies.
