Chancellor Rachel Reeves has insisted her economic plan is the 'right one' for the UK as she delivered her spring statement in the House of Commons on Tuesday. The statement contained no new tax or spending announcements, focusing instead on the latest forecasts from the Office for Budget Responsibility (OBR).
Ms Reeves acknowledged the OBR's prediction of slower growth this year, but expressed confidence that her plans would ease the cost of living crisis and leave Britons better off by the end of this Parliament. She stated she was 'not yet satisfied' with the forecasts, as the economy is 'not yet working for everyone', but insisted the government could outperform current predictions.
The chancellor highlighted the government's commitment to a single major fiscal event each year, arguing that stability is the 'single most important precondition for economic growth'. She pointed to falling inflation and lower borrowing as evidence that the plan is working, and noted that the OBR has upgraded growth forecasts for 2027 and 2028.
Ms Reeves also addressed global uncertainty, referencing the conflict in Iran and the Middle East, and pledged to 'chart a course through that uncertainty'. She expressed pride in delivering the 'biggest uplift in defence spending since the Cold War', including investments in Typhoon fighter jets and a new Royal Navy frigate.
Responding to criticism, Ms Reeves said the previous government had let inflation soar to over 11 per cent and delivered the first Parliament on record where people were poorer at the end than at the start. She vowed that at the next general election, the answer to whether families are better off 'will be yes'.
