Rachel Reeves News

Finance Minister Rachel Reeves cut the government's plans for spending increases to get back on track towards her fiscal targets, restoring the 9.9 billion-pound ($12.77 billion) headroom against her fiscal rules that had been wiped out by lower growth and higher borrowing costs.

Released today (26 March), following Chancellor Rachel Reeves' Spring Statement in the House of Commons, the OBR's analysis outlined a combination of higher debt interest payments and weaker-than-anticipated receipts that have wiped out Reeves' previous £9.9bn fiscal headroom, resulting in a deficit of £4.1bn before accounting for new policies.  However, the net £3.2bn savings generated from cuts to welfare budgets, which the OBR said will impact three million families in the UK, coupled with the boost from planning reforms and reduction in day-to-day spending, are expected to offset thi...

In her Mansion House speech in November last year, Chancellor of the Exchequer Rachel Reeves said the government intended to trial a pilot digital gilt instrument (DIGIT) issuance using DLT. In an update on Tuesday (18 March), Reeves added that the government was engaging with the UK Debt Management Office (DMO) «to understand what technological options are available to facilitate an issuance» and how DIGIT can «best be designed to stimulate wider development and adoption of DLT infrastructure across UK capital markets». FCA launches AI Lab to bolster innovation and development in fin...

In a letter to Chancellor Rachel Reeves and City minister Emma Reynolds, the £11bn asset manager said it shares the latter's view that holding onto cash savings means investors are missing out on significant potential returns on their capital.  Reeves not expected to make changes to Cash ISAs in Spring Forecast – reports The asset manager made two suggestions to the Treasury, the first being a limit the future tax benefit of Cash ISAs to £5000. This would «significantly reduce the almost £300bn allocation to cash within ISAs and immediately increase future investment savings into e...

The OECD lowered its UK GDP growth projections for 2025 to 1.4% for this year, down from the agency's 1.7% forecast in December 2024. Similarly, growth expectations for 2026 were lowered by 0.1 percentage points to 1.2%. In addition, the OECD expects headline inflation to hover at 2.7% in 2025, unchanged from its December outlook. 'Tough year ahead' as UK GDP shrinks 0.1% in January Despite the trim in forecasts, UK Chancellor Rachel Reeves said the UK is still expected to be «Europe's fastest growing G7 economy over the coming years – second only to the US». According t...

Labour government will on Monday set out details of how it plans to slash red tape to boost business, as it struggles to deliver growth nine months after winning power. Chancellor Rachel Reeves' shake-up comes after Prime Minister Keir Starmer took aim at the nation's «flabby state», sparking anger from unions who called on him to avoid the «incendiary rhetoric» of Elon Musk's Department of Government Efficiency (Doge) in the US. The finance ministry said regulators would be summoned to the prime minister's Downing Street office on Monday to hear Reeves announce her «action plan to deliver on the pledge to cut the administrative cost of regulation on business by a quarter». The «radical» plan would cut «costly red tape» such as the «hundreds of pages of guidance on protecting bat habitats which goes far beyond legal requirements», said a statement, referring to the £100 million ($130 million) spent on a bat tunnel by the company building Britain's new high-speed HS2 train line. The tunnel has become a lightning rod for criticism of the planning system, with the Prime Minister describing it as «absurd».

Treasury chief Rachel Reeves before a key statement about the state of the public finances later this month. Official figures Friday showed that the economy, the world's sixth-largest, saw output drop by 0.1% during the month, in contrast to expectations for a modest increase and December's solid 0.4% gain. The Office of National Statistics said the weak performance was largely due to bad weather affecting the manufacturing and construction sectors, despite a solid performance by the services sector, which accounts for around 80% of the British economy. Though monthly figures are notoriously volatile and prone to future revision, the decline puts in sharp relief the struggles the Labour government, elected last July after 14 years in opposition, is having in generating growth. Prime Minister Keir Starmer has said raising the U.K.'s economic growth is his government's number one priority over the next five years. Since the global financial crisis in 2008-9, the British economy's growth performance has been historically lackluster.

It was previously reported that Chancellor Rachel Reeves was considering slashing the tax-free limit for Cash ISAs from £20,000 to £4,000 a year in a push to get more people to invest their savings. However, reports have now suggested that any Cash ISA changes would be announced on 26 March and instead could come in the Autumn Budget. It has also been reported that the Labour government is still considering the possibility of cutting the maximum amount people can put into Cash ISAs. Investors caution Reeves' ISA reforms 'would need to strike a careful balance' to solve UK investmen...

Subscribe to enjoy similar stories. What do Rachel Reeves, Javier Milei and Elon Musk have in common? All are preaching the gospel of austerity as a necessary cure for what ails their respective economies. Hence, Reeves, the UK’s Chancellor of the Exchequer, has tightened rules for government spending and investment, despite the fact that fiscal constriction has been a major cause of the country’s problems over the past 15 years.

King Charles III is set to host Ukrainian President Volodymyr Zelensky at his private retreat in Sandringham on Sunday. This meeting comes at a critical moment, following Zelensky’s contentious discussions with former US President Donald Trump in Washington. While royal engagements with foreign leaders typically follow government coordination, this visit is widely viewed as a pointed demonstration of Britain’s continued support for Ukraine. Speaking ahead of his audience with the King, Zelensky expressed gratitude: “I’m very happy that His Majesty the King accepted my meeting tomorrow.”

climate impact, according to industry insiders, as Britain backed expansion plans for Heathrow.

U.K. Treasury chief Rachel Reeves says that the new Labour government is backing the construction of third runway at London’s Heathrow Airport

Keir Starmer (left) on his way to the G20 Summit in Brazil and Rachel Reeves (right) at Davos 2025. Pictures: Simon Dawson / No 10 Downing Street and Kirsty O’Connor / Treasury

Subscribe to enjoy similar stories. Days three and four of Davos were filled with more panel discussions, sessions, and conversations. In addition to Ukraine President Zelenskyy walking the Davos corridors, Day 3 was packed with several high-profile country representatives addressing the audience, including Malaysian Prime Minister M.

Donald Trump that Scotch whisky and other goods should be spared from any tariffs by the new administration, UK finance minister Rachel Reeves said on Thursday, as per a report.

According to the January 2025 update to the IMF Global Economic Outlook, the UK economy is expected to grow by 1.6% this year and 1.5% in 2026. IMF backs Rachel Reeves' 'sustainable' £40bn tax hikes This compares to the previous outlook in October 2024, when the IMF forecast growth of 1.5% for the current year. Chancellor Rachel Reeves said that, apart from the US, the UK was the only G7 economy to have its growth forecast upgraded for the year. Additionally, she noted that the IMF's revised economic outlook meant the UK is «forecast to be the fastest growing major European econ...

Rachel Reeves, the U.K.’s new chancellor of the exchequer, had a goal in mind when she flew to Toronto last August to meet with the heads of some of Canada’s largest pension funds.

Inflation in the U.K. unexpectedly fell in December, a move that will likely fuel pressure on the Bank of England to cut interest rates again next month

Subscribe to enjoy similar stories. Wall Street is really worried about bonds. It might be time to buy some.

Britain’s Treasury chief has kicked off a China visit aimed at boosting economic and financial cooperation between the countries, as the U.K.’s Labour government seeks to reset strained ties with Beijing