After two months of very minimal economic growth, and national debt now accounting for 100% of GDP, now more than ever people want to know that the country’s finances are in stable, trustworthy hands. And for many, following cuts to the winter fuel allowance, and a refusal to deny rises in taxation, this trust has begun to waver. For any present-day government, managing the economy can be ‘make or break’ for a cabinet – as we saw with Liz Truss’ mini-budget in 2023.
The Chancellor’s speech had a real taste of hope and ambition, boasting that “Labour is back in the service of communities [they] should never have lost”. She spoke fondly of Labour women before her, such as Harriet Harman, and thanked those who came before her for paving the way for her to become the first female chancellor. Reeves believes that Labour “were elected because, for the first time in almost two decades, people looked at us, looked at me, and decided that Labour could be trusted with their money”.
Reeves spoke strongly of the apparent mess left behind by the Conservatives, acknowledging that “trust is earned, but easily squandered”, “just ask the Conservatives”, she joked. She blamed the failure of the Conservative Party on their insistence on “clinging to the discredited, trickle down and trickle our dogma”, ultimately focussing on “putting party before country” and not understanding “the world as it is today”.
Later interrupted by a pro-Palestine protestor, shouting about the government’s continued arms sales to Israel, Reeves proclaimed that “we are the changed Labour Party that represents working people, not a party of protest”, a line similar to that used by Starmer when heckled at a rally during the election campaign.
It’s been a trying few weeks for the Chancellor, coming under scrutiny for introducing measures to means test the winter fuel allowance, and more recently becoming embroiled in the cabinet-wide donations scandal. Reeves touched on this today in her speech, telling conference that “I know that not everyone in this hall, or in this country, will agree with every decision I’ll make, but I will not duck those decisions, not for political expediency, not for personal advantage”.
Returning back to a theme of positive change, Reeves pledged “no return to austerity”, promising an autumn budget with “real ambition” which “will keep our manifeso commitment”. She also made promises not to raise income tax in this budget, declaring no further taxation on working people, instead focusing on filling the public spending deficit by cracking down on tax avoidance and evasion, increasing the levy on oil and gas producers, and ending non-dom tax loopholes.
Catching up with delegates outside the conference hall, it’s clear that Reeves’ message of hope and change resonated with the audience, who spoke of “total trust” and “absolute confidence” in the chancellor and her plans for the economy.
