Chancellor Rachel Reeves “permission” has given a flood of economic data in Great Britain this month to pursue a more aggressive growth agenda, so high -ranking government officials, the Labor sensitivity and the appearance with the supervisory authorities on a war foundation.
Next week, the Chancellor will keep “growth” against the background of a stagnating economy, the latest turbulence on the bond markets and a survey on Friday British companies shorten jobs At the fastest pace since the financial crash, apart from pandemic.
Reeves, which wants to speed up a number of flagship investment projects, should have decided to become “faster and further” after their recent battle by the markets and political opponents in order to pursue growth.
“There is a view in the Ministry of Finance that all of this is okay,” said a minister. “It is seen as a permit that they become growth measures harder.”
An ally of the Chancellor said: “She was frustrated about the speed at which things happened. She wants to use the power of the Ministry of Finance to show where we want to go next. This is politically controversial stuff. “
For example, Reeves, who showed conservative criticism of Beijing this month, urges the Fast Fashion company Shein in London despite the concerns about the standards in his factories in China. It also supports an expansion of the Heathrow Airport.
The market storm at the beginning of the year led to claims that Reeves’ job was at stake, but her followers said that she used the episode to react with “strength and determination”. She said this month that she would be happy to be known “The iron chancellor”.
However, the conservatives say that this is ridiculous. “It is clear that Labor does not come out in her depth and ideas to grow the economy,” said Andrew Griffith, Shadow industry. “Workers pay the prize for the war war against the business.”
Griffith notes that it will impose a number of new labor laws on the company for all deregulation talks of Reeves company, which the government estimates Cost business £ 5 billion £.
But Reeves – who spoke about the British economy in the World Economic Forum this week – has shown in the past few days that they use the power of their office to take decisive measures throughout Whitehall, some of which are greeted privately by the Tories.
Minister this week displaced Marcus Bokkerink as chairman of the competition and markets authority, the monopoly regulatory authority, which was criticized for allegedly limping growth.
His departure was a signal to other supervisory authorities, which, according to financial officials, they have to push more growth. “Sometimes a message has to be sent,” said one.
Reeves’ focus on the supervisory authorities has received the private admiration of the opposition. “We should have done it ourselves,” said a former Minister for Tory Treasury.
But while some Tories agree privately, Reeves’ actions ruffled some on the side of the gang. It was accused by the former shadow chancellor John McDonnell to leave the door open to critics in order to say that Labor “defends abuse and profiteers from companies”. Another left -wing Labor -Labour member said: “It’s desperate.” However, she seems to feel comfortable to make such enemies.
The Chancellor too Page with the banks This week in a case of the Supreme Court, in which you may have to pay out about tens of billions of pounds in a legal dispute in a false sale in motor financing. A new tax regime without a cathedral was loosened.
Next week, Reeves will also signal their support for the expansion of the airport in the southeast, including Heathrow, despite the violent criticism of the Green Lobby and the Mayor London, Sir Sadiq Khan.
Whitehall insiders believe that Reeves has moved to jump their cabinet colleagues. Strander himself voted against a third runway in Heathrow, while Ed Miliband, who resigned on Gordon Brown’s government’s topic, depressed every proposal this week. In the meantime, judicial reviews of disputed infrastructure projects are restricted.
In view of the threat, which represents its precarious financial plan through the sluggish growth, Reeves has asked the finance ministry not to concentrate on budgets and instead concentrate on increasing investments.
Officials work on a number of projects with coden names with fruit-related-to be able to invest in Great Britain.
One refers to a massive new Universal theme park Proposed for a location near Bedford, with officials near the talks between the company and the Ministry of Finance said that they “progress well”.
Supporters of the project claim that it could generate up to 50 billion GBP in economic value in the first 20 years. The Ministry of Finance was asked to provide financial support, including the modernization of an M1 motorway crossing and the construction of a new station.
An official about the talks called Project Mandarin said that they were almost completely: “It is one of the negotiations that could draw them if they wanted.” Another person who was informed about the talks added: “It is very close. It’s almost there, but not there yet. “
Officials said that the support package mainly focused on the guarantee of infrastructure investments and improvements that will be of crucial importance for the wearing of the thousands of people who travel on the 500 hectare site.
In the past of the FT, managers of comcast – whose universal goals and experiences are behind the program – have announced that they wanted to build “one of the largest themed parks in the world”.
Universal goals and experiences said: “We continue to have productive discussions with the British government.”
In addition to the theme park, Reeves also tries to conclude the negotiations with AstraZeneca to revive a blocked vaccine manufacturing place in Speces, Merseyside.
The project was stopped after the Ministry of Finance tried to reduce the state support of the British Pharmaceutical Company vaccine and to reduce a commitment made by the last conservative GBP to 40 million GBP.
In the meantime, Reeves also signals their support for a 9 billion GBP motorway and a tunnel on the other side of the River in East London, which would use private financing to cover the costs for taxpayers.
There is also signs that the government hopes to avoid any criticism that it concentrates all of their firepower on the southeast of England.
The Ministry of Finance has announced plans to check the “Green Book” with which it evaluates the value of the proposed investment decisions, and the focus of the anger of critics who believe that it prefers London and the surrounding region.
With the help of the office for investments, it also promised to build a pipeline of investable projects outside the southeast. Reeves is closely observed by northern mayors who had been courted by the Labor government when they took office for the first time.
