Chancellor Rachel Reeves said that all government departments “would get everything they want” in the next expenses, because she defended her economic decisions.
In a speech in Manchester, Reeves suggested that it had refused requests for financing the ministers and argued that pressure on funding was a “product of economic reality”.
Reeves said his borrowing rules to pay public services were “non -negotiable” and insisted that they were necessary due to “conservative abuse” of the economy.
The Chancellor also confirmed Winter fuel payments will be restored to certain retirees this yearAfter the government has made its doors on the allocation cuts.
The government said that the expenses, which will be announced on June 11, “examines each book that the government would spend”.
The examination will describe the daily ministerial budgets over the next three years and investment budgets over the next four.
Whitehall’s initiates told the BBC that they expected that it was “ugly” and that the ministers were fighting to earn small sums of money for their respective departments.
During the Prime Minister’s questions, conservative chief Kemi Badenoch said the government was in chaos and accused the ministers of the cabinet of “competing” for funding.
Sir Keir Starmer said the government made “the right decisions” on the economy adding that growth figures were up while interest rates had been reduced.
The position of reeves on the elimination of loans for daily expenses and not to increase taxes again has fueled speculation that discounts will be made.
The chancellor said that 40 billion pounds sterling of tax increases already announced in last year’s budget and that the modifications made to the way in which the loan for investment is recognized by 300 billion additional sterling pounds was available to pay infrastructure projects in the coming years.
But the Chancellor suggested that there had been friction in the government on decisions on daily spending in public services, ranging from prisons to police services.
The Chancellor said that despite an increase of 190 billion pounds sterling in funding during the expenditure examination period “Not all departments will get everything they want next week and I had to say no to the things I want to do too”.
“It is not because of my tax rules,” said Reeves.
“This is the result of 14 years of conservative mistreatment of our public services, our public domain and our economy.”
She said there were “good things I had to say no” but “the reason is because it is important to have control of public finances”.
Conservative ghost Chancellor Mel Stride said: “Mal management of the government of the economy has already led to enormous tax increases.”
He added: “I think next week, we will see very difficult things through spending allowances.”
The reflection group on the Institute for Tax Studies (IFS) warned that the difficult choices are “inevitable”, certain departments confronted with discounts of expenditure.
In his speech, Reeves has set up an energetic defense of his tax rules, As it has announced 15.6 billion pounds in investment in transport infrastructure in England.
“Over next week, you will hear a lot of debates on my so-called self-imposed tax rules,” said Reeves.
“Unlike conventional wisdom, I didn’t want to go into politics because I passionate about budgetary rules.”
The Chancellor said that she had entered politics “because I want to make a difference in workers’ lives”, adding that she believed “that economic responsibility and social justice were going even”.
Reeves accused the former Conservative Prime Minister Liz Truss of the confidence of the Stimulation Market with his Mini-Budget, which included 45 billion pounds sterling of tax reductions funded by the loan, frightening global investors and leading to his resignation.
The Chancellor suggested that the reform The head of the United Kingdom, Nigel Farage, “had itchy to repeat this same experience”, calling him “fantasy politics”.
“This is why my tax rules are not negotiable,” said Reeves.
“Let’s be clear: it’s not me to impose borrowing limits on the government, these limits are the product of economic reality.”
The Chancellor has two main rules which, according to her, will bring stability to the British economy:
- The costs of the daily government will be paid by tax income, rather than to borrow
- For debt to drop as a share of national income by the end of this Parliament in 2029/30.
Reeves spoke to Rochdale when she confirmed her intention to move away from the strict rules of the green book of the Treasury, which is used by managers to calculate the value of the money of major projects.
The book was criticized for promoting London and the Southeast.
In her speech, the Chancellor said that sticking to the rules of Book had meant “the growth created in too many places, felt too few people and large gaps between the regions, and between our cities and our cities”.
Changing the rules means more money for northern areas and midlands, including the so-called “red wall”, where labor deputies are faced with an electoral challenge by Reform UK.
The package of 15.6 billion pounds sterling will be spent on tram, train and bus projects in the Midlands, North and West Country mayors.
In Q&R after his speech, Reeves also confirmed “more people will receive payment of winter fuel this winter”.
This comes after Sir Keir has become the withdrawal of the allocation of millions of retirees, after a reaction on the decision.
However, so far, it was not clear if the change in policy would be in place for this winter.
Reeves said that the means testing that is eligible for payment “increases” and that they would define the details of how the government would finance it in its next budget in the fall.
More than 10 million retirees lost payments worth £ 300 last year after the Labor Government limited eligibility for those eligible for pension credits and other income -related advantages.
