Economy

Has Rachel Reeves got her growth? Today’s speech from the Chancellor in Oxfordshire was not this government’s first attempt to pivot towards a more business-friendly, growth-generating narrative. But it was its best effort yet.  Starting with the highlights. Reeves threw her unabashed support behind a third runway at Heathrow, insisting that the expansion was ‘badly needed’ and that the case had never been stronger for boosting trade; the airport ‘connects us to emerging markets all over the world, opening up new opportunities for growth’. Let’s not get carried away She called on proposals to be submitted by the summer, to start a process that would ensure the fastest and best-value

‘Growth’ – the focus of the Chancellor Rachel Reeves’ speech this morning – can be a confusing word. It’s intangible, obscure, hard to visualise. It happens slowly, often imperceptibly, over a political cycle – when it happens at all. The changes needed to achieve it can be tough and involve trade-offs. Often voters feel those changes will not directly benefit them, or may even make their lives worse – whether it’s new housing developments, HS2, a new runway at Heathrow (which Reeves backed) or new nuclear power stations. For anyone who stood on the doorstep during the last election, we know that making and doing more things can be a hard

The wait is over. After six months in government, Chancellor Rachel Reeves has decided that today is the day to step forward and pull the big lever marked ‘growth’. In a widely-trailed speech, she has outlined all the different ways her government is going to get the economy moving again. There is just one snag. The lever isn’t attached to anything. In reality, Reeves doesn’t have a clue where growth comes from – and that means her big speech this morning won’t change anything.  Reeves has, at least, finally got round to detailing how she plans to make the UK the fastest-growing economy in the G7. Cynics might wonder why

The government has yet to formally announce its widely trailed decision to expand Gatwick, Heathrow, and Luton airports. But that hasn’t stopped six MPs from writing to Transport Secretary Heidi Alexander with a pre-emptive attack. The four Green MPs, perhaps, plus a couple of anti-capitalist hard left Labourites? Nope. Four Lib Dems and two Conservatives – one of whom is, astonishingly, Andrew Griffith, the Shadow Business Secretary. The idea of the Shadow Business Secretary campaigning against a core component of economic growth would be funny if it wasn’t so utterly damning Griffith tells Alexander that local residents’ “life is blighted every single day by the noise of take-offs and landings

Business confidence is falling. Companies are warning that profits will be lower than expected, and they are already planning to cut their output. The Chancellor Rachel Reeves might have hoped that this week would open with better news on the economy, especially as she is planning a major speech to relaunch her plan for growth on Wednesday. Instead, it has started with yet more bad news. In reality, a ‘Reeves recession’ is now a certainty – and the Chancellor won’t be able to escape the blame for that. The CBI reported today that British businesses are braced for a ‘significant fall’ in trading over the next few months. There is