Rachel Reeves faces questions over a political decision after winter fuel

Unlock the editor’s digestion free

FT editor Roula Khalaf, chooses his favorite stories in this weekly newsletter.

For a chancellor, Rachel Reeves, who is a guarantee of guaranteed until the next election, has never been under pressure.

Sir Keir Starmer’s U-turn Reveves ‘first major decision’, like the Chancellor – 10 mn, the slip of winter fuel payments for the retireist – asked questions about his decision and not to weaken.

Downing Street, in a statement in January in January, said that at least an employee in the next election will be aware of the treasury. “Starmer is ruthless.

This was not an old u-turn. Reeves’ Winter Fuel Payment, in July 2024, decided to make rigid decisions to make strict decisions to make a strict decisions to make an order of the financial situation in July.

On Wednesday, Starmer’s approval was partially reverse that they appeared as a chancellor that could be put back to the retreat, reversible decisions.

Are likely to be abundant of the future. On June 11, the ministers will announce the results of the public spending review of the Revees to remain in solid financial plans. The Great Welfare Cuts are in the pipeline.

In the fall, the Chancellor will present a budget in a financial throat, which has to reduce well-being or announce more tax rises.

Reves and Starmer’s Winter Fuel Payment Plan to leave the Payment Plan, the wage deputies are now mobilized to convince the withdrawal of the Chancellor’s welfare.

The Minister of Treasury John Glen said: “Chancellor has repeatedly warned this decision on winter fuel payments. U-turns will lead MPs and markets to challenge him in other areas.”

However, John McDonnell, who has the past labor shadow, now an independent deputy, reeves and star “how we came to this confusion” and asked “when he took a lesson about disability benefits.”

Labor MPs were spread by the People’s Opposition by the People’s Opposition, which helped the party’s grim performance in the English local elections in the English local elections in the early week.

“The voters think that Rachel is a really stiff nose,” said an employee deputy. “I’m not sure that it is completely true, but it’s what they say in the doors.”

Starmer’s close staff says that Reives are ready to retreat on this issue, it was prepared to withdraw more than the prime minister who fears the government will look weak. He insisted on the number 10: “Chancellor and Prime Minister are in Lockstep.”

U-turns were discussed since the selection of local election results and labor deputies and members of parliament. However, the announcement of the Starmer’s Wednesday was still surprised.

Some Labor MPs confirmed the partial retreat planned to remove the prime minister’s attention Deputy Prime Minister Angela Runeri a memorialDaily Telegraph, the department, Reevs called to increase taxes.

A Labor MP, said politics was done on the hoop. “How does partial u-turn help us?” He asked for a deputy. “It’s all tactics and jet management.”

Rayer Memo, Reveves, who were sent in March, should be taxed mainly until the wealthy, mainly. After the withdrawal of winter fuel payment, tax rises may seem risky.

A veteran treasury official said that in winter fuel, Reeves could win a little loan with Labor MPs. “If the former official helps you gain benefits of disability, he said,” he said. “But if it leads the way to defeat? Time to get a new Chancellor. “

When reeves buying a boost The growth figures of the first quarter 0.7 percent to show the expansion of more expected GDP, official figures do not suggest that this is not much to increase health.

The public sector’s net debt was £ 151.9 billion pounds in the fiscal year, 20.7 billion pounds of the previous year and 14.6 billion pounds of £ 14.6 billion pounds.

“We suspect that the financial difficulty of the Chancellor will worsen only during the year,” he said.

Labor MPs hope that winter fuel will raise a weight from the government. “It was our original sin – the moment people created us morally judgment,” he said.

However, for Reeves that promise to be “Iron Chancellor”, was the sign of weakness? They do not insist on allies. “It’s not like that a government does not have been in a turn and not to win the election,” he said.