Don't believe the doom-mongers, Reeves has four years to make Britons richer - Stephen Pound

Carole Malone takes aim at Rachel Reeves for 'trashing' UK economy with …
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Stephen Pound

By Stephen Pound


Published: 29/03/2025

- 06:00

OPINION: Former Labour MP Stephen Pound defends Reeves' Spring Statement while slamming the catastrophisers

It is hard to believe today but once the House of Commons produced their own branded cigarettes and sold them with more acceptable brands in the Members’ Tea Room.

In the middle of one of Gordon Brown’s budgets he suddenly increased a huge increase in the so-called “sin tax” on tobacco.


This occasioned an unseemly rush to the tearoom where Noleen the manager sold out of Marlboro Red and Silk Cut within seconds.

The point of this anecdote to recall how little of the budget leaked before Gordon strode to the Dispatch Box. Today's Spring Statement was leaking like a colander and so there was little to surprise the nation.

Gordon Brown announces resignation in 2010

Gordon Brown massively increased tax on tobacco when he was Chancellor

Getty

There was certainly some good news – hailed by the Confederation of British Industry – around investment, capital projects, housebuilding and the new skills colleges set up to provide the brickies and builders needed for the housing boom.

Sure, growth was downgraded but there was still growth in the economy and whilst the nation may long for jam today this was certainly a deliverable promise of that preserve tomorrow.

Overall, it was a serious statement made by a serious Chancellor determined to restore stability to the public finances after the chaos of the past few years.

The stock market reacted immediately and positively with another record jump to previously unheard high 80s in the Financial Times Stock Exchange index and the pound sterling strengthening against the dollar and the euro.

Much was made by the more febrile commentators on the far left and the wilder shores of the right wing by the Treasury forecast of 250,000 more people in poverty by the end of this government.

One person I debated this with worked themselves up into such a spittle spraying froth of fury that I could hardly have a chance to make the point that this forecast assumed that not a single person would be moving from what is universally accepted to be a grossly overinflated list of those on sickness and disability allowance.

Rachel Reeves

Rachel Reeves has defended the policies announced in the Spring Statement to GB News on Thursday morning

GB NEWS

Huge amounts of public money are going into retraining and examining the criteria for personal independence payments and a range of other benefits.

Who on earth would disagree with the suggestion that to deny someone the dignity of work and park them for ever in a benefit trap is cruel and certainly not something that any sensible government – of whatever colour – should contemplate.

Should you be in want of a little light relief then we can, as ever, relay on the Liberal Democrats to raise our spirits and raise a damn good laugh while they are at it.

The unfortunate Lib Dem put out to offer an alternative to the proposals outlined from the dispatch box was the unhappy Munira Wilson who had one simple answer to all the nations woes - negotiate re-entry to the European Union.

Apart from the fact that you may be Liberal but certainly not a Democrat if you seek to overthrow the decision of the people of the United Kingdom it would require unanimous agreement by all the current EU nations to admit the UK.

Can you hear PM Sanchez warmly welcoming the Brits back but of course with the proviso that Gibraltar is absorbed into Spain?

That would be but one of the humiliations that we would have to suffer should we be so deluded as to go down the primrose path of the Lib Dems.

The other nostrum from the yellow peril was to reduce waiting lists to get people out of hospital and into work.

Guess what?

One real and tangible achievement of the Labour government since last July has been to reduce hospital waiting lists month on month. Somehow the Lib Dems missed this but maybe they all use private healthcare so didn’t notice.

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Gibraltar

The Lib Dems want to rejoin the EU which would mean ceding Gibraltar, argues Pound

REUTERS

From the Tories came nothing but sniping from the sidelines and the undeniable admission that every criticism levelled at Rachel Reeves was answered by the simple question.

What did you do in your fourteen years in power apart from trash the economy and run through Prime Ministers like Man U go through managers?

We’ve got a very long way to go before the next election and Rachel Reeves knows that Labour will stand or fall based on economic success and actual money in the purse and pocket – not promises.

People prophesying doom like the prophet Jeremiah were not so vocal when the pound sterling tanked against all other currencies and the economy went into meltdown under Liz Truss.

There will not be another fiscal statement before the Autumn and when the dust has settled, we should be able to see that Rachel Reeves today went some way to rebuilding the foundations of the economy.

There is a hint of spring in the air, and I only hope that a fruitful summer lies ahead for all of us who love our country.