Reeves slammed for returning from China with 'puny' investment deal that makes Britain the 'laughing stock of the world'

Despite Reeves describing her visit as a "significant milestone" in Britain's relationship with Communist China, Tory MPs and business leaders have dismissed the deal's importance.

Critics claim the modest investment package has made Britain "the laughing stock of the western world".

During a rushed press conference in Beijing, Reeves announced she was ushering in a new era of "pragmatic co-operation in action" with China.

The Chancellor met with Chinese vice premier He Lifeng to discuss the measures, which she said would focus on financial services, trade, investment and climate cooperation.

"They support secure and resilient growth providing mutual benefit for both the UK and China, while safeguarding national security," Reeves stated.

The press conference was brought to an abrupt end by Communist officials before any questions could be asked about the UK's market situation.

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Former Conservative Party leader Sir Iain Duncan Smith led the criticism, stating: "We are the laughing stock of the western world."

"Europe is toughening up on China and America is going to toughen up on China, so we are going to be the odd one out," he added.

Shadow Financial Secretary Gareth Davies dismissed the Chancellor's trip, saying: "She's flown halfway across the world, and come back with next to nothing to show for it."

A leading City adviser expressed similar concerns: "There's a whiff of desperation about it. I'm amazed they think £600million over five years is a good thing."

Reeves also faced criticism for visiting Brompton Bicycles' Beijing shop, as the UK company has implemented a recruitment freeze due to her tax-hiking Budget.

Brompton's boss Will Butler-Adams, whose company saw profits plummet by 99 per cent last year, highlighted the impact of recent policies.

"From a business perspective, there are a whole load of policies, not least National Insurance, London living wage, that will cost us about £550,000 in the coming year," he said.

The UK faces warnings of a potential 1970s-style stagflation crisis, with the Pound tumbling and gilt markets soaring amid falling confidence.

Mortgage rates are expected to remain elevated, with only one interest rate cut predicted for 2025.

Conservative politicians have blamed Reeves' £40billion tax-grab Budget for undermining market and investor confidence.

Shadow Chancellor Mel Stride criticised her absence during the crisis, stating: "The Chancellor's place should be fixing this mess of her own making [back home]. She should get on a jet and come back to the UK."

The deal represents the most significant warming of relations between Britain and China since David Cameron was Prime Minister.

International investors remain hesitant about investing in Britain, according to City sources.