Labour turns to 'kitchen sinking' ahead of Budget as it faces 'Herculean task' to revive growth

'Painful' fiscal experience

The Labour government is under pressure to bolster investors’ confidence in the UK economy and market while also delivering growth, but questions linger over how much the finances will allow for it.

Speaking to reporters at the start of October, Chancellor Rachel Reeves reportedly said she would not repeat the previous Conservative government's "mistakes" of not prioritising investment.  "They were cutting back on investment at exactly the same time when we need to be increasing investment in our economy," Reeves said, declining to give further details about any public investment spending plans. With the Labour government under Prime Minister Keir Starmer looking to patch a £22bn fiscal deficit, some investors are preparing for what the leader called a "painful" fiscal experience...