Rachel Reeves quizzed on spending review by Kuenssberg
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Rachel Reeves quizzed on future budgets after spending review
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What does a lame duck Prime Minister do in times of extreme crisis? Hit reset of course. And that is what I fully expect Sir Keir Starmer to do after the omnishambles of his welfare reforms. The slow-motion car crash over Labour’s flagship benefit reforms has been nothing short of a disaster. All fingers point to him. But realistically, he’s not going to sack himself. So, in the football parlance he understands so very well, the gaffer needs to make some changes.
Keir Starmer (Image: PA)
Things are clearly not working the way they are.
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Sir Keir has previously indicated that a reshuffle is unlikely until after the summer.
However, the past few weeks may have changed his mind.
First in the firing line could be Rachel Reeves.
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Her Chancellorship over the past 12 months ago has been nigh on disastrous.
The economy has largely flatlined, the cost of living is rising and, more worryingly, so is unemployment.
Business confidence is shattered, she snatched the winter fuel payment from 10 million pensioners before U-turning and her role in the welfare farce led to Labour’s sixth biggest rebellion in history.
To top it all there is the very real prospect of booming tax rises this Autumn to help pay for the mess she and her boss have created.
Blairite Pat McFadden, the Chancellor of the Duchy of Lancaster, is the bookies favourite to replace Ms Reeves should the axe fall.
Wes Streeting, tipped by many as a future party leader, is also in with a shout.
He has done the health brief, in opposition and in government, for four years, and previously did the shadow treasury beat.
Pat McFadden (Image: Getty)
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Liz Kendall (Image: Wiktor Szymanowicz/Future Publis)
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There’s plenty of collateral damage from the welfare catastrophe, not least Work and Pensions secretary Liz Kendall.
She was given a hospital pass by the Chancellor in trying to rush through reforms she didn’t fully believe in.
Some say Kendall was naive and could be the ‘fall guy’ for the whole farce while others suggest she ought to resign without delay.
She has said she wants to carry on.
Others in the PMs crosshairs could be Education Secretary Bridget Phillipson and Culture Secretary Lisa Nandy.
Labour insiders say that Ms Phillipson is being considered for demotion after a “lacklustre” start while Nandy’s handling of multiple BBC controversies has been “lily-livered”.
Meanwhile, some at the heart of government are still reeling from a string of interviews given by the Prime Minister to mark his first anniversary in Downing Street on Friday.
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Sir Keir sought to address the personnel element at cabinet on Tuesday, saying he had full confidence in Morgan McSweeney, his chief of staff, and that Labour would not have won the general election without him.
There is also a school of thought that Starmer himself could be ousted himself.
He is severely weakened and backbenchers scent blood.