Last week the Chancellor of the Exchequer Rachel Reeves laid out her plans for economic growth, announcing it has become the government’s ‘number one mission.’
In a marked change of tone from last summer and the Autumn Budget, Reeves heralded Britain as an attractive option for business. Criticising politicians as previously accepting the economic ‘status quo’ with a ‘lack of strength and courage,’ she exclaimed ‘low growth is not [Britain’s] destiny.’ Promoting the image of a Britain built on the backs of business and entrepreneurs, Reeves laid out three pillars for long-term economic growth: stability, reform and investment.
In what had primarily been not-so-subtly leaked over preceding days, Reeves confirmed government plans to deregulate and boost investment across the country. Eye-catching announcements centred on approval for a third runway at Heathrow (though London Mayor Sir Sadiq Khan plans to challenge it), the creation of ‘Europe’s Silicon Valley’ between Oxford and Cambridge, and the release of hundreds of billions of investments from surplus Defined Benefit pension schemes. Potentially more impactful for the wider country is the forthcoming Planning and Reform Bill in the Spring, which will reduce pre-requirements for development. Additionally, the regulatory action plan expected in March will lay out each of the regulators’ deregulation plans for growth.
Indeed, the government has laid the pro-business rhetoric on thick, determined to make “Britain the best place in the world to invest.” Even former Chancellor Jeremy Hunt has publicly supported the moves announced by his successor.
However, questions inevitably remain. While improving trans-Pennine connectivity, fast-tracking developments near railways, and launching a new industrial strategy are positive steps, their benefits will take decades to materialise. Moreover, how does prioritising growth align with a £40 billion tax increase on businesses? And what is the point of cutting red tape if new legislation expanding workers' rights simultaneously adds burdens on employers? In the meantime, voters will continue to ask: What is the short-term growth strategy? How will this announcement improve my standard of living and put more money in my pocket?
Nevertheless, after a month of bleak economic data, businesses have been eager for signs of optimism, and this speech delivers just that. It was a clear signal the government is prioritising deregulatory reform, access to talent, and improved connectivity—all key foundations for economic growth. If the plan succeeds, growth increases and living standards rise. In hindsight, this moment could be seen as the turning point of Labour’s fortunes.
On the other side of the House, it wasn’t a good week in the press for the Conservatives. Shadow Home Secretary Chris Philp was lambasted for attacking Britons’ worth ethic and Shadow Foreign Secretary Priti Patel was rebuked by her own party leader after defending the soaring immigration levels that took place under her tenure as Home Secretary.
More concerning for Kemi Badenoch than her shadow cabinet’s ill choice of words is the continued threat of Reform, which is now overtaking the Tories and taking second place on a number of polls around the country. To ensure the message hits home, Nigel Farage organised a rally in Badenoch’s own constituency of North West Essex on Friday to mark the fifth anniversary of Brexit.
To wrap up the week, on Friday public affairs professionals were given the chance to tune into a webinar with Lord Livermore, Financial Secretary to the Treasury, in the first of a planned series of calls from the Prime Minister's Office for public affairs professionals. The calls are aimed at providing updates on government activity and priorities, although some listeners complained that, between the political buzzwords; top-line roadmaps; and the seemingly pre-approved sheet of questions, there was little substance to take away.
What’s on in Parliament
Monday 3rd February
House of Commons
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Oral questions: Work and Pensions
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Westminster Hall debate: e-petition 638449 relating to career breaks for parents of seriously ill children
House of Lords
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Oral questions: Making council tax more progressive
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Oral questions: The waiting time for access to mental health treatment
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Legislation: Terrorism (Protection of Premises) Bill - committee stage day 1
Tuesday 4th February
House of Commons
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Oral questions: Energy Security and Net Zero
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Westminster Hall debate: UK-US bilateral relationship
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Westminster Hall debate: Government policy on children in care
House of Lords
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Oral questions: Outcomes of the uK-China Economic and Financial Strategy Dialogue held in Beijing in January
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Legislation: Renters' Rights Bill
Wednesday 5th February
House of Commons
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Oral questions: Women and Equalities
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Prime Minister’s Question Time
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Westminster Hall debate: Gambling harms
House of Lords
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Oral questions: Expected date for the report from the Covid Counter-Fraud Commissioner
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Legislation: Data (Use and Access) Bill - third reading
Thursday 6th February
House of Commons
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Oral questions: Environment, Food and Rural Affairs
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Business Questions to the Leader of the House
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Westminster Hall debate: Debt cancellation for low-income countries
House of Lords
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Oral questions: Assistance and support for the peaceful transition to an inclusive and representative government in Syria
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Debate: Contribution of the creative industries to the government's growth mission and to creating jobs and productivity growth
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Debate: Ensuring fines paid by water companies are used to repair the damage done by sewage pollution
Friday 7th February
House of Lords
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Legislation: Non-Consensual Sexually Explicit Images and Videos (Offences) Bill - third reading
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Legislation: Crown Estate (Wales) Bill - second reading
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Legislation: Mortgage Prisoners Inquiry Bill - second reading
Consultations
- NHS Pension Scheme: proposed amendments for April 2025 - Closes 4th February
- Consultation on the implementation of the new subscription contracts regime – Closes 10th February
- SMS investigations into Apple and Google’s mobile ecosystems - Closes 12th February
Statistics
- Productivity trends in the UK: July to September 2024 - Published 29th January
- UK security export statistics 2023 - Published 29th January
- Cost of Living Payments Evaluation - Published 27th January