The shadow Chancellor has decided against breaking up the Treasury despite claims the department is throttling economic growth
Rachel Reeves is planning to give more power to an economic growth unit set up by Sir Tony Blair if she becomes
Civil servants from the Enterprise and Growth Unit would have a formal role helping to put together every Budget and Autumn Statement. A source close to the shadow Chancellor said she had listened to economists’ criticism of how the Treasury works, including claims that it cares only about reducing short-term Government borrowing rather than growing the economy for the long term.
Ms Reeves will say in her lecture: “We have found ourselves in a moment of political turbulence and recurrent crises with the burden falling on the shoulders of working people. With at its root, a failure to deliver the supply side reform needed to equip Britain to compete in a fast-changing world.