New United Kingdom Finance Minister, Rachel Reeves, pledged on Monday to promptly “fix the foundations” of Britain’s economy, leveraging onshore wind power and housing construction, following her Labour party’s recent electoral victory.
According to AFP, In her inaugural major address since becoming the UK’s first female chancellor of the exchequer under Prime Minister Keir Starmer, Reeves emphasized the urgency of reversing “the legacy of fourteen years of chaos and economic irresponsibility” left by the Conservative government.
Reeves, 45, steps into her role as chancellor with the British economy having recently emerged from recession, inflation rates returning to normal, and the Bank of England poised to reduce interest rates.
The centre-left Labour party, which prioritized economic growth in its manifesto, secured a significant majority in last Thursday’s general election.
“New Treasury analysis I requested over the weekend exposed the opportunities lost” under the Conservative administration, Reeves disclosed to business leaders in London.
She pointed out that weak economic growth had cost Britain £58 billion, $74 billion, in tax revenues last year, affecting public services.
Nevertheless, Reeves assured that economic growth would be achieved while adhering to “robust fiscal rules,” noting that Britain’s debt had surged due to extensive state spending during the Covid pandemic and rising energy prices.
Labour plans to double onshore wind energy by 2030, advancing the nation’s progress toward net zero carbon emissions.
“That means immediately removing the de facto ban on onshore wind in England, in place since 2015,” the government stated in a separate announcement on Monday.
Reeves highlighted that reforming planning regulations would accelerate infrastructure development across various sectors, facilitating the construction of 1.5 million “affordable” homes in collaboration with the private sector.
