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Ainsley on The Spectator’s Coffee House Shots Podcast: Is Rachel Reeves’s Headroom Shrinking?

  • June 12, 2025
  • Claire Ainsley

There were clear winners and losers in Rachel Reeves’s spending review yesterday but some of her announcements around capital spending and investment saw her dubbed the ‘Klarna Chancellor’ by LBC’s Nick Ferrari for her ‘buy now, pay later’ approach. Clearly trying to shake off the accusations of being ‘austerity-lite’, Labour point to longer term decisions made yesterday, such as over energy policy and infrastructure. But will voters see much benefit in the short-term? And, with the news today that Britain’s GDP shrank by 0.3% in April, will the decisions Rachel Reeves have to make only get harder before the October budget?

Lucy Dunn speaks to Michael Simmons and Claire Ainsley, former director of policy to Keir Starmer and now at the Progressive Policy Institute.

Listen to the full podcast episode.

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