The Budget had been hanging over Westminster like a shadow for a long time.
On Wednesday night, MPs, ministers, and Government aides gathered at Parliament’s Strangers Bar to celebrate. A minister remarked: “It’s a positive day, and we should acknowledge the good moments.”
Labour has been facing challenges recently, with concerns about Keir Starmer’s leadership, internal unrest, and declining poll numbers. Despite a turbulent lead-up and a significant leak of crucial details, the Chancellor presented a Budget that offered hope to struggling households.
Labour MPs welcomed the support for low-income families, especially the removal of the two-child benefit limit, expected to lift 450,000 children out of poverty. They were prepared for criticism from conservative factions regarding the Chancellor’s £26 billion tax increase.
A Labour MP stated: “Addressing child poverty must be a core focus for the Labour Party. While the Tories and Reform may propose simplistic solutions to complex issues, this week gives us reason to stand tall.”
The Budget aimed at stabilizing public finances and reassuring the markets. It seemed to have a smooth landing, although there is an ongoing dispute over whether Ms. Reeves misled about the extent of the fiscal deficit.
The Government worked on repairing its relationship with MPs and dispelling uncertainties about the PM and Chancellor’s future. Currently, it seems to have achieved this. When asked about the security of the PM and Chancellor’s positions post-Budget, another MP responded: “Yes, very secure… for now.”
Another backbencher remarked: “It has been well-received. It addressed concerns from the left and maintained support from the right. The Chancellor’s display of socialist values at the dispatch box resonated with us.”
Regarding the Chancellor’s position, they added: “Her position is secure; there shouldn’t be any issues.”
Another MP commented: “Managing to calm both the bond markets and the left-wing members in one Budget, while doubling the headroom, is quite an accomplishment.”
Sharon Hodgson, the MP for Washington and Gateshead South, praised the Budget as a testament to the positive impact a Labour Government can have. She commended Rachel for her resilience in difficult circumstances.
Downing Street emphasized the PM’s commitment to assisting struggling families, as highlighted in an exclusive interview with the Mirror.
A source from No10 stated: “Recognizing the ongoing struggles with the cost of living is vital. The Budget demonstrates that the concerns of those facing difficulties are being taken seriously.”
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