Labour’s economic doomloop is only just starting

With a £51 billion black hole of her own making, Rachel Reeves is breaking another promise and planning yet more borrowing and tax rises. This Budget should be her last

Labour have an interesting new approach to communicating on social media. They post something they know is not true and will rile their opponents, judging rebuttal will only amplify the original content. There is no other explanation for their dishonest claims to have cut energy bills, put more money into people’s pockets, and cut interest rates thanks to “Labour returning stability to the UK economy”.

What metrics might they choose to demonstrate the stability of the economy? According to the National Institute for Economic and Social Research, Rachel Reeves has created a £51 billion black hole in the public finances. Inflation is up. Unemployment is up. Business confidence is down. Job vacancies are down. The cost of government borrowing is higher under Keir Starmer than under Liz Truss – and indeed any prime minister since the financial crash.