No.10 Issues Stern Warning To Cabinet After Ministers Complain Over Spending Cuts

The PM's spokesman said departments are going to have to be "more productive".
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PM Keir Starmer is facing a cabinet civil war as ministers slam the potential spending cuts coming from the October 30 Budget.
via Associated Press

The prime minister’s spokesperson warned ministers that their departments would just have to be “more productive” after members of the cabinet complained about potential spending cuts from the Budget.

A furious row has broken out among Keir Starmer’s top team this week after deputy PM and housing secretary Angela Rayner, transport secretary Louise Haigh and justice secretary Shabana Mahmood – among others – wrote to the PM expressing their concerns over cutbacks.

The ministerial frustration stems from Rachel Reeves’ demand for departments to find savings to fill the ”£22bn black hole” the Tories left in the government coffers, even though the chancellor has pledged not to return to austerity.

Sky News also revealed today that several departments did not agree to their spending settlements with the Treasury by Wednesday’s deadline, in a further sign of the cabinet’s discontent.

Speaking to reporters on Thursday, the prime minister’s spokesperson said government departments will “have to become more productive”.

He said he would not get into the specifics of those conversations, but “clearly engagement between departments, the Treasury and No.10” are “part of the process”.

He added: “Not every department will be able to do everything they want to.

“There will be tough decisions taken, there will be tough conversations, but ultimately this government has been very clear that it will fix the foundations, it will fix the position in relation to the public finances.”

“There’s not only no money, but we start with minus £22 billion. Overcoming that challenge is not easy.”

Meanwhile, Labour peer Harriet Harman, who was an MP for more than 40 years and served on the front bench with New Labour, suggested this kind of debate around spending for government departments was not unusual.

She told Sky News’ Electoral Dysfunction podcast that clearly “difficult decisions” were being made between different departments over cuts and tax rises, but that it happened “every single time” there is a Budget.

Harman said: “What also should happen is that there is collective responsibility... the deal is that if you are in the cabinet, if you’re appointed to be in the cabinet, and you accept that. Nobody forces them to be in the cabinet.

“We know what Keir Starmer has been saying about it being a painful decision, the budget. We’ve known what was said before the election by Rachel Reeves.

“They have bought into that by accepting a cabinet position and they should accept collective responsibility.”

Harman also suggested the prime minister will act after people leaked the letters of complaint to the PM.

She said: “I think he probably will be ruthless when he knows, as he inevitably will, who will be leaking.

“The fact that their department has sent a letter protesting about Rachel Reeves’ budget – he will be ruthless on that.”