Rachel Reeves is facing pressure to delegate the delivery of her Spring Statement to a junior Treasury minister in a bid to avoid unsettling financial markets, Whitehall sources have said.
The Chancellor is scheduled to deliver the fiscal event on March 3 herself, but insiders have suggested she could ask one of her colleagues to perform the duty on her behalf and avoid a repeat of the disastrous run-up to the autumn Budget last year.
Treasury officials have made clear the statement will be a “non-event”.
They believe that a junior minister presenting the statement would serve to underscore its “low-key” character.
The approach would aim to signal that no fresh taxation or public spending announcements will be included in the statement.
Ms Reeves is reportedly planning to keep media engagements to a minimum in the lead-up to the fiscal event.
Insiders are thought to be desperate to avoid a repeat of the days leading up to the autumn Budget, which saw a number of major leaks, briefings and U-turns.
As a result of the flip-flopping in the days leading up to the November 26 event, markets appeared to fluctuate unexpectedly.
Rachel Reeves may ask a junior Treasury minister to deliver the Spring Statement on her behalf
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FLICKR/HOUSE OF COMMONS
A Whitehall source told The Telegraph: “We don’t want the levels of speculation and market instability that we had in the run-up to the Budget.”
The turbulent period ahead of the autumn Budget saw pensioners hastening to withdraw their savings following reports that higher taxes on withdrawals were being contemplated. Those plans were subsequently dropped by the Treasury.
When approached by GB News, the Treasury rejected assertions Ms Reeves would delegate the delivery of the statement.
A Treasury spokesman said: “This is inaccurate. The Chancellor has confirmed to the House and the Shadow Chancellor that she is delivering the statement.”
The spokesman also pointed The People’s Channel to a response made in relation to a question from Shadow Treasury Secretary Mel Stride, asking whether the Chancellor plans to respond to the OBR’s Spring forecast in an oral statement.
When approached by GB News, the Treasury pointed us to a written answer by James Murray confirming ‘the Chancellor will deliver an oral statement to the House’
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PA
The written response, from Chief Secretary to the Treasury James Murray, said: “As set out in a written statement to Parliament last week, the Chancellor has asked the Office for Budget Responsibility (OBR) to prepare an economic and fiscal forecast for publication on March 3, 2026.
“The Chancellor will deliver an oral statement to the House in response.”
The report comes after it emerged last month the Chancellor had been left feeling “sidelined” following her removal from the Prime Minister’s visit to China.
Ms Reeves had been anticipated to accompany Sir Keir Starmer on what was described as a “historic” trip to Beijing.
The Chancellor had taken a leading role in advocating for strengthened trade relations with China.
Despite this, she was removed from the delegation at the final moment in what was characterised as a “political” decision.
Her place on the visit was taken by Lucy Rigby, a junior minister at the Treasury.
The episode has contributed to ongoing speculation about the Chancellor’s position within Government and her relationship with No10.
In an unprecedented speech on November 4 last year, Ms Reeves suggested she was contemplating breaking Labour’s manifesto commitment not to raise income tax rates, saying everyone “will have to contribute” to improving the nation’s financial position.
She attributed Britain’s fiscal difficulties to international factors, including tariffs and “volatile” supply chains, as well as Liz Truss’s 2022 mini-Budget.