Keir Starmer has said he’s doing the “tough, difficult things up front” as he faces pressure to tear up the rules to spend more on public infrastructure.
The Prime Minister refused to say whether he would rip up the fiscal rules in next month’s Budget to let the Government borrow more to spend on repairing the country. It comes after a group of economists warned that under investment has led to a “vicious circle of stagnation and decline” – and said Labour would fail to deliver its promised “decade of national renewal” if there are more cuts.
Union leaders have also been urging the Government to rip up the rules to avoid another round of devastating austerity. Unite’s Sharon Graham told the Sunday Mirror earlier this month: “The country can’t go through another round of cuts, it’s just not possible.”
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Speaking to reporters in Rome, Mr Starmer said: “It’s really important – the number one priority of this government is economic growth and all decisions will be made against that objective.”
He went on: “I’ll be judged in five years on whether I’ve delivered the change I’ve promised to the country in relation to the economy, living standards, the health service, public services and whether people feel better off.
“We’re going to do the tough, difficult things up front. Everything is guided by the principle that economic growth and wealth creation is the number one priority
“After we’ve dealt with it will be on a much firmer footing.”
Pressed on whether he would rip up the fiscal rules, he said: “I’ve always thought it’s important to borrow to invest. That was part of what we said before the election.
“That’s not a new principle. But we have got to make sure we have strong fiscal rules in place.”
He said he was determined to protect the public from the kind of economic chaos inflicted by Liz Truss.
“Unfunded commitments for spending are just as bad and likely to have an impact on the economy, which is why the stability piece applies just as much to a Labour government as it does to a Tory government in my view,” he said.