Her speech in the City of London will echo criticisms voiced by Right-wing figures in the Conservative Party, including Liz Truss during her short-lived premiership, of the Treasury’s approach to making policy.
Ms Reeves will insist that a Labour government must “reject managed decline” and focus on economic growth, saying it would be “hard-wiring economic growth into Budget and spending review processes with a reformed and strengthened Enterprise and Growth Unit”.
She will add: “Growth achieved through stability, built on the strength of our institutions. Investment, through partnership between active government and enterprising business. And reform of our planning system, our public services, our labour market and our democracy.
“In the face of a more unstable world, the task is not only to recognise the acute risks but also to identify the opportunities. To reject managed decline and pursue the long overdue task of renewing our common purpose, rethinking outmoded assumptions, and rebuilding growth on strong and secure foundations.”
The reference to public service reform echoes the stance of other Labour shadow cabinet ministers, for example that the NHS will need a major overhaul if the party wins power.
Ms Reeves remains under pressure to explain how she will fund around £2 billion a year of extra spending, including on the NHS, which had been covered by a promise to abolish non-dom tax status. Jeremy Hunt adopted that policy in his Budget earlier this month, leaving Labour with a black hole in its proposed finances.
Under the leadership of Ms Reeves and Sir Keir, the party has decided to largely match the spending and taxation plans of the Tories, blunting Conservative claims that it plans to raise taxes in office.
Laura Trott, the Tory MP and Chief Secretary to the Treasury, said of the speech: “Rachel Reeves may be promising a new chapter, but it will be the same old Labour. No plan, just more borrowing and more taxes – exactly how the last Labour government wrecked our economy.”
Louise Hellem, the CBI’s chief economist, said: “The shadow chancellor is right that the strongest route to sustainable growth is unlocking business investment.
“Key to that is a long-term, sustainable vision of what the UK’s economy could be in 2030 and a plan to realise it, delivered through collaboration between business and government. The UK is at its best when politicians and businesses work together.”
William Turner is a seasoned U.K. correspondent with a deep understanding of domestic affairs. With a passion for British politics and culture, he provides insightful analysis and comprehensive coverage of events within the United Kingdom.
