Rachel Reeves has cautioned Andy Burnham that he must enter Downing Street with a well-developed plan, as the chancellor prepares to hand over the reins to the new prime minister. In what is likely her final major interview before leaving office, Reeves told the BBC's Laura Kuenssberg: "It is important that when Andy walks through that door he has a worked-through plan, because governing is hard in Britain, and lots of challenges and shocks will come his way."
Reeves urged Burnham and his team to stay "laser-focused" on their core motivations. Reflecting on why Sir Keir Starmer's tenure ended prematurely, she cited public impatience for faster change. "People are impatient for change - I'm impatient for change and I totally get that people want to see their lives changed faster," she stated.
Interviewed in the ornate state rooms of No 11 Downing Street—the same venue as her first chancellor interview in July 2024—Reeves acknowledged she likely won't retain her position. She deflected questions about her successor or her own future. Despite Labour's shortened stay, Reeves touted her record of restoring "stability and trust" to the economy, emphasizing falling borrowing costs, reduced inflation, infrastructure investment, and growth outpacing competitors.
However, the economy remains under strain. Inflation persists above target and is forecast to rise, growth is sluggish, and the Bank of England recently warned of potential interest rate hikes. National debt is projected higher by the end of this parliament, and disposable incomes continue to decline.
A former senior minister criticized Reeves for overemphasizing her inherited challenges at the expense of timely policy wins, noting that by the time she recognized the depth of fiscal constraints, she had exhausted her political capital. A close Starmer ally turned shadow chancellor in 2021, she has been faulted for missteps like cutting the winter fuel allowance, a decision Starmer later regretted. Critics also cite her national insurance hike as damaging business relationships, leading to layoffs.
Reeves defended her tenure, describing herself as a "rock of stability and trust," though she admitted low points—most notably being photographed in tears during Prime Minister's Questions. When asked about Burnham having prepared for power over the past year, Reeves expressed support: "I think it is perfectly reasonable for people to have ambition... I want him to be ready for that, because I want it to be a success."