Overview

• Rachel Reeves' Spring Statement has a net approval rating of -28, making it the least popular fiscal event since Liz Truss's 2022 mini-budget.
• The £14bn in spending cuts primarily target welfare and public service funding, with welfare reforms projected to push 250,000 people, including 50,000 children, into poverty.
• Labour MPs and insiders have expressed growing dissent, citing concerns over unmet policy pledges, poverty impacts, and the reliance on restrictive fiscal rules.
• While individual measures like increased defense spending and civil service budget cuts have majority public support, the overall package remains deeply unpopular.
• Economists warn that the minimal fiscal headroom leaves Reeves vulnerable to future tax hikes or spending cuts, with additional challenges posed by potential U.S. tariffs under Donald Trump's trade policies.