Rachel Reeves Signals Potential Spending Cuts Amid Rising Borrowing Costs

The Chancellor faces mounting pressure as economic challenges threaten Labour's fiscal and housing plans.

Chancellor Rachel Reeves has indicated she may implement spending cuts in March to adhere to Labour's fiscal rules as borrowing costs rise.
Reeves defended her economic policies, attributing higher UK bond yields to global market trends rather than government decisions.
Labour's pledge to build 1.5 million new homes faces uncertainty due to limited fiscal headroom and challenges in the housing sector.
Internal and external criticism grows, with opposition MPs and Labour backbenchers raising concerns over potential austerity measures.
Prime Minister Keir Starmer's hesitation to affirm Reeves's position as Chancellor has fueled speculation about tensions within the government.