Labour vows legal change to avert another Truss-style budget ‘disaster’

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Labour vows legal change to avert another Truss-style budget ‘disaster’
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Sir Keir Starmer wants to give the official fiscal watchdog the power to publish forecasts independently.

Ministers would be legally bound to consult their official watchdog on major tax and spending changes under Labour plans to prevent a recurrence of Liz Truss’s ill-fated mini-budget.

One of the reasons the markets were so spooked by their mini-budget was that they refused to publish the OBR’s independent forecasts for the public finances alongside the plans. Speaking before a visit to the London Stock Exchange with Sir Keir, Ms Reeves said the proposals would act as a “fiscal lock” to prevent the turmoil seen under Ms Truss.

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