Labour postpones £28bn green plan as it seeks to be trusted on public finances

Rachel Reeves said she would ‘never play fast and loose with the public finances’. Photograph: Chip Somodevilla/Getty Images

Labour has scaled back plans to borrow £28bn a year to invest in green jobs and industry as the party’s leadership looks to review its spending in an attempt to prove its fiscal credibility.

The shadow chancellor, Rachel Reeves, delayed plans for a green prosperity fund to start in the first year of a Labour government, saying it would “ramp up” by the middle of a first parliament.