SHADOW chancellor Rachel Reeves has told business leaders their “fingerprints” are “all over” the Labour manifesto.
The top Labour politician told attendees of the meeting in the City of London on Monday morning, which included the heads of both the Lloyds Banking Group and Santander UK, that they had influenced the party’s policy offering on the economy.
She said: “I really hope that when you do read it, or if you read the section on the economy, that you will see your fingerprints all over it.
“Because the ideas that we’ve set out in that manifesto on how to grow the economy are based on so many of the conversations I’ve had with businesses and investors over the last three years.”
It has reignited attacks on Labour from their left-wing critics who claim the party has moved too far to the right on economic policy since Jeremy Corbyn’s leadership in their bid to woo big business and traditional Tory voters.
Drew Hendry, the SNP's economy spokesperson in the last parliament, said: "Rachel Reeves's attempt to cosy up to wealthy bankers makes a mockery of the so-called party of working people – a changed Labour Party in all the wrong ways.
"This is after all the same Labour Party that now supports the abolition of a cap on bankers' bonuses but not scrapping the horrific two child benefit cap – which research published today shows will impact up to 250,000 children over the coming year.
"Only the SNP will put Scotland's interests first, and on 4th July voters can ensure there are SNP MPs at Westminster opposing a Tory-lite Labour government and fighting for a future made in Scotland, for Scotland."
Greens MSP Maggie Chapman added: "We all remember what happened the last time the Labour Party cozied up to the bankers: many people and communities are still paying the price for it. The last thing we need is for them or their fingerprints to be anywhere near government policy.
"Rachel Reeves isn't even trying to hide her plans anymore. We now know that the next Labour government will mean more cuts and economic punishment for people and families on low incomes and even greater wealth for those who already have more than enough.
"It's not just a change of government we need. It's a change in policy and direction and a break from the failed economic policies of the last 40 years."
Labour’s pledge last week they would not bring back austerity was challenged by top economists, who have raised concerns about massive holes in the public finances.
Speaking on Times Radio this morning, shadow paymaster general Jonathan Ashworth (below) reiterated the party’s commitments not to raise income tax, National Insurance, VAT or corporation tax – and also ruled out re-banding English council tax rates.
But combined with the party’s commitment to bring down borrowing, experts have warned they may fail to have enough money to properly fund public services “on the brink of collapse”.
Paul Johnson, head of the Institute for Fiscal Studies think tank, said Labour’s manifesto spending commitments were “tiny, going on trivial”.
And the Institute for Government’s chief economist Gemma Tetlow said Labour had “done little to row back on the spending cuts already pencilled in for the next Parliament”.
She added: “This coupled with their pledge not to raise any of the main taxes undermines the credibility of their promise to address failing public services.”
