Politics

Cabinet ministers must ‘accept’ budget cuts, says Harriet Harman

Cabinet ministers must 'accept' budget cuts, says Harriet Harman

Cabinet ministers who have been venting frustration ahead of the budget need to stop complaining about cuts, Baroness Harriet Harman has said.

The Labour peer, a host of Sky News’ Electoral Dysfunction podcast, said all cabinet ministers were bound by collective responsibility for government decisions and knew the budget would be “painful”.

Baroness Harman, a former minister and deputy leader of the party, also said she expected Sir Keir Starmer to be “ruthless” with those who had leaked the internal disagreements to the media.

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The prime minister is grappling with discontent within his top team after some ministers went above the head of Chancellor Rachel Reeves to plead with him directly to soften some of the spending cuts that are being demanded ahead of the budget.

Both Sir Keir and Ms Reeves have repeatedly warned that the budget, which will be delivered on 30 October, will be “painful” and will contain some “difficult decisions” – with the previously mentioned £22bn funding shortfall now understood to be in the region of £40bn.

Nevertheless, some cabinet ministers are understood to be concerned about the scale of the cuts being demanded in some areas to fund pay rises and spending increases elsewhere.

It is understood Number 10 has received complaints from three government departments: the Ministry of Housing, Communities and Local Government, the Department for Transport and the Ministry of Justice.

Listen to the full episode of Electoral Dysfunction on Friday morning or follow here

The Labour peer said the “reality” was that “difficult decisions” were being made between different government departments over cuts and tax rises, and that “everybody is bound to be dissatisfied in that situation”.

“Permanent secretaries will be saying to the minister: ‘This department is not viable with the amount of cuts that you’ve been told we’re going to get. We’ve got to go to the prime minister and protest’,” she told the podcast.

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Baroness Harman said this was a phenomenon that happens “every single time”, but added: “What also should happen is that there is collective responsibility… the deal is that if you are in the cabinet, if you’re appointed to be in the cabinet, and you accept that, nobody forces them to be in the cabinet.

“We know what Keir Starmer has been saying about it being a painful decision, the budget. We’ve known what was said before the election by Rachel Reeves.

“They have bought into that by accepting a cabinet position and they should accept collective responsibility.”

She also urged the prime minister to take action against those who had decided to inform the media of their unhappiness, saying: “As far as leaking is concerned, we’ve had a bit of a discussion last week about whether or not it’s right to call Keir Starmer ruthless, and whether we should be calling him instead determined, committed, purposeful.

“Actually, I think he probably will be ruthless when he knows, as he inevitably will, who will be leaking.

“The fact that their department has sent a letter protesting about Rachel Reeves’ budget – he will be ruthless on that.”

In a further sign of the turmoil building ahead of Labour’s first budget in 14 years, Sky News revealed earlier today that several government departments failed to agree their spending settlement by yesterday’s deadline.

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Close of play on Wednesday was meant to be the deadline for all major measures agreed for the budget to be sent to the spending watchdog, the Office for Budget Responsibility (OBR).

After this moment, only small changes are meant to be possible in the budget and spending review for the financial year beginning next April.

The Treasury has played down the significance of the delay, arguing it is not unusual, and had also rejected any suggestions that settlements are being “imposed” on departments who have failed to agree their budgets ahead of the chancellor’s statement.

The Electoral Dysfunction podcast will be available tomorrow and can be accessed here: https://podfollow.com/electoraldysfunction