## Chancellor Rachel Reeves' Immediate Economic Action Plan
In her inaugural address as Chancellor, Rachel Reeves unveiled a strategic plan to revitalize Britain's economy, aiming for nationwide prosperity.
#### Addressing the Nation
Rachel Reeves, with the Union Jack as her backdrop, emphasized the urgency of the mandate given by the British people for change and economic rejuvenation. Her speech outlined her commitment to sustained economic growth as the foundation for improving living standards and national prosperity.
#### Initial Steps and Economic Assessment
Reeves highlighted the critical state of the economy inherited from previous administrations, marked by deferred decisions and political self-interest. She mandated an immediate assessment of the current fiscal situation to present a clear picture to Parliament before the summer recess, separate from the upcoming Budget.
#### Commitment to Growth
Reeves reiterated the necessity of making difficult choices to foster economic growth. She shared new Treasury analysis indicating that if the UK had matched the average growth rate of other OECD economies over the past 13 years, the economy would have been £140 billion larger, with an additional £58 billion in tax revenues in the last year alone.
#### Stability, Investment, and Reform
Reeves' approach to growth is based on three pillars: stability, investment, and reform.
1. **Stability**: She reaffirmed her commitment to economic stability, emphasizing her meetings with the Governor of the Bank of England and the chair of the Office for Budget Responsibility to maintain low taxes, inflation, and mortgage rates.
2. **Investment**: Reeves announced plans to launch a National Wealth Fund to catalyze private sector investment in new and growing industries. Former Bank of England governor Mark Carney’s Taskforce report on the National Wealth Fund will guide these efforts.
3. **Reform**: Addressing the need for reform, especially in the planning system, Reeves outlined immediate actions to expedite economic growth. This includes reforming the National Planning Policy Framework, lifting the ban on new onshore wind projects in England, and prioritizing energy and infrastructure projects.
#### Planning System Overhaul
Reeves detailed a comprehensive overhaul of the planning system to eliminate red tape and accelerate important projects. Measures include:
- Reforming the National Planning Policy Framework with a growth-focused approach.
- Ending the ban on new onshore wind projects and integrating them into the Nationally Significant Infrastructure Projects regime.
- Creating a taskforce to accelerate stalled housing sites and providing additional planning officers.
- Direct ministerial intervention in economic planning decisions to prioritize national development benefits.
#### Infrastructure and Housing Development
The Chancellor announced plans to build 1.5 million homes over the next five years, prioritizing brownfield and grey belt land development. She emphasized that this development would include thousands of affordable homes, addressing the housing crisis while stimulating economic growth.
#### Moving Forward
Rachel Reeves assured the public and investors of a stable and business-friendly government committed to making tough decisions for long-term growth. She underscored the need for immediate action, transparency, and delivering on election promises to rebuild trust and ensure national renewal.
#### Conclusion
Reeves concluded by highlighting the swift actions taken in her first 72 hours as Chancellor, including economic assessments, preparatory steps for establishing a Growth Mission Board, and initiating the Growth Delivery Unit. She reiterated the urgency of their mission, committing to repay the trust of the voters through decisive action and effective governance.
Bundle of Thanks.
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