Labour’s Countdown: 100 Days in the Spotlight
Now that Keir Starmer has taken the helm, the spotlight is on what the new Labour government will actually do in its first 100 days. Every parliamentary committee, every budget panel, and even the hedge funds are on standby.
Mid‑September Budget: The Quarter‑Back Who Won’t Raise Taxes
What’s the headline? That the Budget is due around the middle of September. Why is it a big deal? Because Starmer & Co promised a “no tax hike” slogan—no income tax rises, no National Insurance hikes, no VAT additions—yet they still have loads of spending to juggle.
- Headroom alert: Only about £20 billion extra is available within current fiscal rules.
- The Speedy Fingers: They plan to hit a 2.5% annual GDP growth target—audacious, but if the country doesn’t grow fast enough, more cuts could be necessary.
Growth Target: A Bold Move or a Rough Ride?
Labour’s 2.5% GDP growth bet is a “punchy” promise—bold, but it comes with a price tag.
- Will the economy grow fast enough? If not, look for further fiscal tightening.
- It’s a high‑stakes gamble that could make other parties nervous.
The Bank of England: Back in the Talk
After a period of silence, the Bank of England is back in the conversation now that the political landscape has settled.
- A New Voice: The “Old Lady” (CBR) has ended her self‑imposed public speaking blackout.
- Inflation Outlook: If inflation keeps falling towards the MPC’s forecast, a cut in August is likely to happen.
- Impact: A rate cut would lift consumer and business confidence at the very start of Starmer’s premiership.
In short, the next 100 days are a rollercoaster of debates, budgets, and the Bank’s decisions. Stay tuned—this is the moment when rhetoric turns into action, and that’s the only place where the real drama unfolds.
