The Conservative Party has criticized Shadow Chancellor Rachel Reeves, claiming her policies are “killing growth and crushing jobs” as the UK unemployment rate reached a four-year high of 4.8 percent for the three months ending in August, up from 4.7 percent in the previous quarter, reports BritPanorama.
In response to the rising unemployment figures, critics highlighted this year’s increase in national insurance, asserting it has made hiring more challenging for employers. Shadow Welfare Secretary Helen Whately stated, “The only thing growing under Labour is the unemployment queue and the national debt.”
Whately further claimed that Labour has “killed growth and crushed jobs and livelihoods,” with UK families bearing the brunt of these policies. The International Monetary Fund (IMF) has warned that UK families are set to experience the highest inflation in the G7 this year and next.
According to the IMF’s latest projections, prices are expected to rise by 3.4 percent this year, an upward revision from July’s forecast of 3.2 percent. Predictions for next year indicate inflation will trend slightly lower at 2.5 percent, an increase from the earlier estimate of 2.3 percent, with the target remaining at two percent.
Challenges Loom as Growth Expectations Decline
Retail experts have warned that food inflation could soar to six percent by the year’s end. As Chancellor Rachel Reeves attended the IMF’s annual meeting in Washington, DC, the IMF revised its growth forecast for the UK downward for next year from 1.4 percent to 1.3 percent.
This tightening economic outlook raises concerns over the government’s capacity to stimulate job creation and bolster growth amid rising living costs and job insecurity.
