Rachel Reeves 'to sell off Government buildings' - as she blames Tory cover-up for £20bn black hole

28 July 2024, 23:09 | Updated: 28 July 2024, 23:31

Chancellor Rachel Reeves will sell off Government buildings and land in order to fill a £20bn black hole in Britain's finances.

Reeves will tell Parliament in a speech today that the previous Tory government had covered up the dire state of the UK economy.

She will also announce the date of her first Budget - which is due later this year.

Ministry of Defence sites and unused NHS site are set to be offered to try and fill what Ms Reeves has claimed is a £20bn funding hole that needs to be filled, according to the Telegraph.

Read More: Reeves expected to approve inflation-busting pay hikes for public sector workers

The newly installed Labour Treasury chief will make the speech while confirming the findings of her departments' spending audit into previous administrations.

But some fear that the speech will mark a departure from Labour promises not to raise taxes on working people.

She is also expected to announce the formation of the Office of Value for Money to "challenge government to deliver better value for money for taxpayers."

The new body will be created out of existing civil service provision.

Ms Reeves says the Tories were "covering up the true state of the public finances" while they were in Government.

Speaking in the House of Commons later today, Ms Reeves is expected to say: "Before the election, I said we would face the worst inheritance since the Second World War.

“Taxes at a seventy year high. Debt through the roof. An economy only just coming out of recession. I knew all those things. I was honest about them during the election campaign. And the difficult choices it meant.

“But upon my arrival at the Treasury three weeks ago, it became clear that there were things I did not know. Things that the party opposite covered up from the country.”

“It is time to level with the public and tell them the truth.

“The previous government refused to take the difficult decisions. They covered up the true state of the public finances. And then they ran away. I will never do that.

“The British people voted for change and we will deliver that change. I will restore economic stability. I will never stand by and let this happen again.

“We will fix the foundations of our economy, so we can rebuild Britain and make every part of our country better off.”