RACHEL Reeves must cancel her trip to China amid alarming economic turbulence, a top Tory has warned.
The Chancellor is under growing pressure over market jitters that have sent borrowing costs soaring.
Shadow Home Secretary Chris Philp has now demanded she stay in the UK to deal with the escalating problem.
He told our Never Mind The Ballots show: “I think the Chancellor should stay in the UK fixing the mess her Budget has created.”
Yields on government bonds are now higher than the aftermath of Liz Truss’s disastrous mini-Budget – a sign markets are worried about the level of Treasury borrowing.
It raises the prospect of Ms Reeves having to either slash spending or hike taxes even further.
READ MORE POLITICS
Mr Philp – who served in the Treasury under Ms Truss – accused Labour of hypocrisy and suggested the Chancellor be fired.
He said: “Bond yields are higher than when Kwasi Kwarteng got sacked.
“The whole government should be fired, frankly, including Rachel Reeves, because they jacked up taxes, they crushed pensioners, they’re crushing farmers. “They’re crushing businesses with their high taxes. And this is the result, because the bond market can see that our economy is being squashed by this Labour government.”
Ms Reeves used her Budget last year to massively increase both spending and taxes, while fiddling her “fiscal rules”allowing herself to borrow more.
Ms Reeves’ trip to Beijing is already controversial given the autocracy’s hostile actions against the West.
Labour MP Mike Tapp told the show: “There’s no doubt we have to be cautious of the Chinese, but there’s no getting away from the fact that they are a growing economy. And of course, we’ve got to be engaging them in order to deliver for the people here, and that’s what’s most important.”
