This morning brought more grim news as inflation remains high at 3.4% in May, barely down from April’s 3.5%. The Confederation of British Industry (CBI) has also slashed its growth forecasts, expecting the UK economy to expand by just 1.2% in 2025 and 1% in 2026. Unemployment is on the rise, with expectations of hitting 4.8% next year. Inflation is forecasted to rebound to 3.5% between July and September, leading to interest rate cuts being scuppered.

Chancellor Rachel Reeves has been under fire for her decisions, particularly the hike in employer national insurance contributions by £25 billion in her budget. This move has led to increased prices and job losses, with around 250,000 jobs disappearing since she took office. The Budget NI hike has been blamed for the surge in unemployment during her tenure.

Growth has been severely impacted since Reeves took charge, with organizations like the CBI accusing her of killing growth. The Bank of England, OBR, and IMF have all reduced their growth forecasts as well.