British Chancellor of the Exchequer Rachel Reeves will stay in her post until the end of her term, Downing Street said, amid criticism of the falling pound and rising government borrowing costs, BNR reported.
The pound fell to $1.21 on Monday, its lowest level since November 2023. Borrowing costs are rising for many countries around the world, but some argue that decisions made in the budget appear to have made the United Kingdom more vulnerable. The opposition Conservatives said Reeves was "hanging by a thread".
When asked at a press conference whether Rachel Reeves would remain Chancellor of the Exchequer for the rest of this parliament, Prime Minister Keir Starmer refused to answer directly, but said she had "his full confidence" and was doing a "fantastic job".
Conservative leader Camille Badenoch later said that "the markets are in turmoil and business confidence in the UK has collapsed, and Reeves is nowhere to be seen and the Prime Minister does not support her". This prompted a Starmer spokesman to intervene, confirming that Reeves would serve out her term.
The row erupted after the Chancellor of the Exchequer defended his decision to travel to China to improve economic ties with the country despite uncertainty in financial markets. The Conservatives accused her of "running away to China", but Reeves said the agreements reached in Beijing were worth £600m to the UK over the next five years.