Politics Weekly UK The budget, the black hole and the Brexit blame game
Oct 20, 2025
Rachel Reeves grapples with the economic fallout from Brexit, emphasizing its long-term damage. The discussion includes a looming budget shortfall and potential fiscal strategies to address it. They explore who might take the blame for the UK's economic troubles: Farage, the Conservatives, or Brexit itself. A preview of the Labour deputy leadership contest highlights its significance for the party's future direction. Also, a look at the Reform party's rising support among British Indians adds intrigue, alongside the ongoing issue of Prince Andrew's royal titles.
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Brexit Framed As Long‑Term Economic Drag
- Rachel Reeves has shifted to blaming Brexit for long-term UK economic damage, citing an OBR 4% hit figure.
- The OBR productivity downgrade creates a £20–30bn fiscal shortfall that complicates her November budget.
OBR Methodology Change Creates A Black Hole
- The OBR will change methodology and admit post‑Brexit slowdown hit productivity harder than expected.
- That revision alone could cost the government tens of billions in spending power over coming years.
Political Risk In Blaming Brexit
- Labour risks reopening 2016 divisions by emphasising Brexit as a cause of weak growth.
- They hope blaming Brexit helps link Nigel Farage to economic fallout and win politically.