Rachel Reeves

Rachel Reeves
Rachel Reeves
Born	February 13, 1979 (age 47); Lewisham, London, England
Occupation(s)	Politician, economist
Years active	2010–present
Known for	Chancellor of the Exchequer (2024–present), MP for Leeds West/Pudsey (2010–present)

Rachel Jane Reeves (born 13 February 1979) is a British political figure who has held the position of Chancellor of the Exchequer since July 2024. Representing the Labour Party, she has served as the MP for Leeds West and Pudsey, previously known as Leeds West, continuously since 2010. Between 2010–2015 and again from 2020–2024, Reeves occupied multiple shadow ministerial and shadow cabinet posts.

Hailing from Lewisham, Reeves pursued a degree in PPE at the University of Oxford before obtaining a master's in economics at the London School of Economics. She became affiliated with Labour at age sixteen and gained experience working at the Bank of England. After two unsuccessful attempts at election, she secured the Leeds West seat in 2010. Backing Ed Miliband during the 2010 Labour leadership contest, she was appointed to his frontbench team as Shadow Pensions Minister, later advancing to Shadow Chief Secretary to the Treasury in 2011 and then to Shadow Secretary of State for Work and Pensions in 2013. Following her re-election in 2015, Reeves stepped down from the shadow cabinet after Jeremy Corbyn assumed leadership, returning to a backbench role.

Between 2017 and 2020, she chaired the Business, Energy and Industrial Strategy Committee. Reelected in both 2017 and 2019, Reeves rejoined the shadow cabinet under Keir Starmer in 2020 as Shadow Chancellor of the Duchy of Lancaster, before being elevated to Shadow Chancellor of the Exchequer in May 2021. In this capacity, she championed contemporary approaches to supply-side economics, emphasizing policies aimed at enhancing economic growth through greater labour participation and productivity while simultaneously tackling inequality and environmental issues. Additionally, she advocated for the nationalisation of rail services.

Following Labour’s success in the 2024 general election, Reeves became the first woman to hold the office of Chancellor of the Exchequer in over eight centuries. Early actions during her tenure included establishing the National Wealth Fund, discontinuing specific winter fuel payments, halting certain infrastructure developments, and announcing pay increases for public sector workers. Her inaugural budget in October 2024 featured tax hikes on a scale not seen since March 1993.

Early life and education

Born on 13 February 1979 in Lewisham, Rachel Reeves is the daughter of Graham and Sally Reeves, both primary school educators who separated when she was seven years old.

She attributes her social-democratic political outlook largely to her father’s influence, alongside that of her sister Ellie Reeves, who is also active within Labour politics. Reeves recalls her father recognizing Labour leader Neil Kinnock on television when she was eight years old, remarking that “that was who we voted for.” Both siblings have maintained their allegiance to Labour since that time. At sixteen, Reeves formally joined the Labour Party.

Her secondary education took place at Cator Park School for Girls, a comprehensive institution located in Beckenham. Excelling academically, she achieved A grades at A-Level in politics, economics, mathematics, and further mathematics before enrolling at New College, Oxford to study philosophy, politics and economics. She graduated with a 2:1 BA degree in 2000. Subsequently, from 2003 to 2004, she earned a master’s degree with merit in economics from the London School of Economics (LSE).

Reeves actively campaigned for Labour during the 1997 general election.

Bank of England

Reeves began her professional journey at the Bank of England in September 2000, entering through their graduate programme. In a 2021 discussion with Stylist, she mentioned working there for ten years as an economist; however, her LinkedIn profile indicated a six-year tenure from September 2000 until December 2006, which included a year overlapping with her master's studies at the LSE. According to a February 2025 report by BBC News, she had departed the Bank by March 2006.

HBOS

In 2006, Reeves relocated to Leeds to join the retail division of HBOS. Amid scrutiny in 2024 regarding her assertion of serving as an economist at HBOS, her LinkedIn description was amended to "Retail Banking". The Times disclosed that her responsibilities encompassed overseeing a customer relations unit focused on complaint resolution and mortgage retention. This role led to media and opposition figures dubbing her "Rachel from accounts".

The BBC reported in February 2025 that an investigation into expense claims at HBOS involved Reeves and two other senior executives, triggered by whistleblower allegations in early 2009 concerning improper use of bank funds on dinners, events, taxis, and gifts. Internal Audit uncovered preliminary evidence supporting these accusations, though the ultimate conclusion remains undisclosed. Additionally, the BBC corrected Reeves' LinkedIn departure date from HBOS to May 2009, indicating she left through voluntary redundancy rather than December 2009.

Reeves has also revealed that she was once interviewed by Goldman Sachs but chose to decline the offer despite its potential for considerable financial reward.

Initial candidatures

Reeves contested the Conservative safe seat of Bromley and Chislehurst as the Labour candidate during the 2005 general election, finishing second behind incumbent Conservative MP Eric Forth. After Forth's passing in 2006, she stood in the subsequent by-election but came fourth as Labour's vote share plummeted from 10,241 to 1,925—a dramatic defeat characterized as a "humiliation" for Labour and marking their poorest performance as a governing party since 1991.

She pursued selection for the Leeds West constituency ahead of the 2010 general election to succeed the retiring John Battle. Chosen from an all-women shortlist, Reeves secured election on 6 May 2010 with a majority of 7,016 votes—a decline of 5,794 compared to Battle's previous margin.

Backbench

During her maiden speech on 8 June 2010, Reeves commended John Battle’s 23 years representing Leeds West and pledged to champion justice for victims affected by the Armley asbestos disaster. She raised questions regarding government commitments to compensate those diagnosed with pleural plaques due to asbestos exposure and called for legislative changes to simplify claims against insurers. Reeves received mentorship from Alistair Darling, who guided her on economic matters.

Frontbench and initial shadow cabinet roles

Following the 2010 election, Reeves backed Ed Miliband in his Labour leadership bid, believing he would effectively address voter concerns. She served on the Department for Business, Innovation and Skills Select Committee before being appointed Shadow Pensions Minister in October 2010. In this position, she opposed speeding up the equalisation of state pension ages between men and women. Her promotion to Shadow Chief Secretary to the Treasury came in October 2011, expanding her economic responsibilities.

In 2013, Reeves was named Shadow Secretary of State for Work and Pensions, where she advocated that individuals unemployed for over two years—or one year if under age 25—should be required to accept guaranteed employment or face benefit sanctions. This policy generated controversy within Labour ranks, especially as she vowed to adopt a more stringent approach than Conservatives toward reducing welfare expenditures. Early in 2015, she further ignited debate by asserting that Labour did not intend to represent those without jobs.

Reeves successfully retained her seat in the 2015 general election, achieving a vote share of 48.0% and increasing her majority to 10,727.

Return to the backbenches

After Jeremy Corbyn was elected Labour leader in 2015, Reeves chose not to join his shadow cabinet and instead resumed her role on the backbenches. During the 2016 leadership contest, she backed Owen Smith amid a wave of resignations protesting Corbyn's leadership following the 2016 European Union membership referendum. Despite this, Corbyn secured re-election, and Reeves remained a backbencher throughout his leadership period.

A close confidante of Jo Cox, Reeves delivered an emotional tribute in Parliament after Cox's tragic murder in 2016, concluding with the words, "Batley and Spen will go on to elect a new MP, but no-one can replace a mother," before becoming visibly overcome with emotion.

In September 2016, Reeves characterized her constituency as "like a tinderbox," warning of potential unrest if immigration issues were left unaddressed. At the 2017 general election, she boosted her vote share to 63.9%, securing a majority of 15,965. She retained her seat in 2019, though with a decreased vote share of 55.1% and a majority of 10,564.

On 12 July 2017, Reeves was elected chair of the Business, Energy and Industrial Strategy Committee, a position she held until April 2020 when she returned to the frontbench following her re-election in January that year.

Starmer shadow cabinet

With Keir Starmer's ascent to Labour leadership in 2020, Reeves was appointed Shadow Chancellor of the Duchy of Lancaster, responsible for shaping Labour’s Brexit strategy and shadowing Michael Gove.

Shadow Chancellor of the Exchequer

In May 2021, Reeves succeeded Anneliese Dodds as Shadow Chancellor of the Exchequer. She challenged significant aspects of budgets introduced by Rishi Sunak, Kwasi Kwarteng, and Jeremy Hunt, notably condemning Kwarteng’s budget for triggering economic instability.

By December 2021, Reeves endorsed a proposed 2p reduction in the basic rate of Income Tax if introduced by Conservatives and opposed the planned 1.2% increase in National Insurance contributions. Under her stewardship, Labour sought to overhaul business rates to establish a fairer system favoring physical retail outlets over larger online corporations.

In an interview with the Financial Times, Reeves articulated a vision for a pro-business yet fiscally responsible Labour government focused on reversing Britain’s stagnant economic growth through strict fiscal rules and eliminating borrowing for everyday expenditures. She advocated for capital investment exceeding 3% of GDP to drive growth and rejected rejoining the EU or its single market within the next fifty years, opposing freedom of movement between the UK and EU. Reeves also viewed declining Labour membership numbers as positive, interpreting it as shedding undesirable elements.

During a January 2022 speech in Bury—introduced by MP Christian Wakeford, who had recently defected—Reeves outlined several proposals including:

An annual £28 billion climate investment plan aimed at generating UK jobs in sectors such as battery production, hydrogen energy, offshore wind power, flood defenses, and home insulation (though this was later reduced);
A goal to foster 100,000 new businesses within five years;
Mutual recognition agreements for professional qualifications with the EU;
Veterinary agreements designed to support food and beverage industries;
Restoration of visa-free touring arrangements for musicians.

In April 2022, following MPs’ referral of then-Prime Minister Boris Johnson to the Commons Privileges Committee over the Partygate scandal, Reeves highlighted the essential need for honesty and integrity within political life.

By 2023, after Labour abandoned its commitment to abolish university tuition fees, Reeves attributed this policy shift to changed circumstances since Starmer assumed leadership and blamed Conservative economic mismanagement. That same year, she was ranked at the top of the New Statesman’s Left Power List as "the most influential figure on the British left today."

On 31 January 2024, Reeves announced that Labour would not reinstate a cap on bankers’ bonuses despite previous criticism of its removal; this decision coincided with substantial donations from international banks and financial institutions since 2022. The following day, she ruled out increasing corporation tax beyond 25% under a future Labour government.

On 8 February 2024, Starmer and Reeves halved their £28 billion climate investment commitment—two-thirds of which comprised existing expenditures—citing current economic challenges such as rising interest rates and aiming to avoid Conservative attacks during election campaigns. Reeves emphasized that priorities remained job creation, reducing energy costs, enhancing energy security, and decarbonizing the economy. The largest cuts were made to home insulation grants to safeguard initiatives like a publicly owned clean energy company and a sovereign wealth fund.

Later that month, The Daily Telegraph disclosed that Reeves had accepted a £10,100 donation from climate sceptic Labour peer Bernard Donoughue shortly before scaling back the green investment pledge; Donoughue denied any connection between his donation and changes in policy.

Chancellor of the Exchequer (2024–present)

Following the 2023 Periodic Review, Reeves’ previous Leeds West seat was replaced by Leeds West and Pudsey, where she secured election as MP with 49.3% of votes and a majority of 12,392 in the 2024 general election. After Labour’s decisive triumph, she became the first woman to hold the Chancellor position in over eight centuries. Reeves highlighted the importance of stimulating private-sector investment, describing it as "the lifeblood of a successful economy." She scheduled her inaugural budget for 30 October 2024, with a primary focus on fostering economic expansion.

On 9 July, Reeves introduced a £7.3 billion national wealth fund designed to leverage £3 of private investment for every £1 of public sector funding. This fund, overseen by the UK Infrastructure Bank under former HSBC CEO John Flint and supported by the British Business Bank, concentrates on green projects and traditional manufacturing sectors: allocating £1.8 billion to ports, £1.5 billion to gigafactories (including electric vehicle production), £2.5 billion to clean steel initiatives, £1 billion to carbon capture technologies, and £500 million to green hydrogen development. Notably, no direct funding was designated for digitisation or innovation sectors. On 14 October, the UK Infrastructure Bank was renamed the National Wealth Fund, accompanied by a reduction in cash injection to £5.8 billion.

Reeves’ post-election review of government spending uncovered a £21.9 billion fiscal deficit attributed to the previous Conservative administration. To tackle this shortfall, she announced public sector pay increases totaling £11.6 billion—including a two-year agreement for junior doctors averaging a 22% raise—and spending cuts escalating from £5.5 billion in 2024 to £8.1 billion in 2025. Key decisions involved ending Winter Fuel Payments for pensioners not eligible for means-tested benefits, cancelling the Advanced British Standard and several infrastructure schemes, and confirming tax hikes such as a 20% VAT on private school fees effective January 2025 and an enhanced windfall tax on energy firms starting November 2024.

In her debut budget—the first Labour budget since 2010 and the first delivered by a female Chancellor—Reeves announced £40 billion in tax increases, marking the largest rise since 1993. Prominent measures included increasing employers’ National Insurance contributions to 15% on earnings above £5,000 from April 2025; aligning income tax thresholds with inflation after 2028; applying a 20% inheritance tax on rural estates exceeding £1 million from April 2026; and raising the single bus fare cap to £3 starting January 2025. The Office for Budget Responsibility projected these changes would push the overall tax burden to its highest ever recorded level.

The Institute for Fiscal Studies criticized Reeves for damaging political trust through her budget decisions. Reeves conceded this was not a budget she wished to replicate and accepted that tax increases would likely restrain wage growth. She also acknowledged that her pre-election promise to avoid significant tax rises had been mistaken.

Alleged breach of ministerial code

On 28 October 2024, Lindsay Hoyle, Speaker of the House of Commons, reprimanded Reeves for disclosing details about the forthcoming Budget to US journalists prior to its official announcement in Parliament, constituting a breach of the Ministerial Code. Hoyle described this action as "a supreme discourtesy to the House" and deemed it "completely unacceptable."

Gifts and conflicts of interest

In September 2024, Reeves accepted clothing valued at £7,500 from donors Lord Alli and Juliet Rosenfeld, defending the decision by stating it was not an action she would undertake while in Government. In January 2025, Tulip Siddiq, serving as Reeves' Economic Secretary to the Treasury and anti-corruption minister, resigned following her involvement in investigations by Bangladesh’s Anti-Corruption Commission.

By June 2025, Reeves had received donations totaling £27,000 from a U.S.-based lobbying firm connected to Kohlberg Kravis Roberts (KKR), a private equity company that submitted a bid for Thames Water. These contributions were allocated to campaign personnel expenses and a £13,000 reception event after Reeves assumed the role of Chancellor. Reports indicate she exerted pressure on the Department for Environment, Food and Rural Affairs to oppose the public ownership of water utilities.

Economy

Reeves has produced analytical work on the 2008 financial crisis for outlets including the Fabian Review, the Institute for Public Policy Research, the Socialist Environment and Resources Association, and the European Journal of Political Economy. In Renewal, she offered a critique of policies aimed at deficit reduction. She endorsed quantitative easing measures in 2009 as a response to recessionary pressures, drawing lessons from Japan’s economic experience during the early 2000s.

Securonomics

Since 2022, Reeves has advocated for what she terms "modern supply-side economics," focusing on investments in infrastructure, education, and workforce expansion while rejecting traditional tax cuts and deregulation. In May 2023, she introduced the concept of "securonomics" during a presentation at the Peterson Institute for International Economics. This policy framework is heavily influenced by U.S. President Joe Biden’s economic agenda, especially the Inflation Reduction Act.

Securonomics is based on the assessment that globalization has not fulfilled its promises, necessitating adaptation by Western economies. It promotes an interventionist "active state" that manages market forces proactively by enhancing productivity, reinforcing supply chains, and encouraging economic collaboration with allied nations. Reeves views this approach as part of a growing international consensus led by Biden's administration that replaces the previous neoliberal economic paradigm with one emphasizing security concerns.

Following the election, Reeves highlighted the importance of mobilizing private-sector investment due to constrained public finances, positioning securonomics closer to classical supply-side economics despite its modern departure from that model.

In an interview with the Financial Times in May 2023, Reeves emphasized that securonomics must be grounded in "fiscal responsibility." Her proposed £28 billion climate investment plan—Labour’s counterpart to the Inflation Reduction Act—was designed to adhere to fiscal rules. By June 2023, this initiative was revised to implement funding gradually, reaching £28 billion per year around 2027. She argued that recent challenges—including the global energy crisis, rising food prices, and the fiscal instability caused by the Truss administration's "mini-budget"—demand rigorous management of public spending and tax revenue.

According to reporting by the New Statesman, Reeves confirmed that under a Labour government there would be no introduction of annual wealth or land taxes; no increase in income tax rates; no alignment of capital gains tax with income tax; no re-entry into the European single market or customs union; no changes to the Bank of England’s inflation target or mandate; nor nationalization of private utilities aside from railways.

Transport

Reeves has been an advocate for the High Speed 2 rail initiative, bringing attention to it within the House of Commons. Additionally, she has actively supported the development of the proposed Kirkstall Forge railway station, promoting enhancements to local transport networks.

Education

Reeves stands firmly against expanding selection in the education system, promoting comprehensive schools as preferable to grammar or private institutions. She regards selection policies as a regressive move and has consistently voiced opposition to them.

She also campaigns for the elimination of private schools, arguing that they create divisions among children based on their families' financial status and reinforce social privilege, thereby fragmenting communities. Reeves has aligned herself with Labour Against Private Schools, a movement dedicated to bringing private schools into the public education system, and expressed pride in supporting the group at its 2019 inception.

Culture

In 2008, Reeves was instrumental in efforts to preserve the historic Bramley Baths. She spearheaded a collaboration between Leeds Arts University, Leeds City College, and Leeds City Council to produce a public art installation honoring women from Leeds. This initiative led to the 2024 debut of Ribbons by artist Pippa Hale, which features the names of 383 women nominated by the local community.

Poverty

In 2018, Reeves drew attention to the reality that employment often fails to lift individuals out of poverty. During the ongoing UK cost-of-living crisis starting in 2021, she highlighted that many workers earn wages insufficient to meet basic expenses and called for enhanced benefits to alleviate poverty. She linked rising child poverty rates to factors such as economic austerity, the pandemic, and increased living costs, advocating for Labour’s new deal for working families, reforms to Universal Credit, and a comprehensive child poverty strategy.

Shortly after becoming Chancellor of the Exchequer, Reeves resisted calls from Labour colleagues and an SNP motion urging the removal of the two-child benefit cap, despite projections that ending it could immediately reduce child poverty by 300,000 children. She declined to make promises without funding guarantees and pointed instead to Labour’s initiatives like nursery expansion and free breakfast clubs in primary schools as practical measures expected to significantly impact child poverty.

Transgender rights

In a 2021 interview on LBC, Reeves stated that acknowledging only women possess a cervix does not constitute transphobia. She has endorsed restrictions preventing transgender women from participating in women's sports and accessing women-only spaces. In 2022, she defined a woman as "someone with biology distinct from that of a man" and dismissed requests for preferred gender pronouns as "fairly obvious."

Assisted dying

As of August 2024, Reeves had yet to take a definitive stance on assisted dying legislation. Reflecting on her grandparents’ battles with Alzheimer's and dementia, she expressed empathy for those seeking such laws but voiced concerns about potential coercion. She stressed the importance of implementing robust protections before endorsing any legislative changes.

Same-sex marriage

In 2013, Reeves supported the legalization of same-sex marriage in England and Wales, and she also backed its introduction in Northern Ireland in 2019.

Russia and Ukraine

Reeves condemned Russia's invasion of Ukraine in February 2022. Together with Shadow Foreign Secretary David Lammy and Shadow International Trade Secretary Nick Thomas-Symonds, she called on the government to implement more rigorous sanctions. Their proposals included targeting exports of luxury goods, widening banking restrictions, sanctioning assets connected to relatives of key figures, extending sector-specific sanctions to cover insurance, and imposing sanctions on President Vladimir Putin as well as additional oligarchs and associates.

She voiced opposition to U.S. President Joe Biden’s decision to supply cluster munitions to Ukraine, expressing serious concerns about their prolonged effects beyond the battlefield and questioning their suitability as weapons.

As vice-chair of Labour Friends of Israel, Reeves has contributed to literature on Israeli politics and supports the Auschwitz-Birkenau Foundation. In 2014, she abstained from a parliamentary vote recognizing the State of Palestine, which passed with Labour backing under Ed Miliband. This followed efforts by pro-Israel Labour MPs, including Reeves, who persuaded Miliband not to impose a three-line whip in favor.

After the Hamas attack on Israel on 7 October 2023, Reeves condemned the violence and affirmed Israel’s "right" to self-defense within the bounds of "international rules of engagement." She criticized fringe pro-Palestinian events at the Labour conference and rejected Jeremy Corbyn’s assertion that ending Israeli occupation would resolve the conflict, clarifying that Gaza is not occupied by Israel and attributing the crisis to "terrorist attack." While supporting a two-state solution with a secure Israel, she emphasized that terrorism is not an acceptable path.

In November 2023, Reeves described the suffering of civilians—particularly infants in Gaza hospitals—as "heartbreaking" and urged Israel to "exercise restraint" by permitting humanitarian aid into Gaza. She called on Rishi Sunak’s government and international partners to pressure Benjamin Netanyahu’s administration accordingly. Additionally, Reeves defended Keir Starmer’s decision not to endorse an immediate ceasefire, stressing that any cessation of hostilities must be negotiated rather than imposed.

Brexit and European Union

Reeves campaigned for the UK to remain within the European Union during the 2016 Brexit referendum. Following the Leave outcome, she advocated for tighter immigration controls by ending free movement while striving to retain "the greatest possible access" to the single market without free movement rights. After Brexit, she called for tariff-free trade, increased investment in infrastructure outside London, universal free childcare funded through reversing inheritance tax reductions, and for the UK to align with EU employment laws.

She supported a second referendum on Brexit—a people's vote—and stated that Labour would campaign for remaining if such a vote took place. Reeves opposed limitations on free movement of labour, warning that leaving the EU would lead to a "poorer" nation with fewer employment opportunities, though she also advocated for reform within the EU. In 2020, as Shadow Chancellor of the Duchy of Lancaster, she expressed her preference for remaining but acknowledged Labour would not pursue rejoining if elected.

Reeves has highlighted immigration as a major factor behind the Leave vote, noting in a 2024 Financial Times interview that her constituents’ decision was "purely because of immigration." She has since promoted "improved" trading arrangements between the UK and EU should Labour win the next general election.

China

In July 2023, Reeves characterized a "rising China" as a force challenging the established global framework of a unipolar world. By March 2024, she observed that China "commands significant presence on the international stage," indicating a movement toward an "uneven multipolar world."

Reeves has called for decreasing the UK's economic dependence on China, asserting in 2022 that the UK is still "excessively reliant" on China and other nations whose values do not align with those of the UK for critical goods. Nevertheless, she clarified that this approach does not entail completely cutting ties but rather prioritizing national security concerns. As Chancellor in October 2024, Reeves opposed imposing tariffs on Chinese electric vehicles, emphasizing the necessity of maintaining an open UK economy for both imports and exports and underscoring the advantages derived from global trade relationships, including those with China.

Her scheduled trip to China in January 2025 is intended to enhance economic cooperation and normalize diplomatic relations. In December 2024, Reeves described the UK-China relationship as "pragmatic," highlighting that China ranks as the UK's fifth-largest trading partner with £32 billion invested in exports.

Writing

Reeves authored the 2010 edition of Why Vote Labour?, part of a series advocating for major political parties in the UK. In 2017, she published Alice in Westminster: The Political Life of Alice Bacon, a biography detailing the career of Labour politician Alice Bacon, who was the first woman to represent a Leeds constituency from 1945 to 1970.

In October 2023, Reeves released The Women Who Made Modern Economics. The Guardian described this work as presenting a clear political vision for Labour. However, the Financial Times revealed that the book contained over twenty instances where material was used without proper attribution from Wikipedia and other sources. Reeves acknowledged these citation oversights and pledged to amend them in subsequent editions.

Honours

In June 2023, Reeves was appointed an Honorary Fellow at New College, Oxford.

On 5 May 2024, it was announced that Reeves' name would be inscribed on a new metal sculpture titled Ribbons located in Leeds city centre. Created by Pippa Hale, this artwork honors 348 women who have made significant contributions to the city, as selected by public vote. Reeves described this recognition as "an opportunity to celebrate inspiring women from diverse backgrounds."

Personal life

Reeves is married to Nicholas Joicey, a civil servant who previously served as private secretary and speechwriter to Gordon Brown. The couple met while Reeves was working in Washington. They maintain residences in Bramley, Leeds, and London.

She announced her first pregnancy in September 2012 and has two children: a daughter born in 2012 and a son born in 2015.

A practising Christian, Reeves publicly apologized to her vicar during the 2024 election campaign for her recent absence from church services, attributing it to her demanding schedule.

External links

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