Reeves faces grilling from MPs amid market turmoil

For free real time breaking news alerts sent straight to your inbox sign up to our breaking news emails Sign up to our free breaking news emails Sign up to our free breaking news emails SIGN UP I would like to be emailed about offers, events and updates from The Independent. Former shadow chancellor John McDonnell said both the Prime Minister and Ms Reeves had “tied our hands unnecessarily” in their early economic decisions and the “strictures we placed upon ourself need to be re-examined.” Mr McDonnell, a key figure in Jeremy Corbyn’s leadership who last year had the Labour whip withdrawn for voting to scrap the two-child benefit cap, said imposing cuts to balance the books would be “politically suicidal”. He told BBC Radio 4’s Today programme: “The electorate have to be protected, otherwise I’m afraid we’re looking at a level of disillusionment which then turns people towards, unfortunately, Reform, and I think that would be a disaster for the country.” The former frontbencher, who is on the Labour left, suggested the Government just has to “see through” the market turmoil, but he insisted a wider review of economic strategy is necessary including intervention from the Bank of England “if necessary”. Security minister Dan Jarvis defended the Chancellor as he faced broadcasters on the Tuesday morning media round, saying she is doing a “good job” in difficult circumstances inherited by the previous government. “These are difficult economic headwinds that we’re dealing with at the moment, but I think she’s doing a good job and I think the Prime Minister thinks that as well.” Shadow financial secretary to the Treasury Gareth Davies denied the previous Tory government had left behind a “terrible situation” for the Chancellor and said she had “made it worse” with the autumn budget.