I’m here with Emma Reynolds, our new Chief Secretary to the Treasury. But for me, this is a huge privilege. Just a huge privilege to return to the Treasury as Chancellor. Nearly 20 years ago after I left first or last, left this as a Treasury minister. And just looking around now, just as in those days, it’s so good to see so many bright, young, dedicated, really top-notch officials here at the Treasury. And also one or two familiar faces. James. Perhaps a little older, a little wiser, a little greyer. Me I’m still bald. Me I’m look, I’m still burning with a passion about this institution as a force for stability, for security, for growth, a force for a successful Britain.
And a successful Britain now in a much tougher world. That’s the task that we face at the heart of government. And I want to start by paying tribute to Rachel, my predecessor, our last chancellor, for everything that she’s done to serve this country. She brought financial discipline. She enabled growth. She delivered two full budgets, a spending review. She has helped through those see a government in this country that has slashed NHS waiting lists. That is reducing child poverty by 450,000. And that has seen investment rise again.
And she will always, always be recognised as the first ever female chancellor of this country in nearly 700 years. I praise her, I thank her and I pay tribute to her.
You know, when I left the Treasury, it was in 2008/9, just as the global financial crisis hit, and that crisis led to austerity. It led to low growth. It led to almost a decade and a half of stagnant living conditions. And that crisis and the political choices made in response, still drive people’s pessimism about who wields power in this country. People’s desperation for hopes in their communities.
And the new prime minister, Andy Burnham, with his new cabinet and apologies because he overran by half an hour. I’m sorry to keep you waiting. But the new Prime Minister is determined to change that and do so quickly.
As he said, we will help people live well. We’ll invest in their success rather than paying for their failure.
Nevertheless, I know, like you do, that the challenges Britain face are still deep, Low growth, high debt, too much inequality, overstretched public finances and at the same time, within the international threats rising both to our economy and to our security.
So for me, as for any Chancellor, fiscal control must be the first duty. It is mine. So let me give you my five priorities as your Chancellor.
First, fiscal discipline. Because fiscal credibility is the bedrock of economic stability and national security. We will meet the fiscal rules. And Andy Burnham and I have talked about how we will do that in lockstep, ensuring there’s a buffer also for uncertainty.
Second, growth in every postcode. So every government department is a growth department. We’ll make the fullest possible use of public investment within our fiscal framework, and we’ll take the fullest advantage of private and international investment – ready to back Britain.
Third. Backing Britain. British benefits. British apprenticeships. British jobs. For every procurement pound spent. Buying British not if possible, but by design. In transport, in energy, in defence, in AI and in tech.
And fourth, wealth creation. I want our government commitments to create a greater confidence investment, innovation, profit in our British businesses. And I say to those who have a bright idea or a small business, they want to grow, I will back you.
And fifth, I want to make life more affordable. Bringing down the cost of living and beginning a new era of devolution and public control. Not political buzzwords, but principles to underpin the decisions made in this building and in this government. And today, you’ve seen the way that we have cut tax from electricity bills just to give people a little more breathing space with their household finances in the winter.
This is the way that we start to build a new economy. This is the way that we start to build new hope. This is the way that we start to advance working people in this country.
But for now, I just have to say, the proudest and most humbling thing for me is to be with you. Such an extraordinarily talented group of government officials, and to look forward to being able to work with you and with the ministerial team, as we put that together in the months ahead.
We will do Britain proud. And thank you, I look forward to working with you together.
Thank you.