Business owners urge Rachel Reeves to resign like Hugh Dalton in 1947: "More leaks than the Titanic"

FINANCIAL experts have urged Chancellor Rachel Reeves to resign after leaks ahead of this month's Budget – much like a Chancellor resigned 78 years ago.

In 1947, Labour Chancellor Hugh Dalton resigned after prematurely briefing a journalist while on his way to the House of Commons to deliver his speech. 

The Office for Budget Responsibility (OBR), that has since apologised, published its forecasts by mistakes hours before the Budget.

It revealed the OBR had forecast GDP to grow by 1.5 per cent, which is 0.3 percentage points slower than its projection made in March.

And it shared details of the Budget, saying the thresholds at which people pay income tax will be frozen until the end of the 2030/31 financial year.

Owners of properties valued over £2m will pay a new annual tax from 2028 and taxes will be raised by £26bn by 2029-30.

Business owners have now claimed that Reeves should be held to a similar standard as Dalton.

Riz Malik, Director at Southend-on-Sea-based R3 Wealth, said the leaks are out of control.

He continued: “This Budget has had more leaks than the Titanic as the Chancellor's office seems to have tested every plausible response with the great British public via the media. 

"We elect public officials to govern and lead, not to see how popular measures are. At this rate, we'll be having a public vote on economic policy during Strictly or Ant and Dec's Saturday Takeaway.”

Sam Alsop-Hall, Chief Strategy Officer & Co-Founder at Birmingham-based Clive Henry Group, has his head in his hands.

He added: “Only in Britain can a whisper from Rachel Reeves move gilts harder than a Trump press conference moves crypto. At this point it’s less ‘Budget strategy’ and more ‘live-action stress test’. Someone take the red box off her before the pound needs counselling.”

Colette Mason, Author & AI Consultant at London-based Clever Clogs AI, believes the leaks are indicative of the state of the country.

She added: "These aren't accidental slips. They're either incompetence or manipulation, and neither builds the kind of institutional credibility a Chancellor needs when markets are already jittery. The public's faith in the political system is at an all-time low. 

"This Machiavellian nonsense adds to that frustration. It's time that people felt reassured by those in power, not relegated to the "doesn't matter in the big picture" box. The 1947 standard wasn't purely about punishment. It was about protecting trust in the process itself. We need that standard back. At a time of incredible upheaval in the economy, where does the nation turn?"

Tony Redondo, Founder at Newquay-based Cosmos Currency Exchange, said confidence in the Chancellor was gone.

He continued: "Rachel Reeves is the worst chancellor the UK has endured in 50 years, since Denis Healey went cap in hand to Washington for an IMF bailout loan. Very reluctantly, I don't think she should resign, for one simple reason: what comes after her would be even worse. 

“The bond vigilantes would smell blood in the water, and the UK would face an economic shock that would make Truss's 2022 mini-Budget meltdown look like a minor economic blip. As for the leaks, market confidence in this Chancellor and government has already eroded."

Rob Mansfield, Independent Financial Advisor at Tonbridge-based Rootes Wealth Management, said the government hasn't learned from its past mistakes.

He added: "Disappointingly, the government seems to have learnt nothing from last year's Budget when they let rumours run rampant. If the government want growth, they need to present confidence and competency. Neither of which are evident."

Michelle Lawson, Director at Fareham-based Lawson Financial, called it “poor politics”.

She continued: “Speculation causes uncertainty and markets and the public don't like it. Some of this is likely to give them fake kudos to tell us how good they have been by not implementing some of the leaks. Old hat and poor politics in this day and age.”

Daniel Wiltshire, Actuary & IFA at Bradford-on-Avon-based Wiltshire Wealth, said businesses are confused about what is going on.

He added: “What on earth are they playing at? Business confidence is shot to pieces as it is. This is starting to make the 2012 omnishambles look like a masterclass in statecraft. And we're not even there yet.”