Labour's Rachel Reeves to set out plan to recover Covid fraud billions

labour's-rachel-reeves-to-set-out-plan-to-recover-covid-fraud-billions
Labour's Rachel Reeves to set out plan to recover Covid fraud billions

Labour has pledged to establish an anti-corruption commission aimed at recovering the billions of pounds lost to fraud and waste during the Covid pandemic if elected. Shadow Chancellor Rachel Reeves announced the plan in her speech to Labour’s conference on Monday, stating that the taxpayer cost of Covid fraud amounted to around £7.2bn. The proposal would bring together HMRC, the Serious Fraud Office and the National Crime Agency to take cases to court and recover taxpayers’ money.

Ms Reeves also promised to speed up the planning process for critical infrastructure if Labour comes to power. Decision times for major projects have risen by two-thirds since 2012, according to the shadow chancellor, who believes that economic growth and net zero considerations must also be factored in. To achieve this, Labour is proposing to update all national policy statements and detail what types of projects the UK needs, within the first six months of a Labour government.

Additionally, the party has promised to fast-track planning applications for battery factories, laboratories and 5G infrastructure. It would also appoint 300 new planning officers and provide clearer national guidance for developers consulting with local communities to avoid time-consuming legal challenges. Furthermore, Labour would offer incentives such as cheaper energy bills to encourage local communities to welcome clean energy projects.

Ms Reeves’ speech came ahead of a looming showdown with Unite over the union’s call to nationalise critical infrastructure, beginning with the privatised electricity and gas networks. Delegates are due to vote on the policy on Monday evening, but Ms Reeves and Labour leader Sir Keir Starmer have opposed the move.

Both the British Chambers of Commerce and the Federation of Small Businesses have welcomed Labour’s infrastructure plans. Shevaun Haviland, Director General of the British Chambers of Commerce, said long-term investment in infrastructure was key to getting the economy back on track. Meanwhile, FSB National Chair Martin McTague welcomed the appointment of more local planning officers

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