Monday 13 February 2017 / 12:47 PM 2017 Press Archive / The Latest from Labour

John McDonnell responds to the independent Kerslake Review into the Treasury

McDonnell MP, Labour’s Shadow Chancellor
, welcoming the publication of Labour’s
independent Kerslake Review into the Treasury this morning, said:

welcome this report, which has been produced by some of the leading experts in
our country who have worked closely with the Treasury. And Labour will be
responding in full in the coming weeks to the review.

asked Sir Bob Kerslake to head up a review into the Treasury because we needed
to have a serious and thorough examination of one of the most important pillars
of government, and the cornerstone of economic policy making in our country.

Treasury is our most important economic policymaking institution, but one that
has been criticised by some for its approach and attitudes.

review will help shape Labour’s economic policy, as well as being an first
important step in setting a new direction for the Treasury in the 21st Century.
As the views of the former head of the Civil Service are ones that should be
taken on board right across the economic and political spectrum in our country.

Sir Bob has made clear, we need the Treasury in the 21st century to be not only
able to meet the big challenges of the day such as Brexit, but also one that
focuses on all corners of our country, so that no one and no community is left
behind. Therefore, I am deeply concerned that the review has raised this as
areas which need reform.

the severe challenges that our economy and our country face in the coming
years, it is vital that we have a Treasury that is up-to-speed and is able to
match them. The next Labour government will need to deal with many of these
challenges, with what by then could potentially have been 10 years of Tory
economic failure, and it will fall to us to ensure that the Treasury is ready
and properly equipped for the 21st century.

am are deeply grateful for the contribution from all the independent members of
the review’s panel, who represented many different fields of expertise, and who
gave up a considerable amount of their time to take part. And I would also like
thank Sir Bob Kerslake for his time, energy and expertise in producing this
report for Labour.”

Kerslake, former head of the Civil Service
, who headed up the review, said:

Treasury is a small but very powerful department. To make the most of its very
capable staff, it needs to fundamentally change both what it does and how it
does it. It should  focus on its core economic and financial roles and
work in a much more open and collaborative way. The impact of Brexit reinforces
this need for change”.