John McDonnell MP, Labour’s Shadow Chancellor, responding to reports that Philip Hammond plans to “reset fiscal policy” and, today’s Markit PMI , said:

“Philip Hammond couldn’t defend George Osborne’s failed austerity measures in Parliament this week, and now he says he wants to hit the ‘reset’ button on economic policy as Labour have been consistently demanding.

"But the truth is that these are just warm words from another Tory Chancellor. As at present the failed austerity policies of George Osborne are still going ahead and the Government are still sticking to the failed fiscal framework.

"This means that Britain is on hold until Philip Hammond makes up his mind. The Tories clearly had no plan for Brexit and are making it up as they go along.

"As today’s survey of business activity shows, our country can’t wait for months on end whilst the Chancellor dithers about what to do instead. We need action now to combat the economic shock of the Tories’ Brexit and their lack of planning. 

"The Chancellor needs to immediately reverse the planned cuts to public investment, bring forward shovel-ready projects across the country to help build an economy where no one is left behind, as I set out in my speech on Monday.”