Think tank urges better EU trade deal over austerity

A think tank named Best for Britain has advised Labour's Chancellor, Rachel Reeves, to avoid making significant cuts to public spending in her upcoming spring statement. Instead, they suggest she should focus on strengthening trade relations with the European Union. Reeves is expected to announce deeper cuts to public services in an effort to meet debt targets. This comes after Work and Pensions Secretary Liz Kendall revealed plans to reduce £5 billion from benefits, affecting support for disabled individuals and those on incapacity benefits. Critics, including some Labour MPs, fear this signals a return to austerity, a strategy used by the coalition government from 2010 to 2015. Best for Britain believes that improving trade with the EU would be more popular than cutting benefits. A recent YouGov poll indicated that 46% of respondents preferred a new EU trade deal as a way to support the economy, compared to just 28% favoring welfare cuts. Among Labour voters, the support for a trade deal increased to 65%. Naomi Smith, the chief executive of Best for Britain, criticized austerity as "political anthrax" due to its unpopularity and its negative impact on vulnerable people. She argued that a favorable trade deal could boost the economy and help public finances while lowering consumer prices. Labour has expressed a desire to improve its trading relationship with the EU but has ruled out rejoining the single market or customs union, including the reinstatement of free movement for people from the EU. The YouGov poll surveyed over 2,000 British adults from March 19 to 20.