SIR Keir Starmer today insisted he was sticking with Rachel Reeves “for a long time to come” as he scrambled to calm panicked markets following her tearful outburst.
The PM personally guaranteed the Chancellor’s job after refusing to do so yesterday as she sat weeping beside him.
He said her emotional display – caught on live TV – was a “purely personal” matter and he was not even aware it was happening.
Scenes of Ms Reeves crying in the Commons sparked speculation around her future which spooked investor confidence.
In a bid to ease market jitters today, Sir Keir revealed he had a “long chat” with her last night and she was staying in post.
He told Virgin Radio: “She is an excellent Chancellor, she will be Chancellor for a very long time to come – into the next election and beyond it.
“She and I are absolutely committed to our fiscal rules and the economic stability that is so important to this country.”
Despite attributing her tearful display to “personal reasons”, Ms Reeves had shortly before had a row with Speaker Sir Lindsay Hoyle.
During those exchanges – in the middle of a painful week of benefit u-turns – she admitted she was “under so much pressure”.
Sir Keir said today: “Like all human beings we are personal, there are moments that catch us off guard and if you’re in front of a camera for large periods of your life unfortunately that can be caught on camera.
“I actually personally didn’t even appreciate it was happening in the chamber because I came in and I’ve got questions being fired at me and PMQs and so I’m sort of constantly up at the despatch box
“But I think we just need to be clear it’s a personal matter and I’m not going to breach Rachel’s privacy by going into what’s a personal matter for her.”
Yesterday the Chancellor, 46, was comforted by sister Ellie, a Labour minister, but Sir Keir did not speak to her as she was led to her office next to the Commons chamber.
No 10 had to delete a clip from Sir Keir’s X because it showed Ms Reeves crying next to him, though it insisted the Chancellor was “going nowhere”.
Money markets earlier panicked at the prospect of a change of Chancellor and possible abandonment of her spending rules.
UK ten-year borrowing costs surged to 4.6 per cent and the Pound fell by one per cent against the Dollar to less than $1.36.
Tuesday’s gutting of the welfare reforms left Ms Reeves needing to plug a bigger hole in public savings — either by spending cuts, tax rises or borrowing.
Tory leader Kemi Badenoch pounced at Prime Minister’s Questions — quizzing Sir Keir about whether Ms Reeves would remain in place.
COMMONS MELTDOWN
11.50: Rachel Reeves says she is under “so much pressure” just before Prime Minister’s Questions.
12.00: She appears at PMQs.
12.12: Kemi Badenoch twists the knife, asking the PM: “Will the Chancellor even be in post by the next election?”
12.13: Sir Keir Starmer dodges the question, and Ms Reeves is seen shedding tears in the background.
12.45: Downing Street insists the Chancellor is “going nowhere”.
13.00: A spokesperson says Ms Reeves was dealing with a “personal matter”.
Taking aim at the puffy-eyed Chancellor, Ms Badenoch said: “She looks absolutely miserable.
“Labour MPs are going on the record saying the Chancellor is toast. The reality is she’s a human shield for his (the PM’s) incompetence. Will she really be in post for the next election?”
In response, the PM did not confirm Ms Reeves would remain in post until 2029.
He would only tell Ms Badenoch: “I have to say I’m always cheered when she asks me questions or responds to a statement because she always makes a complete mess of it and shows just how unserious and irrelevant they are.”
In her first year in the job, Ms Reeves has faced fierce criticism over winter fuel, welfare cuts, the National Insurance raid, sluggish growth, taxing farmers and taking freebies.
