Spending reviews

Javid: deal can still be done

Today Programme

BBC Radio 4

Sajid Javid said a general election would "focus minds". Would there be time to do a deal if there was an election on 15 October?

Negotiations were under way, he said, but no agreements had been made.

"If you have a general election in the interim, that is where the focus will be and there will be people in Brussels rightly thinking who is going to form the next government.

"But I am clear that in the time that we have that you can continue to have those discussions, you can reach a deal and bring it to Parliament

"Parliament would have to sit long, it might have to sit all night. It might have to sit through weekends, but it is imperative we deliver on our commitment to leave on 31 October."

'Grave danger'

Today Programme

BBC Radio 4

More from Sajid Javid on Today, who said his spending plans were "sustainable", Brexit deal or no-deal.

"You talked about grave danger to the economy and please let me address that issue," he said.

"When I talk to businesses... yes of course they are concerned about the uncertainty around Brexit.... But their number one concern [about the economy], is the prospect of a Labour government and how this Labour party, the most hard left we've seen in a generation, will absolutely, most certainly, crash the economy."

Javid: no reliable figure on cost of no-deal Brexit

Today Programme

BBC Radio 4

More from Sajid Javid on BBC Radio 4's Today Programme.

His predecessor Philip Hammond claimed a no-deal Brexit could cost the UK up to £90bn.

Mr Javid said: “I think the truth is, because having a no-deal exit from the EU would be unprecedented, it’s never happened for any country before, there are so many factors that can go into that, I don’t think anyone can put a reliable figure on what the impact may or might be."

The figure from Mr Hammond had not been a forecast while the figures from the Bank of England - which on Wednesday had said the economy would shrink by 5.5% rather than the 8% it had suggested last year in the event of a no-deal Brexit - was not a forecast either.

There was has a "huge acceleration" in preparations for a no-deal Brexit, Mr Javid said, "not because we want it... we want to be prepared".

"I don’t pretend you can mitigate everything... I am confident we can come through no-deal and come out eventually as a stronger economy.

"What I want to see is a deal on 31 October, we are working very hard towards a deal, but you're right to talk about the possibility of a no-deal because we are absolutely not ruling that out. If that's what it takes to leave on 31 October, that's what will happen."

Javid: 'Recovery to renewal'

Today Programme

BBC Radio 4

sajid javid
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Sajid Javid, the chancellor, has been speaking to BBC Radio 4's Today Programme after his spending round on Wednesday in which he outlined £13.8bn of investment in areas including health, education and the police. He described it as the fastest increase in spending for 15 years.

Asked about these plans, he told the BBC that the public finances were "strong".

“As soon as I became chancellor I knew that one of the things I had to address immediately is give all government departments certainty for next year’s budgets because they didn’t have one. So it's absolutely right that I had a spending round and wanted to make sure that spending round was something we can afford and it focused on the people’s priorities.

"So what I did yesterday was to really move the country from what you might call a decade of recovery in to a decade of renewal."

For the first time since 2002 no department had a cut, he said.

Is this is an election bribe? "Not at all, this is very prudent spending with headroom that we have."

Why set out the spending plan when the Office for Budget Responsibility has not produced economic forecasts? He said this had been the position of previous chancellors.

Chancellor Sajid Javid on spending round: 'New beginning' for the UK
Sajid Javid outlined how the Spending Review would help bring wide-ranging improvements to education, social care and policing sectors.

'Serious issues need to be addressed'

Crossrail workers
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Infrastructure partner Jon Hart, of Pinsent Masons, says that although the Chancellor has highlighted the importance of investment in UK infrastructure and the need for an "infrastructure revolution", there are many other problems to consider.

"The bottom line is that serious issues need to be addressed," said Mr Hart.

"The long term skills shortage, supply chain management and the potentially damaging impact of post-Brexit tariffs should be high on the agenda.

"To be blunt the need for considered investment has never been greater.”