Asya Robins
Live reporter

It was another jam-packed week.

We learnt a lot, with Chancellor Rachel Reeves confirming on the show that the government plans to cut Civil Service administrative costs by 15% by 2030.

The chancellor was also asked if she accepted tickets for a corporate box to see pop star Sabrina Carpenter at the O2 earlier this month. She said she did, and added "it's not as easy" to get seats at shows because of security concerns.

Shadow chancellor Mel Stride and Liberal Democrat deputy leader Daisy Cooper were also questioned on the UK's net zero target and the digital services tax.

Stride argued that recent data on the route to net zero by 2050 and suggested the goal would be an "extraordinary stretch" - a departure from his past view on the topic, which Laura quickly pointed out.

Meanwhile, Cooper argued that her party's suggestion to triple the digital services tax would get "public services back on their feet".

We'll be ending our coverage of this week's show soon, but we'll be back again next week - same time, same place.

Thanks for joining us.

Image source, PA Media

During today's programme, Laura asked shadow chancellor Mel Stride about gifts valuing £5,000 received by shadow business secretary Andrew Griffith.

We've now heard from Griffith about this:

"Clearly my attacks on Labour’s devastating impact on business have got under someone’s skin.

"I diligently register any hospitality received and did so back in January and February for these events so there is nothing ‘new’ here.

"The BAFTAs are a celebration of the creative sector - one of the UK’s largest exporters – and were also attended by Labour Ministers. It might be more of a story had the Shadow Business & Trade Secretary not attended. My host, NBC, employ thousands of people in the UK and have invested billions here.

"I attended the 69th year in which the Parliamentary Ski Trip has taken place. It is a long standing and cross-party event, and all flights and accommodation were paid for by me personally.

"It does include social events with Swiss Parliamentarians, and these are the elements which were properly disclosed on my register of interests. As City Minister - for which I took no salary – I was proud to obtain a Financial Services Agreement between the UK and Switzerland to help our financial services sector."

Simply put, Reeves has two main rules:

• Not to borrow to fund day-to-day public spending
• Get debt falling as a share of the UK's economic output by 2029-30

Reeves argues these rules will bring stability to the UK economy.

Most governments in wealthy nations have similar rules to reassure investors and maintain credibility with financial markets.

While there is pressure for Reeves to break the rules, the Treasury has reiterated that they are "non-negotiable".

Reeves remains resolute on economic decisions, despite sluggish growthpublished at 11:14 Greenwich Mean Time 23 March

11:14 GMT 23 March

Billy Kenber
Political correspondent

The chancellor defended the government’s record in office so far, despite sluggish economic growth, and was pressed on whether there will be further cuts to departmental spending beyond the aim for a 15% reduction in running costs.

She is likely to have to announce cuts to spending in the Spring Statement on Wednesday.

That’s because the just under £10bn head room she had in day-to-day spending at the time of the Budget has been wiped out, with the Office for Budgetary Responsibility expected to revise its growth forecast down.

One interesting point that came out of her exchanges with Laura Kuenssberg was her confirmation that she would not be changing the self-imposed fiscal rules that require her to balance tax revenue and day-to-day spending by the end of the parliament.

There are some in the Labour party who have openly called for a loosening of those fiscal rules.

Lord Blunkett, the Labour peer, has called it “treasury orthodoxy and monetarism at its worst”.

But Reeves was resolute, telling Kuenssberg that “markets can be confident that the fiscal rules are non negotiable”.

Starmer tightened the rules on freebies for politicians - but what are they?published at 11:03 Greenwich Mean Time 23 March

11:03 GMT 23 March

Becky Morton
Political reporter

Image source, PA Media

In its early months, the new Labour government was embroiled in a row over senior Labour figures accepting freebies like clothes and concert tickets.

This is not against the rules, as long as they are declared, and politicians from all parties have accepted gifts.

But it led to accusations that ministers were out-of-touch with ordinary people and that wealthy donors could be buying undue influence.

In response to the criticism, Prime Minister Keir Starmer tightened rules on gifts in November, requiring ministers to consider the “need to maintain the public's confidence in the standards of propriety" when deciding whether to accept freebies.

However, the issue was ultimately left to their judgement.

The PM also announced he, Chancellor Rachel Reeves and Deputy Prime Minister Angela Rayner would no longer accept donations of clothes.

This still left open the option of ministers taking free concert or sports tickets and it’s now emerged Reeves did this to take a family member to see Sabrina Carpenter in concert earlier this month.

Her defence was that security concerns meant it was easier for her to accept a free ticket for a corporate box, which it was not possible to buy.

It’s worth noting the prime minister himself has used a similar explanation, when defending his decision to accept free tickets to watch Arsenal with his family from the corporate area of Emirates Stadium.

Shadow chancellor Mel Stride faced a lot of push back from Laura this week over his opinions on the UK's target to reach net zero by 2050.

She quipped he might need to update his website with his changing opinion - you can watch the full exchange below.

The Organisation for Economic Co-operation and Development (OECD) has lowered its UK growth forecast to 1.4% in 2025, down from 1.7%, and to 1.2% in 2026, from 1.3%.

But this is still more optimistic than the Bank of England, which earlier this month cut its UK growth forecast for 2025 to 0.75%.

The OECD said global growth is expected to slow from 3.2% in 2024 to 3.1% in 2025, largely due to trade tensions sparked by US President Donald Trump's tariffs on imports.

Meanwhile, the UK economy shrank unexpectedly in January, contracting by 0.1%. The decline was mainly driven by a drop in manufacturing.

Imogen James
Live reporter

Image source, PA Media

That was a breathless 60 minutes for us here in the London newsroom.

Here's a what we heard, and from who:

Rachel Reeves, chancellor

• Reeves confirmed that the government plans to cut Civil Service administrative costs by 15% by 2030
• Reeves said the welfare system is "in bad need" of reform, and the government wants to support people getting back into work
• Asked about the spectre of US tariffs, Reeves says she believes in "free and open trade", and wants trade barriers to come down with the US and EU

Mel Stride, shadow chancellor

• Stride told Laura that the Conservative government "didn't approach the economy in the right way", but that Labour has "killed growth"
• Conservative party leader Kemi Badenoch recently said it's impossible for the UK to meet its net zero 2050 target. Quizzed on this, Stride said the Tory leader is right to say the challenges are "unrealistic"

Daisy Cooper, Liberal Democrat deputy leader

• Cooper told Laura that her party's suggestion to triple the digital services tax would get "public services back on their feet"
• On the subject of US President Donald Trump, she said the UK government needs to be "talking tough" and standing up to him, like other countries are doing

And on the panel this week, Sacha Lord, night-time economy adviser, told the BBC that the average pub needs to sell an extra 60,000 pints to make up for business rate increases.

Image source, Getty Images

The Joseph Rowntree Foundation (JRF), a think tank focused on tackling poverty in the UK, says the average family looks set to end the decade £1,400 worse off than they are today - equivalent to a 3% fall in their disposable income.

In its latest analysis of living standards, JRF says those on the lowest incomes are set to see their incomes fall around twice as fast compared to middle and top earners.

The foundation says that if living standards haven't recovered by 2030, the government will be set to miss Prime Minister Keir Starmer's new living standards milestone from just four months ago, and could be the first government since 1955 to see a fall in living standards across a parliament.

It gives the outlook on living standards for families before the government's recent announcement of reforms to the benefits system, which it says will save £5bn a year by 2030. The think tank says the reforms will leave affected families "even worse off".

Asked about the report on Sky News, Chancellor Rachel Reeves rejected claims that living standards are falling, adding living standards in the last parliament 'were the worst ever on record".

And with that, this week's episode of Sunday with Laura Kuenssberg has finished.

Stay with us right here - we'll bring you analysis and a recap of what we heard soon.

A little earlier in the show, Laura asked the Tory shadow chancellor about gifts shadow business secretary Andrew Griffith took of ski passes and Bafta tickets.

The gifts were worth over £5,000 in total, Laura adds. Is it OK that he accepted these?

Strides replies by saying he doesn't know "specific details", and that "I don't feel I'm in a position to comment specifically on that".

The BBC has contacted Griffith's office for comment about the gifts.

Laura says US President Donald Trump is looking carefully at where he'll make it more expensive for countries to do business.

She asks if changes to the digital service tax would be worth it if it prevents tariffs.

Cooper responds saying other world leaders are "talking tough" and standing up to Trump, which the Liberal Democrats think the UK government should be doing

Speaking from the Liberal Democrat's conference in Harrogate, deputy party leader Daisy Cooper is now on the show.

Laura asks her about the party's plan to increasing digital services tax on tech firms. The Liberal Democrats are suggesting tripling it. Laura asks: is this risking making the UK unattractive to businesses?

This tax would only be put on 20 of the largest social media and search engine giants, Cooper says, so small companies won't be affected.

They have one of the lowest digital service taxes of any other countries, others have it as high as 7.5%, she adds.

Cooper thinks this will work to get "public services back on their feet".

Laura says Stride has repeatedly criticised Labour's tax increase on business, which the government says will raise income for the NHS.

Would you reverse that tax rise and if so, would you take the extra money out of the NHS, she asks.

Stride says he wouldn't have taken the same tax and spending decisions as the current government, and wouldn't have "killed growth".

Laura pushes him on the NHS question again, to which he responds saying the government didn't approach the economy in the right way.

Laura asks a third time about whether or not Stride would take the £20bn out of the NHS - but Stride does not answer, saying the economy is in a "vulnerable state".

Stride says they face big challenges in relation to the net zero target.

He says party leader Kemi Badenoch "is right" that these challenges, in the longer term, "have been shown more recently to be unrealistic".

Noting that his position on this has changed, Laura quips: "your website maybe needs updating".

Laura pushes Stride again on the comments about net zero being feasible, asking him whether the Conservatives no longer support the UK's 2050 targets.

The shadow chancellor says that the Tories will be in opposition for "four, four-and-a-half years in opposition", and they have "an opportunity to do a deep thinking around these kind of issues to make sure that we come up with something that is feasible".

He adds that "we need to get the balance right"

Laura Kuenssberg in now speaking to shadow chancellor Mel Stride.

She asks about Conservative leader Kemi Badenoch's recent comments that it is impossible for the UK to meet its net zero targets by 2050.

Laura says that on Stride's website it says the target is feasible, deliverable, and can be met within same cost.

Is the Tory leader wrong, or have you changed mind?

Stride responds saying Badenoch is right, and that if you look at more recent data on the route to net zero in 2050, it is an "extraordinary stretch".

"We have to be honest about where we are right now," he says, adding that energy is at the heart of the challenges worldwide.

Energy costs are four times the level of the US, Stride says.

The final question from Laura focuses on Reeves' acceptance of tickets for a corporate box to see singer Sabrina Carpenter at the O2 earlier this month.

Reeves says security means "it's not as easy" as it used to be to sit in regular seats.

She says she accepted the tickets to go with a family member: "I thought that was the right thing to do from a security perspective."

Reeves says "these are not tickets you can pay for", and that she will declare the value of them.

For context: In November, Starmer tightened ministerial rules on gifts. That doesn't prevent ministers from accepting gifts, but leaves it up to individual judgement.

Laura asks what Reeves makes of comments by US President Donald Trump's Ukraine envoy on Prime Minister Keir Starmer's plan foran international force to support a ceasefire in Ukraine.

Steve Witkoff dismissed the proposal as "a posture and a pose".

Reeves answers that the impact of Starmer's efforts to "bring together international leaders" is already visible, adding that the PM is also in constant dialogue with President Trump.

She says she "is not put off" by Witkoff's comments, saying that the UK wants to "see a just and lasting peace" in Ukraine.

Laura now asks the chancellor about US President Donald Trump's introduction of global tariffs on certain sectors and the possibility of the president putting new taxes in place on imports.

She asks how the UK will respond.

"I believe in free and open trade," Reeves says, adding that the UK has balanced trade with the US.

Laura also asks if she thinks the UK will be left out of the tariffs. Reeves responds by saying Prime Minister Keir Starmer had a good conversation with Trump in the White House a few weeks ago.

She says she wants to see barriers to trade come down with the US and also with the EU.