Ahead of his ‘make or break’ Budget, Chancellor’s string of chaotic blunders

PHILIP Hammond was embroiled in embarrassing rows over unemployment, the NHS and driverless vehicles last night as he prepared to deliver a ‘make or break’ Budget.

Amid growing speculation about his political future, the Chancellor yesterday tried to get on the front foot by pledging action to tackle the housing crisis and striking a more upbeat tone on Brexit.

But his efforts were undermined by a gaffe on unemployment and a row over NHS funding south of the Border with NHS England and Wales boss Simon Stevens.

Mr Hammond also caused dismay in Downing Street after announcing he would be taking a ride in a driverless vehicle today – sparking a rash of jokes about the fragile state of Theresa May’s leadership.

Last night the planned event appeared to have been cancelled. A Government source said neither Mr Hammond nor the Prime Minister would set foot in a driverless vehicle when they make a visit to the West Midlater, lands today to highlight the Government’s commitment to investing in new technology.

Mr Hammond was forced to issue a correction yesterday after declaring there were ‘no unemployed people’ during a round of media interviews to promote Wednesday’s Budget. The comment came as he argued rapid developments in technology need not lead to mass unemployment.

‘Well nobody has a shorthand typist these days, but where are all these unemployed people?’ he said. ‘There are no unemployed people.’

In a separate interview an hour Mr Hammond acknowledged that 1.4million are out of work.

Asked about his error, he said: ‘Of course I didn’t mean that. There’s 1.4million unemployed people in this country and that’s 1.4million too many.’

But Jon Trickett, Labour’s cabinet office spokesman, said: ‘The Chancellor is living on another planet.’

Mr Hammond was also caught up in a row after directly criticising the performance of the Health Service south of the Border.

NHS England and Wales boss Mr Stevens has called for an extra £4billion to tackle the growing crisis in the healthcare system.

But the Chancellor said Mr Stevens had yet to deliver on promised efficiency reforms agreed as part of a five-year plan that led to a £10billion increase in NHS funding.

‘I’ll just remind you that Simon Stevens drew up the NHS Five Year View back in 2014,’ he told the BBC’s Andrew Marr show.

‘He was the one who set the envelope of resource that he asked the Government for £10billion extra by 2020. We agreed to fund that and that plan is not at the moment being delivered.’

NHS England hit back, highlighting a number of statements from Mr Stevens claiming the NHS ‘got less than we asked for’ in return for the five-year plan.

Mr Stevens insisted the service ‘did not get the funding requested’ for this year, next year, or the year after.

He also asked the Government to tackle demand by taking action to address the crisis in obesity and social care, neither of which have happened.

Mr Hammond suggested doctors and nurses would get a pay rise next year. But he declined to say whether the NHS would get extra cash to pay for it. And he suggested any pay rise would have to be linked to efficiency gains, saying: ‘We want to see win-win situations where people can earn more money but in exchange for working practices which allow the service to be delivered more efficiently.’

The Chancellor has been tipped for the sack in a new year reshuffle if this week’s Budget is a flop. He has angered Eurosceptic colleagues with a series of bleak pronouncements about Brexit, which have led to him being nicknamed ‘Eeyore’.

And he has clashed behind the scenes with Mrs May over spending on housing and public sector pay.

The Chancellor yesterday insisted he did not deserve his gloomy reputation, saying: ‘There never was an Eeyore. I’ve always been an optimist.’

He acknowledged he has faced criticism, saying: ‘If you stick your head above the parapet there will be people who take potshots at it.’

And he declined to say whether he would still be Chancellor in a few weeks’ time, adding: ‘Well, that’s not for me to decide, of course.’

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