Sky News' Sam Coates and Politico's Anne McElvoy serve up their essential guide to the day in British politics. Rachel Reeves has said this morning that the latest GDP figures showing the UK economy has shrunk by more than expected are "disappointing".
How much will this overshadow yesterday's major spending announcement?
Reeves has now planted Labour's fiscal flag in the sand - and spending mistakes from here on in certainly cannot be blamed on their predecessors. How will Labour react to a potential internal revolt over disability benefit cuts? And how will the party manage the politics around expected tax rises in the autumn?
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