Rachel Reeves’ five choices to turn government finances around

Chancellor Rachel Reeves’ plan to cut billions of pounds in welfare costs through reforms has essentially gone up in smoke.

Following major government concessions on the benefits bill, a forecast £5bn in savings by 2029-30 has been severely dented.

Coming so closely after the U-turn on the Winter Fuel Allowance, the government has almost eliminated its £10bn buffer which it wanted to keep the public finances on track.

So what are Reeves’ choices now? As the Autumn Budget approaches, she has five options to change the financial situation.

The government could decide to wait and see if the UK economy grows by more than expected and debt interest costs fall.

That is a risky move.

Part of the reason…