Her claims came despite the latest official projections which suggest there will be an increase in debt over the next five years.
The Office for Budget Responsibility (OBR) said in November that debt is forecast to climb as a percentage of national income from 89% in 2023/24 to 92.8% in 2028/29.
Ms Trott was presented with the OBR forecast during an interview on BBC Radio 4’s PM programme – and responded by saying she had “different figures”.
She said the prime minister’s central pledge was that “debt needs to be falling over the five-year fiscal forecast as a percentage of GDP, which it is”.
When challenged, Ms Trott appeared to say quietly “I’m not sure” – to which presenter Evan Davis said: “This is really basic… I’m amazed that you don’t know that debt is rising.”
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The minister replied: “I think I need to have the figures. I’ve got different figures which… I think we just need to… yeah.”
Image: Treasury minister Laura Trott has been accused of not knowing the ‘basic facts’ of her job
Speaking to broadcasters on Friday, the prime minister appeared to defend Ms Trott.
Asked how the public could have confidence in the economy following the minister’s remarks, Mr Sunak said: “Debt is on schedule to fall as measured by the independent Office of Budget Responsibility, which they’ve affirmed at the last autumn statement that the chancellor gave.
“But our plan for the economy is working – inflation has come down from 11% to 4%. Mortgage rates are starting to come down, wages are rising and because economic conditions are now improving, we’ve been able to start cutting people’s taxes.”
‘It’s terrifying these people are in charge’
The OBR forecast Mr Davis cited says debt will start to fall in the latter half of this decade, but it will still be higher in five years than it is currently.
The projection is that debt will rise from 89% of GDP now to 93.2% in 2026/27. It will then decline in the final two years to 92.8% of GDP by 2028/29.
This was highlighted by a Downing Street spokesperson when contacted for comment. They said it meant the government was “on track to meet our commitment to have debt falling in five years’ time”.
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3:09
What is fiscal headroom?
Mr Sunak’s description of debt as being “on schedule” to fall is different to the language he has used in the past, when he claimed it had already been reduced.
To measure debt, the government tends to use public sector net debt (PSND) excluding the Bank of England (BoE).
Public sector net debt on its own is forecast to drop by around 4% as a share of GDP over the next five years, but underlying debt, excluding the state bank, is set to rise by around 4% in the same period.
PSND, excluding the BoE, is forecast to drop slightly at the end of the five-year projection – from 93.2% in 2027/28 to 92.8% – but that is still higher than the 89% it is currently.
Labour said it was “terrifying” that people like Ms Trott were in charge of the country’s finances.
The party‘s shadow chief secretary to the Treasury, Darren Jones, said: “The Tories have crashed the economy and doubled the national debt over the last decade.
“This evening we discover that Laura Trott, Jeremy Hunt’s number two, doesn’t even know the basic facts of her job.
“It’s terrifying to think these people are not just in charge of the country’s finances, but still think they can lecture anyone else.”
In common with many parents across the country, here’s a conversation that I have with my young daughter on a semi-regular basis (bear with me, this will take on some political relevance eventually).
Me: “So it’s 15 minutes until your bedtime, you can either have a little bit of TV or do a jigsaw, not both.”
Daughter: “Ummmm, I want to watch TV.”
Me: “That’s fine, but it’s bed after that, you can’t do a jigsaw as well.”
Fast-forward 15 minutes.
Me: “Right, TV off now please, bedtime.”
(Pause)
Daughter: “I want to do a jigsaw.”
Now replace me with the government, the TV and jigsaw options with axing welfare cuts and scrapping the two-child cap, and my daughter with rebellious backbenchers.
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6:36
Rachel Reeves’s fiscal dilemma
That is the tension currently present between Downing Street and Labour MPs. And my initial ultimatum is the messaging being pumped out from the government this weekend.
In essence: you’ve had your welfare U-turn, so there’s no money left for the two-child cap to go as well.
As an aside – and before my inbox fills with angry emails lambasting me for using such a crude metaphor for policies that fundamentally alter the lives of some of the most vulnerable in society – yes, I hear you, and that’s part of my point.
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9:11
Welfare U-turn ‘has come at cost’
For many in Labour, this approach feels like the lives of their constituents are being used in a childish game of horse-trading.
So what can be done?
Well, the government could change the rules.
Altering the fiscal rules is – and will likely remain – an extremely unlikely solution. But as it happens, one of Labour’s proverbial grandparents has just popped round with a different suggestion.
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5:31
Welfare: ‘Didn’t get process right’ – PM
A wealth tax, Lord Neil Kinnock says, is the necessary outcome of the economic restrictions the party has placed on itself.
Ever the Labour storyteller, Lord Kinnock believes this would allow the government to craft a more compelling narrative about whose side this administration is on.
That could be valuable, given one of the big gripes from many backbench critics is that they still don’t really understand what this prime minister stands for – and by extension, what all these “difficult decisions” are in aid of.
The downside is whether it will actually raise much money.
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16:02
Is Corbyn an existential risk to Labour?
The super-rich may have lots of assets to take a slice from, but they also have expensive lawyers ready to find novel ways to keep their client’s cash away from the prying eyes of the state.
Or, of course, they could just leave – as many are doing already.
In the short term, the future is a bit easier to predict.
If Downing Street is indeed now saying there is no money to scrap the two-child cap (after heavy briefing in the opposite direction just weeks ago), an almighty tantrum from the backbenches is inevitable.
And as every parent knows, the more you give in, the harder it becomes to hold the line.
The UK has re-established diplomatic ties with Syria, David Lammy has said, as he made the first visit to the country by a British minister for 14 years.
The foreign secretary visited Damascus and met with interim president Ahmed al Sharaa, also the leader of the rebel group Hayat Tahrir al-Sham (HTS), and foreign minister Asaad al Shaibani.
In a statement, Mr Lammy said a “stable Syria is in the UK’s interests” and added: “I’ve seen first-hand the remarkable progress Syrians have made in rebuilding their lives and their country.
“After over a decade of conflict, there is renewed hope for the Syrian people.
“The UK is re-establishing diplomatic relations because it is in our interests to support the new government to deliver their commitment to build a stable, more secure and prosperous future for all Syrians.”
Image: Foreign Secretary David Lammy with Syria’s interim president Ahmed al Sharaa in Damascus. Pic: X / @DavidLammy
The Foreign, Commonwealth and Development Office has also announced a £94.5m support package for urgent humanitarian aid and to support the country’s long-term recovery, after a number of British sanctions against the country were lifted in April.
While HTS is still classified as a proscribed terror group, Sir Keir Starmer said last year that it could be removed from the list.
The Syrian president’s office also said on Saturday that the president and Mr Lammy discussed co-operation, as well as the latest developments in the Middle East.
Since Assad fled Syria in December, a transitional government headed by Mr al Sharaa was announced in March and a number of western countries have restored ties.
In May, US President Donald Trump said the United States would lift long-standing sanctions on Syria and normalise relations during a speech at the US-Saudi investment conference.
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1:12
From May: Trump says US will end sanctions for Syria
He said he wanted to give the country “a chance at peace” and added: “There is a new government that will hopefully succeed.
“I say good luck, Syria. Show us something special.”
Secret Service quietly amasses one of the world’s largest crypto cold wallets with $400 million seized, exposing scams through blockchain sleuthing and VPN missteps.