How does Rachel Reeves stack up against Jeremy Hunt? SHOCK graphs compare Chancellors - and it's bad news for Labour

The analysis by Facts4EU, shared exclusively with GB News, examines how the pound has performed under both Chancellors, exposing the impact of recent political turmoil on the UK's currency.

This year, the pound has been volatile and the trend has been downward, as seen in the chart below.

On Tuesday, the pound slumped further as Reeves' room for manoeuvre was squeezed by the Prime Minister’s three high-profile U-turns on welfare reform.

The slide deepened on Wednesday amid growing political uncertainty, with reports suggesting Reeves could face the sack following Labour’s reversal on the welfare bill.

Appearing visibly emotional during PMQs, Reeves was left exposed as Keir Starmer failed to confirm she would remain in post. The moment, which saw her wiping away tears, triggered a £3billion market sell-off.

The Chancellor’s emotional display may have struck a personal chord with some, but currency markets are notoriously unforgiving. Sterling slid within minutes in what was a sharp and telling shift against the usually steady backdrop of exchange rates.

Under Reeves' stewardship, the pound started 2025 at €1.1946 but has fallen precipitously to €1.1552. This shrinkage has reduced holiday spending power for UK families.

How did the pound perform under Jeremy Hunt?

The comparison with Jeremy Hunt adds to Reeves's discomfort. Although Hunt faced his own challenges, the pound showed greater resilience during his time as Chancellor (see chart below), which gave markets and households more confidence.

On the first trading day last year, 02 Jan 2024, the pound stood at €1.1536 and on 02 July it had risen to €1.1799.

As Facts4EU points out, this difference is revealing as the euro–pound exchange rate is a measure of confidence in the British economy and the performance of the Chancellor of the Exchequer.

It's worth pointing out that the pound may have held up better under Hunt, but his polling ratings were less favourable in the first six months of 2024.

In April of that year, A YouGov poll found 44 per cent of respondents thought he was doing a bad job as Chancellor compared to 15 per cent who thought he was doing a good job.

Although on this measure, too, Rachel Reeves fares worse. A YouGov poll in April this year found 58 per cent were unimpressed with her Chancellorship, compared to 10 per cent who thought it was going well.

Why a weaker pound matters

For millions of households, a weaker pound means higher costs abroad and less spending power. Holiday accommodation, food, and drink all become more expensive.

For businesses that import goods, it adds to inflationary pressures. For the Government, it raises deeper questions about leadership, policy stability, and market confidence.

Reeves' position has also been weakened by Labour’s internal divisions. Starmer has faced a rebellion from over 100 backbenchers over proposed welfare changes, leaving Reeves increasingly isolated.

Her plans to save £5billion in budget cuts have been abandoned, feeding perceptions of a Government losing control of its economic strategy.

Now under pressure from both the markets and her party, Reeves must balance fiscal caution with demands for higher spending, a position that has become increasingly untenable.

If she falls, she could be replaced by a figure from Labour’s traditional left. Critics fear that this could mean a return to tax-and-spend policies that risk damaging Britain's fragile recovery further.

As speculation swirls over Reeves's future, Starmer has insisted that she will remain Chancellor "for a very long time".

The Prime Minister said she is doing an "excellent job" following Wednesday's tears in the House of Commons.

Starmer told the BBC: "She's done an excellent job as Chancellor and we have delivered inward investment to this country in record numbers.

"She and I work together, we think together. In the past there have been examples, I won't give any specifics, of Chancellors and Prime Ministers who weren't in lockstep. We're in lockstep."