The British Labour Government of Prime Minister Keir Starmer Faces a Crisis.
In a dramatic turn of events, Prime Minister Keir Starmer’s administration is showing signs of disarray. Just a day after a contentious vote on welfare reforms highlighted his precarious position among left-leaning party members, the Labour cabinet’s proceedings took a sorrowful turn when Chancellor Rachel Reeves was seen shedding tears during a live parliamentary session.
(For context, the role of Chancellor in Germany closely parallels that of Prime Minister, while in the UK, it aligns more with that of a finance minister.)
Reeves’ emotional display resulted in a staggering $4 billion sell-off in the markets.
The Telegraph reported:
“The Chancellor was wiping away tears as Sir Keir Starmer cast doubt on her future by failing to assure her position would remain secure.”

This unprecedented spectacle had immediate economic repercussions, pushing UK borrowing costs higher while the pound depreciated by one percent against the US dollar.
“Ms. Reeves’ emotional moment followed the dismantling of a welfare package intended to save the Treasury £4.5 billion annually, increasing the likelihood that she will have to implement tax hikes later this year.”
[…] Insiders within the government were compelled to quash rumors of a disagreement between Reeves and either Sir Keir or Deputy Prime Minister Angela Rayner.
A spokesperson for Reeves remarked on her tears, stating: ‘It’s a personal matter’.
However, it appears that Reeves faces a challenging road ahead, as she may need to either violate her borrowing guidelines or resort to increasing taxes.
“Her predicament is exacerbated by two significant reversals—abandoning cuts to winter fuel payments and retracting welfare reforms—both of which necessitate an additional £6 billion in annual funding.”
Watch: Reeves’ emotional moment in Parliament.
British Chancellor Rachel Reeves cries in Parliament while live on TV.
A representative for Reeves claimed she was distressed over a ‘personal matter.’
— Oli London (@OliLondonTV) July 2, 2025
“Kemi Badenoch, the Conservative leader, used Prime Minister’s Questions to remark on Ms. Reeves’ apparent distress, challenging Sir Keir to guarantee her position until the next election. When he failed to do so, Badenoch commented: ‘How unfortunate for the Chancellor that he couldn’t confirm she would remain in place’.”
It was at this moment that Reeves was observed wiping her eyes.
Watch: Nigel Farage’s take on Starmer’s setbacks and Reeves’ tears.
‘It was genuinely difficult to watch from across the aisle.’
Reform UK Leader Nigel Farage reflects on a ‘truly dismal’ 24 hours for the Government. pic.twitter.com/miwMOFaoHi
— GB News (@GBNEWS) July 2, 2025
Read more:
British PM Starmer Faces RIDICULE After Losing Control of Leftist Rebels in His Own Labour Party, Having To Make HUGE CONCESSIONS To Approve His Welfare Reform Legislation