Labour preparing anti-austerity budget to win back Brexit supporters

John McDonnell says he will address leavers' grievances if failure to do deal with EU leads to snap general election

The shadow chancellor, John McDonnell, is preparing an anti-austerity budget to deal with the grievances of voters who support Brexit if failure to strike a deal with the EU leads to a snap general election.

McDonnell said he understood why people living in the poorer parts of Britain had voted to leave the EU in the 2016 referendum, but added that the chaotic negotiations had led to "instability, insecurity and uncertainty".

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