Rachel Reeves must rethink how tax and spend decisions are made after welfare U-turn | Heather Stewart

Binary rules and twice-yearly OBR forecasts have turned chancellor's moves into grim spectator sport

There are many lessons for Labour's bruised leadership from last week's embarrassing U-turn on welfare cuts, but one is surely that how - and when - fiscal policy is set is not working.

Binary fiscal rules, a slim margin for error (less than 10bn), and the Office for Budget Responsibility's twice-yearly forecasts have combined to turn tax and spending decisions into a grim spectator sport.