Is Philip Hammond just George Osborne in disguise? Today we’ll find out | John McDonnell

Labour’s proposal that the new chancellor ditch the discredited charter for budget responsibility will expose his real intentions on continuing Tory austerity

After the leave vote, it’s time for an overhaul of how this country does economic policy. We can start by ditching George Osborne’s failed austerity programme, and making sure no part of our country is left behind.

The former chancellor’s charter for budget responsibility was a poorly conceived measure. On advice from economists, Labour opposed it last year. We argued not only that the targets were likely to prove unachievable but attempting to achieve them would result in damaging cuts to public services and investment. We were, unfortunately, proved to be entirely correct.

Related: Labour promises ‘iron discipline’ to shore up fiscal credibility

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IMF cuts UK growth forecasts following Brexit vote

Predictions revised down from April as IMF says EU referendum result has ‘thrown a spanner in the works’ of global recovery

The International Monetary Fund has slashed its forecast for UK growth next year after warning that the decision to leave the EU had damaged the British economy’s short-term prospects and “thrown a spanner in the works” of the global recovery.

The IMF, which voiced strong misgivings about a vote for Brexit before the EU referendum, said it expected the UK economy to grow by 1.3% in 2017, 0.9 percentage points lower than an estimate made in its World Economic Outlook (WEO), in April.

Related: IMF cuts UK and global growth forecasts following Brexit vote – business live

Related: There could still be a second referendum in Britain – if EU leaders listen | Vernon Bogdanor

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Theresa May takes charge of Brexit, economy and social reform committees

Prime minister announces new ministerial committees reflecting her priorities at first cabinet meeting

Theresa May has revealed she will personally take charge of three new ministerial committees – on Brexit, the economy and social reform – to implement her priorities for government, as she led her first cabinet meeting in Downing Street.

The prime minister told the 22 senior politicians making up her top team that they must get on with the job as they gathered in No 10.

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Higher travel costs push up UK inflation

Consumer price index rose by 0.5% in the year ending in June, as air fares were pushed up by 11% owing to Euro 2016

Britain’s brief flirtation with deflation has receded further into the past after dearer air fares, the rising cost of driving and more expensive computer games pushed up the cost of living last month.

Office for National Statistics (ONS) figures showed that the consumer price index (CPI) rose by 0.5% in the year ending in June, up from 0.3% in the year to May.

Related: Brexit fallout – what it means for you and your finances

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