PRIME Minister Sir Keir Starmer admitted it “will take some time” for people to feel the benefits of a Labour government amid worsening signs for the economy today.

The Prime Minister insisted changes to planning rules, reforms to regulations and the use of technology and artificial intelligence could help boost sluggish economic growth.

He appeared before senior MPs on the Commons liaison committee on the day the Bank of England held interest rates at 4.75 per cent and warned of “heightened uncertainty in the economy” following the Budget and US presidential election.

He said that the Budget was intended to “stabilise the economy” and create the conditions for investment.

“We’ve obviously got to carry out reforms — to planning in particular, to regulation in particular — to drive the growth that we need,” he said.

The increase in the national living wage was a “pay rise for the three million who are the lowest paid” and public-sector workers were also feeling the benefit of pay deals, he said.

“In addition to that, the measures that we put in place will improve living standards,” he said.

“It will take some time, of course it will.

“One of the biggest mistakes, I think, in the last 14 years was the idea that everything could be fixed by Christmas. It can’t.”

Closing off questions, chairwoman Dame Meg Hillier asked: “Is there anything that you would do differently if you were starting out now, knowing what you do now?”

Sir Keir replied: “No. We have had to do tough stuff, we are getting on with it and I am very pleased to be delivering from a position of power, rather than going around the division lobbies losing every night.

“I have had too much of that.”