Britain's Treasury chief has kicked off a China visit aimed at boosting economic and financial cooperation between the countries, as the U.K.'s Labour government seeks to reset strained ties with Beijing.

Chancellor defends decision to travel to Beijing where she is seeking to revive relations that have been frozen since 2019

It follows criticism of the chancellor's trip which comes at a time of economic unease as UK borrowing costs rise.

The UK sticks out diplomatically and economically by refusing to impose extra tariffs on Chinese car companies. In return, Britain is hoping to boost exports of financial services in the coming years.

The value of the pound fell to its lowest level in over a year while UK borrowing costs jumped to their highest since the financial crisis

MPs and peers pen letter to Rachel Reeves urging her to raise plight of detained political prisoners during China trip.

The Treasury said a stable relationship with China would support economic growth - but critics said the chancellor should have stayed at home to address the market turmoil.

Ms Reeves is bracing herself for a report on the state of the public finances due from the Office for Budget Responsibility on March 26, and is due to reveal her spending plans in June although there are rumours at Westminster that she could make an emergency statement before then.

BEIJING (Reuters) -- British finance minister Rachel Reeves, facing criticism for travelling to China during financial market turmoil at home, said on Saturday that "pragmatic and predictable" relations with Beijing would help boost economic growth and trade.

Sir John Gieve, former Deputy Governor at the Bank of England, said the Chancellor may have to hike taxes or impose some ‘very severe reductions and squeezes’ on public services

The Chancellor of the Exchequer vowed to stand firmly behind her fiscal plan when asked if she will need to rethink her economic strategy. | ITV National News