Rachel Reeves is trying to inject life into the British economy (Image: Getty)
Rachel Reeves is set to spark a Labour civil war by announcing airport expansion plans.
The Chancellor could confirm plans to build a third runway at , a second at Gatwick and double the capacity of Luton Airport.
Energy Secretary Ed Miliband and London Mayor Sadiq Khan are among those set to fight plans for a third runway at Heathrow.
And former Shadow Chancellor John McDonnell vowed to be a thorn in Sir ’s side, declaring: “Backing a third Runway at Heathrow would shred government’s credibility in one fell swoop and potentially launch the greatest single environmental campaign this country has seen.
“Can’t believe that the Cabinet would make this mistake and put so many seats at risk.”
Ms Reeves could announce some or all of the decisions in a speech about growth due to take place later this month, sources said.
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A third runway at Heathrow could finally be approved (Image: Getty)
Other projects poised to be signed off after being delayed are the Lower Thames Crossing, a road tunnel beneath London’s Thames River, and a Universal Studios theme park north of the capital.
The Office for National Statistics (ONS) estimated the UK economy grew in November by 0.1% after falling by 0.1% in both September and October.
It is less than the 0.2% that most economists were expecting gross domestic product (GDP) to rebound by.
The latest figures follow weeks of turmoil after government borrowing costs surged and the value of the pound slumped amid worries over the economy and UK debt levels.
November’s growth means the economy would need to expand by at least 0.1% in December just to avoid contracting overall in the final quarter of the year.
It comes amid mounting fears Britain is heading for a period of so-called stagflation, where there is little or no economic growth combined with persistent inflation.
The Bank of England has pencilled in no growth again for the fourth quarter, following zero expansion in the previous three months.
And while figures on Wednesday showed a slight dip in inflation to 2.5% last month from 2.6% in November, many economists believe it will rise close to 3% in the coming months.
The November GDP figures take in the period after Ms Reeves’s tax-hiking Budget last October.
The Chancellor has faced an ongoing backlash for announcing an eye-watering £40 billion of tax rises including a raid on employers’ national insurance.
Businesses have warned the move will lead to price rises, while hiring will also be affected to offset the cost hit.
Heathrow revealed it has shelved plans for a third runway until it receives unequivocal Government support. Previous estimates suggested the plan would cost at least £14bn.
The total number of aircraft arrivals and departures rose to 474,000 last year, meaning the hub is now operating at 99pc of its 480,000 flight cap, imposed by the Government in 2001.
Gatwick is also set to find out next month whether it will be allowed to open an emergency landing strip for scheduled departures.
The plan is set to be given the green light.
The £2.2bn plan would double passenger numbers to 80m a year, create 14,000 jobs and boost the economy by an estimated £1bn.
Labour has already twice delayed a decision on expanding Luton Airport to 32m passengers. This would cost £2.4bn.
However, it backed a near 40pc increase at London City in August in one of its first major infrastructure decisions after taking power.
The Government said: “We are determined to get our economy moving and secure the long-term future of the UK’s aviation sector.
“All expansion proposals must demonstrate they contribute to economic growth”.