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McDonnell, who has said that tackling tax avoidance would be a Labour priority, suggested that part of the problem was HMRC underfunding.
He said the Labour priority should be the completion of the single market, adding: "It is also clear that the priorities the EU political elites continue to focus on are taking us away from core areas, such as tackling terrorism and international crime, where the public does in fact support close pan-European co-operation.
Under Labour, despite the fact that social care seemed to be a New Labour priority and public expenditure was on the up, it took the government three terms to publish proposals for social care reform and for the introduction of a National Care Service – and even then, publication came just weeks before a general election.
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When Gordon Brown was asked if there was still money to spend on Labour priorities despite the public-sector deficit, he replied: "Of course there is".
Aides said November's PBR would not set out plans department by department in the manner of a comprehensive spending review, but would instead set out Labour "priorities and programmes" for the three years following the end of the recession.
But that, it seems, may no longer be Labour's priority.
More important, Labour's priority is to win a majority at the next election, and it hopes to do so partly by grabbing Lib Dem seats.
"To give every child the best start in life, we need to deliver a world-class teacher in every classroom, and that is Labour's priority.
Keir Starmer, the shadow Brexit secretary, has argued Labour's priority should be the single market and jobs while admitting there was clearly a need to act on free movement.
In an interview with the Guardian, the shadow home secretary said Labour's priority should be to push for Britain to remain a part of the single market after Brexit, and that politicians must be honest with voters and tell them the only way to achieve that is to accept continued freedom of movement.
Labour's priority now, he said, is to ensure that HS2 is the best way to spend £50bn.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com