Politics
Reeves confirms Budget spending deals struck with all departments
Chancellor Rachel Reeves says she has now reached spending settlements with all government departments ahead of her much-anticipated Budget on 30 October.
It comes after reports of Treasury rows with multiple departments over the expected scale of spending cuts.
Reeves told BBC Radio 5’s Matt Chorley she had struck deals with all her cabinet colleagues – and in line with tradition, popped all balloons put up in the Treasury to represent each department’s funding agreement.
While sympathising with “the mess” her colleagues had inherited, Reeves insisted departments needed to find savings to balance the budget.
In recent Budgets, chancellors have adopted the tradition of hanging balloons in the office of the Chief Secretary to the Treasury to represent spending deals that must be negotiated with government departments.
As settlements are reached, the balloons are popped.
In the exclusive interview, Reeves said: “There are no balloons left in the Chief Secretary’s office – the balloons have been burst.”
In the run-up to the Budget there have been growing reports of unease in the Cabinet over the spending cuts needed to meet the Treasury’s target of finding £40bn of savings.
Sky News reported that the Treasury missed its initial 16 October deadline to finalise all major Budget measures for submission to spending watchdog the Office of Budget Responsibility ahead of the Budget.
Deputy Prime Minister Angela Rayner who runs the Ministry of Housing, Communities and Local Government, as well as Justice Secretary Shabana Mahmood and Transport Secretary Louise Haigh have all been reported as writing to Sir Keir Starmer to complain about the scale of cuts their departments were facing.
Haigh has since told the BBC she did not write a letter, but had been having Budget negotiations with the Treasury “in the normal way”.
Addressing reports colleagues had gone over her head to take their concerns about budget cuts directly to the prime minister, Reeves said, “I wouldn’t believe everything you read” in the media.
But she went on to say it was “perfectly reasonable that Cabinet colleagues set out their case – both to me as chancellor and to the prime minister, about the scale of the challenges that they find in their departments”.
“I’m very sympathetic towards the mess that my colleagues have inherited”, Reeves said.
“But any additional money, in the end, it has to be paid for either by taking money from other departments or raising taxes.”
Taxes on ‘working people’
The Labour manifesto promised not to raise income tax rates, national insurance or VAT to protect “working people”.
Labour also campaigned on a pledge not to “return to austerity” – the programme of deep spending cuts and tax hikes aimed at reducing the UK’s budget deficit pursued by the 2010 Conservative-Liberal Democrat coalition.
“All of those things mean that we do need to find additional money,” Reeves said.
Reeves admitted this meant she was considering tweaks to “other taxes to ensure the sums add up”.
“We were clear during the election campaign, you can’t undo 14 years of damage in one Budget or in just a few months,” she said.
“It is going to take time to rebuild our public services to ensure that working people are better off and to fix the foundations of our economy and our society as well.”
As she looks to balance the first Labour Budget in 14 years, Reeves admitted she speaks to several major political figures.
“I speak to Gordon regularly – I also speak to Tony Blair regularly,” she said.
She also maintains a “good relationship” with her predecessor Jeremy Hunt, regularly messaging the Conservative shadow chancellor.
“I may not be particularly impressed with the state of the public finances that he left me, but I do recognise that after Kwasi Kwarteng, he had a tough job to do as well,” she said.
The one person she wishes she could “pick up the phone to now” is Alistair Darling, the last Labour chancellor to deliver a Budget – who died last year aged 70.
Lord Darling served in cabinet for 13 years under both Blair and Brown, and was best known as the chancellor who steered the UK through the 2008 financial crisis.
“I hope that he would be proud of what I’m doing as the next Labour chancellor after him,” she said.
Reeves spoke about her pride at being the first female chancellor in the role’s 800-year history.
Becoming chancellor was “beyond what a girl like me, from the ordinary background that I came from, could have ever dreamed of,” Reeves said.
Now in her “dream job”, Reeves said, “one of the wonderful things in the first few months of doing this job is to meet female finance ministers from around the world” – such as US Secretary of the Treasury Janet Yellen and Chrystia Freeland, the Canadian finance minister.
“I take a lot of inspiration from those amazing women and so many others,” Reeves said.
Politics
UK and Germany to sign landmark ‘defence’ treaty
Britain and Germany will sign what the UK government is calling a “landmark defence agreement” aimed at boosting security, investment and jobs.
Under the agreement, German defence company Rheinmetall will open a new factory in the UK to manufacture barrels for artillery guns – supporting 400 jobs.
Both countries will work together to develop drones and a new long-range missile.
German maritime surveillance aircraft will also periodically fly patrols of the North Atlantic from RAF Lossiemouth in Scotland.
Labour promised to build closer military ties with Germany while in opposition and this is part of a wider push by this government to reset relations with key European allies post Brexit.
The German Ambassador to the UK, Miguel Berger, said the European Commission will have a very strong focus on defence in the next five years, and there is space for the UK to be involved.
“Obviously the question is – what can the role of the British defence industry and of the capacities of the United Kingdom be in this joint endeavour?” he told BBC Radio 4’s Today programme.
The UK already has a defence pact with France – the Lancaster House Treaty signed in 2010 by David Cameron and Nicholas Sarkozy – but this is the first with Germany.
Germany and the UK are the two largest defence spenders in Europe and the biggest European military donors to Ukraine.
Defence Secretary John Healey said it was a “milestone moment”, bringing the two countries’ militaries and defence industries closer.
In reality the two nations already co-operate as members of the Nato alliance.
In a joint venture, they are also building new tanks and armoured vehicles for the British Army, Germany’s Rheinmetall and the UK’s BAE Systems-formed RBSL to manufacture the Boxer armoured fighting vehicle and the latest Challenger 3 tank in Telford, Shropshire.
Under the new Trinity House Agreement, Rheinmetall will build a factory in the UK to produce barrels for artillery guns – something the UK stopped doing more than a decade ago.
The site for the factory has not yet been announced, but the Ministry of Defence (MOD) says it will support more than 400 jobs and use British steel produced by Sheffield Forgemasters.
The steelmaker was recently acquired by the UK Government. The first artillery gun barrels are expected to roll off the production line in 2027.
The Trinity House Agreement also includes a commitment to develop a new long-range missile, which the MOD says will be more precise and can be fired further than any current systems – the UK’s Storm Shadow and Germany’s Taurus. Unlike the UK, Germany has refused to supply Ukraine with its Taurus cruise missile.
The UK and Germany will further co-operate on developing drones that might be able to fly alongside Typhoon jets operated by both countries.
German P8 maritime surveillance aircraft will periodically operate out of RAF Lossiemouth in Scotland to help patrol the North Atlantic. Other Nato allies have been doing the same for a number of years.
There is also a promise to bolster the defence of Nato’s eastern flank; both the UK and Germany have already sent hundreds of troops to the Baltic states as part of Nato’s enhanced defence plans following Russia’s invasion of Ukraine.
Germany’s Defence Minister Boris Pistorius said the agreement would strengthen Europe and Nato.
“We must not take security in Europe for granted,” he said, adding the projects being undertaken would be open to other partners.
Politics
Government to revive police firearms review
The government will revive a review into how police officers who take fatal shots in the line of duty are held to account following the shooting of Chris Kaba, the prime minister said.
The probe was initially launched by the previous government, but will now be completed by Home Secretary Yvette Cooper.
Sir Keir Starmer said it was important that the public have confidence in the police and that police have confidence in the government.
It comes days after police officer Martyn Blake was cleared of the murder of Mr Kaba.
“We are going to pick [the probe] up and complete that accountability review because it is important that the public have confidence in the police including of course the armed police,” Sir Keir said.
“It’s also important that the police know that we have confidence in them doing a very difficult job, so we will pick that up.”
He added that more details would be available later on Wednesday when Ms Cooper makes a statement in the House of Commons.
Under the current law, every armed police officer is personally responsible for their actions. Officers cannot use more force than is necessary to neutralise a threat.
A superior officer cannot tell a police officer to pull the trigger – nor can there be a pre-emptive tactical decision to shoot a suspect whatever the circumstances.
On Monday, police officer Mr Blake was cleared of murdering Chris Kaba, who he shot in the head during a police vehicle stop in south London two years ago.
It has since been revealed that Mr Kaba had shot a man in a nightclub days before his own death.
Reacting to the verdict Metropolitan Police Commissioner Sir Mark Rowley said no police officer was above the law but said the force had been clear “the system holding police to account is broken”.
“I worry about the lack of support officers face for doing their best, but most of all, I worry for the public,” he said.
“The more we crush the spirit of good officers, the less they can fight crime – that risks London becoming less safe.”
Abimbola Johnson, a barrister on a scrutiny board set up by the National Police Chiefs Council in the summer to boost confidence among minority ethnic people, warned against using the Kaba case to push for legislative change.
“It is already extremely rare for us to see police officers being prosecuted under the criminal justice system for action they have conducted whilst in the line of duty,” she told BBC Radio 4’s Today programme.
She added: “This is not a typical case, therefore, using this as a reason to push for legislative change, it doesn’t make sense, because this isn’t normally what would happen throughout the process.”
Politics
Labour volunteers in US helping Harris ‘in spare time’
Prime Minister Sir Keir Starmer has sought to play down the significance of alleged interference by the Labour Party in the American presidential election.
The Trump Campaign has filed a complaint with the Federal Election Commission in Washington seeking an immediate investigation – after the Head of Operations for the Labour Party, Sofia Patel, posted on social media that she had “ten spots available” for anyone willing to travel to North Carolina to campaign for Kamala Harris, adding “we will sort your housing”.
She said she had around 100 current and former party staff heading to America before polling day.
The post, on LinkedIn, has since been deleted.
Foreign nationals are permitted to serve as volunteers on campaigns in the US as long as they are not compensated, according to Federal Election Commission rules.
The complaint from the Trump Campaign is both pointed and theatrical.
“When representatives of the British government previously sought to go door-to-door in America, it did not end well for them,” it read.
That is a matter-of-fact reference to US independence around 250 years ago.
On matters more contemporary it requests “an immediate investigation” into what it calls “blatant foreign interference”.
Speaking to reporters while flying to the Commonwealth Heads of Government Summit in Samoa in the south Pacific, the prime minister said: “The Labour Party has volunteers, [they] have gone over pretty much every election.
“They’re doing it in their spare time. They’re doing it as volunteers. They’re staying I think with other volunteers over there.”
The Trump Campaign letter to the Federal Election Commission also says: “Morgan McSweeney, the Prime Minister’s chief of staff, and Matthew Doyle, director of communications, attended the (Democratic) convention in Chicago and met with Ms Harris’ campaign team.
“Deborah Mattinson, Sir Keir’s director of strategy, also went to Washington in September to brief Ms Harris’ presidential campaign on Labour’s election-winning approach.”
Ms Mattinson no longer works for the Labour Party.
Party sources say Mr Doyle and Mr McSweeney went to the Democratic Convention in their own time, and that the Democratic Party didn’t pay their travel and accommodation costs.
It isn’t clear who did.
Asked if the row risked jeopardising his relationship with Donald Trump, the prime minister said “no” – pointing to the dinner the two men had together at Trump Tower in New York last month.
“We established a good relationship. We’re grateful for him for making the time… for that dinner,” Sir Keir said.
“We had a good, constructive discussion and, of course as prime minister of the United Kingdom I will work with whoever the American people return as their President in their elections, which are very close now.”
Sir Keir has never met the Vice-President Harris, Trump’s Democratic rival.
But he has met President Biden several times since becoming prime minister in July.
Politics
Trump accuses UK’s Labour Party of ‘foreign interference’
Donald Trump’s campaign has filed a Federal Election Commission (FEC) complaint against the UK’s Labour Party, accusing it of “blatant foreign interference” in the US election in aid of the Harris-Walz campaign.
The complaint cites media reports about contact between Labour and the Harris campaign, as well as apparent volunteering efforts, arguing that this amounts to illegal “contributions”.
The BBC understands that Labour activists campaigning in the US presidential election are doing so in a personal capacity.
The Labour Party has not issued an official response.
Specifically, the complaint cites newspaper reporting that Labour-linked individuals have travelled to the US to campaign for Harris.
That reporting, the complaint alleges, creates a “reasonable inference that the Labour Party has made, and the Harris campaign has accepted, illegal foreign national contributions.”
The letter refers to Washington Post reporting that communications were exchanged between the parties and that senior officials have met in private.
Additionally, the complaint cites a social media post on LinkedIn in which a Labour staff member said that “nearly 100” current and former party members will be headed to battleground states in the US.
The post, from Labour Party head of operations Sofia Patel, added that 10 “spots” are available and that “we will sort your housing”.
It appears to have since been deleted.
The complaint makes comparisons to an international programme in 2016 in which the Australian Labor Party, or ALP, sent delegates to help with Bernie Sanders’ campaign.
In that instance, however, the ALP paid for flights and daily stipends. The party and the campaign were each handed down civil penalties of $14,500.
Labour activists’ trips were not organised or funded by the party, it is understood from party officials.
Foreign nationals are permitted to serve as campaign volunteers as long as they are not compensated, according to FEC rules.
It is considered normal for party officials from the UK to be in contact with counterparts in the US.
It also has taken place previously between the UK’s Conservative Party and US Republicans.
The BBC has contacted the Harris-Walz campaign for comment.
Politics
Starmer warns Russia attacks in Ukraine risk global food security
Prime Minister Sir Keir Starmer has warned that Russia is stepping up attacks on Ukrainian ports in the Black Sea – delaying the export of agricultural produce, including aid intended for Palestinians caught up in the conflict with Israel.
During several days of strikes in early October, Russian weapons hit at least four cargo ships, including one reportedly carrying 6,000 tonnes of corn.
Sir Keir said that Russia’s President Vladimir Putin was willing “to gamble on global food security in his attempts to force Ukraine into submission”.
The prime minister’s remarks came as he travels to the Pacific Island of Samoa for a meeting of Commonwealth heads of government.
During several days of strikes, Russian missile strikes on the Odesa region hit a Panamanian-registered ship and a Palau-flagged cargo ship were also attacked, killing one person on-board.
Several people in the southern city of Zaporizhzhia were injured as 29 homes were destroyed and pictures released by regional officials show a giant crater in the mud, with bricks and wood strewn all around.
A wave of strikes on Ukraine’s Black Sea ports coincided with a European tour by President Volodymyr Zelensky – who visited leaders in London, Paris, Rome and Berlin.
But Sir Keir pointed out the increasing number of Russian attacks coincided with harvest season.
Despite the war, Ukraine is still a significant supplier of agricultural goods.
But British intelligence suggests a growth in what officials call Russian “risk appetite” when attacking Ukrainian ports – with grain ships becoming what is described as “collateral damage” in Russia’s campaign.
Sir Keir said the “indiscriminate attacks” were “harming millions of vulnerable people across Africa, Asia and the Middle East”.
According to Ukrainian figures, more than 20 civilian ships have now been damaged in Russian attacks since the start of the war in 2022.
Grain silos and other port infrastructure have been badly damaged too.
However, Ukraine has succeeded in creating a maritime corridor to ensure the safety of grain exports, after Moscow pulled out of a Black Sea grain deal last year.
Some 962,000 tonnes of grain were exported in the first ten days of October, according to the agriculture ministry in Kyiv – double the volume shipped in the same period last year.
Speaking to journalists travelling with him to Samoa, Sir Keir said Russia’s recent recruitment of troops from North Korea was “an embarrassing and desperate act.
On Tuesday, the British government announced that it would give Ukraine an extra £2.26bn using the profits from Russian assets held in Europe.
The one-off payment is an addition to £3bn already pledged by the government to fund Ukraine’s war effort.
So far, the UK has given more than £12bn in military aid and has promised to match that level of support in the future.
Announcing the funding, Chancellor Rachel Reeves said it showed the UK’s support for Ukraine was “unwavering and will remain for as long as it takes”.
Politics
Kemi Badenoch hits back at Robert Jenrick’s ‘disrespectful’ jibe
Kemi Badenoch has hit back at her Tory leadership rival Robert Jenrick’s claim that her decision not to set out detailed policies was “disrespectful” to the party’s membership.
Speaking to Political Thinking with Nick Robinson, Badenoch said she would not use that word about another candidate and that everyone had “their own campaign approach”.
“If this was a general election, yes, it would be wrong to be standing with no policies. This is not a general election,” she told Nick Robinson.
She added: “He [Jenrick] doesn’t know what he’s going to be standing on in four years’ time.”
Jenrick stood by his criticism in an interview with BBC Radio 5’s Matt Chorley.
“Kemi and I disagree on this point. I believe you have to start with principles and values, but I think that is not enough. You also have to have policies.”
He argued that the public were “deeply sceptical” of politicians and the best way to win them back was to set out policies and “lay out the trade-offs”.
“The age of policy-free politics is over,” he said, adding that it was “wrong” to ask party members to support you “on the basis of a plan for tomorrow”.
During the leadership campaign, Jenrick has said he wants to leave the European Convention on Human Rights, encourage housebuilding and oppose Labour’s plans on reaching net-zero carbon emissions.
Defending her approach, Badenoch said the party members know what her principles are. She said she would take time to design policies adding: “We have time, we don’t need to rush.”
She said she did not want to make promises “unless I know how I am going to deliver it”.
Earlier in the week, Jenrick told BBC Radio 4’s Westminster Hour: “I think it’s disrespectful to the members and the public to ask for their votes without saying where you stand on the big issues facing our country today.”
Conservative Party members are currently voting between the two candidates and a result is due on 2 November.
Unlike her rival, Badenoch has not done many media appearances, however in a wide-ranging interview she spoke to Nick Robinson about her thoughts on net-zero, immigration and Covid lockdowns.
On the environment, she said she was a “net-zero sceptic” but not “a climate change sceptic”.
She said she did not want to do something “because it looks good” and “before we figured out how to do it”.
She pointed to speeches she had made in Parliament on subject asking: “Lot’s of schoolchildren will be very happy, but where is the plan?”
She added: “Is net-zero a solution or is it a slogan… I am not sure we have properly thought that through.”
On immigration, she said “numbers matter but culture matters more”.
For several years, Conservative politicians have promised to get down the numbers coming into the country, but immigration has continued to rise, hitting record levels in 2022.
Badenoch said there should be a cap on numbers but it was also important to ensure those arriving “love British culture”.
Asked how the government should decide this, Badenoch said it was important to establish from which countries “successful migrants” were coming from.
“We should be getting to a point where we can say we’re happy to take more from countries A, B and C and for countries X, Y and Z, we’re going to have stricter rules.”
During the coronavirus pandemic, Badenoch was a Treasury minister. She said she would not apologise for spending “a lot” during Covid but added: “I think we just overran it to the point where it made inflation worse than it needed to be.”
She also said she thought the government “overdid it in terms of the length of lockdown”.
“There was a King Canute sort of situation. I thought that we were trying to do too much, that this was where government was overstretching itself and we weren’t trusting people enough.
“The biggest thing I hated was the fixed penalty notices.”
The notices were issued by the police to people who breached Covid rules, resulting in fines of between £200 and £10,000.
Both Boris Johnson and Rishi Sunak, the prime minister and chancellor during the pandemic, were issued with fines for breaching the regulations.
Badenoch said: “If Boris did not bring in those fixed penalty notices, he would not have had the Partygate scandal, certainly not to the extent that it was… he got caught in a trap that he had set for himself.”
She said Conservatives had “strayed away” from their principles of freedom.
Asked about her own leadership style, Badenoch said she aspired to be a “fun” leader and would try to bring some “humour” and “light-heartedness” to her approach.
“I think that we’ve been very gloomy. We’re not the gloomy party. We are actually quite an optimistic and fun party and I want to bring that out.”
Reflecting on her own background, she compared finding out that she was a British citizen to “finding out that you’d won the lottery”.
Badenoch explained that because she was born in Nigeria, a Commonwealth country, before a 1983 rule change, she qualified to be British – something she only found out when she was 14 years old.
She said there was a “very unpleasant sort of ethno-nationalist anti-Kemi wing” who called her an “anchor baby” – a term used in the United States to refer to people who ensure their children are born in the country in order to gain residency.
Badenoch was born in the UK because her mother had come to get medical care at a private hospital, but she said that is not why she qualifies as a British citizen.
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NHS surgeon who couldn’t find his scalpel cut patient’s chest open with the penknife he used to slice up his lunch
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Technology3 weeks ago
Microsoft just dropped Drasi, and it could change how we handle big data
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MMA3 weeks ago
Kayla Harrison gets involved in nasty war of words with Julianna Pena and Ketlen Vieira
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Money3 weeks ago
Pub selling Britain’s ‘CHEAPEST’ pints for just £2.60 – but you’ll have to follow super-strict rules to get in
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Business3 weeks ago
Stark difference in UK and Ireland’s budgets
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Technology3 weeks ago
A very underrated horror movie sequel is streaming on Max
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