NewsBeat
UK faces four years of economic pain because of Labour’s budget, BrewDog co-founder says | Money News
Britain faces four years of economic pain because the government has made life difficult for businesses following the budget, the co-founder of BrewDog has told Sky News.
James Watt has also suggested the UK is work-shy and only hard graft will lead to prosperity, which is lacking in the country.
It comes on the day Work and Pensions Secretary Liz Kendall announces a new review named “Keep Britain Working” in an effort to support people with long-term illnesses or disabilities back into work, while trying to lower the ballooning welfare bill.
Work and Pensions Secretary Liz Kendall. Pic: PA
The review will be led by former John Lewis chairman Sir Charlie Mayfield at a time when around 3.7 million people of working age receive health-related benefits, which is 1.2 million more than in February 2020.
Britain is now spending more on incapacity and disability benefits (almost £65bn) than defence – and that figure is set to rise.
Mr Watt, who stepped down as BrewDog chief executive last May, made headlines earlier this month after posting a video with fiancee Georgia Toffolo in which they said they do not believe in a “work-life balance”.
He is launching an entrepreneurial competition show named House Of Unicorns in a bid to find a start-up company with a £2m prize.
He said: “I think the Labour government certainly haven’t helped businesses and haven’t helped founders.
“I think the budget is really, really bad for the UK and caused a lot of damage. And I think the UK attitude towards success and attitude towards entrepreneurs doesn’t help us.
“When you contrast that with the American attitude towards success that is one of the reasons you see so many more founders and entrepreneurs in America versus the UK at the moment.”
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‘UK economy is heading towards recession’
Mr Watt was scathing about the country’s economic prospects, saying: “The UK economy is heading towards a recession, we have debt levels which are way too high, we are trying to tax our way to economic prosperity, which I don’t think will work at all.
“And all the chancellor has done is make it very, very difficult for businesses to employ people, which I think in turn is going to lead to four years of economic pain.”
Asked whether he thought British workers were work shy, Mr Watt told Sky News: “I think you just have to look at the data, we are 18% less productive than America, we are 13% less productive than the French. And we often joke about the French being lazy.”
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How the budget might impact employees
Work and pensions secretary defends budget
But the work and pensions secretary defended the budget, insisting it was not a tax on jobs.
On a visit to Coca-Cola’s headquarters, Ms Kendall told Sky News: “We have seen a tick up in youth unemployment and I’m really concerned about that.
“We’ve got now one million young people not in education, employment or training. That is terrible for their future life chances, because we know if you’re out of work and you don’t have skills when you’re young, it can have lifelong consequences.
“That’s why we will have a youth guarantee. So every young person is earning or learning. No ifs, no buts.”
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What does budget mean for young people?
‘We won’t means test’ pension triple lock – Liz Kendall
Ms Kendall also doubled down on her commitment to the state pension triple lock despite the necessity to cut the welfare bill.
“We won’t means test it,” she said. “We committed to the triple lock because we believe current pensioners and future pensioners deserve to be able to plan with security.”
Mr Watt however is the latest in a line of business leaders who have warned the budget will lead to companies laying people off this year.
It comes as new figures released this week showed an increase in unemployment and a fall in vacancies at a time in which the population continues to grow.
BBC Newsbeat
Getty ImagesAfter more than a decade in the game and eight top 10 singles, Central Cee has decided it’s finally time to drop an album.
He’s not been in a hurry.
The clue’s in the title – You Can’t Rush Greatness.
But some people, like 1Xtra DJ Kenny Allstar, would say it’s been there all along.
He’s been a champion of the West London rapper, also known as Cench, for years and has watched him become one of the UK’s biggest talents.
He says that’s down to the rapper, who understands that music, the industry around it, and how we listen has changed dramatically.
“He studied the game before he entered it,” Kenny tells BBC Newsbeat.
“And now we find ourselves with him producing undoubtedly one of the most eagerly anticipated UK rap projects of all time.”
As well as a string of hits, including 2023’s song of the summer Sprinter, to his name, Cee’s picked up multiple Mobo awards and been nominated for a prestigious Ivor Novello prize.
He’s also teamed up with artists including Brit Award winner Raye, 21 Savage and US star Gunna.
But he’s kept fans waiting for an album, limiting himself to singles and two top 10 mixtapes.
Kenny says holding off until now is a “really smart” move.
Getty Images“He understood we’re in a singles market,” says Kenny.
“Let’s call it ‘fast food music’.
“The younger generation, they’re not always ready to sit down and listen to a whole in-depth project because we’re getting so much music at such a rapid rate.”
Cee’s singles are quick to get to the hook, says Kenny, and he’s kept his mixtapes short to keep fans engaged.
“Why would you put out a project if the audience isn’t ready to take it in?”
Instead, Kenny says, Cee’s been biding his time, “building a buzz” off the back of his hits until fans are “ready and gagging for the project, the album”.
It’s worked on super fan Jessica Mosses, 21, who says: “I’m so excited to have so many brand new songs that we’ve not had before.
“I’m gonna make sure I’m doing absolutely nothing so I can sit all day and listen.”
Jessica admits she’s excited to finally have an album to listen to, but thinks how an artist releases music is becoming less relevant.
“He’s got to this point just releasing singles and mixtapes,” she says.
“I do think that people don’t really care what they’re releasing as long as it’s new.”
Even though he’s found success without one, others think an album was always going to be on the cards for an artist with Central Cee’s ambitions.
Getty ImagesMusic journalist Daisy Carter says: “The fact that he’s doing it now shows that it’s still something that’s important for artists.
“I think it creates a stronger bond between the listener and the artists to have a longer body of work that you’re able to get your teeth into,” she says.
“It means that you feel more connected to an artist.”
Kenny agrees, saying: “It’s not just about hit records, it’s about, ‘what can we learn about you as a person through listening to this body of work?’.”
In 2024, Taylor Swift and Billie Eilish seemed to be leading a focus on albums with neither releasing singles to promote their albums in advance.
“With the rise of streaming people can flick between individual songs in a way that they never used to be able to when they were just buying records,” says Daisy.
“But the album format is a way for artists to really execute an artistic vision and tell a story.”
But Kenny points out that Central Cee has been working overtime to connect with his fans in different ways, particularly through social media, his work in the fashion industry and going big on the production value of everything else he’s released.
“You don’t need to drop an album if everything you do is big,” he says.
“Marketing is so important in this day and age where everyone’s on TikTok, everyone’s on Insta.
“The music is amazing but how do you influence other subcultures?”
As for the album title, Kenny says it doesn’t just represent the time Central Cee’s taken to get to this stage in his career but also has another, more personal, meaning.
“I don’t mean to toot my own horn,” he says, before sharing how the pair released a freestyle together on Kenny’s channel in 2020.
“There’s a line where he says, ‘this took ages, you should have known you can’t rush greatness, you’re too impatient, one million views ain’t famous‘.
“Five years ago that lyric was birthed. I’m not asking for a writing credit, but it’s just a blessing it happened on my platform.”
And in return for the DJ’s support over his career, Central Cee even asked Kenny to feature in a track on the album – something he says he thought was a prank at first.
“I’m gassed,” he says.
“I speak passionately about UK rap music because it’s everything, I breathe it, I live it.
“So these moments after years of championing artists, this is a payoff.”
Politics
Illegal migrants coming to Britain should be ‘put in camps on a west coast island’, Lowe claims
Reform UK MP Rupert Lowe has called for a “national emergency” to be declared over illegal migration, suggesting authorities should “round people up and deport” those in the country unlawfully.
Speaking on GB News, Lowe urged for a hardline approach similar to measures being taken in the United States.
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Kemi Badenoch has been accused of political opportunism for criticising Labour politicians for suggesting counter-terror programme Prevent could alienate communities, having herself co-written a report expressing the same concerns.
The Tory leader signed off a report in 2015 that concluded Prevent was “subject to accusations of police heavy-handedness” and warned “the public must not be the forgotten partner in the fight against extremism”.
But, despite having backed the report and its findings, Ms Badenoch on Tuesday attacked Sir Keir Starmer and Yvette Cooper over Labour’s 2019 general election manifesto, which said Prevent has the “potential to alienate communities”.
Ms Badenoch said: “When the Conservatives were trying to toughen the Prevent anti-extremism programme, Starmer and Cooper were running for office on manifestos worried about Prevent ‘alienating communities’.”
But Ms Badenoch was a member of the London assembly’s police and crime committee in 2015 and one of eight members who authored a 50-page report entitled Preventing extremism in London.
The report said Prevent was “subject to accusations of police heavy-handedness and spying” and that “it has had a troubled history, which has led to it being considered by some as a ‘damaged’ brand, and viewed with suspicion by others”.
“Community engagement is critical to the success of Prevent,” the report went on, noting the risk that “the current ‘top down’ approach to Prevent delivery makes it difficult to engage citizens”.
Concluding, the report said “the public must not be the forgotten partner in the fight against extremism. Community engagement is shown to work, but is also the hardest element to achieve.”
Green peer Jenny Jones, who was a fellow member on the committee at the time, accused Ms Badenoch of political opportunism.
She told The Guardian, which unearthed the report: “As a member of the London assembly, Kemi co-authored a scrutiny report in 2015 which recognised the shortcomings and possible downsides of the Prevent strategy, including the possible alienation of communities, but apparently did nothing to address them when in government.”
Another committee source said Ms Badenoch backed the report “in full”, with no mention of it being “woke”.
The Prevent scheme has faced renewed scrutiny after failing to stop a series of killings in recent years, including the mass stabbing of young girls at a dance class in Southport by Axel Rudakubana, who was referred to Prevent three times before carrying out the attack.
The killer of former Conservative MP Sir David Amess was also referred to the Prevent programme before the attack and his daughter has called for an inquiry into the programme.
Katie Amess said Prevent was not “foiling any terrorist attacks, it is allowing people to commit these crimes”.
She added: “I have been pushing and pushing and pushing for an inquiry from the Conservative government and from, now, the Labour Government.”
The government has hinted it is open to joining a tariff-free trading scheme as part of its plan to “reset” its relationship with Europe.
Business Secretary Jonathan Reynolds suggested that joining the Pan-Euro-Mediterranean Convention (PEM) could be acceptable as it “is not a customs union”.
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The cabinet minister was speaking to the BBC following a meeting on Thursday with Maros Sefcovic, the EU’s trade commissioner responsible for post-Brexit negotiations.
Mr Sefcovic had earlier told the broadcaster the EU would consider the UK joining the PEM, which allows for tariff-free trade of goods across Europe as well as some North African and Levantine nations.
Mr Reynolds described his comments as “incredibly positive” and “helpful”.
He added: “We can improve the terms of trade with the EU in a way which doesn’t revisit customs unions or single markets or the arguments of Brexit, and we can do that whilst pursuing closer trade links around the world.”
Mr Reynolds also declined to rule out a deal on food and farm products that would involve mirroring EU rules, known as “dynamic alignment”, saying this too didn’t cross any of the government’s “red lines”.
Sir Keir Starmer has ruled out a return to the customs union or single market as part of his ambition for closer ties with Europe following the fractious post-Brexit years.
Business Secretary Jonathan Reynolds says joining the PEM could be acceptable
Labour’s 2024 manifesto instead pledged to “negotiate a veterinary agreement to prevent unnecessary border checks and help tackle the cost of food”. However, details of this have remained vague.
Mr Reynolds’ comments go further than Downing Street yesterday, when a spokesperson said the government did not “currently” have plans to join the PEM and would not “provide a running commentary”.
The British Chamber of Commerce (BCC) told Sky News they would support the move, saying their research “indicates it would have majority support among UK businesses who trade in the European region”.
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Head of trade policy, William Bain, said: “Joining would reduce paperwork and costs for many UK firms as it would align rules and regulations on both sides in relation to the sourcing or components and raw materials used in exports.
“This would cover a wide range of markets for our exporters and give greater flexibility across supply and sourcing chains. “
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Will UK be spared Trump tariffs?
He added that new PEM rules are due to apply in 2026, which could make the transition easier, and recommended a cost-benefit analysis of the deal beforehand “as the advantages will vary by sector”.
The Lib Dems have also been pushing for closer ties with Europe, amid looming concerns over potential Trump tariffs.
Party leader Sir Ed Davey, who ultimately wants a return to the customs union, said ruling out the PEM proposal would be an “act of economic negligence”.
But on the other end of the political spectrum, the Conservatives accused Labour of “bending the knee” to the bloc.
Dame Priti Patel, the shadow foreign secretary, said: “These latest reports that the government might shackle us to the European Union are deeply concerning, and once again make clear that Keir Starmer and his chums are all too happy to put their ideology ahead of our national interest, no matter the cost.”
Politics
Keir Starmer urged to ‘declare national emergency’ on illegal migration after shock London figures: ‘Deport, deport, deport!’
Reform UK MP Rupert Lowe has called for a “national emergency” to be declared over illegal migration, suggesting authorities should “round people up and deport” those in the country unlawfully.
Speaking on GB News, Lowe urged for a hardline approach similar to measures being taken in the United States.
“We have to declare a national emergency, rather like Trump’s doing, and we have to then be actually prepared to take hard decisions and deport, deport, deport,” he said.
The Reform UK politician criticised the current Labour Government’s handling of immigration, claiming the Prime Minister is “up to his neck in this”.
Rupert Lowe demanded that the Prime Minister declare a ‘national emergency’ on illegal migration
GB News / PA
“If it means we have to round people up and deport, and that’s what we have to do,” Lowe stated.
A confidential report commissioned by Thames Water has revealed that as many as one in 12 Londoners may be living in the capital illegally.
The study, obtained through a Freedom of Information request, suggests up to 585,000 illegal migrants are currently residing in London.
Shadow Home Secretary Chris Philp called the reported figures “deeply alarming”.
The Home Office, responding to The Telegraph’s findings, hailed how it had ‘removed 16,400 illegal migrants in just six months’PA
Lowe outlined proposals for dealing with illegal migrants, suggesting they should be housed in “tented camps” on a UK island.
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“Put them on a West Coast island with a limited, uncomfortable tented camp and minimal food, and encourage them then to go back to where they came from and apply to come back legally,” he said.
The Reform UK MP claimed most arrivals are economic migrants rather than asylum seekers.
He criticised the current immigration system as “weak,” suggesting much of the process relies on applicants’ own statements.
Lowe expressed concern about voting rights, stating: “What worries me is, after six years if we’re not very careful, these people have full voting rights.”
Lowe told GB News that migrants could be housed on a ‘UK island’
GB News
He pointed to Australia’s approach as a model to follow. “The Australians have shown us what to do. You only have to look. They stop the boats coming, and then people realise it’s a waste of time, spending whatever it is 500 euros to get here,” he said.
Lowe called for Britain to exit various international treaties beyond the ECHR to “take back control of our own borders.”
A Home Office spokesman said: “This Government is strengthening global partnerships and rooting out the criminal gangs who profit from small boat crossings which threaten lives.
“We have also removed 16,400 illegal migrants in just six months, the highest figure in half a decade, making it clear that those who arrive illegally will be returned.”
NewsBeat
Hugh Grant backs Prince Harry’s call for fresh police investigation into Rupert Murdoch’s media empire
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Hugh Grant has backed Prince Harry’s call for a fresh police investigation into Rupert Murdoch’s media empire.
The actor called on Keir Starmer to show ‘leadership’ and stop ‘criminal abuse by big corporations’ after the Prince won a multi-million pound settlement this week over phone hacking claims against The Sun newspaper.
Mr Grant accepted a large settlement from Murdoch’s News Group Newspapers (NGN) last year after dropping his own claim of being illegally targeted by The Sun.
Prince Harry’s settlement came after NGN admitted for the first time that The Sun had been involved in illegal intrusion.
In the past it had said it was restricted to the News of the World which closed in 2011 as a result of the phone hacking scandal.
Mr Grant said he and Prince Harry were determined to ‘get at the real truth’ but had been prevented from doing so because NGN had ‘gamed the system’ by paying more than £1 billion in settlements to hacking victims to avoid court proceedings.
Mr Grant told the BBC that in the light of Prince Harry’s settlement ‘the CPS and police should launch a new criminal investigation into this.
“That was the aim of the Prince Harry case as I understand it and it was certainly my original aim,” he said. “We need leadership from the Prime Minister. If a government is there for anything, particularly a Labour government, it is to protect the public from the abuses of criminality by big corporations.”
Mr Grant criticised Rebekah Brooks, chief executive of NGN, who is a former editor of The Sun.
“The people who were giving the orders are still there in positions of great power – in fact the CEO of NGN was editor of The Sun at the time when, as they have now admitted, it was indulging in criminality.”
Mr Grant said that he and other members of the ‘Hacked Off’ group who have campaigned for tougher curbs on press abuses did not think sufficient action had been taken to stop it happening again or to hold those responsible to account.
”We do not think it is job done by any means,” he said.
NGN has denied the allegations but issued an apology to Harry as the settlement was announced on Wednesday.
The statement said: “NGN offers a full and unequivocal apology to the Duke of Sussex for the serious intrusion by The Sun between 1996 and 2011 into his private life, including incidents of unlawful activities carried out by private investigators working for The Sun.
“NGN also offers a full and unequivocal apology to the Duke of Sussex for the phone hacking, surveillance and misuse of private information by journalists and private investigators instructed by them at the News of the World.
“NGN further apologises to the Duke for the impact on him of the extensive coverage and serious intrusion into his private life as well as the private life of Diana, Princess of Wales, his late mother, in particular during his younger years.
“We acknowledge and apologise for the distress caused to the Duke, and the damage inflicted on relationships, friendships and family, and have agreed to pay him substantial damages.”
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A leading pollster has warned that if Nigel Farage’s Reform UK and the Tories were to form a pact they would be “unassailable” at the next election based on current surveys.
Techne UK’s chief executive Michela Morizzo made her comment as the company’s latest weekly tracker poll for The Independent had close to a three-way split at the top with Labour on 25 per cent (down 1), just one point ahead of the Tories (down 1) and Reform UK (up 1) both on 24 per cent.
It meant that the combined centre right vote in the UK is 48 per cent, which if brought together would reset British politics.
Meanwhile, the Lib Dems were also up one to 13 per cent while the Greens remained level on 7 per cent.
Ms Morizzo’s observations came less than 24 hours after Reform UK’s former deputy leader Ben Habib became the first senior figure associated with the party to reveal that Mr Farage’s plan has always been to force a merger or pact with the Tories.
He told a podcast with economist Mark Littlewood for Popular Conservatism (Popcon), that Mr Farage’s strategy was to have “a strong negotiating hand” by 2028.
He said: “Nigel’s aim is to set up the best possible negotiating position he can between now and 2028 for the Conservative Party. Take as many Conservative MPs, grassroots, members, candidates, councillors, whatever. Weaken the tory party as much as he possibly can, get to 2028 and then he will try and do a deal. If he succeeds and gets very strong he will do that deal from a position of strength.”
Privately allies of Mr Farage have also told The Independent he wants to “engineer a reverse takeover” of the Tories with Reform UK.
The latest Techne findings have revealed that Reform UK is picking up a lot of support from other parties. This includes more than one in four (26 per cent) Tory voters from the 2024 election, and one in seven (14 per cent) of Lib Dem voters from the election.
Ms Morizzo described the collapse in Labour’s support just seven months after being elected as almost unprecedented.
She said: “The Labour Party decline continues this week with Sir Keir Starmer’s party losing another point in national vote share dropping down to just 25 per cent. This in itself is an almost unheard of low polling share for a governing party, particularly as it has only held power for just seven months.
“Once again this highlights that Kemi Badenoch is still struggling to give her party a strong and well defined vision. Further to this it is once again Reform UK who are growing in national vote share to 24 per cent. This is now truly a three-way split for these three parties.”
However, she added: “Finally one must also note that the centre right of the Conservatives and Reform UK if placed together hold an unassailable 48 per cent. What will this scenario lead to? Only time will tell.”
BBC News, East Midlands
BAEA £9bn deal for nuclear submarine reactors has been agreed between the Ministry of Defence and Rolls-Royce – the biggest ever between the two.
Defence Secretary John Healey will announce the agreement on Friday during a visit to the firm’s nuclear reactor production facility in Derby.
The eight-year contract, called Unity, is designed to make the design, manufacture and support services for reactors more efficient and environmentally friendly.
It is hoped it will create more than 1,000 UK jobs and safeguard 4,000 other roles.
Marketing DerbyThe government said the agreement would streamline previous contracts and incentives, and provide more efficient delivery, leading to savings of £400m.
As well as providing support to the current UK Royal Navy submarine fleet, Unity includes the build and commission of new Dreadnought Class submarines and the beginning of contracts for the new Aukus defence alliance.
In March 2023, it was announced Rolls-Royce would provide the reactors for the new fleet of nuclear submarines in a defence agreement between the UK, US and Australia.
The submarines will be built in Britain and Australia but use technology from all three countries.
The company opened a new Nuclear Skills Academy in Derby in 2022, designed to provide 200 apprenticeships each year for at least a decade.
‘Engine for growth’
Mr Healey will use the visit to highlight the government’s “triple-lock” on the nuclear deterrent, which includes building four new nuclear submarines in Barrow-in-Furness in Cumbria, maintaining the UK’s continuous at sea nuclear deterrent and delivering all future upgrades needed.
He said: “This investment in Britain’s defence will deliver a long-term boost to British business, jobs and national security.
“In line with our Plan for Change, this deal with Rolls-Royce, a historic British success story, will support high-skilled UK jobs, who equip the thousands of submariners that keep us all safe.
“We are showing defence can be an engine for growth, while also driving better value for taxpayer money.”
Steve Carlier, president of Rolls-Royce Submarines, said: “We’re delighted to announce the Unity contract, which confirms our commitment to the Royal Navy and the Defence Nuclear Enterprise.
“This long-term contract enables us to invest in the right skills, equipment and facilities to play our part in protecting UK interests at home and overseas.”
Rolls-Royce Submarines is already doubling the size of its Raynesway site and has recently started moving into specially built warehouses in Pride Park.
Almost 20,000 people have visited Sydney’s Botanic Gardens to catch a whiff of an endangered plant known as the “corpse flower” as it bloomed.
Dubbed Putricia, the titan arum plant emits a putrid smell likened to “something rotting” or “hot garbage” for 24 hours after blooming.
The smell is the result of a chemical production that happens in the plant to attract pollinators.
The endangered flower – native to Sumatra, Indonesia – only blooms every 7-10 years in the wild. There are thought to be fewer than 1,000 plants globally, including those in cultivation.
A record wind speed of 114mph has been recorded in Ireland as Storm Eowyn causes widespread disruption on both sides of the Irish Sea.
Red warnings for wind cover the entirety of Ireland and parts of Scotland as the storm brings staggering winds that pose a danger to life.
Trains and flights across the UK face cancellation or disruption on Friday, while schools in Northern Ireland and central and southern Scotland have been urged to shut.
Follow the latest updates on Storm Eowyn
An “unprecedented” number of homes in Ireland have already lost power, with electricity provider ESB Networks telling Sky News the storm had affected 560,000 homes, farms and businesses by 6am – a huge number so early on in this weather event.
In Northern Ireland, more than 93,000 homes and businesses are currently without power, NIE Networks has said, as the storm was causing “widespread damage” to the electricity network.
A statement said: “We anticipate we will begin assessing the damage to the network after 2pm once the red weather warning has been lifted.”
In Scotland, Tesco has announced the closure of its stores in the red danger to life zone covering millions of people across Glasgow and Edinburgh.
Besides the red wind warnings, yellow ones are in place for the whole of the UK, while for northern England and northwest Wales an amber warning for wind from 6am until 9pm is in place.
A yellow rain warning is in place for the coasts in the south of England and Wales till 9am.
A series of weather warnings are in place for Friday. Pic: Met Office
A string of public authorities have issued statements warning the public to travel only if absolutely necessary.
Around 4.5 million people in parts of Northern Ireland and Scotland were sent an emergency alert on their mobile phones on Thursday evening.
Multiple flights at airports in Glasgow, Edinburgh, Manchester, Newcastle, Liverpool and Dublin were cancelled.
National Rail has said a “do not travel message has been issued from multiple train operators” as it advised passengers to check for travel advice before travelling.
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Emergency phone alerts for Storm Eowyn
Some health services have also been suspended, with NHS Lothian cancelling all routine, non-urgent planned procedures on Friday and postponing the majority of hospital outpatient appointments to protect patients and staff.
NHS Lanarkshire has also postponed all non-urgent appointments in hospital and community settings.
This breaking news story is being updated and more details will be published shortly.
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