Labour’s conference is opening in Brighton after Sir Keir Starmer was forced into a humiliating retreat over his attempt to re-write the party’s rulebook.
He had to put his reforms on hold after a backlash from unions and party activists, in what left-wing MPs said was an own goal that had weakened his authority.
The Labour leader is now attempting to salvage his proposals in talks with those trade unions he hopes will back them, though he may have to make significant concessions to win their support.
The conference opens with a speech by Angela Rayner, Labour’s deputy leader, who will commit the party to introduce a new deal for working people – including pay rises and new employment rights – if it wins the next election.
Ahead of her speech, Ms Rayner features in a glossy photoshoot in The Times’ Saturday magazine, accompanied by an interview in which she says she “definitely wouldn’t say no” to standing for party leader.
“If I felt it was the right thing to do for the party and the right thing for the country, then I would step up and do it,” she told The Times, in comments that will annoy Sir Keir and his inner circle at a time when his critics are questioning his leadership.
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The Labour leader was forced to abandon his plans to put his reforms – which include scrapping ‘one member, one vote’ for electing the party leader and returning to an electoral college of MPs, unions and activists – to a vote on the ruling national executive after opposition from unions.
But ahead of another meeting of the executive shortly before the conference opens, Sir Keir is to hold talks with three major unions, Unison, Usdaw and the GMB, which he hopes to persuade to back his proposals.
Image: Deputy leader Angela Rayner will speak at the opening of the party conference
It is thought that to win their support, however, the beleaguered Labour leader may have to drop some of his proposals, including his plans to bring back the electoral college, which was replaced with one member, one vote by former leader Ed Miliband in 2014.
Speaking to Sky News after Sir Keir withdrew his proposals, at least temporarily, former party chair and leading Jeremy Corbyn supporter Ian Lavery said the Labour leader had scored an own goal and his position as leader had been weakened.
“Had the consultation taken place with the unions, with the CLPs, things might have been different,” said Mr Lavery.
“It’s a huge lesson to be learned by Keir Starmer tonight, and that is everybody counts in the Labour Party, not just the few in the leader’s room.”
The left-wing pressure group Momentum said it celebrated the delay, declaring: “Starmer’s attack on democracy is floundering.
“This delay has been won by the grassroots members who have taken action to organise their delegates, lobby their unions and mobilise ahead of conference.
“But it is not over yet. We have to keep up the pressure to make sure this rule change and all the other regressive changes concocted by the leadership get comprehensively rejected.”
Image: Angela Rayner has been tipped as a possible replacement for Sir Keir
Just hours before the start of the conference, Sir Keir also came under attack from Mr Corbyn, his predecessor, who said: “Our movement has the answers to the big questions of the age – inequality, the climate crisis and the pandemic – but our leaders are failing to listen and put these solutions front and centre.
“At conference, I hope to hear how Labour will bring in a wealth tax to fund a National Care Service like the NHS, will take the radical action needed to decarbonise by 2030, stand against the drumbeat of a new Cold War, and will rein in the runaway wealth and power of a tiny elite.
“I know our trade unions and members have developed these policies. But the signs are that the party leadership wants to try to shut down debate, side-line the members and trade unions with the end result that Labour props up rather than challenges our broken political and economic system.”
In her speech pledging a new deal for workers, Ms Rayner will say: “It will be the driving mission of the next Labour government to end the poverty wages and insecure work that blights millions of lives and is holding back our economy. Labour will make Britain work for working people.
Image: Jeremy Corbyn is among those who have criticised Sir Keir
“Work should provide not just a proper wage that people can raise a family on, but dignity, flexibility and security. Better pay and more secure work is good for workers, good for businesses and good for the economy.
“Labour will deliver a new deal for working people so they get a fair share of the wealth they create, and within the first 100 days of the next Labour government we will sign this new deal for working people into law.”
“Working people don’t want a handout from a minister sat in Whitehall – workers want the power to stand up for themselves and demand their fair share and a better deal.”
She will add: “The best way to improve the lot of working people is collectively, achieving more by the strength of our common endeavour than we achieve alone.
“So the next Labour government will bring together representatives of workers and employers to agree fair pay agreements that will apply to every worker in each sector, starting in social care.
“Fair pay agreements will drive up pay, improve conditions in the workplace and stop bad bosses from exploiting their workers and driving down pay and standards for everyone.
“When Labour is in government there won’t just be a former social care worker and shop steward in the office of deputy prime minister, working people will have a seat at the cabinet table and their voices will be heard. The next Labour government will end poverty wages and insecure work for good.”
The US Office of the Comptroller of the Currency has affirmed that national banks can intermediate cryptocurrency trades as riskless principals without holding the assets on their balance sheets, a move that brings traditional banks a step closer to offering regulated crypto brokerage services.
In an interpretive letter released on Tuesday, the regulator said banks may act as principals in a crypto trade with one customer while simultaneously entering an offsetting trade with another, a structure that mirrors riskless principal activity in traditional markets.
“Several applicants have discussed how conducting riskless principal crypto-asset transactions would benefit their proposed bank’s customers and business, including by offering additional services in a growing market,” notes the document.
According to the OCC, the move would allow customers “to transact crypto-assets through a regulated bank, as compared to non-regulated or less regulated options.”
The OCC’s interpretive letter affirms that riskless principal crypto transactions fall within the “business of banking.” Source: US OCC
The letter also reiterates that banks must confirm the legal permissibility of any crypto activity and ensure it aligns with their chartered powers. Institutions are expected to maintain procedures for monitoring operational, compliance and market risks.
“The main risk in riskless principal transactions is counterparty credit risk (in particular, settlement risk),” reads the letter, adding that “managing counterparty credit risk is integral to the business of banking, and banks are experienced in managing this risk.”
The agency’s guidance cites 12 U.S.C. § 24, which permits national banks to conduct riskless principal transactions as part of the “business of banking.” The letter also draws a distinction between crypto assets that qualify as securities, noting that riskless principal transactions involving securities were already clearly permissible under existing law.
The OCC’s interpretive letter — a nonbinding guidance that outlines the agency’s view of which activities national banks may conduct under existing law — was issued a day after the head of the OCC, Jonathan Gould, said crypto firms seeking a federal bank charter should be treated the same as traditional financial institutions.
According to Gould, the banking system has the “capacity to evolve,” and there is “no justification for considering digital assets differently” than traditional banks, which have offered custody services “electronically for decades.”
Under the Biden administration, some industry groups and lawmakers accused US regulators of pursuing an “Operation Choke Point 2.0” approach that increased supervisory pressure on banks and firms interacting with crypto.
Since President Trump took office in January after pledging to support the sector, the federal government has moved in the opposite direction, adopting a more permissive posture toward digital asset activity.
CryptoUK, a UK-based cryptocurrency trade association, has announced that it will join The Digital Chamber, a US crypto policy advocacy group, potentially marking a significant cross-collaboration on digital asset regulation between the two countries.
In a Tuesday notice, CryptoUK said its team would fall under The Digital Chamber’s umbrella as part of a “unified, cross-border advocacy platform.” Both groups have worked in their respective countries to promote policies favoring the cryptocurrency and blockchain industry, starting with The Digital Chamber in 2014 and CryptoUK in 2018.
“CryptoUK has always aspired to ensure we are driven by policy-led issues, member collaboration, and regulatory engagement,” said Su Carpenter, CryptoUK’s executive director.
The partnership between the two advocacy groups comes as US lawmakers move forward on negotiations to pass a digital asset market structure bill, aiming to establish regulatory clarity for the industry. In the UK, policymakers announced plans to collaborate with their counterparts in the US to explore crypto laws and regulations.
US-based crypto advocacy organizations, such as The Digital Chamber, have garnered support from former regulators and members of Congress as the Trump White House directs policies toward the industry. Among these groups are the Solana Policy Institute, the Blockchain Association, the Crypto Council for Innovation, and the American Innovation Project.
UK central bank moves forward on stablecoins
On Nov. 10, the Bank of England released a consultation paper to propose a framework for “sterling-denominated systemic stablecoins.” The move by the country’s central bank marked a step toward the UK seeming to play catch-up to the US, where the government passed a law regulating payment stablecoins in July.
Bank of England Deputy Governor Sarah Breeden signaled before the publication of the paper that the central bank’s actions were in response to the US advancing stablecoin policies, and it was “really important” to be synchronized on rules.
Kemi Badenoch has refused to say that the Conservatives are intending to win next May’s local elections, despite being repeatedly pushed on the issue.
Asked twice to define success for her party at the elections, the Tory leader merely said that she is “going to be fighting for every vote”.
Speaking to Sky News, she added: “Success is going to be people seeing the Conservative Party as the only party that is competent and credible enough to do the tough stuff that this country needs.”
The comments come as the Conservatives continue to trail in the polls.
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4:45
Watch Kemi Badenoch’s interview with Sky News in full
New data released by YouGov this morning has put the Tories in third place behind Reform and Labour, a space they have largely occupied throughout the year. The pollster’s weekly voting intention analysis put Ms Badenoch’s party on 18%, down one percentage point.
Image: YouGov’s weekly voting intention poll has the Tories down one percent on last week, and just three above the Greens. Pic: YouGov
Ms Badenoch gave a speech on welfare costs in London on Tuesday, where she attacked the government’s plans to tackle child poverty. Afterwards, she sat down with Sky News political correspondent Sam Coates.
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Asked about the local elections, she said: “There are going to be local elections all over the country, and there’s a conservative message that I want everyone to hear: Our country’s not working properly.
“There are fundamental things that need to change. We need to create jobs. Otherwise, we’re not going to have money for councils.”
She added: “We’ve seen new parties like Reform come in. They’re making a hash of things at council level. We need to make sure that people can see the benefits of voting Conservative.”
Image: Ms Badenoch also refused to score her party’s performance out of 10. Pic: PA
When it was pointed out that she had not defined success as winning the local elections, Ms Badenoch said: “The country is going to decide. We’re going to put out an offer, and we’re going to fight for every vote.”
May will see local council elections, as well as votes for the Senedd in Wales and the Scottish Parliament. They are seen as a crucial moment for the Tory leader – and also for Prime Minister Sir Keir Starmer.
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2:11
‘Of course poverty bothers me’
Ms Badenoch also refused to score the party’s performance out of 10, as the year draws to a close, and she marks a little over 12 months as leader.
She told Sky News: “When I look at the historic defeats which Conservatives suffered last year, things are definitely better.”