Ministers want to ‘tough out’ labour shortages, but some Tories believe flexibility will be needed
Rishi Sunak became chancellor a month before the country went into COVID lockdown – and became the public face of the furlough scheme, as the government paid millions of people’s wages.
Today, in his first in-person speech to the Tory party conference, days after the scheme wound up, he is trying to do two things.
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The first, to show he has a jobs plan for the recovery. But, also, after a spending splurge that many at this gathering see as not very Conservative, to show that he can somehow deliver on the “levelling up” agenda while getting the public finances on track, and trying not to raise any more taxes.
On jobs, he’s announcing a £500m plan to help people return to work, with extension of the Kickstart scheme for young people – which has been slower than expected to meet its 250,000 target – and support for people on low incomes to retrain and learn new skills.
The Tories are in a chipper mood, ahead in the polls, and confident that more lockdowns are not on the horizon. But the backdrop is not what they would have chosen – with ongoing fuel queues and a looming cost of living squeeze driven by rising gas prices, and the prospect of rising inflation and months-long problems with getting food onto supermarket shelves.
The chancellor knows some sectors are facing acute labour shortages, but he echoed the words of the prime minister yesterday when he told Sky News this is the price of “the transition to a high wage, high skill economy” – or bluntly, that if businesses are short of lorry drivers or butchers, don’t bring them in from abroad, just pay them more.
Nick Allen, of the Meat Processors Association, responded that this has a cost to everyone, that paying higher wages to butchers would mean more expensive products in the shops or relying on more imports. Transitioning away from free movement of people, he said, would take 18 months of government support, not weeks.
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The clear message from ministers going into the conference is that with fewer low-skilled migrants, British workers will in time be paid more. They plan to, in the words of the Business Secretary Kwasi Kwarteng this weekend, take some emergency measures to ease shortages, but essentially “tough it out”.
But some Tories here privately believe the government will need to be more flexible and may need in the coming months to offer more help to industries if the real-world impact on products on the supermarket shelves continues to be disrupted, and to families who will be affected by higher living costs. It’s a dynamic to watch.
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Nigel Farage has confirmed he wants to deport women asylum seekers back to the Taliban in Afghanistan if he becomes prime minister.
The Reform UK leader’s position on the topic has not been clear, with him previously saying he would send women back to the fundamentalist regime that took over after western militaries withdrew, before now saying he would.
Mr Farage was speaking to Sky News’ political editor Beth Rigby at the Reform UK party conference in Birmingham.
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When asked if he would “detain” women and children and “send them back”, the Clacton MP said “yes”.
Challenged on when he said in August that he was not “discussing” women and children, Mr Farage claimed this was a reference to his desire to seeing men detained on arrival in the UK.
At the time he said he was “very, very clear” on the “deportation of illegal immigrants”, adding: “We are not even discussing women and children at this stage – there are so many illegal males in Britain, and the news reports that said that after my conference yesterday were wrong”
Speaking today, Mr Farage claimed that the UK has a “duty of care” if a four-year-old arrives in a dinghy, for example – but not so for women and men.
“For clarity, those that cross the English Channel will be detained and deported, men and women,” Mr Farage went on.
“Children, we’ll have to think about.”
The Reform leader also rowed back on his pledge to stop all boats within two weeks if he is elected prime minister.
Speaking to the conference yesterday, Mr Farage said: “You cannot come here illegally and stay – we will stop the boats within two weeks of winning government.”
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But speaking to Beth Rigby today, he changed tack – saying “the passing of legislation” would be required.
He said the boats would then be stopped within two weeks, or sooner.
In the interview with Rigby, Mr Farage tried to claim he did not say he would end the boats within two weeks of “winning government”.
But the video of his speech, as well as the transcript released by Reform UK, clearly show him saying: “We will stop the boats within two weeks of winning government.”
When asked why he wouldn’t be able to stop the boats within two weeks of winning government, Mr Farage said it was impossible and “no one” can prevent them crossing the Channel.
The Reform UK leader said the law he wants to introduce will be called the Illegal Migration Act once it is passed by parliament.
He confirmed his agenda includes leaving the European Convention on Human Rights, shutting down asylum hotels and housing people at RAF bases instead, as well as deporting Channel migrants.
Mr Farage also claimed that deportation flights would also begin within two weeks of the law changing, and this combination of factors would stop people from wanting to travel from France.
This strategy all depends on Reform UK winning the next general election – which Labour does not have to call until 2029.
However, Mr Farage says he believes the government will collapse in 2027 due to economic pressure and other factors.
Reform are currently well clear of Labour and the Conservatives in the polling, and are targeting next year’s Welsh, Scottish and English local election to try and win more power in councils and national assemblies.
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