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Yvette Cooper is elevated to shadow home secretary while Lisa Nandy will move from shadow foreign secretary to the levelling up brief as Labour leader Sir Keir Starmer reshuffles his cabinet.

Ms Cooper, who held the home affairs brief previously from 2011 to 2015 under former Labour leader Ed Miliband, will depart her current role as chair of the influential Commons home affairs select committee in returning to the shadow cabinet.

Ms Nandy will now shadow Levelling Up Secretary Michael Gove, while David Lammy has been promoted into her former shadow foreign secretary role from the justice brief.

New shadow cabinet roles revealed in Starmer’s surprise Labour shake-up – live updates

Shadow Foreign Secretary Lisa Nandy speaks during Britain's Labour Party annual conference, in Brighton, Britain
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Lisa Nandy is moving from shadow foreign secretary to shadow levelling up secretary against Michael Gove, Sky News understands

Others who have been boosted to more prominent positions in Sir Keir’s top team include Wes Streeting who moves to shadow health secretary and Bridget Phillipson who will transfer from shadow chief secretary to the Treasury to shadow education secretary.

Meanwhile, Jonathan Ashworth, who has had the health brief through the pandemic, moves to shadow work and pensions secretary and said he was “excited” for the new role.

Former holder of the education brief Kate Green has been removed from the shadow cabinet alongside the previous shadow Wales secretary Nia Griffith and former environment secretary Luke Pollard.

More on Keir Starmer

Earlier on Monday, former shadow minister for young people and democracy Cat Smith and former shadow attorney general Lord Falconer said announced that they were also stepping down from Labour’s frontbench.

Sir Keir’s top team now includes:

• Angela Rayner as deputy leader, shadow first secretary of state, shadow chancellor of the duchy of Lancaster and shadow secretary of state for the future of work

• Rachel Reeves as shadow chancellor

• David Lammy as shadow foreign secretary

• Yvette Cooper as shadow home secretary

• Wes Streeting as shadow health secretary

• Lisa Nandy as shadow levelling up, housing, communities and local government secretary

• Jonathan Reynolds as shadow business secretary

• Ed Miliband as shadow climate change and net zero secretary

• John Healey as shadow defence secretary

• Lucy Powell as shadow digital, culture, media and sport secretary

• Bridget Phillipson as shadow education secretary

• Jim McMahon as shadow environment secretary

• Nick Thomas-Symonds as shadow international trade secretary

• Steve Reed as shadow justice secretary

• Louise Haigh as shadow transport secretary

• Jenny Chapman as shadow cabinet office minister

• Louise Haigh as shadow transport secretary

• Anneliese Dodds as women and equalities secretary and Labour Party chair

• Jonathan Ashworth as shadow work and pensions secretary

• Emily Thornberry as shadow attorney general

• Jo Stevens as shadow Wales secretary

• Ian Murray as shadow Scotland secretary

• Peter Kyle as shadow Northern Ireland secretary

• Thangam Debbonaire as shadow Commons leader

• Dr Rosena Allin-Khan as shadow mental health minister

• Preet Gill as shadow international development minister

• Pat McFadden as chief secretary to the Treasury

• Alan Campbell as shadow chief whip

• Angela Smith as shadow leader of the House of Lords

Labour leader Sir Keir Starmer speaking at the Mailbox in Birmingham during the CBI annual conference
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Labour leader Sir Keir Starmer is carrying out a reshuffle for the first time in six months

In a statement, Sir Keir said: “With this reshuffle, we are a smaller, more focused shadow cabinet that mirrors the shape of the government we are shadowing.

“We must hold the Conservative government to account on behalf of the public and demonstrate that we are the right choice to form the next government.”

The Labour leader said he is “delighted” to have appointed Ms Nandy to the foreign affairs brief, adding that “there will be nobody better than Lisa to lead this work”.

Ed Miliband says the government is not taking COP26 seriously enough
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Ed Miliband will take on the climate brief

Meanwhile, Mr Miliband “will lead in the shadow cabinet to develop Labour’s extensive plans for net zero in a first term Labour government, and hold the government to account for its failure to take action”, Sir Keir said.

The reshuffle comes six months after Sir Keir‘s last refresh of his shadow cabinet, in the wake of a mixed night for Labour in May’s elections across the UK.

Posting on social media, Mr Lammy said he was “honoured” to be appointed shadow foreign secretary and praised his predecessor Ms Nandy for “holding the Tories’ feet to the fire”.

“Honoured to be appointed shadow secretary of state for foreign, commonwealth & development affairs. At a time when Britain is recasting itself on the world stage, I look forward to setting out Labour’s vision for a values-led foreign policy based on cooperation & internationalism,” Mr Lammy said.

Britain's Shadow Secretary of State for Justice David Lammy speaks during Britain's Labour Party annual conference, in Brighton, Britain, September 28, 2021. REUTERS/Hannah McKay
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David Lammy has been promoted to the foreign affairs brief

Newly-appointed shadow health secretary Mr Streeting tweeted: “Delighted to have been appointed as shadow health and social care secretary.

“This year the NHS saved my life and staff across health and social care are getting us through the worst pandemic in living memory. Labour created the NHS. We’ll make it fit for the future.”

Earlier this year, Mr Streeting was diagnosed with kidney cancer and had a kidney removed.

Some have suggested the shake-up came about quite abruptly.

Speaking earlier on Monday morning at an event in Westminster amid swirling reshuffle rumours, Labour deputy leader Angela Rayner said: “I don’t know the details of the reshuffle or the timing of it, I’ve been here concentrating on my role now.

Wes Streeting
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Wes Streeting will take over as shadow health secretary

“But six months ago I said again we need some consistency in how we’re approaching things as an opposition. I want us to see us as a government in waiting, I want us to do that job.”

Sky’s political correspondent Kate McCann reported that Ms Rayner did get a call from Sir Keir on Monday morning to say she would keep her role, but was not given any detail or consulted about the reshuffle itself.

Posting on social media, Mr Lammy said he was “honoured” to be appointed shadow foreign secretary and praised his predecessor Ms Nandy for “holding the Tories’ feet to the fire”.

“Honoured to be appointed shadow secretary of state for foreign, commonwealth & development affairs. At a time when Britain is recasting itself on the world stage, I look forward to setting out Labour’s vision for a values-led foreign policy based on cooperation & internationalism,” Mr Lammy said.

Cat Smith
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Cat Smith was the first person to depart the shadow cabinet on Monday

While announcing her departure from Sir Keir’s shadow cabinet, Ms Smith tweeted out a copy of a letter she had sent to the Labour leader, warning Sir Keir of the “damage” being done by Jeremy Corbyn remaining suspended from the Parliamentary Labour Party.

Sir Keir’s previous reshuffle provoked controversy within the party when he sacked Ms Rayner as Labour Party chair.

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HMRC accused of ‘airbrushing’ Loan Charge scandal amid calls for inquiry

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HMRC accused of 'airbrushing' Loan Charge scandal amid calls for inquiry

Campaigners and MPs are calling for a parliamentary inquiry into the Loan Charge scandal – accusing HMRC of “airbrushing” its approach to a harsh tax crackdown linked to several suicides.

The Loan Charge Action Group (LCAG) has hit out at the Treasury Committee after it wrote to the tax office requesting information on its approach to contractor loan schemes.

These were widely – but wrongly – promoted by employers as HMRC compliant in the early 2000s, and tens of thousands of workers who signed up for them are now facing life-ruining bills for tax on their salaries which their employer should have paid.

Campaigners said the Treasury Committee letter was “little more than a tick box exercise triggered by all of the recent coverage of the Loan Charge” and an inquiry which hears from victims and tax experts is needed.

Steve Packham, spokesperson for the LCAG, told Sky News: “It is frustrating that instead of holding a full select committee inquiry to hear evidence from those facing the Loan Charge and tax sector professionals, the Treasury select committee has merely written to HMRC.

“It seems that this is little more than a tick box exercise triggered by all of the recent coverage of the Loan Charge, allowing HMRC to pedal the usual misleading and partial responses.”

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Loan scheme causing tax turmoil

He accused the committee of a “failure of parliamentary scrutiny in the same way the Post Office were not properly challenged for too long” – in reference to the Horizon IT scandal.

“What is needed is a full select committee inquiry and we urge committee members to announce one and call a variety of witnesses, including those whose lives have been ruined by HMRC’s approach.”

Sky News has previously reported on how tens of thousands of people across the country are facing crippling tax demands from HMRC in a campaign that has been linked to 10 suicides.

What is the Loan Charge?

It all comes back to a 2016 piece of legislation that made individuals responsible for tax which their employers should have paid – the “Loan Charge”.

HMRC has been criticised by MPs and tax experts for not policing the contractor sector at the time of the schemes.

Employers were paid their salaries in loans – and it was widely marketed as HMRC compliant.

Some people facing the Loan Charge, including nurses, cleaners and teachers, have said they had no choice but to be paid this way when they accepted their jobs, while others insist they were trying to do the right thing and streamline their tax affairs following the introduction of complex self-employment rules.

No scheme promoters prosecuted

In his letter to the treasury committee, Jim Harra, the director of HMRC, confirmed that there have been no prosecutions of individuals “for the promotion and/or operation” of what it now calls Disguised Remuneration (DR) schemes – noting that “promotion or operation of mass-marketed tax avoidance schemes is not by itself a criminal offence”.

He said HMRC did not have figures on how many people had joined the schemes “unwittingly” but “the motives of those engaging in tax avoidance schemes do not affect whether tax is due”.

Mr Harra’s letter also revealed that the median settlement for individuals is £19,000, though noted about 40,000 people have still not settled. Approximately 50,000 people are estimated to be affected in total.

He denied accusations the department operates without scrutiny, saying it is “simply not the case that HMRC is unaccountable” and “we act under the general direction of ministers”.

Taking a firm line on recent criticism of “sinister” new tactics, he said: “We do not accept claims that we have been deliberately heavy-handed. We certainly do not intentionally write to taxpayers on specific days, such as their birthday, to increase the impact of our interventions.

“We do not play with people’s emotions. We recognise that there is a human story behind each one of these cases and we take our Charter responsibilities very seriously.”

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HMRC ‘airbrushing the whole mess’

Chair of the Treasury Committee, Conservative MP Harriett Baldwin, said: “Many of my colleagues have raised concerns about the implementation and management of the Loan Charge by HMRC. As a Committee, we believed it was important that we got answers both for our fellow MPs and their constituents.

“I hope the information contained in Mr Harra’s response makes a useful contribution to the public debate.”

However, fellow Conservative MP Greg Smith, co-chair of the Loan Charge APPG, said while it is “welcome” the committee is raising the Loan Charge “as well as writing to HMRC, it needs to also hear from victims and tax professionals who can show that so much of what HMRC says is simply not an accurate picture of the Loan Charge Scandal”.

Greg Smith. Pic: PA
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Greg Smith. Pic: PA


He said: “As usual, HMRC are airbrushing the whole mess and giving the false impression that they acted at the time and warned users, when the reality is that they failed to police the contracting sector and failed to warn contractors and then invented the Loan Charge so they go back retrospectively, but targeting only the workers, not those who operated the schemes.

“With 10 confirmed suicides and 13 attempted suicides, as well as countless lives already ruined, the Treasury Select Committee should also seek evidence from other parties, to get a more realistic picture of the whole Loan Charge Scandal.”

He warned: “Without a change of approach from HMRC, we are very fearful of the consequences and we hope the Select Committee will join us in properly holding HMRC to account, before more lives are ruined”.

Anyone feeling emotionally distressed or suicidal can call Samaritans for help on 116 123 or email jo@samaritans.org in the UK.

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New football regulator announced to vet prospective owners and prevent breakaway competitions

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New football regulator announced to vet prospective owners and prevent breakaway competitions

The government has announced its plan for an Independent Football Regulator (IFR) for the professional men’s game.

The IFR came about following a review by Tory MP Tracey Crouch, which itself was launched after the attempt by clubs to form the European Super League.

But the Premier League has responded by saying they “remain concerned” about the legislation, which they claim could unintentionally “weaken the competitiveness and appeal of English football“.

Among the measures contained in the IFR – which will be subject to parliamentary scrutiny – are:

• New “stronger tests” for new owners and directors to “stop clubs falling into the wrong hands”. They face being blocked and even struck off from future attempts;

• “Backstop powers” to sort out the financial distribution between the Premier League and English Football League, if they cannot come to an agreement themselves;

• All clubs from National League One to the Premier League will be need to be licensed to compete in competitions, following “a number of issues in recent years including financial mismanagement, breakaway plans for the European Super League, and changes to club names, badges and colours against the wishes of fans”;

More on European Super League

• New requirements to protect from “breakaway competitions” and “stadium relocations”;

• An obligation to consult fans on “key off-field decisions” will also be a requirement of the licence. This could include decisions on cub heritage and strategic direction.

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As well as statutory regulation of football clubs, the government has also announced that the IFR will produce a periodical report, called “State of the Game”, which will analyse the financial state of football.

The government says the IFR will not be “overly-interventionist”, and will instead take an “advocacy first” approach – although these will be backed by a “broad suite of powers to investigate suspected non-compliance, compel information, and enforce if necessary”.

It is also pledged that the bill will have “no input in on-field decisions and will act in a way that minimises any impact on sporting competitions”.

A “shadow regulator” will be set up to run while the IFR is created, with a location, chair and board make-up all still up in the air.

Prime Minister Rishi Sunak said: “Football has long been one of our greatest sources of national pride. Up and down the country, it brings people together in celebration or commiseration.

“But for too long some clubs have been abused by unscrupulous owners who get away with financial mismanagement, which at worst can lead to complete collapse – as we saw in the upsetting cases of Bury and Macclesfield Town.

“This bill is a historic moment for football fans – it will make sure their voices are front and centre, prevent a breakaway league, protect the financial sustainability of clubs, and protect the heritage of our clubs big and small.”

Ms Crouch said that “football fans can begin to breathe a sigh of relief in the knowledge that the next steps towards protecting the long term sustainability of the pyramid have now been taken”.

In response to the announcement, a spokesperson for the Premier League said it would study the bill once it is published.

“We agree it is vital that football clubs are sustainable, remain at the heart of their communities and that fans are fundamental to the game,” it added.

“The government has consistently stated that it wishes to support the Premier League’s continued global success which generates funding to help sustain the entire football pyramid.

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“With our clubs, we have advocated for a proportionate regime that enables us to build on our position as the most widely watched league in the world.

“Mindful that the future growth of the Premier League is not guaranteed, we remain concerned about any unintended consequences of legislation that could weaken the competitiveness and appeal of English football.”

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Tories ‘have drawn a line’ under Frank Hester race row and should keep donations, Kemi Badenoch says

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Tories 'have drawn a line' under Frank Hester race row and should keep donations, Kemi Badenoch says

The government has “drawn a line” under the Frank Hester race row and shouldn’t have to give back the money he donated, Kemi Badenoch has said.

The business secretary, who was the first cabinet minister to break ranks and label his reported comments about Diane Abbott as racist last week, suggested she would be comfortable accepting further money from the Tory donor.

Politics: Sunak urges MPs to ‘stick to the plan’

Speaking to Sky News, she said she decided to condemn the remarks ahead of her colleagues because as the equalities minister and the only black woman in cabinet “this was something that it was important that I spoke up about”.

Asked if she would feel comfortable accepting further donations from Mr Hester, she said: “I think if somebody has apologised and the comments appear to have been first of all very flippant, said a long time ago, I think it is fine for us to be able to accept and forgive and draw a line under it.

“Obviously, if something else happens in the future that might be something that we reconsider.

“In regards to donations to the party, people keep asking me, ‘do you think the money should be kept’? I have been very clear that, yes, I do think so.”

More on Kemi Badenoch

Mr Hester, who donated £10m to the Tories last year, is reported to have said that left-wing MP Ms Abbott made him “want to hate all black women” and that she “should be shot”.

Ms Badenoch was the first cabinet minister to break ranks and say the comments were “racist” – though she added at the time that there should be space for “forgiveness”.

Until this point, ministers had said the comments were “wrong” but did not go as far as calling them racist.

Downing Street had also refused to call the remarks “racist”, insisting instead that they were “unacceptable”.

Prime Minister Rishi Sunak later condemned the remarks as “racist and wrong”, but he has continued to face calls to return the money Mr Hester has donated and confirm whether a further £5m is in the pipeline.

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Sky News understands the government is “in talks” about this extra money which, if accepted, would take the amount Mr Hester has donated to the party in the last year to £15m.

In other media interviews this morning, Ms Badenoch branded continued interest in the story “pure media bubble speculation”, saying on BBC Breakfast that it is only dominating front pages because “you are not interested in the work that the government is doing”.

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The mood is tense among Tory MPs

On LBC, she said: “This was something that happened five years ago. He wasn’t talking to Diane Abbott, it wasn’t even really about Diane Abbott.”

Ms Badenoch’s remarks reflect a government determined to move on from a row that dominated what some have dubbed Mr Sunak’s worst week in office.

The embattled prime minister has also faced rumours of a plot to replace him and the defection of former Tory deputy chairman Lee Anderson to the Reform party.

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‘Sunak will still be Tory leader at next general election’

He is seeking to shift the political debate to the gradually improving economic outlook as he tries to shore up his leadership.

Launching a fightback last night, Mr Sunak vowed that 2024 “will be the year Britain bounces back” in comments released by Downing Street.

Later today he will set out reforms to boost apprenticeships and cut red tape for small businesses, at a conference in Warwickshire that is being hosted by Ms Badenoch.

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