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Liz Truss is facing a fresh battle with Conservative MPs over a potential benefits squeeze and cuts to public spending, after already being forced into making a policy U-turn.

The prime minister is under pressure to set out whether benefit payments will be uprated in line with inflation, or if they will face a real-term cut.

It is understood that Downing Street is considering increasing Universal Credit using a lower metric, such as the increase in average earnings, instead.

Politics live: Major U-turn after prominent Tories speak out

While an official decision on benefit payments has still not been made, Welfare Secretary Chloe Smith said one “will be taken in due course”.

Senior Tories have called on the PM to row back on cutting public spending in the middle of the cost of living crisis, with concerns that failing to keep pace with rising prices would leave some of the poorest households worse off.

It comes as the government dramatically dropped its plans to abolish the 45% tax rate on earnings over £150,000 following widespread criticism.

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The policy was announced during the mini-budget near the end of September, which plunged UK markets into turmoil.

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Pound up after tax U-turn

What are MPs saying?

Speaking to Sky News, Conservative MP Damian Green said: “The government should uprate in line with inflation. The previous government said it was going to, so people are expecting this.”

Asked if cuts to benefits are the next battle, he replied: “Well, I hope not because I hope the government has clearly started listening.”

Former transport secretary Grant Shapps is also among the senior Tories calling for the government to be transparent about its plans.

Grant Shapps speaking to the media ahead of the Conservative Party annual conference at the International Convention Centre in Birmingham. Picture date: Monday October 3, 2022.
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Grant Shapps said the government must communicate clearly with the public

Asked if he would want to see benefits increased in line with inflation, he said: “Of course, every politician would want to see that.

“If there is a case whereby we are going to be going through difficult times, then the government must communicate that and be honest with people and explain how and what needs to happen next.”

Former home secretary Priti Patel is set to take aim over the government’s unfunded tax cuts, telling the Conservative Party it will “live or die” by its economic credibility.

According to The Times, she is expected to accuse the PM and Chancellor Kwasi Kwarteng of “spending today with no thought of tomorrow” and will call on Ms Truss to put a “ceiling” on public spending.

Read more:
First part of Truss’ reign is over – is there any way back from 45p tax rate U-turn?

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Is there any way back for Kwarteng?

‘Action was needed urgently’

Despite the discontent within the Conservative Party, Liz Truss has pushed forward with her economic policy, saying the UK must have “the courage of its convictions to put our nation on the path to success”.

Writing in the Telegraph, the prime minister said the struggling economy was a global problem caused by Russia’s President Vladimir Putin and COVID and that there was “no time to waste”.

“Action was needed urgently. People forget the counterfactual of what would have happened had we not acted,” she wrote.

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Has the government lost credibility?
Truss sticks by plan but admits mistakes
‘What a day!’ – Chancellor admits ‘tough time’

While she dismissed the U-turn on the 45p tax rate cut as a “tiny part of the plan”, reports in The Sun said that the Chairman of the 1922 Committee Sir Graham Brady went to see her at 7pm on Sunday evening.

The PM was then said to have met Chancellor Kwasi Kwarteng for crisis talks, hours before she ditched the tax promise on Monday morning.

Monday was a tumultuous day for the party, with Mr Kwarteng’s keynote conference speech altered at the last minute to acknowledge the U-turn.

Hours after his speech, it was revealed Mr Kwarteng will bring forward his medium-term financial statement from 23 November to this month, despite saying he would not earlier in the day.

Markets bounced back on Monday morning, but financial commentators cautioned that it was likely some respite only.

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‘We have a plan and we need to deliver it’

What will be happening at the Tory Conference today?

The Conservatives will be hoping for a quiet day on Tuesday ahead of Liz Truss’ speech on Wednesday.

In his first speech as foreign secretary, James Cleverly is expected to focus on the UK helping Ukraine defend itself against Russia.

He will also talk about finding a “mutually beneficial solution” to Brexit issues in Northern Ireland.

New Home Secretary Suella Braverman will also speak on Tuesday, setting out her plans to “redouble efforts to crack down on illegal migration”.

Education Secretary Kit Malthouse, Health Secretary and Deputy PM Therese Coffey, Transport Secretary Anne-Marie Trevelyan and Justice Secretary Brandon Lewis will also address the conference in Birmingham.

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Drone attacks are intensifying in Sudan – hitting schools and camps homing the displaced

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Drone attacks are intensifying in Sudan - hitting schools and camps homing the displaced

The smell of explosives is still in the air when we arrive.

Hours before, a displacement camp in Atbara housing families who fled the war in Sudan’s capital Khartoum was hit by two drone strikes in a four-pronged attack.

The first bomb on 25 April burned donated tents and killed the children in them.

The second hit a school serving as a shelter for the spillover of homeless families.

Sudan

Chunks of cement and plaster had been blasted off the walls of the classrooms where they slept when the second explosive was dropped.

Blood marked the entrance of the temporary home closest to the crater.

Inside, shattered glass and broken window frames speak to the force of the explosion. We were told by their neighbours that four people in the family were instantly killed.

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“People were torn apart. This is inhumane,” says their neighbour Mahialdeen, whose brother and sister were injured. “We are praying that God lifts this catastrophe. We left Khartoum because of the fighting and found it here.”

Wiping a tear, he says: “It is chasing us.”

Sudan

The sanctuary city held by the Sudanese Armed Forces (SAF) about 200 miles northeast of Khartoum has been hit by six drone attacks by the Rapid Support Forces (RSF) since the start of the year.

These latest strikes are the most deadly.

The drones – known for targeting civilian infrastructure – hit the displacement camp twice, the nearby power station supplying the city with electricity and an empty field with four bombs in the dark, early hours of the morning. First responders have told Sky News that 12 people were killed, including at least two children.

Sudan

RSF increasingly using drones to carry out attacks

Data from the conflict-monitoring organisation ACLED shows the RSF has carried out increasing numbers of drone attacks across the country.

The most targeted states have been Khartoum and North Darfur, where fighting on the ground has been fierce, as well as Atbara’s River Nile State.

The data suggests that the increase in strikes has been driven by a change in tactics following the SAF’s recapture of Khartoum in late March, with the number of strikes carried out by the RSF spiking shortly after their withdrawal from the capital.

Satellite imagery shows the RSF’s airpower has allowed it to continue to attack targets in and around Khartoum.

Nearby Wadi Seidna Airbase was targeted after the attack on Atbara, with damage visible across a large area south of its airfield.

We were given access to the remains of latest suicide drones launched at Khartoum and could not find discernible signs of commercial origin.

Drone experts told Sky News that they are self-built devices made from generic parts with no identifiable manufacturers for the components.

Read more:
Sky reporter returns to family home left in ruins
UK announces £120m aid package for Sudan

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Two years of war in Sudan

Drones sighted in South Darfur are consistent with Chinese models

High-resolution satellite images confirm the presence of drones at the RSF-held Nyala Airport.

While the total number of drones kept at this location is unknown, imagery from Planet Labs shows six on 24 April.

This is the highest number of drones observed at the airport, suggesting an increase in the RSF’s available airpower.

The location and number of drones visible in satellite imagery at Nyala Airport has varied over time, suggesting they are in active use.

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Yousra Elbagir visits wartorn home in Sudan

While it is not possible to determine the exact model of drones sighted at Nyala Airport, a report published by researchers at the Yale School of Public Health’s Humanitarian Lab has previously found them to be consistent with the Chinese-produced FH-95.

Analysis carried out by Sky News confirms these findings, with the measurements and visible features matching those of the CH-95 and FH-95. Both designs are produced in China.

The United Arab Emirates is widely accused of supplying Chinese drones to the RSF through South Sudan and Uganda, as well as weapons through Chad. The UAE vehemently denies these claims.

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Sudanese military in presidential palace

Evidence of new airfields

Satellite imagery viewed by Sky News suggests the RSF has worked to increase its air capabilities outside of South Darfur.

In late 2024, five new airstrips appeared in West Kordofan between the contested cities of North Darfur capital Al Fashir and Khartoum.

While the purpose of these airstrips is unknown, it is clear they carry some level of military significance, having been targeted by air in April.

In high-resolution images, no aircraft can be seen. Damage is visible next to a structure that appears to be an aircraft hangar.

The rapid escalation in drone strikes is being brutally suffered on the ground.

In Atbara’s Police Hospital, we find a ward full of the injured survivors.

One of them, a three-year-old girl called Manasiq, is staring up at the ceiling in wide-eyed shock with her head wrapped in a bandage and her feet covered in dried blood.

Her aunt tells us the explosion flung her small body across the classroom shelter but she miraculously survived.

She has shrapnel in her head and clings onto her aunt as her mother is treated for her own injuries in a ward on the first floor.

Sudan

In a dark room deeper in the ward, a mother sits on the edge of a hospital bed holding her young injured daughter. Her son, only slightly older, is on a smaller adjustable bed further away.

Fadwa looks forlorn and helpless. Her children were spending the night with relatives in the temporary tents when the first strike hit and killed her eight-year-old son.

His surviving sister and brother have been asking after him, but Fadwa can’t bring herself to break the news.

“What can I say? This is our fate. We fled the war in Khartoum but can’t escape the violence,” Fadwa says, staring off in the distance.

“We are condemned to this fate.”

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Ship carrying aid for Gaza bombed by drones, as NGO points finger at Israel

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Ship carrying aid for Gaza bombed by drones, as NGO points finger at Israel

A ship carrying humanitarian aid for Gaza has been bombed by drones while it was in international waters.

The Freedom Flotilla Coalition, the NGO responsible for the ship, has pointed the finger at Israel.

Video shows fire raging onboard the vessel, which put out an SOS distress call after it was attacked off the coast of Malta.

It comes as the case against Israel at the International Court of Justice continued this week.

Gaza remains under blockade, with Israel having now refused to allow international aid into the devastated enclave for almost two months despite global outcry.

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The hospital Ghena went to for treatment has been destroyed

Following the drone attack, the Maltese government confirmed that after several hours all crew were safe and the fire was under control.

The Freedom Flotilla Coalition said: “Israeli ambassadors must be summoned and answer to violations of international law, including the ongoing blockade (of Gaza) and the bombing of our civilian vessel in international waters.”

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It asserted that the drone attack “appears to have specifically targeted the ship’s generator” and had left the vessel at risk of sinking.

Describing the attack, it said: “Armed drones attacked the front of an unarmed civilian vessel twice, causing a fire and a substantial breach in the hull.

Palestinian boy Osama Al-Reqep, 5, lies on a bed at Nasser Hospital, in Khan Younis, in the southern Gaza Strip. Pic: Reuters
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A five-year-old boy lies on a bed at Nasser Hospital, in Khan Younis, in the southern Gaza Strip. Pic: Reuters

“The last communication in the early morning of the 2nd of May, indicated the drones are still circling the ship.”

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It released video footage shot in the dark that showed lights in the sky in front of the ship and the sound of explosions. The footage also showed the vessel on fire.

The Israeli foreign ministry has not commented on what happened.

Yesterday, UN aid coordinator Tom Fletcher called on Israel to lift the blockade on Gaza, which has been in force for almost two months.

“Yes, the hostages must be released, now. They should never have been taken from their families,” he said.

“But international law is unequivocal: As the occupying power, Israel must allow humanitarian support in.”

Aid should never be a “bargaining chip”, he added.

‘Children going to bed starving’

Juliette Touma, spokesperson for the UN agency for Palestine refugees, UNRWA said: “The siege on Gaza is the silent killer of children, of older people.

“Families – whole families, seven or eight people – are resorting to sharing one can of beans or peas. Imagine not having anything to feed your children. Children in Gaza are going to bed starving.”

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Germany’s far-right AfD party officially classified as ‘extremist’ organisation

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Germany's far-right AfD party officially classified as 'extremist' organisation

Germany’s spy agency has officially classified the far-right Alternative for Germany (AfD) party as an “extremist” organisation. 

The party has been growing in popularity and came second in February’s general election.

The country’s domestic intelligence agency said on Friday that it was an extremist entity which threatens democracy.

Its 1,000-page internal report claimed views around ethnicity held by the AfD aim to exclude certain groups from equal participation in society.

“The party’s prevailing understanding of the people based on ethnicity and descent is incompatible with the free democratic basic order,” the agency said in a statement.

“Specifically, the AfD considers, for example, German citizens with a migration background from predominantly Muslim countries not equal members of the ethnically defined German people.”

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Why Germans are voting far-right

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Analysis: Results show stark east-west divide
Explainer: The woman at the top of the AfD

AfD’s co-leaders Alice Weidel and Tino Chrupalla described the decision as a “serious blow to German democracy”.

In a joint statement on Friday, they said: “The AfD is now being publicly discredited and criminalised as an opposition party shortly before the change of government.

“The associated, targeted interference in the democratic decision-making process is therefore clearly politically motivated. The AfD will continue to defend itself legally against this defamation that jeopardises democracy.”

The party leaders have consistently denied the party is either far right or extremist.

Local branches of the party in the east German states of Thuringia, Saxony, and Saxony-Anhalt had already been classified as extremist by regional spy chiefs.

The entire party was also previously designated “suspected” far-right extremist.

However, the announcement allows intelligence agencies to increase surveillance on the group.

It may also embolden opponents to try to get the party banned.

Candidate for Chancellor and co-leader of Germany's far-right Alternative for Germany (AfD) party, Alice Weidel reacts after exit polls for the 2025 general election, in Berlin, Germany, February 23, 2025. REUTERS/Wolfgang Rattay
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AfD leader Alice Weidel. Pic: Reuters

Anti-AfD protests in Berlin in February. Pic: Reuters
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Anti-AfD protests in Berlin in February. Pic: Reuters

The decision was welcomed by the country’s interior minister, Nancy Faeser, who said in a statement that the new assessment was “clear and unequivocal”, adding that the party “discriminates against entire segments of the population and treats citizens with a migration background as second-class Germans”.

She underlined that “there has been no political influence on the findings” but said the new classification was likely to be subject to judicial review.

Chancellor Olaf Scholz said that although the intelligence agency has provided a “very detailed justification” for the decision, “ban proceedings must not be rushed”.

Anton Baron, a regional politician in the state of Baden-Wuerttemberg, described the decision as “politically questionable”.

While the ruling is a blow for the party, it is unlikely to influence hardcore supporters, many of whom live in states where the party was already designated extremist at a local level.

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