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Kwasi Kwarteng has promised his upcoming economic plan will be “relentlessly upbeat” as some of his own MPs seemed doubtful of his direction.

Speaking in the Commons for the first time since unveiling his mini-budget, the chancellor would not reveal more detail of his next financial announcement, set for Halloween.

But he promised it would include “an absolute iron commitment to fiscal responsibility”, with accompanying forecasts from the Office of Budget Responsibility (OBR).

Politics latest: ‘Ominous warning’ for chancellor as Kwasi Kwarteng faces MPs’ questions

While Mr Kwarteng had some support from his backbenchers, he was issued warnings too – including from former Northern Ireland secretary Julian Smith, asking him to ensure he will “not balance the forthcoming tax cuts on the back of the poorest people in the country”.

And chair of the Treasury Select Committee, Mel Stride, told the chancellor to make sure he “reaches out as much as he can” to all sides of the Commons to get his measures through, adding: “Any failure to do so will unsettle the markets.”

Last month’s mini-budget from the new government – released without OBR forecasts alongside it – sent the markets into turmoil, with the pound dropping, mortgage products being withdrawn and the Bank of England having to step in to save some pension funds.

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Prime Minister Liz Truss and Mr Kwarteng were forced into a U-turn over their plan to scrap the 45p tax rate for the highest earners, and to bring forward the medium-term announcement that had been set for the end of November.

But the economic warnings keep coming, with the Institute for Fiscal Studies (IFS) saying the chancellor would have to cut spending or raise taxes by £62bn if he is to stabilise or reduce the national debt, and the International Monetary Fund (IMF) saying the government needed to work with the Bank of England to prevent any further troubles.

Speaking during Treasury questions after shouts from some MPs to “resign”, the chancellor insisted he would “canvass opinion widely ahead of the publication of the plan” and that the OBR’s independence was “absolutely sacrosanct”.

But Labour’s shadow chancellor Rachel Reeves called on Mr Kwarteng to “put aside his pride, do the right thing for our country, end this trickle-down nonsense and reverse the budget”.

She added: “The chancellor is in a dangerous state of denial but the cost of these mistakes are all too real for everyone else – borrowing costs up, growth down, mortgage payments set to increase by £500 a month.

“Now they scrabble around looking for cuts, hitting the most vulnerable and hitting our public services. It does not need to be this way.”

Mr Kwarteng was also pushed by a number of MPs to reveal whether the government would be raising benefits in line with inflation as Boris Johnson’s government promised to do, which has led to rows within the Tory Party.

Liberal Democrat Jamie Stone told the chancellor it was the “only fair way forward” and it would be “immoral to do otherwise”.

But the chancellor would not reveal the decision, saying he will not “prejudge any measures” to be announced on Halloween.

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At least 20 reported dead in Israeli airstrike on Gaza school housing displaced people

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At least 20 reported dead in Israeli airstrike on Gaza school housing displaced people

At least 20 people have been killed and dozens more injured after an Israeli airstrike targeting a school in Gaza, health authorities have said.

Reuters news agency reported the number of dead, citing medics, with the school in the Daraj neighbourhood having been used to shelter displaced people who had fled previous bombardments.

Medical and civil defence sources on the ground confirmed women and children were among the casualties, with several charred bodies arriving at al Shifa and al Ahli hospitals.

The scene inside the school has been described as horrific, with more victims feared trapped under the rubble.

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Trump criticises Putin after deadly strikes across Ukraine

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Trump criticises Putin after deadly strikes across Ukraine

Donald Trump has threatened Russia with more sanctions after a series of deadly strikes across Ukraine, as he said of Vladimir Putin: “What the hell happened to him?”

The US president appeared aghast at the conduct of his counterpart in the Kremlin after drone and missile attacks in Kyiv and other Ukrainian cities left 12 people dead and dozens more injured.

Trump criticises Putin – latest updates

Speaking to reporters at an airport in New Jersey ahead of a flight back to Washington, Mr Trump said: “I’m not happy with Putin. I don’t know what’s wrong with him.”

“He’s killing a lot of people,” he added. “I’m not happy about that.”

Mr Trump – who said he’s “always gotten along with” Mr Putin – told reporters he would consider more sanctions against Moscow.

“He’s sending rockets into cities and killing people, and I don’t like it at all,” he said.

Ukraine said the barrage of strikes overnight into Sunday was the biggest aerial attack of the war so far, with 367 drones and missiles fired by Russian forces.

It came despite Mr Trump repeatedly talking up the chances of a peace agreement. He even spoke to Mr Putin on the phone for two hours last week.

Read more from Sky News:
Trump says will postpone 50% tariffs on EU until July

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Hundreds of drones fired at Ukraine

‘Shameful’ attacks

Volodymyr Zelenskyy has said Ukraine is ready to sign a ceasefire deal, and suggested Russia isn’t serious about signing one.

In a statement after the latest attacks on his country, he urged the US and other national leaders to increase the pressure on Mr Putin, saying silence “only encourages” him.

Mr Trump’s envoy for the country, Keith Kellogg, later demanded a ceasefire, describing the Russian attacks as “shameful”.

Three children were among those killed in the attacks, explosions shaking the cities of Kyiv, Odesa, and Mykolaiv.

Ukrainian siblings Tamara, 12, Stanislav, eight, and Roman, 17, killed in Russian airstrike. Pic: X/@Mariana_Betsa
Image:
Ukrainian siblings Tamara, 12, Stanislav, eight, and Roman, 17, were killed in Russian airstrikes. Pic: X/@Mariana_Betsa

Before the onslaught, Russia said it had faced a Ukrainian drone attack on Sunday. It said around 100 were intercepted and destroyed near Moscow and in central and southern regions.

The violence has escalated despite Russia and Ukraine completing the exchange of 1,000 prisoners each over the past three days.

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Donald Trump says he will postpone 50% tariffs on EU until July

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Donald Trump says he will postpone 50% tariffs on EU until July

Donald Trump says he will delay the imposition of 50% tariffs on goods entering the United States from the European Union until July, as the two sides attempt to negotiate a trade deal.

It comes after the president of the European Commission, Ursula von der Leyen, said in a post on social media site X that she had spoken to Mr Trump and expressed that they needed until 9 July to “reach a good deal”.

The US president had last Friday threatened to bring in the 50% tariffs from 1 June, as European leaders said they were ready to respond with their own measures.

But Mr Trump has now said that date has been put back to 9 July to allow more time for negotiations with the 27-member bloc, with the phone call appearing to smooth over tensions for now at least.

Speaking on Sunday before boarding Air Force One for Washington DC, Mr Trump told reporters that he had spoken to Ms Von der Leyen and she “wants to get down to serious negotiations” and she vowed to “rapidly get together and see if we can work something out”.

The US president, in comments on his Truth Social platform, had reignited fears last Friday of a trade war between the two powers when he said talks were “going nowhere” and the bloc was “very difficult to deal with”.

Mr Trump told the media in Morristown, New Jersey, on Sunday that Ms Von der Leyen “just called me… and she asked for an extension in the June 1st date. And she said she wants to get down to serious negotiation”.

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“We had a very nice call and I agreed to move it. I believe July 9th would be the date. That was the date she requested. She said we will rapidly get together and see if we can work something out,” the US president added.

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Shortly after, he wrote on Truth Social: “I agreed to the extension – July 9, 2025 – It was my privilege to do so.”

On his so-called “liberation day” last month, Mr Trump unleashed tariffs on many of America’s trade partners. But since then he’s backed down in a spiralling tit-for-tat tariff face-off with China, and struck a deal with the UK.

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12 May: US and China reach agreement on tariffs

Much of his most incendiary rhetoric on trade has been directed at Brussels, though, even going as far as to claim the EU was created to rip the US off.

Responding to his 50% tariff threat, EU trade chief Maros Sefcovic said: “EU-US trade is unmatched and must be guided by mutual respect, not threats.

“We stand ready to defend our interests.”

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