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Liz Truss has pledged not to cut public spending to balance the books in her first PMQs since the chancellor’s contentious mini-budget – despite a leading economics-focused think tank warning the government is billions short of the sums needed.

The prime minister insisted she was “absolutely” not planning public spending reductions, but vowed that taxpayers’ money would be used well.

Her pledge comes as the government continues to be under pressure for the market turmoil that erupted after the government announced its £45bn package of unfunded tax cuts last month.

Speaking to Sky News after PMQs, Mel Stride, the Chair of the Treasury Select Committee, said that Chancellor Kwasi Kwarteng should not take the reversal of some of his tax cuts “off the table”.

He said that “holding the line” on the measures announced in his mini-budget will be even more difficult following Ms Truss’ comments on public spending, and that 31 October – the date of the chancellor’s debt-cutting plan being published – is a moment for a “reset”.

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Tories ‘must get back to being fiscally responsible’

He told political editor Beth Rigby: “(Chancellor Kwarteng) has to be so careful that he doesn’t take any chances, he has to be sure the markets are going to like what they hear, that’s why I think rowing back on the tax cuts have to remain on the table.

“It’s extraordinarily important that whatever the chancellor comes forward with on the 31st, that it cuts it with the market.

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“If there is any doubt in his mind about anything he is doing, he would do well to think again, he has got to play it ultra safe.”

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Economists have suggested that to gain a grip on the national finances, the government will have to make spending cuts or tax rises worth tens of billions of pounds.

The “Green Budget”, from the Institute for Fiscal Studies and Citi, the investment bank, warned this week that the chancellor would have to cut spending or raise taxes by £62bn if he is to stabilise or reduce the national debt, as he has repeatedly promised in recent weeks.

That shortfall is a direct consequence of the measures announced since the Truss government took office, which include its reversal of various tax increases such as corporation tax and national insurance and its energy price guarantee.

Chancellor Kwasi Kwarteng would instead have to carry out dramatic cuts, the think tank said, potentially reducing government investment and slashing public spending on departments that have already been squeezed during the austerity years.

The cost of government spending increased on Wednesday, with the pound falling against the dollar.

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‘Will she reverse “kamikaze budget”?’

‘Kamikaze budget’

At PMQs, Sir Keir Starmer reminded Ms Truss that during her leadership campaign over the summer she had pledged: “I’m not planning public spending reductions.”

Asked if she was going to stick to that, the prime minister replied: “Absolutely… We are spending almost £1tn of public spending. We were spending £700bn back in 2010.

“What we will make sure is that over the medium term the debt is falling. But we will do that not by cutting public spending but by making sure we spend public money well.”

The Labour leader once again called for the government to reverse their “kamikaze budget”, warning Conservative MPs that voters will not forgive their party if they “defend” it.

‘Ducking responsibility’

Sir Keir also accused the prime minister of “ducking responsibility” for the consequences of her government’s economic policies and of being “lost in denial”.

“Who voted for this?” he questioned.

Ms Truss responded: “The way that we will get our country growing is through more jobs, more growth, more opportunities, not through higher taxes, higher spending and his friends in the union stopping hard-working people getting to work.”

‘No-fault’ evictions pledge

Also during PMQs, Ms Truss committed to honouring a 2019 Tory manifesto pledge to scrap “no-fault” evictions of private renters in England.

There had been reports earlier this week that the government could try and shelve the commitment.

On Tuesday, Downing Street said no decisions had been made on whether to pause a promised ban on Section 21 notices, which allow landlords to evict a tenant without giving a reason.

Labour MP Graham Stringer asked Ms Truss: “Can the PM reassure the 11 million private renters in this country that she will carry out her commitment to get rid of no-fault evictions?”

Ms Truss replied: “I can.”

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‘PM ignoring mini-budget damage’

Energy help

The prime minister also announced that Jacob Rees-Mogg, the business secretary, is working on a scheme to help households and businesses bring down their energy costs.

Last Friday, Ms Truss ruled out launching an energy-saving public information campaign after warnings from the National Grid Electricity System Operator that planned three-hour power blackouts could be imposed in some areas.

Only two days ago Downing Street had defended Ms Truss’s decision not to launch a “bespoke” energy-saving public information campaign during the energy crisis, saying it is down to individuals to decide what is right for them.

Mr Kwarteng has already dropped plans to abolish the 45% tax rate on earnings over £150,000 after internal criticism of the policy, though he has insisted he remains committed to the rest of his mini-budget.

Asked what happens after the Bank stops buying bonds on Friday, the chancellor said: “Well, it’s a matter for the governor.”

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US envoy meets Putin for talks – as Trump urges Russia to ‘get moving’ on Ukraine

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US envoy meets Putin for talks - as Trump urges Russia to 'get moving' on Ukraine

Donald Trump’s special envoy Steve Witkoff has met Vladimir Putin for talks in Russia – as the US president called on Moscow to “get moving” with ending the war in Ukraine.

Mr Witkoff, who has been pressing the Kremlin to accept a truce, visited Mr Putin in St Petersburg after earlier meeting the Russian leader’s international co-operation envoy Kirill Dmitriev.

Mr Putin was shown on state TV greeting Mr Witkoff at the city’s presidential library at the start of the latest discussions about the search for a peace deal on Ukraine.

Before Friday’s meeting, Kremlin spokesman Dmitry Peskov played down expectations of a breakthrough and told state media the visit would not be “momentous”.

Follow the latest updates on the war in Ukraine

However, Sky News Moscow correspondent Ivor Bennett said he believes the meeting – Mr Witkoff’s third with Mr Putin this year – is significant as a sign of the Trump administration’s “increasing frustration at the lack of progress on peace talks”.

Earlier on Friday, Mr Trump issued his latest social media statement on trying to end the war, writing on Truth Social: “Russia has to get moving. Too many people ere [sic] DYING, thousands a week, in a terrible and senseless war – A war that should have never happened, and wouldn’t have happened, if I were President!!!”

Dialogue between the US and Russia, aimed at agreeing a ceasefire ahead of a possible peace deal to end the war, has recently appeared to have stalled over disagreements around conditions for a full pause.

President Donald Trump speaks at a cabinet meeting in the Cabinet Room of the White House, Thursday, April 10, 2025, in Washington. (Pool via AP)
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Mr Trump, pictured at a cabinet meeting at the White House earlier this week, has called for Russia to ‘get moving’. Pic: AP

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Secondary sanctions could be imposed on countries that buy Russian oil, Mr Trump has said, if he feels Moscow is dragging its feet on a deal.

Mr Putin has said he is ready in principle to agree a full ceasefire, but argues crucial conditions have yet to be agreed – and that what he calls the root causes of the war have yet to be addressed.

The Russian president wants to dismantle Ukraine as an independent, functioning state and has demanded Kyiv recognise Moscow’s annexation of Crimea and other partly occupied areas, and pull its forces out, as well as a pledge for Ukraine to never join NATO and for the size of its army to be limited.

Zelenskyy renews support calls after attack on home city

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Children killed in strike on Zelenskyy’s home town

Meanwhile, Ukrainian president Volodymyr Zelenskyy has renewed his appeals for more Patriot air defence systems after the deaths of 20 people, including nine children, who were killed when a Russian missile hit apartment buildings and a playground in his home city of Kryvyi Rih last week.

Speaking online at a meeting of the so-called Ramstein group of about 50 nations that provide military support to Ukraine, named after a previous meeting at America’s Ramstein air base in Germany in 2022, Mr Zelenskyy said recent Russian attacks showed Moscow was not ready to accept and implement any realistic and effective peace proposals.

Mr Zelenskyy also made his evening address to the nation, saying: “Ukraine is not just asking – we are ready to buy appropriate additional systems.”

The UK’s defence secretary, John Healy, has said this is “the critical year” for Ukraine – and has confirmed £450m in funding for a military support package.

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Tech executive and his family die after sightseeing helicopter crashes in New York

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Tech executive and his family die after sightseeing helicopter crashes in New York

A family of five Spanish tourists, including three children, have been killed in a helicopter crash in New York City.

A New York City Hall spokesman identified two of those killed as Agustin Escobar, a Siemens executive, and Merce Camprubi Montal – believed to be his wife, NBC News reported.

The pilot was also killed as the aircraft crashed into the Hudson River at around 3.17pm on Thursday.

New York Police commissioner Jessica Tisch said divers had recovered all those on board from the helicopter, which was upside down in the water.

“Four victims were pronounced dead on scene and two more were removed to local area hospitals, where sadly both succumbed to their injuries,” she said.

The helicopter ended up submerged and upside down. Pic: Reuters
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The helicopter was submerged upside down in the Hudson. Pic: Reuters

A crane lifted out the wreck of the helicopter on Thursday evening. Pic: AP
Image:
A crane lifted out the wreckage on Thursday evening. Pic: AP

The Spanish president Pedro Sanchez called the news “devastating”.

“An unimaginable tragedy. I share the grief of the victims’ loved ones at this heartbreaking time,” he wrote on X.

Rotor blade ‘flew off’

The aircraft was on a tourist flight of Manhattan, run by the New York Helicopters company.

Witnesses described seeing the main rotor blade flying off moments before it dropped out the sky.

Agustin Escobar and Merce Camprubi Montal.
Pic: Facebook
Image:
Agustin Escobar and Merce Camprubi Montal.
Pic: Facebook

Lesly Camacho, a worker at a restaurant along the river in Hoboken, said she saw the helicopter spinning uncontrollably before it slammed into the water.

“There was a bunch of smoke coming out. It was spinning pretty fast, and it landed in the water really hard,” she said.

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Witness saw ‘parts flying off’ helicopter

Another witness said “the chopper blade flew off”.

“I don’t know what happened to the tail, but it just straight up dropped,” Avi Rakesh told Sky’s US partner, NBC News.

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Video on social media showed parts of the Bell 206 helicopter tumbling through the air and landing in the river.

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New York mayor confirms six dead

First responders walk along Pier 40, Thursday, April 10, 2025, in New York, across from where a helicopter went down in the Hudson River in Jersey City, N.J. (AP Photo/Jennifer Peltz)
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The crash happened near Pier 40. Pic: AP

New York Mayor Eric Adams confirmed the six deaths and said authorities believed the tourists were from Spain.

He said the flight had taken off from a downtown heliport at around 3pm.

Debris floats in the water at the scene where the helicopter crashed into the Hudson River.
Pic: AP
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Pic: Cover Images/AP

The crash happened close to Pier 40 and the Holland tunnel, which links lower Manhattan’s Tribeca neighbourhood with Jersey City to its west.

Tracking service Flight Radar 24 published what it said was the helicopter’s route, with the aircraft appearing to be in the sky for 15 minutes before the crash.

The Federal Aviation Administration and the National Transportation Safety Board have started an investigation.

Agustin Escobar.
Pic:Europa Press/AP
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Agustin Escobar.
Pic: Europa Press/AP

Thursday’s incident comes less than three month after 67 people died when an army helicopter and American Airlines jet collided over the Potomac River in Washington DC.

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Ksenia Karelina: Ballerina arrives home in US after ‘nightmare’ of Russian penal colony

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Ksenia Karelina: Ballerina arrives home in US after 'nightmare' of Russian penal colony

A former ballerina who spent more than a year in a Russian jail for donating £40 to a charity supporting Ukraine has returned home to the US after being freed in a prisoner exchange.

Ksenia Karelina landed at Joint Base Andrews in Maryland at around 11pm, local time, on Thursday.

A smiling Ms Karelina was greeted on the runway by her fiance, the professional boxer Chris van Heerden, and given flowers by Morgan Ortagus, President Donald Trump’s deputy special envoy to the Middle East.

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Ksenia Karelina arrives Thursday, April 10, 2025, at Joint Base Andrews, Md. (AP Photo/Alex Brandon)
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Ksenia Karelina arrives at Joint Base Andrews. Pic: AP

Van Heerden said in a statement he was “overjoyed to hear that the love of my life, Ksenia Karelina, is on her way home from wrongful detention in Russia.

“She has endured a nightmare for 15 months and I cannot wait to hold her. Our dog, Boots, is also eagerly awaiting her return.”

He thanked Mr Trump and his envoys, as well as prominent public figures who had championed her case, including Dana White, a friend of Mr Trump and CEO of the Ultimate Fighting Championship (UFC).

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Ms Karelina, 34, a US-Russian citizen also identified as Ksenia Khavana, was accused of treason when she was arrested in Yekaterinburg, in southwestern Russia, while visiting family in February last year.

Investigators searched her mobile phone and found she made a $51.80 (£40) donation to Razom, a charity that provides aid to Ukraine, on the first day of Russia’s invasion in 2022.

She admitted the charge at a closed trial in the city in August last year and was later jailed for 12 years, to be served in a penal colony.

At a cabinet meeting on Thursday, Mr Trump, who wants to normalise relations with Moscow, said the Kremlin “released the young ballerina and she is now out, and that was good. So we appreciate that”.

Ksenia Karelina is hugged by her boyfriend Chris van Heerden.
Pic: Reuters
Image:
Ksenia Karelina is hugged by her boyfriend, Chris van Heerden. Pic: Reuters

He said the release followed conversations with Russian President Vladimir Putin.

Russian security services accused her of “proactively” collecting money for a Ukrainian organisation that was supplying gear to Kyiv’s forces.

The First Department, a Russian rights group, said the charges stemmed from a $51.80 donation to a US charity aiding Ukraine.

Washington, which had called her case “absolutely ludicrous”, released Arthur Petrov, who it was holding on charges of smuggling sensitive microelectronics to Russia, in the prisoner swap in Abu Dhabi.

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Karelina was among a growing number of Americans arrested in Russia in recent years as tensions between Moscow and Washington spiked over the war in Ukraine.

Her release is the latest in a series of high-profile prisoner exchanges Russia and the US carried out in the last three years – and the second since Mr Trump took office.

White House national security adviser Mike Waltz said members of the Trump administration “continue to work around the clock to ensure Americans detained abroad are returned home to their families”.

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