The chancellor has insisted he is “not going anywhere” amid the economic turmoil in the UK and said he remains “totally focused” on delivering the government’s growth plan.
During a visit to Washington DC, Kwasi Kwarteng was asked whether he and Liz Truss, the prime minister, will be in their respective roles this time next month.
“Absolutely. 100%. I’m not going anywhere,” he said.
The chancellor admitted there has been some “domestic turbulence” since he unveiled his tax-cutting mini-budget at the end of September and the pound fell to record lows against the dollar, but said there is “a very dicey situation globally”.
“I speak to Number 10, the PM all the time, and we are totally focused on delivering the growth plan,” he said.
Pushed on whether there will be any more reversals of policies in the mini-budget, Mr Kwarteng said: “I am totally focused on the growth agenda.”
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Last week, after open revolt from Tory MPs and a surge in support for Labour in the polls, Ms Truss and Mr Kwarteng abandoned the plan to abolish the highest 45% tax rate.
The proposed changes to corporation tax and dividend tax are those understood to be under discussion.
Downing Street insisted earlier on Thursday that there will be no more U-turns on policies in the government’s tax-cutting mini-budget despite pressure from Conservative MPs for changes to be made.
Asked to confirm there would be no further reversals, the prime minister’s official spokesman said: “Yes, as I said to a number of questions on this yesterday – and the position has not changed from what I set out to you all then.”
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2:48
Discussions happening over whether to scrap parts of the mini-budget
Ms Truss faces open revolt in her party over the £45bn package of unfunded tax cutsin the mini-budget, which unleashed chaos in the markets when it was announced last month.
The chancellor will set out his debt-cutting plan in more detail on 31 October, having bowed to pressure to bring the date forward from 23 November given the economic turbulence.
Earlier on Thursday, James Cleverly, the foreign secretary, refused to say there would be no more reversals.
He told Sky News the Halloween statement would give “a more holistic assessment of the public finances and our response to the global headwinds that every democracy, every economy in the world is facing”.
Pressed on the plan to axe the increase in corporation tax from 19% to 25% in April, Mr Cleverly said it is “absolutely right” the government helps businesses to “stay competitive” and “stay afloat”.
The Treasury had vowed to reduce the rate of income tax on dividends by 1.25 percentage points.
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2:54
How long can Truss stay in power?
Mr Kwarteng is meetingwith International Monetary Fund (IMF) leaders in Washington DC today, after the institution’s chief economist said tax cuts threatened to cause “problems” for the UK economy.
Speaking at a press conference in Washington, the managing director of the IMF said it is sometimes right for a “recalibration” of policies as she was questioned over reports of further U-turns after the mini-budget market chaos.
Kristalina Georgieva said: “Our message to everybody, not just the UK, is that at this time, fiscal policy should not undermine monetary policy.”
Meanwhile, in a post on social media on Thursday, former Conservative chancellor George Osborne questioned why Ms Truss and Mr Kwarteng would wait for the chancellor’s statement on 31 October to perform an “inevitable U-turn” on their mini-budget.
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1:32
Tories ‘must get back to being fiscally responsible’
On Wednesday, Mel Stride, the Tory chairman of the Commons Treasury Committee, said that given Ms Truss’s commitments to protect public spending, there was a question over whether any plan that did not include “at least some element of further row back” on the tax-slashing package can reassure investors.
While David Davis, the Tory former minister, called the mini-budget a “maxi-shambles” and suggested reversing some of the tax cuts would allow Ms Truss and Mr Kwarteng to avert leadership challenges for a few months.
A powerful 8.8-magnitude earthquake has struck off Russia’s far eastern Kamchatka Peninsula, causing a tsunami.
A tsunami of up to four metres (13 feet) was recorded in Kamchatka Peninsula, leading to evacuations and damaging buildings, officials said.
Tsunami warnings have been issued for Japan, the Philippines, Hawaii and parts of Alaska in the US.
The Honolulu Department of Emergency Management in Hawaii has called for the evacuation of some coastal areas, writing on X: “Take Action! Destructive tsunami waves expected.”
The first waves in Hawaii are expected to hit at 7pm local time (6am UK time).
The Pacific Tsunami Warning Center has said waves of one to three meters (three to 10 feet) above tide level were possible along some coastal areas of Hawaii, Chile, Japan and the Solomon Islands.
Kamchatka Governor Vladimir Solodov had earlier said: “Today’s earthquake was serious and the strongest in decades of tremors.”
Several people in the region sought medical assistance following the quake, Oleg Melnikov, regional health minister told Russia’s Tass state news agency.
“Unfortunately, there are some people injured during the seismic event. Some were hurt while running outside, and one patient jumped out of a window. A woman was also injured inside the new airport terminal,” Mr Melnikov said.
Russia’s Tass news agency reported from the biggest city nearby, Petropavlovsk-Kamchatsky, that many people ran out into the street, while cabinets toppled inside homes, mirrors were broken, cars swayed on roads and balconies on buildings shook noticeably.
Power outages and mobile phone service failures were also reported in the capital of the Kamchatka region.
The first tsunami wave hit the coastal area of Severo-Kurilsk, the main settlement on Russia’s Kuril Islands in the Pacific, according to the local governor Valery Limarenko.
He said residents were safe and staying on high ground until the threat of a repeat wave was gone.
A regional branch of Russia’s geophysical service has said that “significant, noticeable” aftershocks with magnitudes of up to 7.5 after expected to continue for at least another month.
Japan issued a tsunami warning, saying it expects waves as high as three metres to arrive along large coastal areas along the Pacific Ocean.
Image: Waves off the coast of the Hokkaido Prefecture in Japan after the tsunami warning was issued. Pic: AP
It has ordered the evacuation of some areas.
The National Tsunami Warning Center, based in Alaska, issued a tsunami warning for parts of the Alaska Aleutian Islands.
A tsunami warning also was extended to the US state of Hawaii, with the National Weather Service’s Pacific Tsunami Warning Center saying a tsunami from the quake had been generated that could cause damage along the coastlines of all the Hawaiian islands.
A tsunami “watch” was issued for portions of the West Coast, including California, Oregon, and Washington.
The US Geological Survey said the earthquake was shallow at a depth of 19.3 km (12 miles), and was centred about 125 km (80 miles) east-southeast of Petropavlovsk-Kamchatsky, a city of 165,000 along the coast of Avacha Bay. It revised the magnitude up twice from 8.0 and 8.7 to 8.8 earlier.
Meanwhile, New Zealand’s disaster management agency has warned that the country’s coastal areas could expect “strong and unusual currents and unpredictable surges at the shore”.
In a national advisory alert, Civil Defence New Zealand said there was no immediate need to evacuate but said citizens should stay away from beaches and shore areas.
This breaking news story is being updated and more details will be published shortly.
“Children are eating out of piles of garbage” – that was the answer from UNICEF’s Salim Oweis when I asked if aid was now getting to those who need it.
The phone call was intended for background to try to get a clearer idea of the latest aid distribution in Gaza, but it’s a conversation I won’t forget.
“Parents are crushing whatever they can into water, most likely unclean water, because there is no infant milk or formula. The reports are horrific,” says Salim.
“Our colleagues are struggling to find enough food for themselves.”
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2:39
Sky News on Gaza aid-drop plane
Image: A woman with an air-dropped food parcel in Gaza City. Pic: Reuters
It’s been three days since Israel announced humanitarian pauses to allow aid to get to starving people in Gaza but it’s not yet being felt on the ground.
I’m told more aid trucks have entered Kerem Shalom – the border crossing between Gaza and Israel – but that’s only the first stage of the journey.
The aid then needs to be collected and brought inside the Gaza Strip, then taken to partners on the ground for distribution.
It’s a lengthy process, and it needs to be accelerated with urgency.
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0:44
Trump: Gaza children ‘look very hungry’
So far, lorries carrying famine preventative supplies have been collected – that’s high-energy biscuits, food for children between six months and two years, infant formula, vaccines and nappies.
Therapeutic food, which has a peanut butter like consistency, and is aimed to treat malnutrition has arrived at Kerem Shalom but there’s no confirmation yet on whether it’s made it in.
I had not heard of therapeutic food before. I’ve since learnt it is high in energy and micronutrients and won’t treat the complications of malnutrition, but will get a child out of the danger zone.
Image: Vials of the DTP vaccine and infant formula were collected at the Kerem Shalom crossing on Sunday. Pic: UNICEF
There is an ongoing issue of desperate people attempting to loot these lorries as they enter Gaza.
“The more aid that goes in, the more the looting will decrease because people will trust that there is now food coming back in,” says Salim.
But the amount getting in is still a fraction of what is needed.
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1:08
Israeli organisations accuse Israel of genocide
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The situation is so desperate, not everyone can wait until tomorrow for help. People are now dying everyday in Gaza due to hunger.
There is no time for wrangling over detail. Food is needed in mass quantities immediately. We have had warnings for months that Gaza was on the brink of famine. It’s now here.
For those working to help the most vulnerable and innocent in Gaza, it feels extremely personal.
“The rest of the world has failed the children and the civilians of Gaza,” says Salim.
“The world is numb and leaders of the world are apparently deaf.”
We are on our way to Gaza with the Jordanian military.
The aircraft is hot and noisy and as we get closer, the atmosphere gets more tense. Aircrew gesture with their hands to tell us how many minutes there are to go. Fifteen. Six. One.
The Jordanian military C-130 flies out over the sea before banking and heading inland for Gaza. The parachutes, attached to the top of each of the eight pallets, are prepared for the drop.
As land approaches, I look down. The ground is modern and built up – we’re still over southern Israel.
Then a few short minutes later, it’s clear we’ve crossed Gaza’s border.
The ground turns grey, the shapes of buildings disappear, there are no cars, no people.
You can see the outline of communities and villages that are now flattened. Mile after mile of grey rubble.
This mission by the Royal Jordanian Air Force is one of the first aid drop flights since Israel announced they could resume. It is carrying eight tonnes of food and baby formula.
Image: Jordanian military personnel load aid parcels on to a plane in Zarqa, Jordan. Pic: Reuters
Image: Pic: Reuters
Foreign nations know this is a deeply flawed way of delivering aid – road convoys are far more effective and can carry far more – but the Jordanian flight crew say the need in Gaza is so urgent, it’s simply an attempt to do something.
When the aircraft ramp opens, the aid is pushed out and it’s gone in seconds.
The parachutes seem peaceful as they open and their fall slows. But dropping food from the sky is a dangerous and undignified way to feed people.
On the ground it’s chaos.
Our colleagues in Gaza say the fighting for food has become lethal – gangs are now punching and stabbing people to reach it first. Most critically, it’s not getting to the weakest. To those who really need it.
One man becomes emotional as he describes racing to find food and leaving with nothing.
“I came only for my son,” he says. “I wouldn’t come here if it was just for me. When you have a child, they need bread.”
He’s an engineer in normal times and seems in disbelief that his life has come to this. “The aid comes from the sky and we have to run after it. I’ve never had to do this in my life.”