Connect with us

Published

on

Sir Keir Starmer has mocked Liz Truss for ducking an urgent question on the economy in the Commons, saying “the lady is not for turning up”.

Penny Mordaunt answered the question on the prime minister’s behalf, and the Labour leader thanked her, saying: “I guess under this Tory government, everybody gets to be prime minister for 15 minutes.”

He continued: “Mr Speaker, the country is in an economic crisis made in Downing Street because they’ve lost all credibility.

Hunt shreds Liz Truss’s economic strategy – politics live

“Government borrowing costs have soared, mortgage rates have ballooned. Markets need reassuring and there is long-term damage that can’t be undone.”

He added: “Once you’ve crashed the car 100 miles an hour, you’ve damaged it for good and you’re going to be paying much more on your insurance for years to come. And it’s working people who will pay.”

Sir Keir accused the prime minister of “hiding away” and said she was “scared of her own shadow”.

More on Penny Mordaunt

Other MPs also questioned the whereabouts of the prime minister, with Labour’s Stella Creasy asking if she was “cowering under her desk and asking for it all to go away”.

Ms Mordaunt, the Commons leader, said she was deputising for Ms Truss because the prime minister “is detained on urgent business”, adding: “I can assure the House that, with regret, she is not here for a very good reason.”

After ducking the showdown with the Labour leader, Ms Truss entered the chamber for a statement from Jeremy Hunt, the new chancellor.

Jeremy Hunt
Image:
Ms Truss turned up to parliament for Jeremy Hunt’s statement

The prime minister is fighting for her political life after Mr Hunt ditched the bulk of the economic strategy that brought her into office just six weeks ago.

In an emergency statement designed to calm the markets on Monday morning, Mr Hunt announced the support for household energy bills would be scaled back and “almost all” the tax cuts promised by his predecessor, Kwasi Kwarteng, would be reversed.

Sir Keir said the prime minister has no mandate for the changes, saying instead of leadership there is a “vacuum”.

He told the Commons: “Now is a time for consistent messaging. But what do we get? A prime minister saying absolutely no spending reductions, a chancellor saying there will be cuts. A prime minister saying she’s in charge, a chancellor who thinks he’s the CEO and she’s just the chair.”

He added: “How can Britain get the stability it needs when the prime minister has no mandate from her party and no mandate from the country?”

Ms Mordaunt defended the prime minister’s decision to sack Mr Kwarteng, a long-standing friend and ally, saying changing course was the “right thing to do” and “it took courage”.

Read More:
Hunt announces new economic council to provide government with ‘expert advice’
Hunt says Liz Truss will still be PM at Christmas and calls on Tory MPs to ‘give her a chance’

She deferred questions on the economy to Mr Hunt, who addressed the Commons afterwards and announced the formation of a new economic advisory council to provide “more independent expert advice” to the government.

The changes Mr Hunt revealed earlier today include:

  • No cuts to dividend tax rates
  • Repeal of the easing of IR35 rules for the self-employed introduced in 2017 and 2021
  • No new VAT-free shopping scheme for overseas visitors to the UK
  • No freeze on alcohol duty rates
  • Basic rate of income tax to remain at 20%, not reduce to 19% from April 2023
  • Energy price guarantee only until April 2023.

The government had already abandoned plans to scrap the 45p rate of income tax for top earners and had backtracked on a promise not to increase corporation tax.

The changes dramatically cut the cost of Mr Kwarteng’s £45bn tax giveaway, reducing it by around £32bn.

Ms Truss is now fighting to save her premiership, with five Conservative MPs publicly calling for her to go.

Continue Reading

UK

UK economy grows by 0.1% between July and September – slower than expected

Published

on

By

UK economy grows by 0.1% between July and September - slower than expected

The UK economy grew by 0.1% between July and September, according to the Office for National Statistics (ONS).

However, despite the small positive GDP growth recorded in the third quarter, the economy shrank by 0.1% in September, dragging down overall growth for the quarter.

The growth was also slower than what had been expected by experts and a drop from the 0.5% growth between April and June, the ONS said.

Economists polled by Reuters and the Bank of England had forecast an expansion of 0.2%, slowing from the rapid growth seen over the first half of 2024 when the economy was rebounding from last year’s shallow recession.

And the metric that Labour has said it is most focused on – the GDP per capita, or the economic output divided by the number of people in the country – also fell by 0.1%.

Reacting to the figures, Chancellor of the Exchequer Rachel Reeves said: “Improving economic growth is at the heart of everything I am seeking to achieve, which is why I am not satisfied with these numbers.

“At my budget, I took the difficult choices to fix the foundations and stabilise our public finances.

“Now we are going to deliver growth through investment and reform to create more jobs and more money in people’s pockets, get the NHS back on its feet, rebuild Britain and secure our borders in a decade of national renewal,” Ms Reeves added.

The sluggish services sector – which makes up the bulk of the British economy – was a particular drag on growth over the past three months. It expanded by 0.1%, cancelling out the 0.8% growth in the construction sector.

The UK’s GDP for the most recent quarter is lower than the 0.7% growth in the US and 0.4% in the Eurozone.

The figures have pushed the UK towards the bottom of the G7 growth table for the third quarter of the year.

It was expected to meet the same 0.2% growth figures reported in Germany and Japan – but fell below that after a slow September.

Read more from Sky News:
Chancellor vows to rip up financial red tape
Massive winter fuel payment ‘cut’ no one ever talks about

The pound remained stable following the news, hovering around $1.267. The FTSE 100, meanwhile, opened the day down by 0.4%.

The Bank of England last week predicted that Ms Reeves’s first budget as chancellor will increase inflation by up to half a percentage point over the next two years, contributing to a slower decline in interest rates than previously thought.

Announcing a widely anticipated 0.25 percentage point cut in the base rate to 4.75%, the Bank’s Monetary Policy Committee (MPC) forecast that inflation will return “sustainably” to its target of 2% in the first half of 2027, a year later than at its last meeting.

The Bank’s quarterly report found Ms Reeves’s £70bn package of tax and borrowing measures will place upward pressure on prices, as well as delivering a three-quarter point increase to GDP next year.

Continue Reading

UK

Meeting the deeply radical anti-tax group that is ‘growing in popularity’

Published

on

By

Meeting the deeply radical anti-tax group that is 'growing in popularity'

“If you are a member of something, it means you’ve accepted membership. Anything with ‘ship’ on the end, it’s giving you a clue: it’s telling you that’s maritime law. That means you’ve entered into a contract.”

This isn’t your standard legal argument and it is becoming clear that I am dealing with an unusual way of looking at the world.

I’m in the library of a hotel in Leicestershire, a wood-panelled room with warm lighting, and Pete Stone, better known as Sovereign Pete, is explaining how “the system” works. Mr Stone is in his mid-50, bald with a goatee beard and wearing, as he always does for public appearances, a black T-shirt and black jeans.

With us are six other people, mainly dressed in neat jumpers. They’re members of the Sovereign Project (SP), an organisation Mr Stone founded in 2020, which, he says, now has more than 20,000 paying members.

As arcane as this may sound, it represents a worldview that is becoming more influential – and causing problems for authorities. Loosely, they’re defined as “sovereign citizens” or “freemen on the land”.

Sky News meets members of the Sovereign Project
Image:
The Sovereign Project claims to now have 20,000 paying members in the UK

Their fundamental point is that nobody is required to obey laws they have not specifically consented to – especially when it comes to tax. They have hundreds of thousands of followers in the UK across platforms including YouTube, Facebook and Telegram.

Increasingly, they are coming into conflict with governments and the law. Sovereign citizens have ended up in the High Court in recent months, challenging the legalities of tax bills and losing on both occasions.

More on Leicestershire

In October, four people were sentenced to prison for the attempted kidnapping of an Essex coroner, who they saw as acting unlawfully. The self-appointed “sheriffs” attempted to force entry to the court, one of them demanding: “You guys have been practising fraud!”

Please use Chrome browser for a more accessible video player

Moment ‘cult’ tries to kidnap coroner

The Sovereign Project is not connected to any of those cases, nor does it promote any sort of political action, let alone violence.

Instead, they are focused on issues like questioning the obligation to pay taxes, as Mr Stone explains, referencing the feudal system that operated in the Middle Ages.

“Do you know about the feudal system when people were slaves and were forced to pay tax?” he asks.

“Now, unless the feudal system still operates today, and we still have serfs and slaves, then the only way that you can pay taxes is to have a contract, you have to agree to it and consent to it.”

Another member, Karl Deans, a 43-year-old property developer who runs the SP’s social media, says: “We’re not here to dodge tax.”

Local government tends to be a target beyond just demands for tax. Mr Stone speaks of “council employee crimes”.

I ask whether, considering the attempted kidnapping in Essex, there is a danger that people will listen to these accusations of crimes by councils and act on them.

“Well that’s proved,” Mr Stone says. “We only deal with facts.”

Sky News meets members of the Sovereign Project
Image:
Sky’s Tom Cheshire (second left) meets ‘Sovereign Pete’ (left) and other groups members

Evidence suggests this approach is becoming an issue for councils across the UK, as people search online for ways to avoid paying tax.

Sky News analysis shows that out of 374 council websites covering Great Britain, at least 172 (46%) have pages responding to sovereign citizen arguments around avoiding paying council tax. They point out that liability for council tax is not dependent on consent, or a contract, and instead relies on the Local Government Finance Act 1992, voted on by Parliament.

But the Sovereign Project’s worldview extends beyond council tax. It is deeply anti-establishment, at times conspiratorial. Stone suggests the summer riots may have been organised by the government.

“The sovereign fraternity operates above all of this,” he says. “We look down at the world like a chessboard. We see what’s going on.”

He explains that, really, the UK government isn’t actually in control: there is a shadow government above them.

“These are the people who control government,” he explains.

“A lot of people say this could be the crown council of 13, this could be a series of Italian families.”

People protest in Sunderland city centre following the stabbing attacks on Monday in Southport.
Image:
Violence broke out in numerous towns and cities in August. Pic: PA

Follow Sky News on WhatsApp
Follow Sky News on WhatsApp

Keep up with all the latest news from the UK and around the world by following Sky News

Tap here

Professor Christine Sarteschi, an expert in sovereign citizens at Chatham University, Pittsburgh, says she’s worried about the threat sovereign citizens may pose to the rule of law, especially in the US where guns are readily available.

“The movement is growing and that’s evidenced by seeing it in different countries and hearing about different cases. The concern is that they will become emboldened and commit acts of violence,” she says.

“Because sovereigns truly believe in their ideas and if they feel very aggrieved by, you know, the government or whomever they think is oppressing them or controlling them… they can become emotionally involved.

“That emotional involvement sometimes leads to violence in some cases, or the belief that they have the power to attempt to overthrow a government in some capacity.”

Professor Christine Sarteschi, an expert in Sovereign Citizens at Chatham University, Pittsburgh
Image:
Professor Christine Sarteschi

Much of this seems to be based on an underlying and familiar frustration at the state of this country and of the world.

Mr Stone echoes some of the characteristic arguments also made by the right, that there is “two-tier policing”, that refugees arriving in the UK are “young men of fighting age”, that the government is using “forced immigration to destroy the country”.

Another SP member, retired investment banker David Hopgood, 61, says: “I firmly believe it is the true Englishman – and woman – of this country – that has the power to unlock this madness that’s happening in the West.

“We’ve got the Magna Carta – all these checks and balances. We just need to pack up, go down to Parliament and say: It’s time to dismiss you. You’re not fit for purpose.”

The members of the Sovereign Project are unfailingly patient and polite in explaining their understanding of the world.

But there is no doubt they hold a deeply radical view, one that is apparently growing in popularity.

Continue Reading

UK

Wes Streeting ‘crossed the line’ by opposing assisted dying in public, says Labour peer Harriet Harman

Published

on

By

Wes Streeting 'crossed the line' by opposing assisted dying in public, says Labour peer Harriet Harman

Wes Streeting “crossed the line” by opposing assisted dying in public and the argument shouldn’t “come down to resources”, a Labour peer has said.

Speaking on Sky News’ Electoral Dysfunction podcast, Baroness Harriet Harman criticised the health secretary for revealing how he is going to vote on the matter when it comes before parliament later this month.

MPs are being given a free vote, meaning they can side with their conscience and not party lines, so the government is supposed to be staying neutral.

But Mr Streeting has made clear he will vote against legalising assisted dying, citing concerns end-of-life care is not good enough for people to make an informed choice, and that some could feel pressured into the decision to save the NHS money.

He has also ordered a review into the potential costs of changing the law, warning it could come at the expense of other NHS services if implemented.

Baroness Harman said Mr Streeting has “crossed the line in two ways”.

👉 Click here to listen to Electoral Dysfunction on your podcast app 👈

“He should not have said how he was going to vote, because that breaches neutrality and sends a signal,” she said.

“And secondly… he’s said the problem is that it will cost money to bring in an assisted dying measure, and therefore he will have to cut other services.

“But paradoxically, he also said it would be a slippery slope because people will be forced to bring about their own death in order to save the NHS money. Well, it can’t be doing both things.

“It can’t be both costing the NHS money and saving the NHS money.”

Please use Chrome browser for a more accessible video player

Review into assisted dying costs

Baroness Harman said the argument “should not come down to resources” as it is a “huge moral issue” affecting “only a tiny number of people”.

She added that people should not mistake Mr Streeting for being “a kind of proxy for Keir Starmer”.

“The government is genuinely neutral and all of those backbenchers, they can vote whichever way they want,” she added.

Read more on this story:
‘Fix care before assisted dying legislation’
Why assisted dying is controversial – and where it’s already legal

Prime Minister Sir Keir Starmer has previously expressed support for assisted dying, but it is not clear how he intends to vote on the issue or if he will make his decision public ahead of time.

The cabinet has varying views on the topic, with the likes of Justice Secretary Shabana Mahmood siding with Mr Streeting in her opposition but Energy Secretary Ed Miliband being for it.

Britain's Secretary of State for Energy Security and Net Zero Ed Miliband walks on Downing Street on the day of the budget announcement, in London, Britain October 30, 2024. REUTERS/Maja Smiejkowska
Image:
Energy Security and Net Zero Secretary Ed Miliband is said to support the bill. Pic: Reuters

Shabana Mahmood arrives 10 Downing Street.
Pic: Reuters
Image:
Justice Secretary Shabana Mahmood has concerns. Pic: Reuters

Follow Sky News on WhatsApp
Follow Sky News on WhatsApp

Keep up with all the latest news from the UK and around the world by following Sky News

Tap here

The Terminally Ill Adults (End of Life) Bill is being championed by Labour backbencher Kim Leadbeater, who wants to give people with six months left to live the choice to end their lives.

Under her proposals, two independent doctors must confirm a patient is eligible for assisted dying and a High Court judge must give their approval.

Please use Chrome browser for a more accessible video player

Labour MP Kim Leadbeater discusses End of Life Bill

The bill will also include punishments of up to 14 years in prison for those who break the law, including coercing someone into ending their own life.

MPs will debate and vote on the legislation on 29 November, in what will be the first Commons vote on assisted dying since 2015, when the proposal was defeated.

Continue Reading

Trending