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Jeremy Hunt will promise to weather an economic “storm” by raising taxes, cutting public spending and scaling back energy support to fill a £54bn black hole in the nation’s finances.

The chancellor will insist to MPs on Thursday that his autumn statement puts the UK on a “balanced path to stability” as he tackles the “enemy” of inflation, which has soared to a 41-year high.

But the measures could put him on a collision course with Tory MPs on the right of his party who are already voicing anger about the prospect of some of the plans.

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An 11th hour petition from two dozen Tory MPs, led by Jonathan Gullis, has been sent to the chancellor asking him not to hike fuel duty in the statement.

The package will be in the form of £30bn of spending cuts and £24bn in tax rises over the next five years – a stark contrast to Kwasi Kwarteng’s unfunded tax-slashing spending splurge two months ago.

Among the measures, annual energy bills for a typical household will stay capped at £2,500, but this will rise to £3,000 in April 2023, when support will become more targeted with additional payments for low-income households and pensioners, Sky’s political editor Beth Rigby understands.

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On tax rises, those with the broadest shoulders will bear most of the burden, but there will be pain all around.

The chancellor is expected to lower the threshold for paying the highest rate of tax to £125,000 – down from the existing £150,000.

This is a marked difference to Liz Truss’s plans to scrap the 45p rate altogether, giving the highest earners an average tax cut of £10,000.

Analysis says lowering the threshold will bring an extra 246,000 people into the highest bracket at a cost to them of around £580 each a year, which in turn would raise the Treasury £1.3bn a year.

Mr Hunt is also expected to announce a freeze on personal income tax and national insurance tax thresholds lasting until 2028.

Sometimes referred to as a “stealth tax”, freezing tax thresholds drags more earners into paying higher rates of tax.

Mr Hunt has already hinted he will make it easier for local authorities to increase council tax, with reports suggesting the threshold for raising bills without a referendum could increase from 2.99% to 5%.

There is also expected to be a big increase in the windfall tax on energy companies, and a new tax on electricity generators.

Labour has previously said a windfall tax extension could raise an additional £50bn, and criticised what it calls the “loophole” that allows gas and oil firms to offset their tax liability if they invest back into the UK.

On spending cuts, departments are expected to be told to live within an envelope of the March Spending Review, when inflation at was 3%.

With inflation now at 11.1%, that amounts to a real-terms cut across the board, meaning tough choices will be necessary.

However, there will be some exceptions, with the NHS expected to get more money.

There is also likely to be some protection for the schools budget, Sky’s deputy political editor Sam Coates understands.

“There will inevitably be some good news after the weeks of doom-laden warnings,” he said.

Mr Sunak and Mr Hunt have spent weeks warning that tough choices lay ahead.

However, the prime minister told Sky News on Tuesday that “fairness and compassion” will be at the heart of his decisions.

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Rishi Sunak refuses to apologise for the economic turmoil Liz Truss’s short-lived government caused for the UK

It is understood the chancellor will keep the triple lock for pensioners in his autumn statement – honouring a manifesto commitment.

He is also expected to uprate benefits in line with inflation, rather than earnings (a controversial move that would have saved £5bn).

The government has not confirmed what measures will be in the statement, but there has been a constant stream of measures reportedly being considered.

This “pitch rolling” helps markets get an idea of what is coming down the road and avoids spooking traders.

When Ms Truss and Mr Kwarteng made several surprise announcements in their mini-budget in September, it contributed to the financial chaos which saw the pound crash and the Bank of England forced to intervene to prevent pension funds from collapsing.

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Analysis released on Monday by the independent Resolution Foundation think tank found the mistakes they made cost the UK £30bn, doubling the sum the Treasury says will have to be raised.

Mr Hunt will say that his “difficult decisions” are necessary to keep mortgage rates low and tackle the rocketing energy and food prices intensifying the cost of living crisis.

“Families across Britain make sacrifices every day to live within their means, and so too must governments because the United Kingdom will always pay its way,” he is expected to say.

But Tories on the right of the Conservative Party are already voicing anger about the prospect of raising taxes.

Among the Tory critics, former cabinet minister Esther McVey has warned she will not support tax rises without the scrapping of the “unnecessary vanity project” of HS2.

Former business secretary Jacob Rees-Mogg told ITV’s Peston he would vote for the budget so as to not bring the government down, but warned he opposes tax increases, which he believes “risks making a recession worse”.

Labour has also warned that Britain is “falling behind on the global stage”.

Shadow chancellor Rachel Reeves said: “The country is being held back by 12 years of Tory economic failure and wasted opportunities and working people are paying the price.

“What Britain needs in the autumn statement are fairer choices for working people, and a proper plan for growth.”

And Sharon Graham, the general secretary of the Unite union, warned Mr Hunt “workers are ready to take a stand”.

“He can choose to inject investment into the NHS and deliver a fair pay deal – or he can leave it as it is today, in danger of fatal collapse,” she said.

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It’s not ‘traditional’ wildfire season – so why have the California fires spread so quickly?

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It's not 'traditional' wildfire season - so why have the California fires spread so quickly?

A real-life drama is unfolding just outside Hollywood. Ferocious wildfires have ballooned at an “alarming speed”, in just a matter of hours. Why?

What caused the California wildfires?

There are currently three wildfires torching southern California. The causes of all three are still being investigated.

The majority (85%) of all forest fires across the United States are started by humans, either deliberately or accidentally, according to the US Forest Service.

But there is a difference between what ignites a wildfire and what allows it to spread.

However these fires were sparked, other factors have fuelled them, making them spread quickly and leaving people less time to prepare or flee.

The main culprit so far is the Santa Ana winds.

Follow live: Malibu residents told to get ready to flee

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LA residents face ‘long and scary night ahead’

What are Santa Ana winds?

So-called Santa Ana winds are extreme, dry winds that are common in LA in colder winter months.

The California Department of Forestry and Fire Protection warned strong Santa Ana winds and low humidity are whipping up “extreme wildfire risks”.

Winds have already topped 60mph and could reach 100mph in mountains and foothills – including in areas that have barely had any rain for months.

It has been too windy to launch firefighting aircraft, further hampering efforts to tackle the blazes.

These north-easterly winds blow from the interior of Southern California towards the coast, picking up speed as they squeeze through mountain ranges that border the urban area around the coast.

They blow in the opposite direction to the normal onshore flow that carries moist air from the Pacific Ocean into the area.

The lack of humidity in the air parches vegetation, making it more flammable once a fire is started.

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Wildfires spread as state of emergency declared

The ‘atmospheric blow-dryer’ effect

The winds create an “atmospheric blow-dryer” effect that will “dry things out even further”, said Daniel Swain, a climate scientist at University of California, Los Angeles (UCLA).

The longer the extreme wind persists, the drier the vegetation will become, he said.

“So some of the strongest winds will be at the beginning of the event, but some of the driest vegetation will actually come at the end, and so the reality is that there’s going to be a very long period of high fire risk.”

What role has climate change played?

California governor Gavin Newsom said fire season has become “year-round in the state of California” despite the state not “traditionally” seeing fires at this time of year – apparently alluding to the impact of climate change.

Scientists will need time to assess the role of climate change in these fires, which could range from drying out the land to actually decreasing wind speeds.

But broadly we know that climate change is increasing the hot, dry weather in the US that parches vegetation, thereby creating the fuel for wildfires – that’s according to scientists at World Weather Attribution.

But human activities, such as forest management and ignition sources, are also important factors that dictate how a fire spreads, WWA said.

Read more:
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A U.S flag flies as fire engulfs a structure while the Palisades Fire burns during a windstorm on the west side of Los Angeles, California.
Pic: Reuters
Image:
Pic: Reuters

Southern California has experienced a particularly hot summer, followed by almost no rain during what should be the wet season, said Professor Alex Hall, also from UCLA.

“And all of this comes on the heels of two very rainy years, which means there is plenty of fuel for potential wildfires.

“These intense winds have the potential to turn a small spark into a conflagration that eats up thousands of acres with alarming speed – a dynamic that is only intensifying with the warmer temperatures of a changing climate.”

The flames from a fire that broke out yesterday evening near a nature reserve in the inland foothills northeast of LA spread so quickly that staff at a care home had to push residents in wheelchairs and hospital beds down the street to a car park.

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LA wildfire site is one of most exclusive suburbs – but it’s in the grips of one of mother nature’s terrifying levellers

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LA wildfire site is one of most exclusive suburbs - but it's in the grips of one of mother nature's terrifying levellers

Pacific Palisades is one of Los Angeles’s most expensive and exclusive suburbs, home to film stars and billionaires.

The broad boulevards are framed by palm trees and gated mansions with swimming pools.

But it’s in the grips of one of mother nature’s terrifying levellers, a firestorm which is ripping through community after community, raging and unremitting.

Follow live: 30,000 told to flee

Firefighters battle the Palisades Fire as it burns multiple structures in the Pacific Palisades neighborhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Ethan Swope)
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Pic: AP

A firefighter jumps over a fence while fighting the Palisades Fire in the Pacific Palisades neighbourhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Ethan Swope)
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A firefighter jumps over a fence while fighting the Palisades Fire. Pic: AP

A billowing cloud of black smoke loomed over the main shopping street with its fancy restaurants and designer shops, threatening to destroy what many here consider to be their slice of paradise.

It is a reminder of the destructive power of this sort of weather.

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Martha Kelner reports from Pacific Palisades

Reza, a lifelong resident of Pacific Palisades, was evacuating with what belongings he could fit in his SUV.

“This is surreal, this is unbelievable,” he said.

Reza, a lifelong resident of Pacific Palisades, was evacuating with what belongings he could fit in his SUV.
Image:
Reza, a lifelong resident of Pacific Palisades, was evacuating with what belongings he could fit in his SUV.

“I’ve lived here all my life but this is like nothing I’ve ever seen before. This is the worst of the worst.

“I’ve never seen it with these winds, we just keep praying that the direction changes. But if the direction changes it’s to the detriment of somebody else, that’s the horrible part about it all.”

Firefighters hose down flames as the Palisades Fire destroys a residence in the Pacific Palisades neighborhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Etienne Laurent)
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Pic: AP

A residence burns as a firefighter battles the Palisades Fire in the Pacific Palisades neighborhood of Los Angeles Tuesday, Jan. 7, 2025. (AP Photo/Eugene Garcia)
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Pic: AP

A residence burns as the Palisades Fire advances in the Pacific Palisades neighborhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Ethan Swope)
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Pic: AP

January is not normally wildfire season, but these are not ordinary circumstances, the blazes being propelled by the strongest winds in southern California for more than a decade, fuelled by drought conditions.

Authorities are warning that the winds will grow stronger overnight, meaning that conditions will likely worsen before they get better.

Police and the fire department went door to door, urging people to evacuate or risk losing their lives.

On the main road out of town, there was gridlock traffic, with some abandoning their cars to flee on foot.

Firefighters battle the advancing Palisades Fire in the Pacific Palisades neighborhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Etienne Laurent)
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Pic: AP

On Mount Holyoake Avenue, Liz Lerner, an 84-year-old with congestive heart failure, was on her driveway and visibly panicked.

“I don’t drive, and I’m by myself,” she said.

“I have no relatives, I’m 100% alone and I don’t know what to do. My father built this house in 1949, this is my family home and this is the end. I’ve never seen anything like this.”

On Mount Holyoake Avenue, Liz Lerner, an 84 year old with congestive heart failure, was on her driveway and visibly panicked.
Image:
Liz Lerner, an 84 year old with congestive heart failure, was on her driveway and visibly panicked

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Around the corner, another man was hosing down his multi-million dollar home in a bid to save his property from the fire bounding towards it from a nearby canyon.

“I can’t decide whether to evacuate or stay and carry on hosing down my house,” he said.

“It’s hard to know which way the flames are heading.”

A firefighter makes a stand in front of the advancing Palisades Fire in the Pacific Palisades neighborhood of Los Angeles, Tuesday, Jan. 7, 2025. (AP Photo/Etienne Laurent)
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Pic: AP

Other blazes were breaking out across LA with firefighting planes grounded because of winds which are growing stronger by the hour.

More homes, neighbourhoods and lives are under threat from this perfect and petrifying storm.

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Soldiers concerned at time SAS had ‘golden pass to get away with murder’ in Afghanistan, inquiry hears

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Soldiers concerned at time SAS had 'golden pass to get away with murder' in Afghanistan, inquiry hears

Soldiers working within the UK’s special forces discussed concerns that Afghans who posed no threat were being murdered in raids against suspected Taliban insurgents, an inquiry has been told.

One soldier, who was reading operational reports of SAS actions, said in an email in 2011 that they feared that UK special forces seemed “beyond reproach”, with “a golden pass allowing them to get away with murder”.

Another soldier said they were aware of rumours of special forces soldiers using “dropped weapons” – which were munitions allegedly placed next to targets to give the impression they were armed when they were shot.

It was also suggested that the act was known as a “Mr Wolf” – supposedly a reference to the fixer “Winston Wolfe” from the film Pulp Fiction.

The claims come from hundreds of pages of documents detailing evidence given to a public inquiry into alleged war crimes committed by British special forces soldiers in Afghanistan between 2010 and 2013.

The independent inquiry was ordered by the Ministry of Defence (MoD) after the BBC reported claims that SAS soldiers from one squadron had killed 54 people in suspicious circumstances during the war in Afghanistan more than a decade ago.

The inquiry is examining a number of night-time raids carried out by British forces from mid-2010 to mid-2013.

On Wednesday, it released evidence from seven UK special forces (UKSF) witnesses who gave their evidence in secret for national security reasons and cannot be named.

None of the soldiers who gave evidence to the inquiry, which opened in 2023, said they had witnessed any such behaviour themselves.

‘Fighting age males’

One of the soldiers, known only as N1799, told the inquiry they had raised concerns in 2011 about a unit referred to as UKSF1 after having a conversation about its operations with one of its members on a training course.

“During these operations it was said that ‘all fighting age males are killed’ on target regardless of the threat they posed, this included those not holding weapons,” their witness statement said.

“It was also indicated that ‘fighting age males’ were being executed on target, inside compounds, using a variety of methods after they had been restrained. In one case it was mentioned a pillow was put over the head of an individual before being killed with a pistol.”

The soldier said he was also informed that weapons were being “dropped” next to victims “to give the impression that a deceased individual had been armed when shot”, the inquiry heard.

Such a dropped weapon was colloquially known as a “Mr Wolf”, but N1799 stated he had “no idea at all” where the term came from.

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Counsel to the inquiry Oliver Glasgow KC asked: “When you heard it described as a ‘Mr Wolf’, was that used by one person or by more than one person or can you not remember?”

N1799 replied: “At least two or three people.”

Mr Glasgow continued: “Have you seen the film Pulp Fiction by Quentin Tarantino, where the individual who introduces himself as Mr Wolf says ‘I’m Mr Wolf and I’m here to solve problems’? Do you remember that?

The witness said: “No, I don’t.”

Mr Glasgow said: “Well, it is probably not essential viewing for anyone, but that particular individual in that film, he acts to clear up problems and to make crimes go away, does he not?”

N1799 responded: “Right. I had not put two and two together.”

The inquiry heard that N1799 escalated their concerns to other senior officers who took them seriously.

But, questioned by Mr Glasgow on whether they had any concerns for their own personal wellbeing after making allegations, the witness said: “I did then and I still do now.”

‘Mud-slinging’

Another officer, referred to as N2107, emailed colleagues expressing his disbelief at summaries of operations which suggested detained suspects had been allowed back into compounds where they were then said to have picked up weapons and attempted to attack the unit.

Meanwhile, a special forces commanding officer told the inquiry he believed reporting allegations of murder to his counterpart in another unit may have been seen as “mud-slinging”.

He said there was an “at times fractious and competitive” relationship between his unit and the accused unit.

In one of the hearings, he was asked whether he thought about reporting the allegations to his direct counterpart within the unit, but said it was a “deliberate act” to report up rather than sideway as it may be seen as “mud-slinging”.

British military police have previously conducted several inquiries into allegations of misconduct by forces in Afghanistan, including those made against the SAS.

However, the MoD has said none found enough evidence for prosecutions.

The inquiry’s aim is to ascertain whether there was credible information of extra-judicial killings, whether investigations
by the military police years later into N1799’s concerns were properly conducted, and if unlawful killings were covered up.

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