Jeremy Hunt to defend autumn statement amid warning of record fall in living standards
Jeremy Hunt will continue to defend his autumn statement today as experts warn of a record fall in living standards across the country.
The chancellor presented his economic plan to parliament on Thursday, littered with stealth taxes and curbs on government spending amounting to £55bn in an attempt to plug the black hole in public finances.
But the independent Office for Budget Responsibility warned the disposable incomes of UK households would fall by 7.1% over the next two years – the lowest level since records began in 1956/7, and taking incomes down to 2013 levels.
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As a result of the Mr Hunt’s announcements, the tax burden in the UK will also now be at its highest since the Second World War, and there are stark warnings about increased bills and higher unemployment as the recession takes hold – as well as predictions the economy will still shrink 1.4% in 2023.
But most of the difficult decisions on spending have been postponed until after the next general, due in 2024.
Both the Resolution Foundation and the Institute for Fiscal Studies will lay out their own analysis of the plans later this morning, but Treasury analysis already suggests around 55% of households will be worse off as a result of the measures.
Meanwhile, Labour has blamed “12 weeks of Conservative chaos” and “12 years of Conservative economic failure” for the bleak outlook.
Shadow chancellor Rachel Reeves accused the government of forcing the UK economy into a “doom loop where low growth leads to higher taxes, lower investments and squeezed wages, with the running down of public services”.
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During his statement, Mr Hunt distanced himself from the philosophy of Liz Truss’s short-lived government – which promised billions of unfunded tax cuts and sent the markets into turmoil.
Yet, while the chancellor froze tax thresholds, lowered the point the higher rate of income tax kicks in and extended the windfall tax on energy firms (the latter, a Labour policy) amid other measures, he also promised more spending on the NHS, social care and education, as well as re-committing to uprating pensions and benefits in line with inflation.
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Hunt questioned over autumn statement
Mr Hunt also pledged to continue support for energy bills from April next year – though raising the cap to £3,000 for the average household.
Speaking to reporters after the announcement, he said the government was “helping every bit as much as we can” to reduce the impact of the recession on households and businesses, as well as protecting public services.
But he pointed to those spending decisions, adding: “As soon as the recession is behind us, then, yes, we will consolidate to make sure that we’re balancing our books – and I think that’s what people would want.”
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’12 weeks of Conservative chaos’ – Rachel Reeves
While many in his party were supportive of the “difficult decisions”, the chancellor made in light of the energy crisis, the war in Ukraine and the fallout from the pandemic – as well as Ms Truss’s tenure in office – other Tories warned against hiking taxes while the country is in a recession.
Former party leader Sir Iain Duncan Smith told Sky News: “My worry is they’ve estimated that they will get certain revenues from their tax rises [but] those tax rises could end up damaging the economy and they won’t get the revenues thereafter, which means they’ll be back again looking for more.
“[There] is every chance that tax increases don’t yield what you think they will, so this could lead to a deeper recession. We need to watch that very carefully and see where it goes.”
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And former Wales Secretary David Jones told the Telegraph that the if high taxes continue, “the prospects of Tories winning the next election… are going to become more remote”.
Opposition parties were also quick to condemn the plan, with Liberal Democrat MP Sarah Olney saying it will “cause untold pain for everyone”, and the SNP’s Kirsty Blackman saying it “ushered in a new era of damaging austerity cuts”.
MPs will debate the measures in the Commons on Monday and Tuesday next week.
A judo Olympian has said her family is “devastated” after the discovery of body in the search for her missing brother.
Lubjana Piovesana, 28, appealed for help to find her younger sibling, Luis, 26, on Saturday. He had not been seen since the early hours of Friday morning.
A body was found in the River Frome near Napier Road in Eastville, Bristol, at around 6pm today, Avon and Somerset Police said.
Formal identification is yet to take place, the force added.
In a post on Instagram, Ms Piovesana wrote: “Hello everyone, Luis has been found.
“We are completely devastated but he has passed away.
“I am grateful for everyone’s support. And I am so sorry this happened.
“Luis was my little brother and loved by everyone. I wish he could have seen the love from everyone. He will be remembered by us all.”
The post was signed off with a dove emoji.
Luis Piovesana did not have any money or his mobile phone with him when he went missing, police said. Pics: Avon & Somerset Police
Mr Piovesana was last seen at around 3am on Friday at the Eastgate retail park, which is less than a 10-minute walk away from where the body was found.
He had travelled there by taxi from a venue in Little Ann Street, St Jude’s, a 10-minute drive away.
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The 26-year-old’s family spent the weekend searching for him, and asked people to check their sheds and gardens.
His partner, Laurin Bohler, said loved ones had travelled from Birmingham to help.
Mounted officers and police drones were also involved in the investigation.
Ms Piovesana competed for Team GB before switching to the Austrian team, and defeated British competitor Lucy Renshall in the women’s -63kg judo event at the Paris Olympics last year.
A man has been jailed for life for murdering his son’s girlfriend after she returned home from the school run.
Officers from Dyfed-Powys Police were called to an address on Bigyn Road in Llanelli, Carmarthenshire, on 5 July last year.
Sophie Evans, 30, had sustained 72 separate injuries on the outside of the body, “all but three of them new injuries”.
Richard Jones, who is now 50, believed he was “being taken advantage of financially” by Ms Evans and his son, with whom she was in a relationship.
While the purpose of Jones’s visit was “purely normal”, he confronted her on that morning about his suspicions and Ms Evans’s reaction was such that Jones “lost [his] temper”.
He subjected Ms Evans to “gross violence” before ultimately strangling her and leaving the property to run errands, including ordering a new bank card and buying pastries from a bakery.
Richard Jones. Pic: Dyfed-Powys Police
‘Last time on their school run’
During sentencing on Monday, the defendant kept his head bowed for most of the hearing.
He will have to serve at least 20 years behind bars before he can be considered for release by the parole board.
Swansea Crown Court heard Ms Evans was the mother of two young children.
Passing his sentence, Judge Geraint Walters said Ms Evans “had just taken her two children for the last time on their school run” prior to the attack.
“She wasn’t to know that when she parted company with them that morning,” he added.
The court heard the Jones believed he was being defrauded by Ms Evans and his son.
“There is clear evidence, that in the days leading up to this, that you had begun harbouring thoughts that Sophie Evans and your own son were in fact financially scamming you,” he said.
“What precisely brought about that view is difficult to determine.”
Judge Walters said Jones “lost [his] temper when [he] didn’t get the answer that [he] thought [he] deserved”.
He added that, having lost his temper, the defendant “subjected [Ms Evans] to gross violence over a period of time, before you ultimately extinguished her life by strangulation”.
The court was told in evidence that at the time of the attack, Ms Evans was wearing only a bath towel.
‘The rock of our family’
In a victim personal statement, Ms Evans’s sister Kerry Quinlan told the court she was “the rock of our family”.
She said Ms Evans was taken from them in a “senseless and cruel act”.
“Words cannot express fully how much of a loss this has been to her children,” she added.
“When they cry themselves to sleep wanting their mum, she isn’t there and never will be.”
Ms Quinlan added that Jones had “taken everything from us, all in the most despicable way possible”.
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Ms Evans’s partner at the time, and the defendant’s son, Jamie Davies, said in a victim personal statement, read on his behalf, that they had both “trusted” Jones, and that Ms Evans had even been planning the defendant’s 50th birthday.
“The thought of having to live my life without Sophie causes me extreme pain and heartache,” he added.
Prosecuting, Michael Jones KC said the offence was aggravated by the defendant’s previous convictions and the fact Ms Evans was murdered in her home.
In mitigation, David Elias KC said there was a “lack of premeditation”.
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