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Tory MPs have stepped up calls for the government to cut taxes after pharmaceutical giant AstraZeneca overlooked Britain for a new £320m drug factory.

Sir Pascal Soriot, the firm’s chief executive, said it wanted to build a new plant close to its existing sites in northwest England but “because the tax rate was discouraging” chose Dublin instead.

The UK’s corporate tax rate is due to rise from 19% to 25% in April, while a tax relief scheme for businesses is expected to end and energy support will begin to fall away.

Conservative MP John Redwood tweeted: “AstraZeneca’s decision to invest in Ireland not the UK because our tax rates are too high shows how damaging government tax policy is.

“High taxes destroy jobs and result in less tax revenue.”

Mr Redwood said the new science minister, Michelle Donelan, “needs to tell the Treasury she cannot do her job with high tax rates and additional taxes sending people and money abroad”.

Ms Donelan was appointed during Prime Minister Rishi Sunak’s shake-up of Whitehall this week, which included the creation of a new government department focused on science, innovation and technology.

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The government has pledged to turn the UK into a “science superpower”, building on the UK’s COVID-19 vaccine successes.

But Matt Hancock, who was health secretary during the pandemic, said the move by AstraZeneca to build its factory in low-tax Ireland deals a blow to that ambition.

He tweeted: “This decision was completely avoidable. Across life sciences, data, AI, clinical trials & other industries of the future, we are squandering a lead, failing to capitalise on the global success of our vaccine programme.

“This is a massive wake-up call.”

Chancellor ‘disappointed we lost out this time’

Chancellor Jeremy Hunt today admitted he was “disappointed we lost out this time” in relation to AstraZeneca’s decision to snub the UK.

Speaking to broadcasters from a science facility in central London he said: “We agree with the fundamental case they’re making which is that we need our business taxation to be more competitive and we want to bring business taxes down.

“But the only tax cuts we won’t consider are ones that are funded by borrowing because they’re not a real tax cut. They’re just passing on the bill to future generations.”

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The chancellor warned the UK ‘is not out of the woods’ despite the economy avoiding a recession.

Mr Hunt has continued to resist pressure to cut taxes ahead of his budget next month, after a bleak assessment from the IMF that the UK economy will fare worse than any other advanced nation this year – including sanction-hit Russia.

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Negative ‘noise’ drowning out positive

Dr Richard Torbett, chief executive of the Association of the British Pharmaceutical Industry (ABPI), also called for government action to provide a “level playing field”.

He told BBC Radio 4’s Today programme: “There are more stories about losing investment, like the one we’ve seen with AstraZeneca, than the positive noise stories coming in, and we really have to turn that around.”

Concerns within the pharmaceutical industry have also been focused on the NHS-branded medicines sales levy.

The scheme caps the health service’s branded medicines bill, meaning that drug manufacturers face a charge if it rises more than two per cent annually.

But industry leaders including AstraZeneca are lobbying for change as payments have soared because of rising demand since the pandemic.

Mr Torbett said: “The agreement we have with the NHS – that has got to the point where companies are now paying more than a quarter of their revenues – not profit but revenues – back to the government.

“That is vastly in excess of anything the industry pays anywhere else in the world and we have to get to the point where the UK is able to compete for investment on a level playing field, and we are not there yet.”

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Israel pounds outskirts of Gaza City overnight as military offensive plans continue

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Israel pounds outskirts of Gaza City overnight as military offensive plans continue

Israel pounded the outskirts of Gaza City overnight, as Benjamin Netanyahu’s government vowed to press on with a planned offensive on the city.

Families streamed out of the city as the explosions hit.

“I stopped counting the times I had to take my wife and three daughters and leave my home in Gaza City,” said Mohammad, 40.

“No place is safe, but I can’t take the risk. If they suddenly begin the invasion, they will use heavy fire.”

Mahmoud Abedrabo mourns over the body of his son Hamada in Gaza City on 24 August. Pic: Reuters
Image:
Mahmoud Abedrabo mourns over the body of his son Hamada in Gaza City on 24 August. Pic: Reuters

Others said they would prefer to die and not leave.

“We are not leaving, let them bomb us at home,” said Aya, 31, who has a family of eight, adding that they couldn’t afford to buy a tent or pay for the transportation.

“We are hungry, afraid and don’t have money,” she said.

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Mourners pray next to the body of Palestinian boy Hamada Abedrabo on 24 August. Pic: Reuters
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Mourners pray next to the body of Palestinian boy Hamada Abedrabo on 24 August. Pic: Reuters

Witnesses said that overnight they heard nonstop explosions in Zeitoun and Shejaia.

Tanks shelled houses and roads in Sabra, and buildings were blown up in Jabalia.

On Sunday, the IDF said its forces had returned to combat in Jabalia to strengthen its control of the area and dismantle militant tunnels.

Smoke rises following an Israeli strike in Gaza City. Pic: Reuters
Image:
Smoke rises following an Israeli strike in Gaza City. Pic: Reuters

It added that the operation there “enables the expansion of combat into additional areas and prevents Hamas terrorists from returning to operate in these areas.”

This month, Israel approved a plan to seize control of Gaza City. The offensive isn’t expected to start for another few weeks.

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In the meantime, mediators in Egypt and Qatar are trying to resume ceasefire talks between the two sides.

On Friday, Israel’s defence minister Israel Katz said that Gaza City will be razed unless Hamas releases all its remaining hostages and ends the war on Israel’s terms.

Mourners transport the body of  Ahmed Balata on 24 August. Pic: Reuters
Image:
Mourners transport the body of Ahmed Balata on 24 August. Pic: Reuters

Around half of Gaza’s two million residents currently live in the city and on Friday a global hunger monitor said that Gaza City and its surrounding areas are officially suffering from famine that will likely spread.

Israel said the monitor ignores steps Israel has taken since late July to increase aid supplies into and across Gaza.

Eight more people died of malnutrition and starvation in Gaza, according to the Hamas-run Gaza health ministry on Saturday.

281 people, including 114 children, have now died of malnutrition and starvation since the war started, according to the ministry.

The war began on 7 October 2023, when Hamas-led gunmen killed around 1,200 people in southern Israel, mainly civilians, and took 251 hostages.

Since then, Israel has killed at least 62,000 Palestinians, according to the Gaza health ministry, and internally displaced nearly its entire population.

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Two married couples found dead in British car after crash in Germany

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Two married couples found dead in British car after crash in Germany

Two married couples have died after a British car veered off the road and crashed in Germany, according to police.

The fatal accident happened shortly after midnight on Saturday in the trees near a highway in the Kassel district, north of Hesse in central Germany.

The 32-year-old male driver, a 31-year-old female passenger, a 32-year-old female passenger, and a 30-year-old female passenger all died at the scene, despite the efforts of German emergency services.

Sky News understands UK officials have not been contacted for assistance.

At roughly 12.30am on Saturday, the car appears to have veered off the road and crashed into nearby trees around 30m from the road, according to the Kassel police department.

Pic: Feuerwehr Reinhardshagen
Image:
Pic: Feuerwehr Reinhardshagen

One of the victim’s phones automatically alerted the emergency services to the incident, who sent an ambulance to the scene.

Soon, fire engines, ambulances, command vehicles and emergency support vehicles were all dispatched.

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When emergency workers arrived, the car was lying on its side, wedged between several trees.

It wasn’t until they removed the roof that they found all four passengers.

Pic: Feuerwehr Reinhardshagen
Image:
Pic: Feuerwehr Reinhardshagen

The accident happened on Highway L3229
Image:
The accident happened on Highway L3229

The emergency workers who dealt with the victims were immediately supported by the specialist mental health workers at the fire station in Reinhardshagen.

“This high number of deaths is an extraordinary operation for our Reinhardshagen Volunteer Fire Department,” said a fire department spokesperson.

“For some of the emergency personnel, it is the first time they have been confronted with death in this way.

“Therefore, a great deal is being done to help us process these images. We will also discuss this among ourselves and within families, because not everyone can easily shake off what they have seen.”

An investigation into the accident is ongoing and is being conducted by the Hofgeismar police station.

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Legendary boxer Julio César Chávez Jr. to stand trial in Mexico over alleged cartel ties

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Legendary boxer Julio César Chávez Jr. to stand trial in Mexico over alleged cartel ties

Legendary boxer Julio César Chávez Jr. will stand trial over alleged cartel ties and arms trafficking, his lawyer has said. 

A Mexican court has granted a three-month extension for further investigation into the case, according to Chávez’s lawyer, Rubén Fernando Benítez Alvarez.

He said the claims against his client were “speculation” and “urban legends” after a court hearing on Saturday in the northern Mexican city of Hermosillo.

If convicted, Chávez – who took part in the hearing virtually from a detention facility – could face a prison sentence of four to eight years, Mr Alvarez said.

Chávez, 39, who has been living in the United States for several years, was arrested in early July by federal agents outside his Los Angeles home for overstaying his visa and providing inaccurate details on an application to obtain a green card.

The arrest came just days after a fight he had with famed American boxer Jake Paul in Los Angeles.

Mexican prosecutors have been investigating the boxer since 2019 after US authorities filed a complaint against the Sinaloa Cartel for organized crime, human trafficking, arms smuggling, and drug trafficking.

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The case prompted investigations into 13 individuals, including Ovidio Guzmán López – the son of convicted drug lord Joaquín “El Chapo” Guzmán – as well as several associates, hitmen, and accomplices of the criminal organization. Guzmán López was arrested in January 2023 and extradited to the US eight months later.

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Following the inquiry, the Federal Attorney General’s Office issued several arrest warrants, including one against Chávez.

The boxer was deported by the US on 9 August and handed over to agents of the Federal Attorney General’s Office in Sonora state, who transferred him to the Federal Social Reintegration Center in Hermosillo.

The high-profile case comes amid the Trump administration’s efforts to pressure Mexico into cracking down on organized crime, including cancelling visas of prominent Mexican artists and celebrities, and increasing deportations.

Chávez has struggled with drug addiction throughout his career and has been arrested multiple times. In 2012, he was found guilty of driving under the influence in Los Angeles and was sentenced to 13 days in jail.

The boxer was arrested last year for weapons possession. Police said Chávez had two rifles.

He was released shortly afterward upon posting $50,000 bail (£36,000), on the condition that he attend a facility to receive treatment for his addiction.

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