Connect with us

Published

on

Rishi Sunak will be under increased pressure as MPs return to Westminster on Monday after their summer recess.

The prime minister has been accused of presiding over a “zombie parliament” – not just by Labour, as would be expected, but in a parting shot by Nadine Dorries, who has finally vacated her seat of Mid Bedfordshire – triggering another by-election in a safe Tory seat.

It comes as a new crisis has unfolded in England’s schools, with more than 100 being told they would either be forced to shut or partially close over fears about the type of concrete used in their buildings.

On top of that, Saturday saw the highest number of migrant Channel crossings so far this year.

The timing could not be worse for Mr Sunak, whose director of communications, Amber de Botton, resigned on Friday after less than a year in the role and with a general election looming around the corner.

The prime minister is under more pressure to make progress on his five pledges or else risk his backbenchers becoming increasingly agitated.

He faces pressure, too, from the opposition benches, with Labour accusing the government of being “unable to deliver its own agenda”.

More on Conservatives

The government’s Online Safety Bill had been “drastically watered down”, according to the opposition, who accused the prime minister of being “too weak” to pass the original legislation.

Labour says several pledges including reform of the Mental Health Act and of the audit system could be left out of the upcoming King’s Speech entirely.

Here, Sky News takes a look at the key problems in the prime minister’s in-tray.

Concrete crisis

After years of disruption caused by the COVID pandemic and more recently teacher strikes, parents are braced for yet more home-schooling after the Department for Education announced more than 100 schools would either have to close or partially close due to the use of reinforced autoclaved aerated concrete, known as RAAC.

Around 104 schools or “settings” will be disrupted on top of 50 that have already been affected this year.

The department said the vast majority of schools and colleges “will be unaffected” – but Labour criticised the move as a “staggering display of Tory incompetence”.

Please use Chrome browser for a more accessible video player

Hunt promises ‘to keep children safe’

And in an interview on Sky News’ new politics show, Sunday Morning with Trevor Phillips, Chancellor Jeremy Hunt admitted more schools and other public buildings with structural problems could come to light as the government carries out its “exhaustive” programme into the problem.

“Obviously we might find new information in the weeks or months ahead and we will act on it, but in terms of the information we have today we have acted immediately, we will continue to act, we will continue to invest,” he said.

Record boat numbers

One of Mr Sunak’s five pledges – to stop migrant boat crossings in the Channel – is also under serious doubt after a summer of setbacks.

The prime minister has already had to contend with the fact that more than 100,000 people have made the crossing since records began in 2018 – a milestone he certainly does not want to be associated with.

A bad situation was made worse when the latest round of Home Office figures showed 872 people were detected crossing the Channel in small boats yesterday – the highest number on a single day so far this year.

The Saturday figure has taken the total to arrive so far this year to 20,973.

It prompted Labour to accuse Mr Sunak of having “badly broken his promise on small boats”.

Rising cost of living

The most consistent problem Mr Sunak has had to contend with is the cost of living crisis, where high inflation is eroding people’s pay packets.

Please use Chrome browser for a more accessible video player

In full: Jeremy Hunt

Mr Sunak has pledged to halve inflation, which currently stands at 6.8%, by the end of the year – which some in his party feel has made him a hostage to fortune.

While the government has been buoyed by figures from the Office for National Statistics (ONS) which showed the UK’s economy was 0.6% larger than pre-pandemic levels by the fourth quarter of 2021, there are no signs yet the pressure has eased up on people’s pockets.

Energy watchdog Ofgem has warned that while the energy price cap is going to fall in October, families are “absolutely going to struggle” with their bills this winter as its boss urged the government to bring back support for families.

Politics Hub with Sophy Ridge promo

A typical household paying by direct debit for gas and electricity will face an annual charge of £1,923 from October to December, a fall of about £150.

Despite that, millions of households could end up paying more because government support with bills – worth £66 a month – has now been withdrawn.

Reflecting the tough economic situation is the fact that junior doctors and consultants have agreed to go on strike for the first time in NHS over four days across September and October – coinciding with Mr Sunak’s first Tory conference as leader and prime minister.

Tata talks

Sky News revealed this week the government is in advanced talks with Britain’s biggest steel producer to hand over a £500m aid package aimed at securing the long-term future of steelmaking in South Wales.

Please use Chrome browser for a more accessible video player

‘We can compete with China’

Whitehall officials and Tata Steel are close to agreeing a deal that would commit more than £1bn to the future of its Port Talbot steelworks – but which could ultimately result in thousands of job losses.

Under the plans currently envisaged, the government would commit approximately £500m of public funding to the company, while Tata Steel’s Indian parent would sign off £700m of capital expenditure over a multi-year period.

Port Talbot employs about 4,000 people – roughly half of Tata Steel’s overall UK workforce of approximately 8,000.

Industry sources close to the discussions said the company had indicated that over the long term, as many as 3,000 of its British-based staff were likely to lose their jobs.

Mr Hunt was challenged about the package by Trevor Phillips on Sunday, who asked whether the government was propping up an industry the government knows can’t compete with China.

Mr Hunt hit back by arguing the UK “can certainly compete with China”.

He said: “We are the world’s second-largest colleagues offshore wind producer and when it comes to high-end manufacturing, as opposed to the very low-cost manufacturing, we have four of the world’s top 10 universities, amazing research and development happening here.

“And we have a British economy that is a global leader when it comes to life sciences, technology or arts manufacturing.”

Continue Reading

Politics

‘There is a global race underway for Bitcoin’ — Anthony Pompliano

Published

on

By

<div>'There is a global race underway for Bitcoin' — Anthony Pompliano</div>

The election of a pro-crypto President in the United States and growing macroeconomic turmoil will continue to drive investors to Bitcoin.

Continue Reading

Politics

Sir Keir Starmer vows to defend budget decisions ‘all day long’ as farmers slam ‘disrespectful’ PM

Published

on

By

Sir Keir Starmer vows to defend budget decisions 'all day long' as farmers slam 'disrespectful' PM

Sir Keir Starmer has said he will defend the decisions made in the budget “all day long” amid anger from farmers over inheritance tax changes.

Chancellor Rachel Reeves announced last month in her key speech that from April 2026, farms worth more than £1m will face an inheritance tax rate of 20%, rather than the standard 40% applied to other land and property.

The announcement has sparked anger among farmers who argue this will mean higher food prices, lower food production and having to sell off land to pay for the tax.

Sir Keir Starmer

Sir Keir defended the budget as he gave his first speech as prime minister at the Welsh Labour conference in Llandudno, North Wales, where farmers have been holding a tractor protest outside.

Sir Keir admitted: “We’ve taken some extremely tough decisions on tax.”

He said: “I will defend facing up to the harsh light of fiscal reality. I will defend the tough decisions that were necessary to stabilise our economy.

“And I will defend protecting the payslips of working people, fixing the foundations of our economy, and investing in the future of Britain and the future of Wales. Finally, turning the page on austerity once and for all.”

He also said the budget allocation for Wales was a “record figure” – some £21bn for next year – an extra £1.7bn through the Barnett Formula, as he hailed a “path of change” with Labour governments in Wales and Westminster.

And he confirmed a £160m investment zone in Wrexham and Flintshire will be going live in 2025.

‘PM should have addressed the protesters’

Among the hundreds of farmers demonstrating was Gareth Wyn Jones, who told Sky News it was “disrespectful” that the prime minister did not mention farmers in his speech.

He said “so many people have come here to air their frustrations. He (Starmer) had an opportunity to address the crowd. Even if he was booed he should have been man enough to come out and talk to the people”.

He said farmers planned to deliver Sir Keir a letter which begins with “‘don’t bite the hand that feeds you”.

Farmers' tractor protest outside the Welsh Labour conference in Llandudno, North Wales
Image:
Farmers’ tractor protest outside the Welsh Labour conference in Llandudno, North Wales

Mr Wyn Jones told Sky News the government was “destroying” an industry that was already struggling.

“They’re destroying an industry that’s already on its knees and struggling, absolutely struggling, mentally, emotionally and physically. We need government support not more hindrance so we can produce food to feed the nation.”

He said inheritance tax changes will result in farmers increasing the price of food: “The poorer people in society aren’t going to be able to afford good, healthy, nutritious British food, so we have to push this to government for them to understand that enough is enough, the farmers can’t take any more of what they’re throwing at us.”

Mr Wyn Jones disputed the government’s estimation that only 500 farming estates in the UK will be affected by the inheritance tax changes.

“Look, a lot of farmers in this country are in their 70s and 80s, they haven’t handed their farms down because that’s the way it’s always been, they’ve always known there was never going to be inheritance tax.”

On Friday, Sir Keir addressed farmers’ concerns, saying: “I know some farmers are anxious about the inheritance tax rules that we brought in two weeks ago.

“What I would say about that is, once you add the £1m for the farmland to the £1m that is exempt for your spouse, for most couples with a farm wanting to hand on to their children, it’s £3m before anybody pays a penny in inheritance tax.”

Read more:
Ex-Labour adviser suggests doing to farms ‘what Thatcher did to coal mines’
Farmers ‘could block ports and disrupt food supply’

Welsh farmer Gareth Wyn Jones
Image:
Welsh farmer Gareth Wyn Jones

Ministers said the move will not affect small farms and is aimed at targeting wealthy landowners who buy up farmland to avoid paying inheritance tax.

But analysis this week said a typical family farm would have to put 159% of annual profits into paying the new inheritance tax every year for a decade and could have to sell 20% of their land.

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 Country and Land Business Association (CLA), which represents owners of rural land, property and businesses in England and Wales, found a typical 200-acre farm owned by one person with an expected profit of £27,300 would face a £435,000 inheritance tax bill.

The plan says families can spread the inheritance tax payments over 10 years, but the CLA found this would require an average farm to allocate 159% of its profits each year for a decade.

To pay that, successors could be forced to sell 20% of their land, the analysis found.

Continue Reading

Politics

Trump policies could take DeFi, BTC staking mainstream: Redstone co-founder

Published

on

By

Trump policies could take DeFi, BTC staking mainstream: Redstone co-founder

Trump’s administration could push DeFi from niche to mainstream, with crypto advocates eyeing potential pro-crypto policy shifts.

Continue Reading

Trending