Autumn statement: Chancellor Jeremy Hunt to claim economy is ‘back on track’

Published

2 years ago

November 21, 2023

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Jeremy Hunt will claim the economy is “back on track” in an autumn statement that is expected to prioritise tax cuts and economic growth.

The chancellor is expected to say the government’s plan for the economy is “working” but “the work is not done” as he unveils measures to boost business investment by £20bn a year, cut tax and get more people into work.

Mr Hunt will also set out decisions to grow the economy, reduce debt and return inflation to the Bank of England target of 2% – building further on Mr Sunak’s pledge to halve inflation by the end of the year.

Politics news – latest: Tories ‘running out of time’ – so expect tax cuts

After keeping coy about the prospect of tax cuts, they now appear to be firmly on the table as Mr Hunt vows to “reject big government, high spending and high tax because we know that leads to less growth, not more”.

But Labour’s shadow chancellor Rachel Reeves claimed the Tories were the party of “high tax”, adding: “Nothing the chancellor says or does in his autumn statement can change their appalling record.”

The hint of tax cuts comes after a Sky News poll of polls put the Tories 20 points behind Labour,

This is a worse margin than where Rishi Sunak was at the start of the autumn, when the Conservatives were an average of 18 points behind.

National insurance expected to be cut and national living wage increased

Among the key measures expected to be announced is a possible cut to national insurance contributions.

The government is also hoping to incentivise work by shaking up the welfare system and increasing the national living wage, which will rise from £10.42 to £11.44 from April and will benefit workers aged 21 and over, rather than 23 and over.

It will mean an £1,800 annual pay rise next year for a full-time worker on the living wage, while 18 to 20-year-olds will receive a £1.11 hourly rise to £8.60.

Mr Hunt is expected to say in his statement: “After a global pandemic and energy crisis, we have taken difficult decisions to put our economy back on track.

“We have supported families with rising bills, cut borrowing and halved inflation.

“The economy has grown. Real incomes have risen.

“Our plan for the British economy is working. But the work is not done.

“Conservatives know that a dynamic economy depends less on the decisions and diktats of ministers than on the energy and enterprise of the British people.”

In total the chancellor is expected to announce 110 different growth measures for businesses, including plans to cut tax, remove planning red tape and speed up access to the national grid.

Meanwhile, there will also be support for entrepreneurs to raise capital policies to unlock foreign direct investment and to boost productivity.

“Taken together we will increase business investment in the UK economy by around £20bn a year over the next decade and get Britain growing,” Mr Hunt will say.

The chancellor is expected to take advantage of headroom in the public finances – created as a result of higher wages and the freeze in income tax thresholds – to reduce taxes while also sticking to his fiscal rules.

They dictate that the government should have debt falling in the fifth year of the economic forecast and that borrowing should be less than 3% of gross domestic product (GDP).

In an interview with Sky News, former home secretary Dame Priti Patel expressed her desire to see tax cuts.

“This government has got the highest tax take in 70 years,” she said.

“I am an absolute advocate of making sure that hard-pressed taxpayers can keep more of their money. And you know, that is through tax cuts.

“And there are ways in which that can be achieved through targeted tax cuts, such as addressing the conundrum of fiscal drag where so many more people get dragged into the higher tax.”

Mr Hunt will also pledge to “reform welfare” in the autumn statement after already confirming a £2.5bn Back to Work plan, which aims to bring 1.1 million people back in the workforce.

Measures in the plan including removing benefits such as free prescriptions and legal aid from job seekers who are judged not to be looking for work.

Ms Reeves said: “After 13 years of economic failure under the Conservatives, working people are worse off.

“Prices are still rising in the shops, energy bills are up and mortgage payments are higher after the Conservatives crashed the economy.

“The 25 Tory tax rises since 2019 are the clearest sign of economic failure, with households paying £4,000 more in tax each year than they did in 2010.

“The Conservatives have become the party of high tax because they are the party of low growth. Nothing the chancellor says or does in his autumn statement can change their appalling record.”

Politics

SEC approves conversion of Grayscale’s large-cap crypto fund into ETF

Published

3 hours ago

July 1, 2025

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<div>SEC approves conversion of Grayscale's large-cap crypto fund into ETF</div>

Grayscale has slowly narrowed the arbitrage opportunities on its crypto trusts by converting them into exchange-traded funds.

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Chief rabbi condemns BBC’s ‘mishandled response’ to anti-IDF chanting at Glastonbury – as Bob Vylan issue new statement

Published

4 hours ago

July 1, 2025

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Chief rabbi condemns BBC's 'mishandled response' to anti-IDF chanting at Glastonbury - as Bob Vylan issue new statement

The chief rabbi has described the BBC’s response to anti-IDF chanting at Glastonbury as “belated and mishandled” – as the punk-rap duo involved, Bob Vylan, said the UK government needed to talk about its “criminal inaction”.

Sir Ephraim Mirvis said “vile Jew-hatred” had been aired at the Somerset music festival and it was a “time of national shame”.

Confidence in the BBC’s “ability to treat antisemitism seriously” has been brought to a “new low”, he said in a post on X, adding that “outright incitement to violence and hatred” appeared to be acceptable if it was couched as “edgy political commentary”.

Ordinary people had not only failed to see incitement “for what it is” but had cheered it, chanted it, and celebrated it, he said. “Toxic Jew-hatred is a threat to our entire society,” he added.

Bob Vylan, posting a new statement on Instagram on Tuesday, said they were “not for the death of Jews, Arabs or any other race or group of people”.

Rather, they were for the “dismantling of a violent military machine” – the Israel Defence Forces.

Bob Vylan chanted “death to the IDF” at Glastonbury. As many as 95% of the IDF are thought to be Jewish.

In their statement, the group said they were a “distraction from the story” and that whatever “sanctions” they received would also be a distraction.

Their US visas have been revoked and United Talent Agency, their US representatives, have dropped them.

Referring to the war in Gaza, they claimed the UK government does not want them to ask “why they remain silent in the face of this atrocity”, “why they aren’t doing more to stop the killing” and “feed the starving”.

They added: “The more time they talk about Bob Vylan, the less time they spend answering for their criminal inaction.

“We are being targeted for speaking up. We are not the first, we will not be the last, and if you care for the sanctity of human life and freedom of speech, we urge you to speak up, too.”

It has emerged that Tim Davie, the BBC’s director-general, was at Glastonbury when the duo led chants of “Death to the IDF” which were broadcast live.

The prime minister’s spokesman, asked if the PM had confidence in Mr Davie, said Sir Keir Starmer had “confidence in the BBC”, adding: “The position of the director-general is a matter for the BBC’s board.”

Speaking in the Commons, Culture Secretary Lisa Nandy said “accountability” was important and it was something she had “impressed upon the BBC leadership”.

She added: “When you have one editorial failure, it’s something that must be gripped. When you have several, it becomes a problem of leadership.”

The cabinet minister said she’d called Mr Davie after Bob Vylan’s set had been broadcast to find out why it had aired, and why the feed had not been cut.

“I expect answers to these questions without delay,” she said.

Meanwhile Dame Caroline Dinenage, chair of the culture, media and sport committee, has written to Mr Davie in relation to the corporation’s Glastonbury coverage.

The committee has said the letter asks about editorial and decision-making processes and whether consideration was given to broadcasting with a delay. It also asks about staffing levels at the festival and contingency planning.

Avon and Somerset Police has begun a criminal investigation and is reviewing footage of both Bob Vylan and Kneecap’s performances at Glastonbury.

The force said a senior detective had been appointed – and it had been contacted by people from around the world.

“We… recognise the strength of public feeling,” it said.

During Kneecap’s set, one member suggested starting a “riot” outside his bandmate’s forthcoming court appearance, before clarifying that he meant “support”. Liam Og O hAnnaidh, also known as Mo Chara, is charged with a terror offence.

Bob Vylan had been due to tour the US before their visas were revoked.

US deputy secretary of state Christopher Landau said action had been taken “in light of their hateful tirade at Glastonbury, including leading the crowd in death chants”.

“Foreigners who glorify violence and hatred are not welcome visitors to our country,” he added.

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During Bob Vylan’s set, the duo performed in front of a screen that showed several messages, including one that claimed Israel’s actions in Gaza amounted to “genocide”.

The war in Gaza began after Hamas militants attacked Israel on 7 October 2023 and killed 1,200 people and took about 250 hostage.

Israel’s offensive in Gaza has led to the deaths of more than 56,500 people, according to the Hamas-run health ministry, which does not differentiate between civilians and combatants.

Media watchdog Ofcom has said the BBC “clearly has questions to answer” over the live stream from Glastonbury.

A BBC spokesperson said: “The director-general was informed of the incident after the performance and at that point he was clear it should not feature in any other Glastonbury coverage.”

The broadcaster respects freedom of expression but “stands firmly against incitement to violence”, they said.

They added: “The antisemitic sentiments expressed by Bob Vylan were utterly unacceptable and have no place on our airwaves…

“The team were dealing with a live situation, but with hindsight we should have pulled the stream during the performance. We regret this did not happen.”