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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,

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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.

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Ahead of Wednesday’s autumn statement, Sky News’ Ed Conway says the chancellor needs to get the national debt falling.

“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.

Read more:
Autumn statement: Public have ‘duty’ to work, says minister – as benefits shake-up looms
A look at the polls might explain the Tories’ new zeal for tax cuts | Beth Rigby

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.”

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Open border immigration ‘not pragmatic right now’, says Green Party leader

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Open border immigration 'not pragmatic right now', says Green Party leader

Greens leader Zack Polanski has rejected claims his party would push for open borders on immigration, telling Sky News it is “not a pragmatic” solution for a world in “turmoil”.

Mr Polanski distanced himself from his party’s “long-range vision” for open borders, saying it was not in his party’s manifesto and was an “attack line used by opponents” to question his credibility.

It came as Mr Polanski, who has overseen a spike in support in the polls to double figures, refused to apologise over controversial comments he made about care workers on BBC Question Time that were criticised across the political spectrum.

Mr Polanski was speaking to Sky News earlier this week while in Calais, where he joined volunteers and charities to witness how French police handle the arrival of migrants in the town that is used as a departure point for those wanting to make the journey to the UK.

He told Sky News he had made the journey to the French town – once home to the “Jungle” refugee camp before it was demolished in 2016 – to tackle “misinformation” about migration and to make the case for a “compassionate, fair and managed response” to the small boats crisis.

He said that “no manifesto ever said anything about open borders” and that the Greens had never stood at a general election advocating for them.

“Clearly when the world is in political turmoil and we have deep inequality, that is not a situation we can move to right now,” he said.

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“That would also involve massive international agreements and cooperation. That clearly is not a pragmatic conversation to have right now. And very often the government try to push that attack line to make us look not pragmatic.”

The party’s manifesto last year did not mention open borders, but it did call for an end to the “hostile environment”, more safe and legal routes and for the Home Office to be abolished and replaced with a department of migration.

Asked why the policy of minimal restrictions on migration had been attributed to his party, Mr Polanski said open borders was part of a “long-range vision of what society could look like if there was a Green government and if we’d had a long time to fix some of the systemic problems”.

‘We should recognise the contribution migrants make’

Mr Polanski, who was elected Green Party leader in September and has been compared to Nigel Farage over his populist economic policies, said his position was one of a “fair and managed” migration system – although he did not specify whether that included a cap on numbers.

He acknowledged that there needed to be a “separate conversation” about economic migration but that he did not believe any person who boarded a small boat was in a “good situation”.

While Mr Polanski stressed that he believed asylum seekers should be able to work in Britain and pay taxes, he also said he believed in the need to train British workers in sectors such as care, where one in five are foreign nationals.

Asked what his proposals for a fair and managed migration system looked like, and whether he supported a cap on numbers, Mr Polanski said: “We have 100,000 vacancies in the National Health Service. One in five care workers in the care sector are foreign nationals.

Zack Polanski speaks to Sky News from a warehouse in Calais where charities and organisations provide migrants with essentials.
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Zack Polanski speaks to Sky News from a warehouse in Calais where charities and organisations provide migrants with essentials.

“Now, of course, that is both British workers and we should be training British workers, but we should recognise the contribution that migrants and people who come over here make.”

I’m not going to apologise’

Mr Polanski also responded to the criticism he attracted over his comments about care workers on Question Time last week, where he told the audience: “I don’t know about you, but I don’t particularly want to wipe someone’s bum” – before adding: “I’m very grateful for the people who do this work.”

His comments have been criticised by a number of Labour MPs, including Wes Streeting, the health secretary, who said: “Social care isn’t just ‘wiping someone’s bum’. It is a hard, rewarding, skilled professional job.

“This is immigration as exploitation.”

Read more:
The Greens leader who wants to be the Farage of the left
Will Farage racism allegations deter voters?

Asked whether he could understand why some care workers might feel he had talked down to them, the Greens leader replied: “I care deeply about care workers. When I made those comments, it’s important to give a full context. I said ‘I’m very grateful to people who do this important work’ and absolutely repeat that it’s vital work.”

“Of course, it is not part of the whole job, and I never pretended it was part of the whole job.”

Mr Polanski said he “totally” rejected the suggestion that he had denigrated the role of care workers in the eyes of the public and said his remarks were made in the context of a “hostile Question Time” where he had “three right-wing panellists shouting at me”.

Pressed on whether he wanted to apologise, he replied: “I’m not going to apologise for being really clear that I’m really grateful to the people who do this really vital work. And yes, we should be paying them properly, too.”

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Crypto groups slam Citadel for urging tighter DeFi tokenization rules

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Crypto groups slam Citadel for urging tighter DeFi tokenization rules

A group of crypto organizations has pushed back on Citadel Securities’ request that the Securities and Exchange Commission tighten regulations on decentralized finance when it comes to tokenized stocks.

Andreessen Horowitz, the Uniswap Foundation, along with crypto lobby groups the DeFi Education Fund and The Digital Chamber, among others, said they wanted “to correct several factual mischaracterizations and misleading statements” in a letter to the SEC on Friday.

The group was responding to a letter from Citadel earlier this month, which urged the SEC not to give DeFi platforms “broad exemptive relief” for offering trading of tokenized US equities, arguing they could likely be defined as an “exchange” or “broker-dealer” regulated under securities laws.

“Citadel’s letter rests on a flawed analysis of the securities laws that attempts to extend SEC registration requirements to essentially any entity with even the most tangential connection to a DeFi transaction,” the group said.

The group added they shared Citadel’s aims of investor protection and market integrity, but disagreed “that achieving these goals always necessitates registration as traditional SEC intermediaries and cannot, in certain circumstances, be met through thoughtfully designed onchain markets.”

Citadel’s ask would be impractical, group says

The group argued that regulating decentralized platforms under securities laws “would be impracticable given their functions” and could capture a broad range of onchain activities that aren’t usually considered as offering exchange services.

The letter also took aim at Citadel’s characterization that autonomous software was an intermediary, arguing it can’t be a “‘middleman’ in a financial transaction because it is not a person capable of exercising independent discretion or judgment.”

Source: DeFi Education Fund

“DeFi technology is a new innovation that was designed to address market risks and resiliency in a different way than traditional financial systems do, and DeFi protects investors in ways that traditional finance cannot,” the group argued.

Related: SEC’s Crenshaw takes aim at crypto in final weeks at agency

In its letter, Citadel had argued that the SEC giving the green light to tokenized shares on DeFi “would create two separate regulatory regimes for the trading of the same security” and would undermine “the ‘technology-neutral’ approach taken by the Exchange Act.”