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The sacking of Azhar Ali as Labour’s candidate in the Rochdale by-election is the biggest disaster for Sir Keir Starmer in his nearly four years as leader of the party.

There will now be an almighty inquest into how a candidate who had made such comments about Israel and Gaza was selected for such a high-profile by-election.

Defending Rochdale was never going to be easy for Labour. Sir Tony Lloyd’s majority at the 2019 general election was 9,668, with the Conservatives in second place.

But the challenge from firebrand left-winger George Galloway and the constituency’s former Labour MP Simon Danczuk standing for Reform UK already presented difficulties.

But now Labour goes into the by-election on 29 February with no candidate, even though Mr Ali’s name will still be on the ballot paper, right at the top of the list in alphabetical order.

Follow latest: Labour withdraws support for Rochdale candidate

Why was he selected? Not surprisingly, as happens in many constituencies with a large ethnic minority population, the local Asian community will have wanted one of their own to represent them.

Mr Ali faced a strong challenge, however, from political journalist Paul Waugh, who was seen as the preferred choice of Sir Keir and the Labour leadership. It was something of a surprise when he wasn’t selected.

It has been reported that voting at the selection meeting was 87 votes for Mr Ali to 68 for Mr Waugh. Hardly a resounding victory for Mr Ali.

And Mr Waugh, as an experienced Westminster operator, would surely have been a safe pair of hands.

But the Labour activists who chose Mr Ali were not selecting a political novice. He’s the leader of the Labour group on Lancashire County Council and he’s been a parliamentary candidate twice, in his home town of Pendle.

He stood against Tory MP Andrew Stephenson in 2015 and 2019, coming second, 6,186 votes behind Mr Stephenson in 2019. He also acted as an adviser to the Blair and Brown governments between 2005 and 2010.

Labour candidate for Rochdale, Azhar Ali, speaks in Rochdale during the launch of his campaign for the up-coming Rochdale by-election.
Pic: PA
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Azhar Ali, when he still had the Labour Party’s support, speaks in Rochdale during the launch of his by-election campaign. Pic: PA

He has nearly 25 years’ experience in local government, but alarm bells should have rung in the Labour high command over his backing for Jeremy Corbyn in the 2016 Labour leadership election.

That’s despite saying Mr Corbyn would be a disaster for the country in 2015, when Mr Corbyn first stood for leadership after the resignation of Ed Miliband.

So if the first Labour blunder was selecting Mr Ali in the first place, the second was standing by him for 48 hours after his comments about the 7 October attacks in Israel were first reported in the Mail On Sunday.

A third blunder was failing to discover that it wasn’t just the Mail on Sunday disclosure that was embarrassing. Labour now admits “new information” and “further comments” have come to light.

Senior Tories claim the disclosure of his controversial remarks proves that Sir Keir’s claims – made repeatedly in Prime Minister’s Questions and elsewhere in recent weeks – were a hollow sham.

On the Labour left, meanwhile, they claim it was grossly unfair that Sir Keir and the leadership backed Mr Ali when left-wingers Kate Osamor, Andy McDonald and Mr Corbyn himself had been suspended over antisemitism allegations.

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But there may be worse to come for Labour. Suddenly, the Rochdale disaster – 17 days before polling day in that by-election – plunges the two by-elections this week, in Wellingborough and Kingswood, into potential disarray.

Until this weekend, bookies and pollsters had been predicting victory for Labour in both seats, even though Labour is fighting to overturn big Conservative majorities.

Now, any senior Labour figures campaigning in the final days ahead of polling day this Thursday – and indeed the candidates themselves – will be besieged by questions about Mr Ali and the Rochdale fiasco.

Andy Burnham, mayor of Greater Manchester, deputy party leader Angela Rayner and leading shadow cabinet member Lisa Nandy have all made high-profile visits to Rochdale to support Mr Ali in the past week.

The Tories, of course, will be cock-a-hoop. A week in which an embattled Rishi Sunak was facing a rise in inflation, two potential by-election wipe-outs and renewed plotting against him by Tory MPs has now turned into Christmas, Easter and his birthday all at once.

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McFadden on support being withdrawn for Ali

The veteran Labour MP John McDonnell told Sky News he couldn’t recall the sacking of a by-election candidate during a campaign before. And, in covering by-elections for 40 years, nor can I.

This is far worse for Sir Keir and Labour than the “Red Wall” Hartlepool by-election defeat in 2021 and the ULEZ backlash that handed victory to the Tories in Boris Johnson’s Uxbridge and South Ruislip constituency in July.

Labour’s lead in the opinion polls has remained stubbornly around the 20% mark for months. That could now change.

Will we see the beginning of the end of Labour’s seemingly unassailable poll lead?

Is this a turning point for the Tories? Possibly. They won’t win Rochdale, but they won’t care about that. Humiliation for Sir Keir Starmer is a massive gift for the Conservatives.

And despite all the talk from the likes of campaign chief Pat McFadden that Sir Keir has taken a tough decision, it doesn’t look like that.

It’s more than an embarrassing retreat and U-turn by the Labour leader. It’s also an unmitigated disaster for Labour and Sir Keir’s worst crisis in his time as leader.

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Last UK blast furnaces days from closure as Chinese owners cut off crucial supplies

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Last UK blast furnaces days from closure as Chinese owners cut off crucial supplies

​​​​​​​The last blast furnaces left operating in Britain could see their fate sealed within days, after their Chinese owners took the decision to cut off the crucial supply of ingredients keeping them running. 

Jingye, the owner of British Steel in Scunthorpe, has, according to union representatives, cancelled future orders for the iron ore, coal and other raw materials needed to keep the furnaces running.

The upshot is that they may have to close next month – even sooner than the earliest date suggested for its closure.

Read more: Thousands of jobs at risk as British Steel consults unions over closure

The fate of the blast furnaces – the last two domestic sources of virgin steel, made from iron ore rather than recycled – is likely to be determined in a matter of days, with the Department for Business and Trade now actively pondering nationalisation.

The upshot is that even as Britain contends with a trade war across the Atlantic, it is now working against the clock to secure the future of steelmaking at Scunthorpe.

British Steel proceesing

The talks between the government and Jingye broke down last week after the Chinese company, which bought British Steel out of receivership in 2020, rejected a £500m offer of public money to replace the existing furnaces with electric arc furnaces.

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The sum is the same one it offered to Tata Steel, which has shut down the other remaining UK blast furnaces in Port Talbot and is planning to build electric furnaces – which have far lower carbon emissions.

These steel workers could soon be out of work
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These steel workers could soon be out of work

However, the owners argue that the amount is too little to justify extra investment at Scunthorpe, and said last week they were now consulting on the date of shutting both the blast furnaces and the attached steelworks.

Since British Steel is the main provider of steel rails to Network Rail – as well as other construction steels available from only a few sites in the world – the closure would leave the UK more reliant on imports for critical infrastructure sites.

British Steel in action

However, since the site belongs to its Chinese owners, a decision to nationalise the site would involve radical steps government officials are wary of taking.

They also fear leaving taxpayers exposed to a potentially loss-making business for the long run.

British Steel

The dilemma has been heightened by the sharp turn in geopolitical sentiment following Donald Trump’s return to the White House.

The incipient trade war and threatened cut in American support to Europe have sparked fresh calls for countries to act urgently to secure their own supplies of critical materials, especially those used for defence and infrastructure.

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Gareth Stace, head of UK Steel, the industry lobby group, said: “Talks seem to have broken down between government and British Steel.

“My advice to government is: please, Jonathan Reynolds, Business Secretary, get back round that negotiating table, thrash out a deal, and if a deal can’t be found in the next few days, then I fear for the very future of the sector, but also here for Scunthorpe steelworks.”

British Steel declined to comment.

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Prince Andrew’s Pitch@Palace branded ‘crude attempt to enrich himself’ as Chinese spy documents set to be released

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Prince Andrew's Pitch@Palace branded 'crude attempt to enrich himself' as Chinese spy documents set to be released

Prince Andrew’s efforts to make money from his Pitch@Palace project have been branded as a “crude attempt to enrich himself” at the expense of “unsuspecting tech founders”, as new documents may shed more light on what he and his team have been attempting to sell.

Today is the deadline for documents to be released relating to Prince Andrew‘s former senior adviser Dominic Hampshire and his interactions with the alleged Chinese spy Yang Tengbo.

In February, an immigration tribunal heard how the intelligence services had contacted Mr Hampshire about Mr Yang back in 2022. Mr Yang helped set up Pitch@Palace China, a branch of the duke’s scheme to help young entrepreneurs.

The alleged Chinese spy, Yang Tengbo, has links with Prince Andrew
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The alleged Chinese spy, Yang Tengbo, has links with Prince Andrew

Pic: Pitch@Palace
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Yang Tengbo. Pic: Pitch@Palace

Judges banned Mr Yang from the UK, saying his association with a senior royal had made Prince Andrew “vulnerable” and posed a threat to national security. Mr Yang challenged that decision at the Special Immigration Appeals Commission (SIAC).

Since that hearing, media organisations have applied for certain documents relating to the case and Mr Hampshire’s support for Mr Yang to be made public. SIAC agreed to release some information of public interest. It is hoped they may include more details on deals that he was trying to do on behalf of Prince Andrew.

So what do we know about potential deals for Pitch@Palace so far?

In February, Sky News confirmed that palace officials had a meeting last summer with tech funding company StartupBootcamp to discuss a potential tie-up between them and Prince Andrew relating to his Pitch@Palace project.

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The palace wasn’t involved in the fine details of a deal but wanted guarantees to make sure it wouldn’t impact the Royal Family in the future. Sky News understands from one source that the price being discussed for Pitch was around £750,000 – there are, however, reports that a deal may have stalled.

Photos we found on the Chinese Chamber of Commerce website show an event held in Asia between StartupBootcamp and Innovate Global, believed to be an offshoot of Pitch.

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Who is alleged Chinese spy, Yang Tengbo?

Documents, released in relation to the investigations into Mr Tengbo, have also shown how much the duke has always seen Pitch as a way of potentially making money. One document from 21 August 2021 clearly states “the duke needed money at the time, and saw the relationships with China through Pitch as one possible source of funding”.

But Prince Andrew’s apparent intention to use Pitch to make money has led to concerns about whether he is unfairly using the contacts and information he gained when he was a working royal.

Norman Baker, former MP and author of books on royal finances, believes it is “a crude attempt to enrich himself” and goes against what the tech entrepreneurs thought they were signing up for.

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He told Sky News: “The data given by these business people was given on the basis it was an official operation and not something for Prince Andrew, and so in my view, Prince Andrew had no right legally or morally to take the data which has been collected, a huge amount of data, and sell it…

“And quite clearly if you’re going to sell it off to StartupBootcamp, that is not what people had in mind. The entrepreneurs who joined Pitch@Palace did not do so to enrich Prince Andrew,” he said.

Rich Wilson was one tech entrepreneur who was approached at the start of Pitch@Palace to sign up, but he stepped away when he spotted a clause in the contract saying they’d be entitled to 2% equity in any funding he secured.

He feels Prince Andrew is continuing to use those he made a show of supporting.

He said: “It makes me feel sick. I think it’s terrible – that he is continuing to exploit unsuspecting tech founders in this way. A lot of them, I’m quite grey and old in the tooth now, I saw it coming, but clearly most didn’t. And a lot of them were quite young.

“It’ll be their first venture and you’re learning on the trot, so to speak. So to take advantage of people in such a major way – that’s an awful, sickening thing to do.”

We approached StartupBootcamp who said they had no comment to make, and the Duke of York’s office did not respond.

With reports that a deal may have stalled, it could be a big setback for the duke – especially with questions still about how he’ll continue to pay for his home on the Windsor estate now that the King no longer gives him financial support.

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UK in talks with Brazil over ‘potential sale’ of two Royal Navy amphibious assault ships

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UK in talks with Brazil over 'potential sale' of two Royal Navy amphibious assault ships

The UK is in talks with Brazil over the “potential sale” of the Royal Navy’s two amphibious assault ships that are being ditched to cut costs, the Ministry of Defence has confirmed.

Defence experts said the fact HMS Bulwark – which has only just received an expensive refit – and HMS Albion are being flogged off underlines the pressure on the defence budget even though Sir Keir Starmer keeps talking up his promises to boost expenditure.

The two warships can be used to deploy Royal Marines to shore – a vital capability at a time of growing global threats.

News of the possible sale was first revealed in Latin American media.

One report said the Royal Navy and Brazilian Navy had signed an agreement that would see the UK giving information to the Brazilians on the state of the two ships prior to any purchase.

Asked about the claim that the UK would sell the assault ships to Brazil, a Ministry of Defence spokesperson said: “We can confirm we have entered discussions with the Brazilian Navy over the potential sale of HMS Bulwark and HMS Albion.

“As announced in November, both ships are being decommissioned from the Royal Navy. Neither were planned to go back to sea before their out of service dates in the 2030s.”

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James Cartlidge, the shadow defence secretary, appeared to question the wisdom of the move.

“At Defence orals [House of Commons questions] on January 6th Defence Secretary John Healey said: ‘HMS Bulwark and HMS Albion were not genuine capabilities’,” Mr Cartlidge wrote in a post on social media.

“They’ve just been sold to Brazil.”

Matthew Savill, the director of military science at the Royal United Services Institute, said the plan to sell the vessels demonstrates there “is still life in both these ships”.

He said: “The fact that the UK is prepared to sell off useful amphibious capability – which could be used in evacuation operations or other cases where air transport is difficult – shows just how tight finances are even with the promised budget increase.

“The replacements for these ships are still several years away and won’t be available until the 2030s.”

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Mr Savill added: “As an aside, Brazil will probably have greater amphibious capacity than the UK, having previously bought HMS Ocean, the UK’s helicopter assault ship.”

HMS Albion and HMS Bulwark entered service two decades ago.

Both are currently held at lower readiness having not been to sea since 2023 and 2017 respectively.

HMS Ocean, a helicopter-landing vessel and once the largest warship in the Royal Navy, was sold to the Brazilian Navy in 2018 after 20 years in service.

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