Connect with us

Published

on

Sir Keir Starmer has been accused of trying to purge general election candidates from the left of the Labour Party.

Questions remain about whether veteran Corbyn ally Diane Abbott will be barred from standing again, while Labour suspended one candidate and declined to endorse another.

Labour’s general election campaign has been overshadowed by the internal chaos over the selection of candidates, which includes the selection of influential figures on the Labour right.

Ms Abbott called it a “cull of left wingers”.

Follow live general election updates

Leader Sir Keir said no decision had yet been taken about whether Ms Abbott, the UK’s first black female MP, would be allowed to defend her Hackney North seat of 37 years.

She claimed she had been barred from standing after having the whip restored to her this week following a year-long suspension as she was investigated over a letter she wrote in The Guardian suggesting Jewish people do not face racism.

Ms Abbott vowed to stand in Hackney North “by any means possible”.

Meanwhile, Lloyd Russell-Moyle, who was MP for Brighton Kemptown, said he had been suspended by Labour over a “vexatious and politically motivated complaint” against him and said he is not being allowed to stand for the party.

He said it was a “false allegation” from eight years ago “that I dispute totally and I believe it was designed to disrupt this election”.

More:
Diane Abbott: Trailblazing MP to thorn in Labour’s side

Please use Chrome browser for a more accessible video player

Abbott ‘not barred’ from standing for Labour

Faiza Shaheen was deselected as the Labour candidate for Chingford and Woodford Green after standing in the seat, held by veteran Tory Iain Duncan Smith, at the last election for Labour.

She said she was in a “state of shock” at “being treated this badly” after receiving an email saying her candidacy had been blocked.

Dr Shaheen was blocked for liking a tweet that allegedly downplayed antisemitism accusations. She said another post involved her describing her experiences of Islamophobia.

A lawyer for Dr Shaheen described the Labour Party process to be selected as “abhorrent, unprofessional and unfair”.

They said a member of the panel interviewing her to be a candidate did not engage and no consideration was given to her being a new mother, with just 5.5 hours notice given before she had to appear in front of the panel and said she could not hear questions properly as her four-month-old baby was crying.

The lawyer added that several of the social media messages raised as misconduct are “several years old”, including from before she became a Labour member.

“The Labour party had ample time to raise questions over this, including during the selection process,” the lawyer said.

She told BBC’s Newsnight: “On top of Gaza, on top of Diane Abbott and now this to me, when there’s such clear double standards of how other people have been treated when stuff has happened… what message are you sending my community? What message are you sending the black community?”

Ms Abbott accused Labour of carrying out a “cull of left wingers” as she branded the decision to block Dr Shaheen “appalling”.

More politics:
The ultimate guide to the general election

What is the pre-election period known as purdah?

Faiza Shaheen with Jeremy Corbyn in 2019. Pic: PA
Image:
Faiza Shaheen with Jeremy Corbyn in 2019. Pic: PA

Asked if he is blocking left-wing candidates from standing, Sir Keir said: “No. I’ve said repeatedly over the last two years… that I want the highest quality candidates – that’s been the position for a very long time.”

Shadow cabinet minister Darren Jones denied there was a “purge” of the left, saying there were many colleagues who “would define themselves as being on the left”, who have been endorsed as Labour candidates.

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

Labour’s ruling national executive committee (NEC), which is handling the selection of about 20 final Labour candidates this week, said the final decision on whether Ms Abbott can defend her seat lies with Sir Keir.

On Mr Russell-Moyle’s suspension, a Labour Party spokesman said: “The Labour Party takes all complaints extremely seriously and they are fully investigated in line with our rules and procedures, and any appropriate disciplinary action is taken.”

? Tap here to follow Politics at Jack at Sam’s wherever you get your podcasts ?

While those on the left have accused Labour of purging them, candidates on the Labour right have been given the green flag to stand.

Starmer ally and activist Luke Akehurst, who is a member of the NEC, is the candidate for North Durham and Josh Simons, director of the Starmerite thinktank Labour Together, will fight for the Makerfield seat.

Earlier this year, Mr Simons apologised after suggesting people-smuggling gangs could be put on a barge and “shipped to the north of Scotland”, saying: “Who cares?”

Former adviser to shadow chancellor Rachel Reeves, Heather Iqbal, was selected in Dewsbury and Batley, and journalist Paul Waugh will fight for Rochdale.

Continue Reading

Politics

The cost of innovation — Regulations are Web3’s greatest asset

Published

on

By

The cost of innovation — Regulations are Web3’s greatest asset

The cost of innovation — Regulations are Web3’s greatest asset

Opinion by: Hedi Navazan, chief compliance officer at 1inch

Web3 needs a clear regulatory system that addresses innovation bottlenecks and user safety in decentralized finance (DeFi). A one-size-fits-all approach cannot be achieved to regulate DeFi. The industry needs custom, risk-based approaches that balance innovation, security and compliance.

DeFi’s challenges and rules

A common critique is that regulatory scrutiny leads to the death of innovation, tracing this situation back to the Biden administration. In 2022, uncertainty for crypto businesses increased following lawsuits against Coinbase, Binance and OpenSea for alleged violations of securities laws.

Under the US administration, the Securities and Exchange Commission agreed to dismiss the lawsuit against Coinbase, as the agency reversed the crypto stance, hinting at a path toward regulation with clear boundaries.

Many would argue that the same risk is the same rule. Imposing traditional finance requirements on DeFi simply will not work from many aspects but the most technical challenges.

Openness, transparency, immutability, and automation are key parameters of DeFi. Without clear regulations, however, the prevalent issue of “Ponzi-like schemes” can divert focus from effective innovation use cases to conjuring a “deceptive perception” of blockchain technology. 

Guidance and clarity from regulatory bodies can reduce significant risks for retail users.

Policymakers should take time to understand DeFi’s architecture before introducing restrictive measures. DeFi needs risk-based regulatory models that understand its architecture and address illicit activity and consumer protection. 

Self-regulatory frameworks cultivate transparency and security in DeFi

The entire industry highly recommends implementing a self-regulatory framework that ensures continuous innovation while simultaneously ensuring consumer safety and financial transparency. 

Take the example of DeFi platforms that have taken a self-regulatory approach by implementing robust security measures, including transaction monitoring, wallet screening and implementing a blacklist mechanism that restricts a wallet of suspicion with illicit activity. 

Sound security measures would help DeFi projects monitor onchain activity and prevent system misuse. Self-regulation can help DeFi projects operate with greater legitimacy, yet it may not be the only solution.

Clear structure and governance are key

It’s no secret that institutional players are waiting for the regulatory green light. Adding to the list of regulatory frameworks, Markets in Crypto-Assets (MiCA) sets stepping stones for future DeFi regulations that can lead to institutional adoption of DeFi. It provides businesses with regulatory clarity and a framework to operate.

Many crypto projects will struggle and die as a result of higher compliance costs associated with MiCA, which will enforce a more reliable ecosystem by requiring augmented transparency from issuers and quickly attract institutional capital for innovation. Clear regulations will lead to more investments in projects that support investor trust.

Anonymity in crypto is quickly disappearing. Blockchain analytics tools, regulators and companies can monitor suspicious activity while preserving user privacy to some extent. Future adaptations of MiCA regulations can enable compliance-focused DeFi solutions, such as compliant liquidity pools and blockchain-based identity verification.

Regulatory clarity can break barriers to DeFi integration

The banks’ iron gate has been another significant barrier. Compliance officers frequently witness banks erect walls to keep crypto out. Bank supervisors distance companies that are out of compliance, even if it’s indirect scrutiny or fines, slamming doors on crypto projects’ financial operations.

Clear regulations will address this issue and make compliance a facilitator, not a barrier, for DeFi and banking integration. In the future, traditional banks will integrate DeFi. Institutions will not replace banks but will merge DeFi’s efficiencies with TradFi’s structure.

Recent: Hester Peirce calls for SEC rulemaking to ‘bake in’ crypto regulation

The repeal of Staff Accounting Bulletin (SAB) 121 in January 2025 mitigated accounting burdens for banks to recognize crypto assets held for customers as both assets and liabilities on their balance sheets. The previous laws created hurdles of increased capital reserve requirements and other regulatory challenges.

SAB 122 aims to provide structured solutions from reactive compliance to proactive financial integration — a step toward creating DeFi and banking synergy. Crypto companies must still follow accounting principles and disclosure requirements to protect crypto assets.

Clear regulations can increase the frequency of banking use cases, such as custody, reserve backing, asset tokenization, stablecoin issuance and offering accounts to digital asset businesses.

Building bridges between regulators and innovators in DeFi

Experts pointing out concerns about DeFi’s over-regulation killing innovation can now address them using “regulatory sandboxes.” These dispense startups with a “secure zone” to test their products before committing to full-scale regulatory mandates. For example, startups in the United Kingdom under the Financial Conduct Authority are thriving using this “trial and error” method that has accelerated innovation.

These have enabled businesses to test innovation and business models in a real-world setting under regulator supervision. Sandboxes could be accessible to licensed entities, unregulated startups or companies outside the financial services sector.

Similarly, the European Union’s DLT Pilot Regime advances innovation and competition, encouraging market entry for startups by reducing upfront compliance costs through “gates” that align legal frameworks at each level while upgrading technological innovation.

Clear regulations can cultivate and support innovation through open dialogue between regulators and innovators.

Opinion by: Hedi Navazan, chief compliance officer at 1inch.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

Continue Reading

Politics

Kemi Badenoch does not rule out local coalitions with Reform after Thursday’s council elections

Published

on

By

Kemi Badenoch does not rule out local coalitions with Reform after next week's council elections

Kemi Badenoch has not ruled out forming coalitions at a local level with Reform after the council elections on Thursday.

Speaking to Sunday Morning with Trevor Phillips, the Conservative leader did however categorically rule out a pact with Nigel Farage’s party on a national level.

“I am not going into any coalition with Nigel Farage… read my lips,” she said.

Politics latest: UK has ‘recognised all along’ Russia is aggressor – minister

However, she did not deny that deals could be struck with Reform at a local level, arguing some councils might be under no overall control and in that case, “you have to do what is right for your local area”.

“You look at the moment, we are in coalition with Liberal Democrats, with independents,” she said. “We’ve been in coalition with Labour before at local government level.

“They [councillors] have to look at who the people are that they’re going into coalition with and see how they can deliver for local people.”

More on Conservatives

She added: “What I don’t want to hear is talks of stitch-ups or people planning things before the results are out. They have to do what is right for their communities.”

In response, Nigel Farage said: “The Tories broke Britain nationally for 14 years, and their councils continue to break local communities with the highest taxes ever and worst services.

“Reform have no intention in forming coalitions with the Tories at any level.”

A total of 23 councils are up for grabs when voters go to the polls on Thursday 1 May – mostly in places that were once deemed Tory shires, until last year’s general election.

It includes 14 county councils, all but two of which have been Conservative-controlled, as well as eight unitary authorities, all but one of which are Tory.

In addition, there is one Labour-controlled borough being contested.

Ms Badenoch has set expectations low for the Tories, suggesting they could lose all the councils they are contesting.

The last time this set of councils were up for election was in 2021, when the Conservative Party was led by Boris Johnson who was riding high from the COVID vaccine bounce.

Despite not ruling out agreements between the Tories and Reform once the local elections have finished, Ms Badenoch has been at pains to stress she is against any kind of deal with Mr Farage at a national level.

On Friday she criticised talk of “stitch-ups” ahead of next week’s local elections and said she was instead focused on ensuring that voters have a “credible Conservative offer”.

Speculation that the Tories and Reform could join forces heightened after two senior Tories appeared to advocate for some sort of agreement between the two rival parties.

Robert Jenrick, the shadow justice secretary, was captured in a video recording leaked to Sky News vowing to “bring this coalition together” to ensure that Conservatives and Reform UK are no longer competing for votes by the time of the next general election.

Please use Chrome browser for a more accessible video player

What leaked audio of Jenrick tells us

According to the excusive audio Mr Jenrick – who lost the Tory leadership campaign to Ms Badenoch – said he would try “one way or another” to make sure the two right-wing parties do not end up handing a second term to Sir Keir Starmer.

Mr Jenrick has denied his words amounted to calling for a pact with Reform.

Meanwhile, in an interview with Politico, Tees Valley Mayor Ben Houchen also suggested the two parties should join forces in some way.

“I don’t know what it looks like. I don’t know whether it’s a pact. I don’t know whether it’s a merger… [or] a pact of trust and confidence or whatever,” he said.

“But if we want to make sure that there is a sensible centre-right party leading this country, then there is going to have to be a coming together of Reform and the Conservative Party in some way.”

Read more:
Could the local elections reshape British politics?
‘Bring on the fight’ over net zero, says Ed Miliband

All of the other national parties have launched their campaigns for the local elections ahead of the poll next week.

Labour Cabinet Office minister Pat McFadden told Trevor Phillips that he was “not predicting huge Labour gains on Thursday”.

He also ruled out Labour striking deals with any other party.

“The deals on offer after Thursday won’t be between Labour and the Tories and Labour and Reform,” he said.

“But what there’s been a lot of debate about is what’s going to happen between the Tories and Reform, because I’m not even sure if they’re two different parties or one party at the moment.”

Continue Reading

Politics

Federal taxes to be ‘substantially reduced’ once tariffs set in: Trump

Published

on

By

<div>Federal taxes to be 'substantially reduced' once tariffs set in: Trump</div>

<div>Federal taxes to be 'substantially reduced' once tariffs set in: Trump</div>

United States President Donald Trump recently said that federal income taxes would be “substantially reduced” or potentially eliminated once the tariff regime fully sets in.

In an April 27 Truth Social post, Trump added that the focus of the purported tax cuts would be on individuals making less than $200,000 per year.

The US President also said that the “External Revenue Service” — a reference to funding the federal government exclusively through import tariffs instead of the current model of collecting taxes through the Internal Revenue Service (IRS) — is materializing.

Eliminating the federal income tax would likely be a positive catalyst for asset prices, including cryptocurrencies, as the increase in disposable income should partially flow back into productive investments. However, this stimulative effect is not guaranteed.

Taxes, US Government, United States, Donald Trump
Source: Donald Trump

Related: If Trump fired Powell, what would happen to crypto?

Trump’s plan leaves analysts and markets doubting

Trump previously floated the idea of eliminating the federal income tax in an October 2024 appearance on the Joe Rogan Experience, although Trump, who was on the campaign trail at the time, provided scant concrete details on the proposal.

The US President suggested that replacing the federal income tax with revenue from import duties would return the US to a time of prosperity seen during the Gilded Age, in the 19th century, when the US did not have a permanent federal income tax.

Research conducted by accounting automation company Dancing Numbers found that Trump’s proposal could save the average American $134,809 in lifetime tax payments.

Dancing Numbers added that the tax savings could be as much as $325,561 per American if other wage-based income taxes are also eliminated.

On April 2, Trump signed an executive order imposing sweeping tariffs on all US trading partners, which included a 10% baseline tariff on all countries and different “reciprocal” tariff rates on countries with import duties on US goods.

However, since that time, the Trump administration walked back its tariff policies several times, flip-flopping on tariff rates and when the tariff regime would fully take effect.

The Trump administration’s ever-changing rhetoric surrounding trade policies has heightened volatility in the US stock market, caused a rise in US bond yields, and has drawn widespread criticism from financial analysts who say the protectionist trade policies hurt capital markets while achieving little else.

Magazine: Harris’ unrealized gains tax could ‘tank markets’: Nansen’s Alex Svanevik, X Hall of Flame

Continue Reading

Trending