Sir Keir Starmer returns to growing storm over rumoured budget tax rises
Is the prime minister declaring war on middle Britain in his definition of a working person and did he mislead the public in his manifesto by giving no inkling of the tens of tens of billions of pounds of tax rises happening in Wednesday’s budget?
Sir Keir Starmer’s emphatic answer to both of these questions at his closing news conference at the Commonwealth Heads of Government meeting (Chogm) in Samoa was “no”.
But the fact they were asked gives you a sense of what he’s flying back to this weekend because the £40bn gap in the public finances that Treasury sources are whispering about will have to be filled by big tax rises and spending cuts.
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Starmer questioned on tax rises
The backlash brimming over who is going to bear the brunt comes back to the first principles of what Sir Keir told me in our leaders’ debate interview, which was that he had “no plans” to raise taxes beyond what was in the manifesto.
Back then, Labour was committed to tax rises of about £8bn, based on a tax hike on private equity, the oil and gas industry and VAT on private school fees.
Those measures would pay for more teachers in schools and doctors’ appointments in the NHS.
Now the prime minister and his chancellor, Rachel Reeves, are gearing up to raise tens of billions with a 2p hike in national insurance contributions for employers, which could raise about £20bn, and possible increases in inheritance tax and capital gains tax.
Labour will of course blame the rises on its Conservative inheritance, but voters and businesses hit by tax rises next week will be forgiven for feeling misled.
For his part, the prime minister was clear in the closing news conference at the Commonwealth summit that his campaign pledge not to increase taxes on working people in terms of income tax, national insurance and VAT would be kept.
But the huge tax increases elsewhere will inevitably raise questions about whether the prime minister, who talks a lot about rebuilding trust in politics wasn’t being straight as he fought for election victory.
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He would argue that it was only after Labour lifted the bonnet on the public finances in power that he saw the extent of the damage.
But will it wash with the public given that the Conservatives ran a campaign warning of the big tax rises under Labour that are now surely on the way?
Sir Keir keeps talking about difficult decisions as he returns to what is set to be a defining week as he and his chancellor seek to land a difficult budget.
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Will the chancellor’s fiscal plan work?
The pair will be hoping that the chancellor’s decision to change her debt rules to release up to £50bn of capital to invest in Britain’s infrastructure will help tell the story of rebuilding Britain and cushion the blow of tax rises.
The prime minister had a bit of a dry run of that narrative in Samoa when he explained the hard decisions to come.
He told reporters “we are fixing the foundations, which is tough, but we are doing it on purpose because I believe very strongly that if we fix the foundations, take the tough decisions, scrub it down, make sure that our economy is on a very stable footing, which is what it will do, then that is the best platform for rebuilding the country.
“And for me, that’s the characteristics of that and what I want to be judged on is one, have we made people better off? Do they feel better off under a Labour government because we fix the foundations?”
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The problem he has in the more immediate future is that many people out there who are not hugely wealthy, who define themselves as “working people”, fear they are about to become worse off under a Starmer government.
Businesses, which Labour says it needs to rebuild the economy, are bracing for a huge new levy just months after being promised that national insurance would not rise under a Labour government.
Landlords who have properties and those who hold shares worry that this is a Labour prime minister who is coming for them after the election while not flagging he might beforehand.
His gamble is to administer the pain early in the hope of delivering real improvement in public services and living standards by the time voters go back to the polls.
In the meantime, the rocky atmosphere of his first 100 days is likely to extend into the budget and beyond.
A trove of newly released Epstein files include emails that appear to involve Andrew Mountbatten-Windsor, while another suggests Donald Trump travelled on the billionaire’s private jet “many more times than previously has been reported”.
The US Department of Justice released at least 11,000 more files on Tuesday.
It went on to claim that some of them “contain untrue and sensationalist claims” about President Trump.
Here are some of the latest news lines from this release of Epstein files. Being named in these papers does not suggest wrongdoing.
Who is ‘The Invisible Man’?
Among the documents released is an email sent to Ghislaine Maxwell that speaks about “the girls” being “completely shattered” at a Royal Family summer camp at Balmoral.
It is dated 16 August 2001 and sent by a person referred to as “The Invisible Man”, who signed off the message as “A” – and is believed to be Andrew.
Sky News has come to that conclusion from reviewing the email address used, which is assigned to the Duke of York in Epstein’s contacts book and the chain of correspondence.
In the correspondence, “The Invisible Man” asks Maxwell: “How’s LA? Have you found me some new inappropriate friends?”
Andrew Mountbatten-Windsor has previously denied any allegations against him.
The Peru trip
Another email appears to show Maxwell arranging “two-legged sight seeing” for “The Invisible Man” during a trip to Peru.
She appears to forward to “The Invisible Man” part of a conversation between herself and another person.
The email says: “I just gave Andrew your telephone no. He is interested in seeing the Nazca lines. He can ride but it is not his favorite sport ie pass on the horses.”
“Some sight seeing some 2 legged sight seeing (read intelligent pretty fun and from good families) and he will be very happy. I know I can rely on you to show him a wonderful time and will only introduce him to friends that you can trust,” Maxwell said.
The context of the email is unclear and there is no suggestion of any wrongdoing.
Trump on Epstein’s jet?
The latest bunch of files also includes an email from an unidentified prosecutor dated 7 January, 2020, in which President Trump is mentioned.
The email accuses him of travelling on Epstein’s private jet “many more times than previously has been reported”.
It adds that President Trump “is listed as a passenger on at least eight flights between 1993 and 1996, including at least four flights on which Maxwell was also present”.
The email’s sender and receiver have been redacted. However, at the bottom of the email it says assistant US attorney, Southern District of New York. The name has also been redacted.
President Trump has denied any wrongdoing in relation to his relationship with Epstein, and being on any of Epstein’s flights does not indicate any wrongdoing.
Read more:
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Why Andrew photo in Epstein files is awkward for Royal Family
Limousine driver report about Trump
One of the documents in the release shows a report made to the FBI that was recorded on 27 October 2020.
It includes an unverified claim by a limousine driver that he overheard the US president discussing “abusing some girl” in 1995.
The driver also mentions Trump said “Jeffrey” while on the phone during a journey to Dallas Fort Worth Airport in Texas.
A significant part of the statement, along with the driver’s identity, has been redacted.
The US justice department has said that some of the documents in the latest Epstein files release “contain untrue and sensationalist claims made against President Trump that were submitted to the FBI right before the 2020 election”.
“To be clear: the claims are unfounded and false, and if they had a shred of credibility, they certainly would have been weaponized against President Trump already,” it said.
Postcard mentions ‘our president’
Also among the documents is a postcard that claims to have been sent by Jeffrey Epstein, but has been refuted by the justice department.
In it, the sender tells the recipient: “Our president also shares our love of young, nubile girls.”
It’s not clear who “our president” refers to and the context of the postcard is also unclear.
The US justice department initially said it was “looking into the validity” of the postcard but later said on X that the “FBI has confirmed” the postcard is “FAKE”.
It cited reasons including a claim that the writing does not appear to match Epstein’s and another that the letter was postmarked three days after his death.
Row over unreleased documents
It is believed that many files relating to Epstein are yet to be made public.
There has been anger at the justice department’s slow release of the files, with politicians threatening to launch legal action against Attorney General Pam Bondi.
The deadline for the release of all the documents has passed.
“The DOJ needs to quit protecting the rich, powerful, and politically connected,” Republican congressman Thomas Massie said.
The prime minister has acknowledged Britons’ cost-of-living struggles in his Christmas message – and vowed that helping with the issue is his “priority”.
Sir Keir Starmer also urged members of the public to “each do our bit” and “reach out” to friends, relatives and neighbours during the festive period.
His message comes at the end of a difficult year for his government, with economic growth stuttering and Chancellor Rachel Reeves facing criticism over tax rises in the budget.
In a message recorded inside 10 Downing Street, Sir Keir said: “I know many across Britain are still struggling with the cost of living. Helping with that is my priority.
“But at this time of the year, which celebrates love and abundance, loss or hardship can feel even more acute.
“So call around to a neighbour. Check in on a friend or a relative who you haven’t heard from for a while. Reach out. It can make a huge difference.
“That is what Christmas is about.”
Sir Keir Starmer delivers his Christmas message from inside Downing Street. Pic: Downing Street
The prime minister thanked NHS workers along with members of the military and the emergency services who will be on duty on Christmas Day.
“Just as so many put their feet up, some truly special people will be pulling on their uniforms and heading out to work,” he said.
“Our NHS staff emergency services and the brave men and women of our armed forces, all playing their part, doing their bit to care for the nation and to keep us safe.
“Many volunteers will be out there as well. Serving food. Reaching out to help those lonely or in need.
“So on behalf of the whole country, I want to say a big thank you.
“As a nation, we should raise a glass to you this Christmas. But more than that, we should each do our bit as well.”
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The famous faces we said goodbye to this year
Conservative leader Kemi Badenoch used her Christmas message to talk about “Christian values” and thanked “everyone who has supported me during my first year as leader of the opposition”.
“It’s been the biggest challenge of my life,” she said. “But it’s also been a wonderful year. I can’t wait to get back to work next year to create a better United Kingdom.”
Liberal Democrat leader Sir Ed Davey spoke about the Christmas tree in London’s Trafalgar Square – an annual gift from Norway to thank the UK for its support during the Second World War – in his message.
While saying the tree may “look a little underwhelming” on first glance, the Liberal Democrat leader said it was a reminder of “friendship and loyalty”.
He added: “It makes me think about people standing together in tough times – whether against the Nazis in the 1940s, or right now in Ukraine.
“And yeah, it might not be perfect, but this tree in Trafalgar Square makes me think about families and friends looking out for one another right here at home.
“I can’t think of a better symbol of the Christmas spirit of generosity, love and hope. Of light in the darkness.”
UK
Details of King Charles’s Christmas message revealed – as he chooses to deliver it away from palace
A photograph has been released by Buckingham Palace showing the King delivering his Christmas message again outside of traditional palace walls.
This year the annual address was filmed in the Lady Chapel inside Westminster Abbey, the second time the monarch has recorded it away from a royal residence.
The palace has revealed the abbey was chosen for the setting this year to reflect a major theme of the message, pilgrimage.
The Lady Chapel in Westminster Abbey, central London. Pic: PA
The full details of what he says are always kept secret until it is broadcast at 3pm on Christmas Day. The message is always seen as a deeply personal one from the monarch, as a rare speech delivered by the King without advice from, or consultation with, the government.
Westminster Abbey was seen as a perfect location to reflect the theme of pilgrimage with pilgrims visiting every year to remember the legacy of Edward the Confessor, whose shrine lies at the heart of the abbey. Around the walls of the Lady Chapel are 95 statues of saints dating from the building of the chapel in the 16th century.
Pic: PA
The abbey, as the site of the King’s own coronation and that of every monarch since 1066, also has royal significance. The Henry VII Lady Chapel is the burial place of 15 Kings and Queens including Elizabeth I, Mary I and Mary Queen of Scots. Below the central aisle is the Hanoverian vault where George II and members of his family are buried. The Stuart vault is in the south aisle where Charles II, William III and Mary II, and Queen Anne lie buried.
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It is understood the King takes a particular interest in where the message is filmed each year, favouring different locations outside of royal palaces over the past two years.
In the photograph, taken during filming, you can also see brightly lit Christmas trees used for another royal event in December. They were still inside the abbey following the filming of the Princess of Wales’s Together at Christmas carol service, which will be broadcast on Christmas Eve.
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