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The health secretary has said that the cabinet is aware of the “pressure” on Chancellor Rachel Reeves amid volatile markets and a challenging broader economic picture – but appealed for the public to “give her time”.

Wes Streeting argued that the public “underestimates” the “amount of heavy-lifting” Ms Reeves has had to do and will have to continue to do, as he declared “total confidence” in her leadership in a staunch defence of her handling of the economy.

Separately, international development minister Anneliese Dodds, who attends cabinet, told Sky News that Ms Reeves has been “very clear about the long-term plan for our country” and she herself is “confident in that long-term plan”.

The comments from the two key ministers come after the past week saw a drop in the pound and an increase in government borrowing costs, which has fuelled speculation of more spending cuts or tax rises.

Streeting has ‘total confidence in chancellor’s leadership’

Speaking at the Jewish Labour Movement’s annual conference in north London, the health secretary acknowledged the fierce competition among all government departments for any available public funding from the Treasury, and told party members that all ministers “have to make choices and trade-offs” in where funding goes.

Mr Streeting went on to say that the chancellor and her deputy, Darren Jones, have “the hardest job of all because they have to make those choices across every bit of government spending, and they have to think about what’s in the interests of our overall economy and how we get businesses growing”.

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Chancellor’s ‘pragmatic’ approach to China

He said: “I think people continue to underestimate both the amount of heavy lifting she has had to do in her first six months, and the amount of heavy lifting she will have to do in her next six months.

“And the cabinet doesn’t underestimate that – we understand the choices she has to make, the pressure she is under.”

As a result, cabinet ministers all “have a responsibility” to both “make tough choices and drive reform and value for money” within their departments, and also be “drivers of economic growth”.

“Nothing in the last six months has shaken my conviction that economic growth is the number one priority,” he said.

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Continuing his defence of the chancellor’s handling of the economy so far, Mr Streeting said she is “trying to break us out of what has been the status quo and the economic orthodoxy of more than a decade”.

“People need to give her time, and they need to not forget that, without [Sir Keir Starmer’s] leadership, certainly we wouldn’t have won the last general election.

“Without Rachel’s leadership, we wouldn’t have won the last general election either. She built Labour’s economic credibility out of the ashes they were left in after the Corbyn leadership. And she has built that trust, built up that plan, and now she’s following through.”

He declared that he has “total confidence in the leadership that Rachel’s providing, and the leadership that the cabinet is following and driving with her, because all of us have to deliver economic growth for our country”.

Minister ‘confident in chancellor’s long-term plan’

Speaking in a separate session at the conference, Ms Dodds noted “speculation” about the fiscal headroom (the amount of money the chancellor will have available to spend), but said: “We have to focus on actually the evidence.

“And when we look at the evidence, we can see that the UK government has a chancellor who is very clear about the long-term plan for our country. She’s been delivering on it.”

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Grim economic news raises stakes for embattled chancellor

Ms Dodds, who also attends cabinet, pointed to a “new fiscal system”, the chancellor’s new Industrial Strategy Council, as well as “record levels of investment under Rachel Reeves’s leadership”.

“I think it’s really important for us to focus on those fundamentals, on what has been achieved in a very short space of time. And I’m confident in that long-term plan that Rachel has been setting out.

“And we can already see the benefit of that, frankly, in terms of the UK’s reputation when it comes to public finances, but economic management more generally. Certainly that’s what I’ve heard internationally and keep hearing just now.”

Chancellor accused of having ‘fled to China’

Chancellor Rachel Reeves with Chinese vice premier He Lifeng  in Beijing. Pic: Reuters
Image:
Chancellor Rachel Reeves with Chinese vice premier He Lifeng in Beijing. Pic: Reuters

The pair were speaking as the chancellor holds meetings in China in a bid to drum up investment for the UK economy, having ignored calls to cancel the long-planned trip because of economic turmoil at home.

Opposition parties have accused the chancellor of having “fled to China” rather than explain how she will fix the UK’s flatlining economy, and former prime minister Boris Johnson said Ms Reeves had “been rumbled” and said she should “make her way to HR and collect her P45 – or stay in China”.

Speaking during her trip, Ms Reeves said she would not alter her economic plans, with the October budget designed to return the UK to economic stability, and reiterated that “growth is the number one mission of this government”.

She said that “action” will be taken to meet the fiscal rules. That action is reported to include deeper spending cuts than the 5% efficiency savings already expected to be announced later this year, while cuts to the welfare bill are also said to be under consideration.

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A16z Crypto and advocacy group call for NFT, DeFi app safe harbor at SEC

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A16z Crypto and advocacy group call for NFT, DeFi app safe harbor at SEC

A16z Crypto and advocacy group call for NFT, DeFi app safe harbor at SEC

The two entities requested that the financial regulator provide a “safe harbor” for certain applications under the SEC’s broker-dealer registration requirements.

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Labour MP Tulip Siddiq hits out at ‘farce’ anti-corruption trial in Bangladesh

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Labour MP Tulip Siddiq hits out at 'farce' anti-corruption trial in Bangladesh

Labour MP Tulip Siddiq has called her anti-corruption trial a “farce” which is “driven by a clear political agenda” as proceedings began on Wednesday in Bangladesh.

In a statement seen by Sky News, Ms Siddiq has said the case was “built on fabricated accusations”.

Ms Siddiq was formerly the UK government’s anti-corruption minister but stood down over accusations she illegally received a plot of land in a new high-end development on the outskirts of Dhaka, Bangladesh’s capital.

This came after her aunt, Sheikh Hasina, was ousted as prime minister last year and replaced by the current government.

Hundreds of protesters were killed during the uprising and Ms Hasina now faces charges including crimes against humanity.

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Ms Siddiq previously denied all the allegations against her through lawyers, saying the prosecution is politically motivated.

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Bangladesh’s Anti-Corruption Commission (ACC) claims the Labour MP received a 7,200-square-foot plot in a diplomatic zone through “abuse of power and influence”.

The trial in Dhaka began in the early hours of UK time, with Ms Siddiq on trial alongside her mother and siblings. The family are being tried in absentia as they have not returned to Bangladesh for the proceedings.

The court opened with ACC prosecutors laying out the case against Ms Siddiq.

Bangladeshi prosecutors at court for the Tulip Siddiq case. Pic: AP
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Bangladeshi prosecutors at court for the Tulip Siddiq case. Pic: AP

Read more:
What are the allegations against Siddiq?

Siddiq boasted of links with Hasina

In her statement, Ms Siddiq said: “The so-called trial now under way in Dhaka is nothing more than a farce, built on fabricated accusations and driven by a clear political vendetta.

“Over the past year, the allegations against me have repeatedly shifted, yet I have never been contacted by the Bangladeshi authorities once. I have never received a court summons, no official communication, and no evidence.

“If this were a genuine legal process, the authorities would have engaged with me or my legal team, responded to our formal correspondence, and presented the evidence they claim to hold.

“Instead, they have peddled false and vexatious allegations that have been briefed to the media but never formally put to me by investigators.

“Even my offer to meet Bangladesh’s chief adviser Muhammad Yunus during his recent visit to London was refused. Such conduct is wholly incompatible with the principles of a fair trial that we uphold in the UK.

“I have been clear from the outset that I have done nothing wrong and will respond to any credible evidence that is presented to me. Continuing to smear my name to score political points is both baseless and damaging.”

Sky News has contacted the Bangladesh authorities for a response.

Siddiq, left, Hasina and Vladimir Putin in 2013. Pic: AP
Image:
Siddiq, left, Hasina and Vladimir Putin in 2013. Pic: AP

A separate anti-corruption allegation into Ms Siddiq’s family has also been launched, with allegations they were involved in brokering a 2013 deal with Russia for a nuclear power plant in Bangladesh, in which large sums of money were said to have been embezzled.

Ms Siddiq’s aunt, Ms Hasina, was ousted last year following student protests, having been in power for more than a decade. She has since fled to India.

Hundreds of protesters were killed during the uprising and Ms Hasina now faces charges including crimes against humanity.

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Nobel Peace Prize laureate Muhammad Yunus took over as interim leader and vowed to prosecute Ms Hasina.

Allegations have also been made about Ms Siddiq and a house she rents in North London, which is owned by a businessman reportedly linked to Ms Hasina’s Awami League Party.

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What is former minister Tulip Siddiq on trial for in Bangladesh?

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What is former minister Tulip Siddiq on trial for in Bangladesh?

Former minister Tulip Siddiq has found herself in the spotlight again as she faces a corruption trial in Bangladesh.

The former anti-corruption minister’s trial is expected to begin on Wednesday, but she will not be there.

A wider trial began on Monday after 27 people were indicted last week by Bangladeshi courts. They include Ms Siddiq, her aunt, other family members, and current and former officials.

Ms Siddiq resigned from her Treasury job in the UK on 14 January after facing calls to step down over links to her aunt, the ousted former Bangladesh prime minister, Sheikh Hasina, who is being investigated by Bangladesh’s anti-corruption commission.

Sir Keir Starmer’s ethics watchdog found the MP, who was born in London, had not breached the ministerial code, but told the PM: “You will want to consider her ongoing responsibilities.”

The 42-year-old MP for Hampstead and Highgate insists she has done nothing wrong and denies all the claims.

Sky News takes a look at the allegation behind the court case.

What is the allegation against Tulip Siddiq?

The current trial relates to just one of those claims – that she illegally allocated 7,200 sq ft of land to her family.

However, Ms Siddiq said she has not been informed of the specific charges she is facing or received a summons to appear.

An arrest warrant for Ms Siddiq was issued by Bangladesh in April, with the MP saying she only became aware of it when it was reported in the media.

Bangladesh’s anti-corruption commission alleges Ms Siddiq was involved in the illegal allocation of plots of land in the diplomatic zone of a luxury development in Purbachal near Dhaka to her mother, sister and brother.

Tulip Siddiq with Sheikh Hasina in 2009. Pic: Reuters
Image:
Tulip Siddiq with Sheikh Hasina in 2009. Pic: Reuters

An affidavit, seen by Sky News, states that while serving as a British MP, she “exerted pressure and influence” on her aunt to get planning officials to appoint them the land.

Investigators claim planning officials were bribed and pressured into fraudulently allocating the land.

Bangladesh prosecutor Mir Ahmed Ali Salam said if Ms Siddiq is found guilty, Bangladeshi authorities could submit an Interpol Red Notice, which alerts law enforcement around the world to surrender a person to a certain country.

The UK and Bangladesh do not have a formal extradition treaty – but extradition is still possible through a request that is decided by the home secretary.

What has Tulip Siddiq said?

About the Bangladesh trial:

Ms Siddiq has denied all the allegations and sees the trial as a politically motivated smear campaign, calling it “targeted and baseless”.

She told The Guardian she is “collateral damage” of a “feud between Muhammad Yunus and my aunt”.

“These are wider forces that I’m battling against. There’s no doubt people have done wrong things in Bangladesh, and they should be punished for it. It’s just I’m not one of them,” she added.

“I feel a bit like I’m trapped in this Kafkaesque nightmare where I’ve been put on trial and I genuinely haven’t found out what the allegations are and what the trial is about.”

Read more:
Tulip Siddiq faces new corruption investigation in Bangladesh

Tulip Siddiq boasted of links with ousted Bangladesh PM

Sky News understands her lawyer requested to attend the trial in Bangladesh on her behalf but was denied access.

We also understand the Bangladeshi authorities did not tell Ms Siddiq of a date change for the trial, and she only found out when Sky News contacted her lawyer about it.

Tulip Siddiq (far left) with her aunt, Sheikh Hasina (third left), and Russian President Vladimir Putin at a 2013 signing ceremony in the Kremlin as Moscow lent $1.5bn to help build a nuclear power station. File pic: AP
Image:
Tulip Siddiq (far left) with her aunt, Sheikh Hasina (third left), and Russian President Vladimir Putin at a 2013 signing ceremony in the Kremlin as Moscow lent $1.5bn to help build a nuclear power station. File pic: AP

In June, Ms Siddiq accused Professor Yunus of conducting an “orchestrated campaign” to damage her reputation and “interfere with UK politics”.

In a legal letter seen by Sky News in June, the MP also said comments made by Professor Yunus in a Sky News interview have prejudiced her right to a fair investigation, meaning the corruption inquiries should be dropped.

Ms Siddiq has also denied brokering a deal with Russia for the nuclear power plant and reportedly told a UK government official she was the target of a “political hit job”.

She also said: “I’m not here to defend my aunt.”

About her resignation:

Sir Keir said on 6 January that Ms Siddiq had referred herself to his independent adviser on ministerial standards, Sir Laurie Magnus.

She had been due to join a delegation heading to China with Chancellor Rachel Reeves, but remained in the UK to clear her name.

In her letter to Sir Laurie, she said: “In recent weeks, I have been the subject of media reporting, much of it inaccurate, about my financial affairs and my family’s links to the former government of Bangladesh.

“I am clear that I have done nothing wrong.

“However, for the avoidance of doubt, I would like you to independently establish the facts about these matters.

“I will obviously ensure you have all the information you need to do this.”

Announcing her resignation, Ms Siddiq said an independent review “has confirmed that I have not breached the ministerial code and there is no evidence to suggest I have acted improperly”.

“Nonetheless, to avoid distraction for the government, I have resigned as city minister,” she added.

The MP has previously said she and her aunt never spoke about politics.

However, Sky News discovered blog posts she wrote in 2008 and 2009, when she was a Labour activist, describing campaigning with her aunt in Bangladesh’s general election and celebrating her victory.

The Times also reported that the MP’s Labour Party flyers and a thank you note to local Labour Party members after she was elected as an MP were found in the palace in Dhaka that belonged to her aunt.

Who is Sheikh Hasina?

Sheikh Hasina was Bangladesh’s prime minister for 20 years – the world’s longest-serving female head of government – but in August was deposed following a mass uprising after elections widely criticised as being fraudulent.

Her premiership was marked by rampant corruption, with Ms Hasina being detained on extortion charges and serving jail time.

Human Rights Watch has said it documented widespread enforced disappearances and extrajudicial killings during her time in power.

But the 77-year-old was also praised for giving nearly a million Rohingya fleeing genocide in Myanmar refuge and assistance in 2017.

Tulip Siddiq with Sheikh Hasina in 2009. Pic: Reuters
Image:
Tulip Siddiq with Sheikh Hasina in 2009. Pic: Reuters

Following last summer’s uprising, she fled to India, where she is in self-imposed exile, and is facing an investigation by Bangladesh’s anti-corruption commission.

Most of Ms Hasina’s family were assassinated in 1975 during a coup d’etat but she, her husband and sister, Sheikh Rehana – Ms Siddiq’s mother – were in Europe at the time. They were offered political asylum by the then Indian prime minister Indira Gandhi and lived in Delhi for six years before returning home in 1981 with Ms Hasani as president of the Awami League party.

Ms Siddiq’s mother lived in exile in the UK during the 1980s and in 2016 was made a local councillor representing the Awami League in Dhaka. Her son, Ms Hasina’s son and daughter, are also councillors there.

Ms Hasina remains in India and will be tried in absentia over allegations of crimes against humanity.

How have Labour reacted?

Sir Keir said Ms Siddiq “acted entirely properly” by referring herself to the ethics watchdog to “establish the facts”, and added he had “confidence in her”.

On receiving her resignation letter, Sir Keir said he accepted it “with sadness”, adding: “I also wish to be clear that Sir Laurie Magnus as Independent Adviser has assured me he found no breach of the ministerial code and no evidence of financial improprieties on your part.”

He praised her for making the “difficult decision” to resign nonetheless and said “the door remains open for you” going forward.

Wycombe MP Emma Reynolds replaced Ms Siddiq as a minister, while Torsten Bell took up Ms Reynolds’ role in the Department for Work and Pensions.

Tulip Siddiq MP in 2019. Pic: Reuters
Image:
Tulip Siddiq MP in 2019. Pic: Reuters

What have the Conservatives said?

Ahead of Ms Siddiq’s resignation, Tory leader Kemi Badenoch called for Sir Keir to sack Ms Siddiq, adding: “He appointed his personal friend as anti-corruption minister and she is accused herself of corruption.

“Now the government of Bangladesh is raising serious concerns about her links to the regime of Sheikh Hasina.”

When the Labour MP resigned, Ms Badenoch accused Sir Keir of “dither and delay to protect his close friend”, saying it had become clear over the weekend her position “was completely untenable”.

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Bangladesh’s leader spoke to Sky News in March

How has Bangladesh reacted?

Bangladesh’s anti-money laundering agency asked the country’s banks for details of accounts and transactions linked to Ms Siddiq, her aunt, mother, her brother and cousins.

Her allies insist she has no bank accounts outside the UK, and her spokesperson said she has not been contacted by the Bangladeshi authorities.

Nobel peace-prize winning economist Muhammad Yunus, who is leading Bangladesh’s interim government, said the London properties used by Ms Siddiq should be investigated and returned if she is found to have benefited from “plain robbery”.

Following her resignation, Professor Yunus said there will be a thorough investigation into properties and assets “tied to stolen Bangladeshi funds, including those linked to individuals with connections to the previous regime” and if it is proven they have benefited from embezzlement “we expect those assets to be returned to Bangladesh, where they rightfully belong”.

“Tulip Siddiq may not have entirely understood the source of the money and property that she was enjoying in London, but she knows now and should seek forgiveness from the people of Bangladesh,” he added.

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