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Rachel Reeves has not offered her resignation and is “going nowhere”, Downing Street has said, following her tearful appearance in the House of Commons.

A Number 10 spokesperson said the chancellor had the “full backing” of Sir Keir Starmer, despite Ms Reeves looking visibly upset during Prime Minister’s Questions.

Politics latest: ‘A moment of intense peril’ for PM

A spokesperson for the chancellor later clarified that Ms Reeves had been affected by a “personal matter” and would be working out of Downing Street this afternoon.

Politics latest: Reeves looks visibly upset in Commons

UK government bond prices fell by the most since October 2022, and the pound tumbled after Ms Reeves’s Commons appearance, while the yield on the 10-year government bond, or gilt, rose as much as 22 basis points at one point to around 4.68%.

Downing Street’s insistence came despite Sir Keir refusing to guarantee that Ms Reeves would stay as chancellor until the next election following the fallout from the government’s recent welfare U-turn.

Tory leader Kemi Badenoch branded the chancellor the “human shield” for the prime minister’s “incompetence” just hours after he was forced to perform a humiliating U-turn over his controversial welfare bill.

Emotional Reeves a painful watch – and reminder of tough decisions ahead

It is hard to think of a PMQs like it – it was a painful watch.

The prime minister battled on, his tone assured, even if his actual words were not always convincing.

But it was the chancellor next to him that attracted the most attention.

Rachel Reeves looked visibly upset.

It is hard to know for sure right now what was going on behind the scenes, the reasons – predictable or otherwise – why she appeared to be emotional, but it was noticeable and it was difficult to watch.

To read more of Ali Fortescue’s analysis, click here

Speaking at Prime Minister’s Questions, Ms Badenoch said: “This man has forgotten that his welfare bill was there to plug a black hole created by the chancellor. Instead they’re creating new ones.”

Turning to the chancellor, the Tory leader added: “[She] is pointing at me – she looks absolutely miserable.

“Labour MPs are going on the record saying that the chancellor is toast, and the reality is that she is a human shield for his incompetence. In January, he said that she would be in post until the next election. Will she really?”

Not fully answering the question, the prime minister replied: “[Ms Badenoch] certainly won’t.

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Welfare vote ‘a blow to the prime minister’

“I have to say, I’m always cheered up when she asks me questions or responds to a statement because she always makes a complete mess of it and shows just how unserious and irrelevant they are.”

Mrs Badenoch interjected: “How awful for the chancellor that he couldn’t confirm that she would stay in place.”

The prime minister’s watered-down Universal Credit and Personal Independent Payment Bill, aimed at saving £5bn, was backed by a majority of 75 in a tense vote on Tuesday evening.

A total of 49 Labour MPs voted against the bill – the largest rebellion in a prime minister’s first year in office since 47 MPs voted against Tony Blair’s Lone Parent benefit in 1997, according to Professor Phil Cowley from Queen Mary University.

After multiple concessions made due to threats of a Labour rebellion, many MPs questioned what they were voting for as the bill had been severely stripped down.

They ended up voting for only one part of the plan: a cut to Universal Credit (UC) sickness benefits for new claimants from £97 a week to £50 from 2026/7.

Ms Badenoch said the climbdown was proof that Sir Keir was “too weak to get anything done”.

Read more:
The PM faced down his party on welfare and lost
Labour welfare cuts ‘Dickensian’, says rebel MP

Ms Reeves has also borne a lot of the criticism over the handling of the vote, with some MPs believing that her strict approach to fiscal rules has meant she has approached the ballooning welfare bill from the standpoint of trying to make savings, rather than getting people into work.

Experts have now warned that the welfare U-turn, on top of reversing the cut to winter fuel, means that tax rises in the autumn are more likely – with Ms Reeves now needing to find £5bn to make up for the policy U-turns.

Asked by Ms Badenoch whether he could rule out further tax rises – something Labour promised it would not do on working people in its manifesto – Sir Keir said: “She knows that no prime minister or chancellor ever stands at the despatch box and writes budgets in the future.

“But she talks about growth, for 14 years we had stagnation, and that is what caused the problem.”

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Wrongly-released migrant sex offender Hadush Kebatu claims he was ‘ignored’ by police while trying to hand himself in

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Wrongly-released migrant sex offender Hadush Kebatu claims he was 'ignored' by police while trying to hand himself in

Migrant sex offender Hadush Kebatu, who was wrongly freed from prison, has claimed in an interview with Sky News that he tried to hand himself in to police a day before he was arrested, but was ignored by officers.

The Home Office said Kebatu, 38, was deported from the UK on Tuesday night.

Speaking to Sky News after he arrived back in Ethiopia on Wednesday morning, Kebatu shared details of his accidental release from HMP Chelmsford on 24 October and the two-day manhunt that followed.

The convicted sex offender was repeatedly questioned on his crimes, but Sky News has chosen not to broadcast this part of the interview.

‘Ignored’ by police

The morning after he was released from prison, Kebatu claimed he tried to hand himself into police, but was ignored.

He said: “I [told] police, look here, police I am wanted man, I am arrested, I will give you my hand, please help where is police station? He ignored me, he drove [off].”

He added that he told the officer his name and that he was mistakenly released from prison.

“I am not unknown. The police station, where is the place? But also I go to police, I will give you my hand please help me where is the police station, take me, I am wanted.

“You know me, or my image, my name is Hadush Kabatu, nationality Ethiopia. Please, I was the mistake release from Chelmsford prison. Please help me.”

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Moment Hadush Kebatu put on deportation flight

Responding to Kebatu’s claims, the Metropolitan Police told Sky News: “The Met is not aware of any evidence to support the claims that Kebatu approached officers on Saturday morning.

“The actions of officers who responded to the sighting of him on Sunday morning show how seriously they were taking the manhunt. Kebatu’s actions on the morning of his arrest were more like those of someone trying to avoid officers, not trying to hand himself in.”

Release from prison

Kebatu was released by HMP Chelmsford a month into his 12-month sentence on the expectation he would be picked up by immigration enforcement.

He said after he was released he waited more than three hours outside the prison, for what he described as someone who was “responsible” for him.

He said: “At that time I am waiting more than three hours… who [is] responsible for me? Where is Home Office, where is [immigration]?

“I was told there was a bus. Also, all the experts, they all ignored me.”

In another Sky News story, a delivery driver who spoke to Kebatu outside Chelmsford prison said he looked “confused”.

The driver said he was approached by the prisoner, who had no idea where he was supposed to go. He said Kebatu waited outside the prison for roughly “an hour and a half” before leaving.

Kebatu said after he left the prison, he asked a passerby where the train station was. He claimed someone helped him, and bought him a train ticket for £18.

Kebatu then travelled to London. He was spotted later that evening in Stratford, east London, and then the Dalston area of Hackney.

Kebatu's movements the day he was released from prison
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Kebatu’s movements the day he was released from prison

The Ethiopian national arrived in the UK on a small boat on 29 June. Days after his arrival, he sexually assaulted a 14-year-old girl and a woman in Epping, Essex, where he was staying.

He was found guilty of two counts of sexual assault, one count of attempted sexual assault, one count of inciting a girl to engage in sexual activity and one count of harassment without violence.

He was jailed on 23 September.

When approached by Sky News, the Ministry of Justice (MoJ) pointed to a statement made by Justice Secretary David Lammy upon Kebatu’s deportation: “Kebatu has been returned to Ethiopia where he belongs.

“I am grateful to Home Office colleagues for acting swiftly to secure his deportation. I have been clear from the outset that a mistake of this nature is unacceptable, and we must get to the bottom of what happened.

“I have established an independent investigation chaired by Dame Lynne Owens into last Friday’s events to get the public the answers they rightly deserve, and we have introduced the strictest checks ever seen in our prison system to stop similar unacceptable errors in future.”

Essex Police, who arrested Kebatu after the assaults in July, told Sky News: “Our officers responded quickly to the reports of the sexual assaults committed in Epping and arrested Hadush Kebatu on the same day the offences were reported to us.

“Kebatu was then immediately remanded in custody, while officers acted diligently and professionally securing charges and building a case which saw Kebatu convicted following a trial. Protecting women and girls is a priority for Essex Police and our swift and thorough actions highlight our commitment to this.”

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Deported migrant sex offender given £500 to leave country

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Deported migrant sex offender given £500 to leave country

Migrant sex offender Hadush Kebatu was given £500 to be deported to Ethiopia following his mistaken release from prison, Sky News understands.

The government, who confirmed he was escorted on to a plane at Heathrow Airport on Tuesday night, said he has no right to return to the UK.

But Sky News understands Kebatu was handed a discretionary payment of £500 as part of efforts to avoid a lengthy legal challenge after he made threats to disrupt his removal.

Home Secretary Shabana Mahmood said she “pulled every lever” to deport Kebatu, although it is thought the decision about the payment was made by removal teams, not ministers.

“I am pleased to confirm this vile child sex offender has been deported. Our streets are safer because of it,” she said.

Hadush Kebatu seen on the plane during his deportation flight
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Hadush Kebatu seen on the plane during his deportation flight

Kebatu was found and arrested by the Metropolitan Police in the Finsbury Park area of north London at around 8.30am on Sunday following a manhunt.

Last month, he was found guilty of sexually assaulting a schoolgirl and a woman in Epping, Essex, just over a week after arriving in the UK on a small boat.

Hadush Kebatu was arrested on Sunday after his mistaken release
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Hadush Kebatu was arrested on Sunday after his mistaken release

He was expected to be deported, but instead of being handed over to immigration officials, he was released in error from HMP Chelmsford on Friday.

He spent just under 48 hours at large before he was apprehended.

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Prisoner releases: ‘A problem on the rise’

The accidental release sparked widespread alarm and questions over how a man whose crimes sparked protests in Epping over the use of asylum hotels was able to be freed.

Ms Mahmood said: “Last week’s blunder should never have happened – and I share the public’s anger that it did.”

Anti-asylum demonstrators in Epping, Essex. Pic: PA
Image:
Anti-asylum demonstrators in Epping, Essex. Pic: PA

Read more from Sky News:
Military barracks to be used to house asylum seekers
Lammy blames ‘human error’ for release of migrant sex offender

On Sunday, Justice Secretary David Lammy said an exclusive Sky News interview will be used as part of an independent inquiry into the mistaken release.

Speaking to Sky’s national correspondent Tom Parmenter, a delivery driver who spoke to Kebatu at HMP Chelmsford described him as being “confused” as he was being guided to the railway station by prison staff.

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Local council reads family statement: ‘My family feels massively let down’

The migrant is said to have returned to the prison reception four or five times before leaving the area on a train heading to London.

Mr Lammy, who put Kebatu’s release down to human error, said he has ordered an “urgent review” into the checks that take place when an offender is released from prison, and new safeguards have been added that amount to the “strongest release checks that have ever been in place”.

From Monday, new checks include five pages of instructions and demands that more senior prison staff sign off on a release, according to documents obtained by Sky News.

“I have been clear from the outset that a mistake of this nature is unacceptable, and we must get to the bottom of what happened,” said Mr Lammy.

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Academic who sued Steve Coogan over Richard III film says he hasn’t received an apology

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Academic who sued Steve Coogan over Richard III film says he hasn't received an apology

A university academic who is receiving “substantial damages” for how he was portrayed in a film has told Sky News he hasn’t received an apology from star Steve Coogan – nor the two companies involved in its production.

Richard Taylor said he was “shell-shocked” after seeing The Lost King for the first time, a film about how Richard III’s skeleton was discovered below a car park in Leicester.

He told The UK Tonight with Sarah-Jane Mee: “I wasn’t consulted or even knew I was in the film. The first I hear is I get a phone call while I’m on holiday – and eventually, after press previews, I persuade the producers to let me see a preview.”

Richard III
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Richard III

Last year, a judge ruled that Mr Taylor was depicted as “smug, unduly dismissive and patronising” – with the plot suggesting he “knowingly” misled the public.

“I’m portrayed by someone on screen who looks like me, who sounds like me, who dresses like me – but behaves in a way that falls so far short of the standards I set for myself and what others might reasonably expect of me,” the academic explained.

Mr Taylor revealed he received emails at work telling him to “rot in hell”, while others described him as a “disgrace”.

He added: “Something that was a collaborative effort that showcased the best of British universities in my view was turned into this farce – where I was the villain and portrayed in a way that was completely inconsistent with the reality and the truth.”

Now chief operating officer at Loughborough University, Mr Taylor said “none of the facts” in the 2022 film were ever checked – and the Alan Partridge star, his company Baby Cow and Pathe Productions did not reach out to him before its release.

“The producers just went ahead, filmed it, produced it, stuck it out there and left me to deal with all the flack and all the fallout from it. Grossly unfair and I feel vindicated from the result we’ve achieved,” he told Sky News.

Steve Coogan and two production companies have agreed to pay 'substantial damages'. Pic: PA
Image:
Steve Coogan and two production companies have agreed to pay ‘substantial damages’. Pic: PA

‘The film’s going to look pretty silly’

As part of the settlement, an on-screen clarification will now be added to the start of the film, but no scenes will be removed.

When asked whether he was satisfied with this outcome, Mr Taylor replied: “I’d have liked them to re-edit the film, but one’s got to be realistic about what one can achieve.

“The insertion of the card will say that the person on screen is a fictitious portrayal – and the real Richard Taylor didn’t behave like that … so the film’s going to look pretty silly.”

Read more UK news:
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What tax rises could be announced in the budget?

The statue of Richard III outside Leicester Cathedral. Pic: Shropshire Matt/PA
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The statue of Richard III outside Leicester Cathedral. Pic: Shropshire Matt/PA

The case was due to proceed to trial, but a High Court hearing on Monday heard that the parties had settled the claim.

In a statement afterwards, Coogan had said: “If it wasn’t for Philippa Langley, Richard III would still be lying under a car park in Leicester. It is her name that will be remembered in relation to the discovery of the lost king, long after Richard Taylor has faded into obscurity.”

He went on to add: “That is the story I wanted to tell, and I am happy I did.”

Reacting to the statement, Mr Taylor argued “it’s a pretty strange definition of happy when you’ve had to settle a defamation claim for seven figures in costs”.

He said: “Steve is never anything other than certain in himself and of his own position, but I think he’s got it wrong – basic facts were not checked.”

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