Rishi Sunak ‘crystal clear’ he will ‘ignore’ international law to get asylum seekers sent to Rwanda

Published

1 year ago

January 18, 2024

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Rishi Sunak has insisted he will “ignore” international law in order to ensure asylum seekers get deported to Rwanda.

The prime minister managed to get his controversial policy through its latest parliamentary stage last night after days of rebellions from Conservative MPs, who want to see the bill toughened up.

But despite two rebel sources telling Sky News’ political editor Beth Rigby that ‘no confidence’ letters had now been submitted over his leadership, he insisted his party was “completely united in wanting to stop the boats”.

Mr Sunak also claimed his plan to stop small boat crossings in the Channel was “working” – despite government figures showing a further 358 asylum seekers arrived in the UK on Wednesday.

Politics live: Sunak warns peers not to ‘frustrate will of the people’

Government legal advice states that failing to comply with so-called section 39 orders from European courts – used previously to stop deportation flights taking off before additional court hearings – would be a breach of international law.

Rule 39 orders are issued by the European Court of Human Rights (ECHR) on an exceptional basis, where there is a “real risk of serious and irreversible harm”.

Asked a press conference whether he would be willing to ignore such rulings, Mr Sunak said: “I’ve been crystal clear repeatedly that I won’t let a foreign court stop us from getting flights off and getting this deterrent up and running.

“The bill specifically contains a power that makes clear that ministers are the ones that make these decisions. Parliament has supported that.

“[The bill also] makes it perfectly clear that the domestic courts should respect that decision.”

He added: “I would not have put that clause in the bill if I was not prepared to use it. So, look, if you’re asking me are there circumstances in which I will ignore rule 39, then answer is clearly yes.”

The prime minister insisted at the end of last year that the first flights to Rwanda would take off “in the spring”.

Asked if this was still the case, Mr Sunak said: “I want to see this happen as soon as practically possible. Of course I do.”

But he threw the deadline to the House of Lords – where the bill will face its next round of scrutiny and is expected to be bitterly opposed by numerous peers.

He said: “The question is will the House of Lords understand the country’s frustration, see the will of the elected House [the Commons] and move as quickly as we have to support this legislation so we can it on the statue books and then get flights up and running?”

The prime minister also said he was “proud of the progress” the government had made on tackling small boat crossings, and claimed his plan was “working” – albeit admitting there was “not one single silver bullet that will fix it”.

But shortly after the press conference, the latest statistics showed 358 people in eight boats had made the dangerous journey to the UK shore alone on Tuesday, bring the total for 2024 so far to 621.

Sunak ignores party drama to focus ire on the Lords

Amanda Akass

Political correspondent

@amandaakass

The prime minister began his press conference by attempting to dismiss all the drama and debate of the past few days – the questions about his leadership, the doubts the policy would work – with the optimistic claim “the Conservative Party has come together.”

That’s highly debatable on a morning in which rebels are claiming to have submitted ‘several’ letters of no confidence.

Rather than dwelling on the internal divisions within his party, however, he optimistically wanted to project himself as a man intent on tackling the “biggest challenges that face the country”, that he’s getting on with the job, and that his plan is working.

But the key focus was to lecture the House of Lords on the importance of passing the legislation as soon as possible – urging them to “get on board and do the right thing” and “move as quickly as we have” – stressing the “appointed” nature of members of the Upper House compared to the “elected” Commons.

He’s singling out the “opposition” in the Lords – and while it’s true that Labour categorically oppose the plan, it’s worth remembering the last time the scheme was debated there, the most stinging criticism came from the archbishops and law lords, who are non-affiliated.

While you’d expect a Conservative prime minister to focus his attacks on Labour for “sniping from the side-lines” of his policy, taking on the Lords more broadly is an odd strategy.

Some of the language used – suggesting they might “try and frustrate the will of the people” – was reminiscent of the Brexiteer condemnation of Supreme Court judges as “enemies of the people”.

Mr Sunak has found it hard enough to keep his MPs on board. He certainly doesn’t have the same power over the Lords – but he’s come out fighting.

It seems he is pre-emptively seeking to blame the Lords for any further delay to the plan too.

Repeatedly asked by journalists whether he’s sticking to his pledge to see deportation flights taking off by the spring, he was unable to repeat that previous commitment – indeed, he wasn’t even able to say planes would take off before the next general election, which seems likely to be in the Autumn.

The controversial Rwanda bill is designed to send asylum seekers arriving in the UK on small boats to the African nation, and act as a deterrent to others from making Channel crossings.

Around 60 Tory MPs defied the government by voting for amendments to toughen up the law – including proposals to limit appeals and stop interventions against deportation flights from international courts.

But none of the changes were approved in the Commons, and when it came to a vote on the bill in its entirety, only 11 Conservatives – including former home secretary Suella Braverman and ex-immigration minister Robert Jenrick – chose to rebel.

In fact, several of the prominent figures who publicly argued the legislation needed to be tougher fell into line when the crunch vote came late last night – with two MPs who resigned their party posts in order to back rebel amendments walking through the yes lobby.

However, Ms Braverman, who was fired as home secretary in Mr Sunak’s last reshuffle, posted on X that the Rwanda bill would “not stop the boats” in its current form and “leaves us exposed to litigation and the Strasbourg court”.

She added: “I engaged with the government to fix it but no changes were made. I could not vote for yet another law destined to fail.”

Despite overcoming disquiet on his backbenches, Mr Sunak is not out of the woods yet, with Tory rebel sources telling Sky News’s political editor Beth Rigby that “several” MPs had submitted no confidence letters in the prime minister as a result of the internal row.

Asked by Sky News what his message was to those Tories who had voted down his bill in parliament last night, Mr Sunak said: “The plan is working right across the board. You can see that progress is being made. And our job is to stick to that plan, deliver for the country.”

Politics

Australian court ruling could lead to $640M in Bitcoin tax refunds

Published

2 hours ago

May 19, 2025

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Australian court ruling could lead to 0M in Bitcoin tax refunds

A court decision in Australia could open the door to as much as $640 million in capital gains tax (CGT) refunds on Bitcoin transactions after a judge ruled that crypto should be treated as money rather than a taxable asset.

On May 19, the Australian Financial Review (AFR) reported that the decision arose within a criminal case involving federal police officer William Wheatley, who allegedly stole 81.6 Bitcoin (BTC) in 2019. At the time, the assets were worth roughly $492,000. At current market prices, the tokens are valued at more than $13 million.

In the case, Judge Michael O’Connell of Victoria ruled that Bitcoin qualifies as a form of money rather than property, likening the digital asset to Australian dollars rather than to shares, gold or foreign currency.

The interpretation could set a legal precedent, potentially placing Bitcoin transactions outside the scope of Australia’s current CGT regime.

New court ruling challenges Australian crypto tax laws

In an AFR interview, tax lawyer Adrian Cartland said the verdict “totally upends” the Australian Taxation Office’s (ATO) current position.

Since 2014, the ATO has classified crypto assets as CGT assets. This means that users must pay tax when selling or trading them. Under the ATO’s guidance, any disposal of Bitcoin, including selling it for fiat, exchanging it for another crypto or using it to purchase goods or services, constitutes a CGT event.

This framework has been the basis for taxing cryptocurrency transactions in Australia for over a decade. However, the recent ruling challenges the approach by suggesting that Bitcoin functions more like money than property. This potentially exempts it from CGT.

Tax refunds could reach $640 million

Cartland said it was held that Bitcoin is Australian money. “That is, it is not a CGT asset. Therefore, acquisitions and disposals of Bitcoin have no tax consequences,” the tax lawyer added.

If the ruling is upheld on the appeal, Cartland estimates that there could be potential tax refunds totalling 1 billion Australian dollars ($640 million).

However, while Cartland thinks there could be up to a billion in refunds, the ATO said there were no official figures that confirm the amount to be potentially refunded if the case changes how Bitcoin is taxed in Australia.

Magazine: Binance Wallet ‘killing’ MetaMask and airdrops, Chinese RWA tokens: Asia Express

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Revolut eyes French license and $1.1B expansion amid EU growth

Published

3 hours ago

May 19, 2025

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Revolut eyes French license and .1B expansion amid EU growth

Revolut, a European neobank with crypto support, plans to invest more than 1 billion euro ($1.1 billion) in France and apply for a local banking license.

According to a May 19 Fortune report, Revolut representatives announced the initiative during the Choose France business summit hosted by President Emmanuel Macron in Paris. The London-based neobank also plans to set up its new European Union-serving headquarters in Paris, promising to invest 1 billion euro and hire at least 200 people within three years.

Revolut spokespeople also said that the firm is in the process of submitting an application to the French banking regulator Prudential Supervision and Resolution Authority. According to an anonymous source cited by Fortune, the regulator has been pushing the neobank to get a license to improve supervision due to its popularity in France.

Revolut currently employs about 300 people and serves five million customers in France. This makes the nation the neobank’s top European Union market.

Aiming for the stars

Revolut hopes to onboard 10 million users by the end of next year and then double that number by 2030. The firm already offers loans, trading and cryptocurrency support in its mobile-first banking platform.

The neobank has seen rapid growth ever since its founding in 2015. The company recently received a $45 billion valuation and reportedly served over 55 million customers as of late May.

Revolut’s 2024 annual report release shows that the firm’s 2024 revenue was 3.1 billion British pounds ($4 billion). A recent Financial News article also puts the company’s headcount at 10,133 employees as of Dec. 31, 2024.

An increasingly regulated institution

Revolut obtained its UK banking license in late July 2024, where 11 million of its customers are located. Now, the neobank is aggressively looking to obtain similar permits across other jurisdictions, with 10 applications underway.

Revolut received the Prepaid Payment Instruments license from India’s central bank earlier this month. This license allows the bank to offer multi-currency forex cards and cross-border remittance services in India.

EU-based Revolut customers now leverage its Lithuania operations. The firm received a banking license in Lithuania at the end of 2018, enabling it to serve customers across the European Economic Area better.

Magazine: Crypto wanted to overthrow banks, now it’s becoming them in stablecoin fight

Politics

Dubai regulator sets compliance deadline for updated crypto rules

Published

4 hours ago

May 19, 2025

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Dubai regulator sets compliance deadline for updated crypto rules

Dubai’s crypto regulator has given licensed digital asset companies until June 19 to comply with its updated activity-based Rulebooks to enhance market integrity and risk oversight.

On May 19, Dubai’s Virtual Assets Regulatory Authority (VARA) announced that it had released Version 2.0 of the Rulebooks.

The regulator said it had strengthened controls around margin trading and token distribution services, harmonised compliance requirements across all licensed activities and given clearer definitions for collateral wallet arrangements.

VARA’s team will engage with licensed entities and expects the companies to comply with the updated rules after a 30-day transition period.

“In line with global regulatory best practices, a 30-day transition period has been granted to all impacted virtual asset service providers [VASPs], with full compliance required by 19 June 2025,” VARA wrote.

VARA enhances supervisory mechanisms

VARA highlighted that it had enhanced supervisory mechanisms across several regulated activities. This includes advisory, broker-dealer, custody, exchange, lending and borrowing, virtual asset (VA) management and investment, and VA transfer and settlement services.

A VARA spokesperson told Cointelegraph that the updates will bring consistency across all activity-based rules defining core operational terms. The spokesperson gave examples of terms like “client assets,” “qualified custodians,” and “collateral requirements” as some of the terms more consistently defined in the update.

The update also aligned risk management and disclosure obligations, where activities overlap, in areas like brokerage, custody and exchange.

“The aim was to reduce ambiguity and help VASPs navigate cross-functional compliance more easily,” VARA told Cointelegraph.

Dubai regulator tightens leverage thresholds for margin trading

As for margin trading, the VARA spokesperson said they tightened leverage thresholds, mandated clearer collateralisation standards, and enhanced the monitoring obligations for VASPs offering this feature.

Margin trading allows traders to control large positions with smaller amounts of capital. It amplifies both gains and losses. Tightening the leverage traders use helps limit the risks of widespread liquidations in a market downturn.

The crypto regulator introduced a new section on token distribution that sets out licensing prerequisites, investor protections and marketing restrictions. The spokesperson emphasized the marketing restrictions, especially for “retail-facing offers.”

“It’s about aligning with global conduct expectations and closing observed regulatory gaps,” the VARA spokesperson said.