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Sir Keir Starmer has admitted Boris Johnson was “right” to propose levelling up but said he was “frustrated” by the former prime minister’s “unforgivable” failure to deliver.

The Labour leader also claimed the policy, which defined Mr Johnson’s premiership, was “strangled at birth” by his successor, Rishi Sunak.

Speaking to Sky News’ political editor Beth Rigby at the launch of Labour’s local election campaign in Dudley, Sir Keir said “the idea” of levelling up that was put before the electorate in 2019 by Mr Johnson was “right”.

But he added: “What that requires – and this is where I get frustrated – is if you really believe that… I’m afraid you’ve got to roll your sleeves up, you’ve got to put a plan on the table, you go the hard yards.

“And so what is unforgivable about Boris Johnson is, having made that the focus, he didn’t do the hard yards of delivery and that’s why people feel even more let down.”

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The Labour leader was equally critical of Mr Sunak, whom he said had “strangled levelling up at birth because he wouldn’t put the funding behind it – and we know what the consequences are.”

However, despite criticising the Conservatives for their failure to put money behind the policy, Sir Keir refused to commit any new funding to local councils, which are straddling an estimated funding gap of £4bn over the next two years.

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Starmer pushed on council funding crisis

He told Rigby his party “can’t turn on the spending taps” for cash-strapped local authorities but that funding settlements could be made longer to provide more stability.

“If we stabilise the economy, that will reduce inflation,” he said. “That’s been a big drag for councils.”

Another change Sir Keir put forward was a ban on no-fault evictions, which he said added to the “strain” on councils which then have to find alternative accommodation.

The ban on no-fault evictions is one of a number of measures that have been held up in the long-delayed Renters Reform Bill, which Michael Gove, the levelling up secretary, has been accused of watering down to appease sceptical backbenchers.

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But Mr Gove said the Labour leader “couldn’t be more wrong” with his assessment of the government’s record.

“We are the party that’s been leading on levelling up for years now,” he said.

“The areas of the country in the Midlands and the North that Labour neglected for decades have had an infusion of cash and a power surge thanks to this Conservative government.

“We’re the people who’ve given power to mayors in the Tees Valley and in the West Midlands, who’ve had a decisive impact on raising wages, levering in investment, empowering local communities.

“Labour are late to this game and also they come with nothing new to say. No new money, no new powers, no plan at all.”

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How Vietnam is using crypto to fix its FATF reputation

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How Vietnam is using crypto to fix its FATF reputation

How Vietnam is using crypto to fix its FATF reputation

Vietnam is leveraging crypto regulation to meet FATF standards, combat digital asset fraud and rebuild its international financial reputation.

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UAE Golden Visa is ‘being developed independently‘ — TON Foundation

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UAE Golden Visa is ‘being developed independently‘ — TON Foundation

UAE Golden Visa is ‘being developed independently‘ — TON Foundation

The TON Foundation distanced itself from initial Golden Visa claims, saying the move is an independent initiative with no official backing from the United Arab Emirates government.

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Building societies step up protest against Reeves’s cash ISA reforms

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Building societies step up protest against Reeves's cash ISA reforms

Building society chiefs will this week intensify their protests against the chancellor’s plans to cut cash ISA limits by warning that it will push up borrowing costs for homeowners and businesses.

Sky News has obtained the draft of a letter being circulated by the Building Societies Association (BSA) among its members which will demand that Rachel Reeves abandons a proposed move to slash savers’ annual cash ISA allowance from the existing £20,000 threshold.

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The draft letter, which is expected to be published this week, warns the chancellor that her decision would deter savers, disrupt Labour’s housebuilding ambitions and potentially present an obstacle to economic growth by triggering higher funding costs.

“Cash ISAs are a cornerstone of personal savings for millions across the UK, helping people from all walks of life to build financial resilience and achieve their savings goals,” the draft letter said.

“Beyond their personal benefits, Cash ISAs play a vital role in the broader economy.

“The funds deposited in these accounts support lending, helping to keep mortgages and loans affordable and accessible.

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“Cutting Cash ISA limits would make this funding more scarce which would have the knock-on effect of making loans to households and businesses more expensive and harder to come by.

“This would undermine efforts to stimulate economic growth, including the government’s commitment to delivering 1.5 million new homes.

“Cutting the Cash ISA limit would send a discouraging message to savers, who are sensibly trying to plan for the future and undermine a product that has stood the test of time.”

The chancellor is reportedly preparing to announce a review of cash ISA limits as part of her Mansion House speech next week.

While individual building society bosses have come out publicly to express their opposition to the move, the BSA letter is likely to be viewed with concern by Treasury officials.

The Nationwide is by far Britain’s biggest building society, with the likes of the Coventry, Yorkshire and Skipton also ranking among the sector’s largest players.

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In the draft letter, which is likely to be signed by dozens of building society bosses, the BSA said the chancellor’s proposals “would make the whole ISA regime more complex and make it harder for people to transfer money between cash and investments”.

“Restricting Cash ISAs won’t encourage people to invest, as it won’t suddenly change their appetite to take on risk,” it said.

“We know that barriers to investing are primarily behavioural, therefore building confidence and awareness are far more important.”

The BSA called on Ms Reeves to back “a long-term consumer awareness and information campaign to educate people about the benefits of investing, alongside maintaining strong support for saving”.

“We therefore urge you to affirm your support for Cash ISAs by maintaining the current £20,000 limit.

“Preserving this threshold will enable households to continue building financial security while supporting broader economic stability and growth.”

The BSA declined to comment on Monday on the leaked letter, although one source said the final version was subject to revision.

The Treasury has so far refused to comment on its plans.

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