Jeremy Corbyn has declined to say his Your Party co-founder Zarah Sultana is a friend as supporters of the new grouping gather in Liverpool.

Speaking to Sky News on the eve of the conference, Mr Corbyn acknowledged “stresses and strains” in the set-up of the party but said it had become “a lot better in the last few days and weeks and we’re going to get through this weekend”.

The former Labour leader has publicly clashed with Ms Sultana, the MP for Coventry South, over the launch and structure of the new party.

Asked if they were friends, Mr Corbyn said they were “colleagues in parliament, and we obviously communicate and so on”.

The pair appeared at separate events on the eve of the party’s inaugural gathering.

Ms Sultana had previously claimed she was being “sidelined” by a “sexist boys’ club” within the fledgling party.

Mr Corbyn said her comments were an “unfortunate choice of words” but added that he had been more involved in the organisation of the conference than she had.

The Islington North MP also said that Your Party was still waiting for Ms Sultana to transfer all of the funds she had raised from supporters.

“Obviously having money up front for a conference is a big help,” he said.

Ms Sultana has insisted she is transferring the donations in stages.

The weekend gathering in Liverpool will see supporters choose between four options for a permanent party name: Your Party, Our Party, Popular Alliance, For the Many.

The preferred choice of Ms Sultana – The Left – did not make the ballot.

Similarly, the Coventry MP had said she favoured a co-leader approach, but members will only be able to pick between single leadership or collective leadership models.

Speaking at her own pre-conference rally, Ms Sultana blamed a “nameless, faceless bureaucrat” for restricting the choices.

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The meeting also risked being disrupted by a series of member expulsions. One of those ejected, Lewis Nielsen, accused a “clique” of trying to “take over”.

Your Party sources said expulsions related to members of the Socialist Workers Party and that holding another national party membership was not allowed.

Ms Sultana blamed a “culture of paranoia at the top” and said she believed the same people who had been briefing against her were now also expelling members.

Mr Corbyn will open the conference on Saturday, while the results of the main decision-making votes will be announced on Sunday.

A ban on asylum seekers using taxis for most medical journeys has been announced by Home Secretary Shabana Mahmood.

Under the new rules, taxi use for medical travel will be restricted to “exceptional” cases such as physical disability, pregnancy or serious illness – and these will require government approval.

Ms Mahmood made the announcement after a BBC investigation found “widespread” use of taxis by asylum seekers, including for long journeys – with one case involving a 250-mile trip to see a GP.

Transport for asylum seekers has cost the government an average of almost £16m a year, according to reports.

All service providers will be required to stop using taxis for medical journeys from February next year and the government is now working to help introduce alternatives such as public transport.

“This government inherited Conservative contracts that are wasting billions of taxpayers’ hard-earned cash,” the home secretary said.

“I am ending the unrestricted use of taxis by asylum seekers for hospital appointments, authorising them only in the most exceptional circumstances.

“I will continue to root out waste as we close every single asylum hotel.”

Taxi drivers said the system was open to “abuse”, accusing sub-contractors of inflating mileage, for instance by dispatching drivers over long distances to perform much shorter journeys.

One told BBC Radio 4’s Today programme he had been dispatched from Gatwick to take an asylum seeker more than 50 miles away in Reading to an appointment only 1.5 miles from his hotel. A second driver was reportedly sent from Heathrow, about 30 miles away, to bring the same man back from the appointment.

The policy change comes after a Home Office review of transport arrangements for asylum seekers, it is understood.

Asylum system overhaul

It comes after a raft of measures to overhaul the asylum system was set out by Ms Mahmood earlier in November.

In an interview with Sky News’ political editor Beth Rigby, she admitted the UK’s illegal immigrant numbers were “too high” – but said Reform UK leader Nigel Farage could “sod off” after he claimed she sounded like a Reform supporter.

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The “restoring order and control” plan includes:

• The removal of more families with children – either voluntarily through cash incentives up to £3,000, or by force;
• Quadrupling the time successful asylum seekers must wait to claim permanent residency, from five to 20 years;
• Removing the legal obligation to provide financial support for those who have the right to work but choose not to;
• Setting up a new appeals body to significantly speed up the time it takes to decide whether to refuse an application;
• Reforming how the European Convention on Human Rights (ECHR) is interpreted in immigration cases;
• Banning visas for countries refusing to accept deportees;
• The establishment of new safe and legal refugee routes.

The home secretary told MPs it is an “uncomfortable truth” that Britain’s generous asylum offer, compared with other European countries, is attracting people to the UK – and for British taxpayers the system “feels out of control and unfair”.

However, the wide-ranging reforms have drawn criticism from Labour backbenchers.

Nadia Whittome MP called Ms Mahmood’s plans “dystopian” and “shameful”, while Richard Burgon MP said she should change course rather than be forced into a U-turn later.

So far this year, some 39,292 people have made the journey across the Channel, already more than last year’s numbers, but still below the total for the record year of 2022.

Rachel Reeves has been accused of failing to “support the great British pub” as she promised in the budget, with owners facing skyrocketing business rates bills.

In her speech in the House of Commons on Wednesday, the chancellor said she was backing small businesses by introducing “permanently lower tax rates for over 750,000 retail, hospitality and leisure properties – the lowest tax rates since 1991”.

But while the government gave itself the powers to discount the business rates bills for high street businesses through legislation earlier this year, the chancellor only implemented a reduction of a quarter of what the government is able to, and she is being accused of imposing a “stealth tax”.

It has left small retail, hospitality, and leisure businesses questioning whether their businesses will be viable beyond April next year.

A Treasury spokesperson said: “We’re protecting pubs, restaurants and cafes with the budget’s £4.3bn support package – capping bill rises so a typical independent pub will pay around £4,800 less next year than they otherwise would have.

“This comes on top of cutting licensing costs to help more venues offer pavement drinks and al fresco dining, maintaining our cut to alcohol duty on draught pints, and capping corporation tax.”

Business rates, which are a tax on commercial properties in England and Wales, are calculated through a complex formula of the value of the property, assessed by a government agency every three years, combined with a national “multiplier” set by the Treasury, giving a final cash amount.

Over the last few years, small businesses were given business rates relief of 75% to support them over the COVID pandemic, and Ms Reeves reduced that to 40% at last year’s budget.

The idea was that at the budget this year, the chancellor would remove that remaining relief in favour of reforming the business rates system to compensate for that drop, while shifting the tax burden on to much bigger businesses and companies like Amazon with lots of warehouse space.

However, the chancellor only announced a 5p in the pound discount for small retail, hospitality, and leisure businesses, rather than the assumed 20p drop which the government gave itself the powers to implement, and which trade bodies had been lobbying for.

On top of that, small businesses have seen the government-assessed value of their property increase dramatically, which wipes out the discount, and sees their business rates bill shoot far above what they had previously been paying.

One pub owner near Hull, Sam Caroll, has seen the assessed value of one of his two properties increase from £67,000 to £110,000 in just three years – a 64% increase.

He told Sky News that there is a “continual question” of business viability, and while he thinks they can “adapt” in the short term, “there will be a tipping point at some point”. Even at the moment, packing out their pubs seven nights a week, “it’s difficult for us to break even”, he said.

There will be a discount for small businesses to transition to the higher business rates level, but by year three, almost the full amount is expected to be payable, and Mr Carroll described it as “getting f***** slowly, instead of getting f***** overnight”.

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Sean Hughes, who owns multiple hospitality venues in St Albans, has also seen vast increases in the assessed value of his properties, and was sharply critical of the transitional arrangements the government is implementing.

He told Sky News: “Fundamental business rate reform was promised and we have total chaos. If [the system] was fair, why would they need transitional relief periods?”

A spokesperson of the Valuation Office Agency (VOA), which assesses the value of commercial properties for business rates purposes, told Sky News: “At the last revaluation, some sectors including hospitality were significantly affected by the pandemic, which resulted in much lower rateable values than they would have seen otherwise. Businesses that have now seen a recovery in trade are also likely to see an increase in their rateable value.”

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However, Sky News has seen evidence of businesses whose assessed value did not decrease when assessed during the pandemic, but actually rose, and has risen dramatically this year.

Data compiled by the Pubs Advisory Service, shows that the number of pubs in the UK has decreased by nearly 5% in three years, but the average value of the properties has risen by an average of 36.82% per pub.

And analysis by UK Hospitality, the trade body that represents hospitality businesses, has found that over the next three years, the average pub will pay an extra £12,900 in business rates, even with the transitional arrangements, while an average hotel will see its bill soar by £205,200.

The body adds that by 2028/29, an average pub’s business rates will have increased by 76% and an average hotel’s by 115%, compared to 16% for a distribution warehouse like the ones the web giants use.

It’s not just the business rates rise that is worrying owners – it is the increase in employers’ national insurance implemented at the last budget, the increase in energy bills over the last few years, and the rise in the minimum wage, particularly for young people.

With the budget set to squeeze disposal income, there is little room for price increases to make up the shortfall either.

In a letter to the chancellor on Friday, Liberal Democrat deputy leader Daisy Cooper said small business owners “have been pushed to tears as they’re hit with the bombshell of higher business rates bills”, noting that “the government has chosen not to use the full powers it gave itself to throw high streets a lifeline”.

She added that businesses had been promised “permanently lower business rates”, but it appears the government has “broken yet another promise, by imposing a stealth tax not just on people, but on treasured high street businesses too”, and called on ministers to “throw our high streets and Britain’s hospitality sector a lifeline”.

Conservative shadow business secretary Andrew Griffith published his own analysis of the government’s budget measures on Friday morning, that found they will “hammer British pubs”.

Of the chancellor, he said: “She pretended in her budget speech to be supportive, whilst the true detail is that a combination of rate revaluations and scrapping reliefs will leave most pubs paying thousands of pounds more than they cannot afford.”

Kate Nicholls, Chair of UKHospitality, said in a statement: “The government promised in its manifesto that it would level the playing field between the high street and online giants. The plan in the budget to achieve this is quickly unravelling, and will deliver the exact opposite.”

She said they “repeatedly warned the Treasury” of the impending impacted of the value reassessment, but nonetheless, hospitality businesses are now facing “eye-watering increases”.

She added: “We agree with its reforms to deliver permanently lower business rates for hospitality and we appreciate the package of transitional relief, but its current proposal is not delivering lower bills. A 20p discount for hospitality would. We urge the chancellor to revisit.”