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Chancellor Jeremy Hunt will reiterate the government’s commitments to make benefits sanctions harsher in a speech today – while also committing to raising the national living wage above £11 an hour.

Mr Hunt‘s intervention comes around six weeks ahead of his autumn financial statement.

While not as tumultuous as his predecessor’s party conference speech last year – where Kwasi Kwarteng had to admit his party was U-turning on a key part of his mini-budget – Mr Hunt is still under pressure.

Tory conference live: Party chair makes admission about next election

Many voices within the Conservative Party want him to cut taxes, including cabinet ministers.

Speaking to Sky News’ Sunday Morning with Trevor Phillips, Levelling Up Secretary Michael Gove said he would “like to see the tax burden reduced by the next election”.

Mr Hunt on Saturday said the government was “not in a position to talk about tax cuts at all” – but all bets are off when it comes to party conferences.

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The government has been eyeing welfare changes as a way to cut down on spending, and also encouraging people back into work in a bid to grow the economy.

Jeremy Hunt
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The chancellor will address conference today


Mr Hunt will tell the party membership in Manchester: “Since the pandemic, things have being going in the wrong direction. Whilst companies struggle to find workers, around 100,000 people are leaving the labour force every year for a life on benefits.

“As part of that, we will look at the way the sanctions regime works. It is a fundamental matter of fairness. Those who won’t even look for work do not deserve the same benefits as people trying hard to do the right thing.”

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Government divided over tax

A party spokesman said: “To ensure work always pays, the chancellor will also confirm that he and Work and Pensions Secretary Mel Stride will look again at the benefit sanctions regime to make it harder for people to claim benefits while refusing to take active steps to move into work.

“Proposals will be set out in the upcoming autumn statement.”

Speaking last month, Mr Stride said that he was consulting on changes to the Work Capability Assessment, the test aimed at establishing how much a disability or illness limits someone’s ability to work.

Raising the living wage

On the national living wage, Mr Hunt will say the government is going to accept the Low Pay Commission’s recommendation to rise the baseline to at least £11 an hour from April 2024.

Resisting sizeable pay increases in the public sector has been part of the government’s strategy to keep spending and inflation under control

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Tories tight-lipped on tax cut prospects

Mr Hunt will say: “Today I want to complete another great Conservative reform, the National Living Wage.

“Since we introduced it, nearly two million people have been lifted from absolute poverty.

“That’s the Conservative way of improving the lives of working people. Boosting pay, cutting tax.

“But today, we go further with another great Conservative invention, the National Living Wage.

“We promised in our manifesto to raise the National Living Wage to two thirds of median income – ending low pay in this country.

“At the moment it is £10.42 an hour, and we are waiting for the Low Pay Commission to confirm its recommendation for next year.

“But I confirm today, whatever that recommendation, we will increase it next year to at least £11 an hour.”

Ahead of the speech, Prime Minister Rishi Sunak, said: “I’ve always made it clear that hard work should pay, and today we’re providing a well-earned pay rise to millions of people across the country.

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“This means a full-time worker will receive an increase of over £1,000 to their annual earnings, putting more money in the pockets of the lowest paid.

“We’re sending a clear message to hard-working taxpayers across the country; our Conservative government is on your side”.

‘Ban on mobile phones in classrooms’

Elsewhere, Education Secretary Gillian Keegan will also give her speech in the conference hall later, where she is expected to say she will ban mobile phones in classrooms.

Speaking to the Daily Mail, a government source said: “Gillian believes that mobile phones pose a serious challenge in terms of distraction, disruptive behaviour, and bullying.

“It is one of the biggest issues that children and teachers have to grapple with so she will set out a way forward to empower teachers to ban mobiles from classrooms.”

Many schools already ban pupils using phones, but Ms Keegan wants to outlaw them during lessons and break times.

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South Korea ramps up crypto seizures, will target cold wallets

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South Korea ramps up crypto seizures, will target cold wallets

South Korea ramps up crypto seizures, will target cold wallets

South Korea’s National Tax Service warned that cold wallets are not beyond its reach, as it will conduct home searches to combat tax evasion.

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‘Bring it on’: Left-wing activists gather for fight back against the right – and Labour

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'Bring it on': Left-wing activists gather for fight back against the right - and Labour

The World Transformed, a left-wing political festival, has historically ran alongside the Labour Party Conference as an unofficial fringe event.

But a lot has changed since it began in 2016, organised then by the Corbyn-backed group Momentum. And like the former Labour leader himself, TWT has gone independent.

From Thursday to Sunday, a programme of politics, arts and cultural events will be held in Manchester, a week after Labour’s annual party gathering ended.

“It no longer made any sense to be a fringe festival of the Labour conference,” Hope Worsdale, an organiser since 2018, tells Sky News. “We need a space for the independent left to come together.”

This decision was made before the formation of Your Party in July and the surge of support behind the Greens and its new leader Zack Polanski, but both these factors have given TWT some extra momentum. Organisers say it is not just a festival, but a “statement of intent from the British left” – and a left that looks different from how it used to.

Previous headline speakers were Labour MPs in the left-wing Socialist Campaign Group, and in 2021, the showstopper was American democrat Bernie Sanders calling in live for an event alongside John McDonnell.

The World Transformed, previously headlined left-wing Labour MPs
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The World Transformed, previously headlined left-wing Labour MPs

Bernie Sanders and John McDonnell in conversation at TWT in 2021
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Bernie Sanders and John McDonnell in conversation at TWT in 2021

This year, Mr Polanski, Jeremy Corbyn and Zarah Sultana are the only British politicians due to speak at events – though Brian Leishman, who lost the Labour whip in the summer, is also scheduled on a panel.

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TWT was put on pause last year for organisers to reflect upon its role going forward, after Sir Keir Starmer’s election victory.

In 2021, 2022 and 2023, while he was leader of the opposition, the festival was able to “co-exist” with Labour as a space for activists on the left to discuss ideas.

But the prime minister’s “shift to the right” has alienated so many of those grassroots members that it was felt TWT’s core audience would no longer be at Labour Party conferences, says Hope, who joined Labour in the Corbyn years and has since left.

TWT in 2016. Pic: TWT
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TWT in 2016. Pic: TWT

Event at TWT in 2023
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Event at TWT in 2023

“Our official position isn’t that Labour is dead and no one should engage with it,” she says.

“But they have shifted the values of Labour so radically since the last election, broken promise after promise, attacked civil liberties… there’s been such a suite of terrible decisions that mean people who are generally progressive and generally left wing feel like they have to take their organising elsewhere.”

So what’s on the cards?

There will be 120 events held in Hulme, Manchester, from Thursday to Sunday evening.

At the heart of the programme is daily assemblies, which organisers say are “designed to hold genuinely constructive debates about what we should do and how we should do it”.

But there’s just as much partying as there is politics – Dele Sosimi and his Afrobeat Orchestra are headlining the Saturday night slot while a “mystery guest” will host what TWT calls its “infamous” pub quiz on Friday night.

Back in 2018 that was Ed Miliband’s job, when 10,000 activists were expected to attend TWT. This year, organisers anticipate around 3,000 people will gather, but those involved insist this is a real chance for the left to strategise and co-ordinate, given the involvement of over 75 grassroots groups, trade unions, and activist networks.

Collaboration ‘vital’

A key question the left will need to address is how it can avoid splitting the vote given the rise of the Greens, socialist independents and the formation of Your Party,

One activist from the We Deserve Better organisation, which is campaigning for a left-wing electoral alliance and will be at TWT this weekend, acknowledged collaboration is “vital” if the left is to make gains under Britain’s first-past-the-post system.

Jeremy Corbyn at TWT. Pic: Reuters
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Jeremy Corbyn at TWT. Pic: Reuters

But it remains to be seen whether Your Party co-leaders Mr Corbyn and Ms Sultana can even work together following their public spat last month, let alone with other parties. The pair put on a united front at a rally in Liverpool on the eve of TWT, when Sultana said she was “truly sorry” and promised “no more of that”. But will the truce last?

“It’s not ideal”, says the activist. “Hopefully they are back on track…a lot of collaboration is happening at the grassroots and we need to make sure it’s formalised so we can beat Labour and the right, we need to put on united front.”

They point to seats like Ilford North, where Health Secretary Wes Streeting clung on by a margin of just 528 votes in the general election, after a challenge from British-Palestinian candidate Leanne Mohamad, who ran in protest against Labour’s stance on Gaza.

Meanwhile, in Hackney, the Greens are hoping to gain their first directly elected mayor next May, with the Hackney Independent Socialist Group of councillors throwing their weight behind the party’s candidate, Zoe Garbett.

The We Deserve Better activist says Labour’s “hostile war on the left” has made these areas ripe for the taking, and what is more important than party affiliation is galvanising momentum behind one candidate who shares socialist values on issues like public ownership and immigration – be they the Greens, independents, or Your Party.

“The World Transformed reflects a general reorientation of the left outside of Labour. If they are taking these places for granted, we are going to win. If we unite as the left then we can win even bigger. Bring it on.”

Is Labour in danger?

There is some cause for Labour to be worried. It is haemorrhaging votes to both the right and the left after a tumultuous first year in office (13% to Reform UK, 10% to the Greens and 10% to the Lib Dems, according to an Ipsos poll in September).

Many Labour MPs feel the prime minister has spent too much energy trying to “out Reform Reform” with a focus on immigration, and he needs to do more to win back moderate and progressive voters that will be gathering at TWT this weekend.

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Starmer’s ‘anti-Reform party’ gamble

One fed-up MP told Sky News it was a shame TWT had decided to branch away from Labour, but not a surprise.

“This was something that was on the cards for a while, a parting of the ways, it’s another thing to show what’s happening with the direction of the party.”

He said in previous years the festival “was full of people for the first time in their life who were excited about politics and had a leadership looking at how it could challenge the biggest issues in our country”.

“Debates could be heated but it was always a place for intellectual discussion and that inside the Labour Party is now dead.”

But he said the party ultimately had bigger things to worry about than TWT, with a budget round the corner and potentially catastrophic local elections in May.

“I don’t think it will keep Keir Starmer or Morgan McSweeney up at night.”

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Privacy group urges Ireland to drop work on encryption ‘backdoor law’

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Privacy group urges Ireland to drop work on encryption ‘backdoor law’

Privacy group urges Ireland to drop work on encryption ‘backdoor law’

The Irish Communications Interception and Lawful Access Bill is still in development, with drafting yet to occur, but the Global Encryption Coalition wants it scrapped now.

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