Early evening summary
Keir Starmer has said all options should remain on the table for the future of British Steel’s Scunthorpe plant – amid reports that the government is “seriously considering” nationalising the plant. (See 3.34pm.)
Updated
Starmer admits digital services tax and Online Safety Act raised in trade talks with US
As Hugo Gye reports for the i, during his evidence to the liaison committee Keir Starmer admitted that the digital services tax and the Online Safety Act were being discussed with the US as part of the trade deal talks.
Starmer told the committee:
In relation to trade talks, obviously there are questions about the appropriate way to tax digital services, etc. There are questions about how technology impacts free speech.
I’ve been very clear in my view that we need to have arrangements for a digital tax of some sort, and equally we need to be pioneers of free speech which we have been for very many years in this country.
But at the same time, we rightly protect under the Online Safety Act – further provisions of which are coming into force pretty quickly – and when it comes to paedophiles and protecting children, I take a pretty strong line that we take the necessary measures in order to do so.
Ministers have played down the likelihood of concessions in these areas, saying the US tech companies will always have to pay a fair rate of tax and that basic protections under the Online Safety Act will not be removed. But they have not ruled any changes or reviews of these policies.
Calum Miller, the Lib Dem foreign affairs spokesperson, said:
Keir Starmer must commit to giving parliament a say over any future Trump trade deal, including any concessions over online safety and the tech tax.
It would be immoral for Trump’s tech bro backers to be given tax breaks while children’s safety online is thrown under the bus.
Why Starmer's criticism of OBR was unfair
Keir Starmer may have confused the DWP’s assessment of the government’s welfare reforms with the OBR’s when he gave evidence to the Commons liaison committee.
In response to a question from Labour’s Debbie Abrahams, Starmer criticised the OBR for not taking into account the positive affects the reforms would have on more people being encouraged back to work when it published its report. (See 3.04pm.)
But he was responding to a question an assessment saying that the changes would push 250,000 people into poverty. That came from the DWP, and it did not take account of the likelihood that some of the people losing benefits will return to work – which might keep them out of poverty.
This was a point made repeatedly by Treasury ministers on the day of the spring statement, and the morning after.
Asked to comment on what Starmer said to the committee, the OBR said it had nothing to add beyond what it said in its own report.
In the report, the OBR admits that it has not estimated the impact of the welfare reforms on employment. But it says that’s not because it did not want to; it is because the government did not suppy the information needed for that assessment to be possible.
It said:
While our fiscal forecast takes account of the direct fiscal costs of some of the welfare policies in the government’s Pathways to Work green paper and their indirect effects on aggregate demand, we have not incorporated most of their supply-side impacts on the labour market. This was due to insufficient information from the government on the policies announced and analysis of their likely economic effects. We will incorporate our estimate of these impacts in our next forecast.
Starmer’s comment may have been influenced by the fact that he is frustrated with the OBR for another reason. It has been reported that Starmer thinks it is barmy that the government has to revise its spending plans every six months in response to a new forecast from the OBR. Updating the OBR forecasts once a year would make a lot more sense, he reportedly thinks.
Some of the earlier posts covering Keir Starmer’s evidence to the Commons liaison committee have now been beefed up with more direct quotes. But you may need to refresh the page to get them to show up.
FTSE 100 closes 2.71% up as global markets recover ground from Trump tariffs shock
London’s FTSE 100 index climbed firmly higher as global markets recovered ground on hopes for potential trade deals between the US and other countries, PA Media reports. PA says:
The index was up 2.71%, or 208.45 points, to 7,910.53 at the close of trading.
In the US, the Dow Jones index was up 2.45%, while the S&P 500 finished 2.36% higher.
Report stage debate on assisted dying bill postponed for 3 weeks so MPs get more time to consider changes
The next debate on the assisted dying bill in the Commons chamber has been delayed by three weeks, it emerged today.
The bill has finished in committee and, as the first private member’s bill debated this session, it had been expected back in the Commons for its report stage on Friday 25 April – the first available slot.
But Kim Leadbeater, the Labour MP sponsoring the bill, has written to MPs saying the report stage debate will not take place until Friday 16 May.
In a letter to MPs, she says:
I greatly appreciate the effort colleagues have made to keep the previously announced date free in their diaries, but I have listened carefully to members on all sides of the issue who have told me that they would welcome more time to consider the amendments to the bill in committee, to see the new version of the bill as a result of these important changes, and other related matters …
I have always said it is more important to do this work properly than to do it quickly, which is why I ensured the committee had plenty of time to do its work and why I think it is now sensible to allow all MPs a few more weeks for their own consideration.
Only a small number of MPs vote on a debate when it is in committee. The report stage debate will be the first chance for all MPs to vote again on the bill since its second reading in November.
On that occasion the bill passed by 330 votes to 275 – a majority of 55. But there have been changes to the text of the bill, including the removal of a provision for assisted dying applications to need the approval of a judge, and it is not clear whether the amended bill will attract as much support as the original second reading version.
New child protection authority being set up, safeguarding minister Jess Phillips tells MPs
A new child protection authority will be created to address one of the central recommendations of a major inquiry into child sexual abuse, PA Media reports. PA says:
The Independent Inquiry into Child Sexual Abuse (IICSA) led by Professor Alexis Jay found institutional failings and tens of thousands of victims across England and Wales.
The seven-year probe made 20 recommendations in the final report published in 2022, as it described child sexual abuse as an “epidemic” across the two nations.
The wait for the recommendations to be implemented hit the headlines in January after billionaire X owner Elon Musk criticised the prime minister and Home Office minister Jess Phillips over the UK’s handling of child grooming scandals.
Today Phillips told MPs the publication of the report should have been a “landmark moment”, but victims and survivors were “failed again” when recommendations were not properly taken forward under the previous government.
She told the Commons: “I can announce to the house that to prioritise the protection of children and to improve national oversight and consistency of child protection practice, this government will establish a new child protection authority.
“Building on the national child safeguarding review panel, the child protection authority will address one of IICSA’s central recommendations for providing national leadership and learning on child protection and safeguarding.
“Work to expand the role of the panel will begin immediately, and we will consult on developing the new authority this year.”
But the safeguarding minister was also faced with backlash in the Commons for not providing an update on five local inquiries into child rape gangs previously announced by the government.
Responding to Phillips’ statement, Conservative frontbencher Katie Lam told the Commons: “In January, the home secretary said the government would conduct five local inquiries into the rape gangs which have terrorised so many innocent children.
“Over three months since the government announced these local inquiries, Tom Crowther KC, a barrister invited by the Home Office to help establish them, knows almost nothing about their progress, and neither do we.”
Starmer says 'all options on table' for Scunthorpe steelworks, as report claims nationalisation being seriously considered
Keir Starmer has said all options should remain on the table for the future of British Steel’s Scunthorpe plant – amid reports that the government is “seriously considering” nationalising the plant.
As PA Media reports, British Steel has launched a consultation on the proposed closure of blast furnaces at its Scunthorpe plant and the government has been talking to the company’s Chinese owner Jingye. There have been calls for temporary nationalisation amid fears of thousands of job losses.
Asked about the Scunthorpe steelworks during his evidence to the liaison committee, Starmer said:
We will keep talking. We have made an offer, but all options are on the table in relation to Scunthorpe. I think it’s really important and we’re in the middle of those discussions.
Asked what he meant by “all options”, Starmer replied:
I don’t want to be unhelpful to the committee, but as you can imagine these are ongoing discussions at the moment.
I can reassure the committee that we’re doing everything we can to ensure there is a bright future for Scunthorpe.
But as to precisely where we’ve got to in those talks, I will very happily provide you with further details as soon as I can.
According to a Bloomberg story by Ailbhe Rea and Alex Wickham, ministers are seriously considering nationalising the steelworks. They report:
Trade unions have warned that Jingye has canceled orders for iron ore, coking coal and other raw materials needed to make steel, raising concerns the Scunthorpe plant could effectively close within days without the fuel to run it. If the raw materials aren’t ordered this week, the blast furnaces risk being permanently shuttered, according to one person working in the industry.
Ministers are now examining putting in the order for the raw materials themselves to buy Scunthorpe time, the people [familiar with the matter] said, adding that the order could be made as soon as Wednesday. Nationalization looks like the only viable option if Britain wants to prevent itself from becoming the only G7 economy without a virgin steel industry, the industry figure said.
The Bloomberg report stresses that the nationalisation plans “haven’t been finalised and may not materialise”.
Reform UK has called for British Steel to be nationalised if necessary, and in the Commons yesterday at least one Conservative MP also backed this idea.
But Kemi Badenoch said today nationalisation “has got to be a last resort”.
Responding to the Bloomberg report, Plaid Cymru said it would be a “betrayal” of Wales for the government to nationalise the Scunthorpe steelworks when it did not do the same for Port Talbot. Plaid’s trade spokesperson Llinos Medi MP said:
When Plaid Cymru called for the nationalisation of Port Talbot to safeguard Welsh steel, Labour dismissed it without hesitation.
Now, as the UK Government considers nationalising British Steel in Scunthorpe, Labour’s quiet acceptance of a Tory plan that cost 2,500 jobs in Port Talbot is nothing short of a betrayal.
Updated
Hillier ends with questions that came out of the Youth Parliament meeting.
Q: When will the government legislate to lower the voting age to 16?
Starmer says it’s a manifesto commitment, and the government will definitely implement it.
It has been brought in in Scotland and Wales, and the sky “didn’t fall in”.
Q: And do you favour more citizenship education?
Starmer says he is pleased it is in the curriculum. And the curriculum is being reviewed.
And that’s the end of the hearing.
Starmer says state-based threats to people in UK are 'growing', and threat is underestimated
Meg Hillier asks about foreign states, like China, Russia and Iran, taking action against people in the UK.
Starmer says this is an important issue. State-based threats in the UK are ‘“growing”, he says. It is an important strand of defence and security work.
And it being constantly raised in international talks.
I think we generally underestimate that threat, and it’s very important we’re alive to it.
UPDATE: Starmer said:
You highlight a really important issue, which is state action in this country, which is growing, and state-based threats. And we need to be aware that this is growing and I can assure the committee it is an important strand of the work that we are doing on defence and security all of the time now.
It is constantly raised in international discussions that we have for very obvious reasons, but it is a serious threat.
I think we generally underestimate that threat and it’s very important that we’re alive to it.
Updated
Toni Antoniazzi (Lab) asks Starmer if he backs calls for an inquiry into the killing of Sean Brown in Northern Ireland in 1997. State agents have been linked to the murder.
Starmer says the government will consider the court of appeal judgment on this, which said the refusal to hold an inquiry was unlawful. But he says in the first instance there should be a criminal investigation.
Chi Onwurah (Lab) goes next.
Q: Peter Kyle says big tech companies are as powerful as nation states. How will you treat them?
Starmer says these are powerful companies. But the government does tax them, and they are subject to the Online Safety Act.
Q: The riots last summer were amplified by misinformaton on social meda. The Online Safety Act does not cover this. Will you take action?
Starmer says where online information incited violence, it was unlawful. Some people thought online was a law-free zone. It was important to establish that it was not.
He says gauging what is misinformation or not is hard to policy.
Q: China spends between £8bn and £10bn a year on information operations, and Russia about half that. What does the UK spent?
Starmer says the government does take action against misinformation by state actors.
Q: Can we defend ourselves without a sovereign AI capability?
Yes, we can, Starmer says. But he says the country should always be ambitious.
Q: Do you agree that a dispute about fish should not hold up the UK and the EU agreeing a security pact?
Starmer says Boris Johnson agreed the fishing deal with the EU. It has to be reviewed periodically, he says. But he says it is best if this is not done in public.
Starmer declines to comment on Chinese nationals caught fighting in Ukraine, saying he needs proper briefing first
Tan Dhesi (Lab) goes next.
Q: What is your response to the news that two Chinese soldiers have been caught fighting for Russia in Ukraine?
Starmer says he has only just heard this news. He says he would like to get a proper briefing on what happened before he comments. He says he would like to speak to President Zelenskyy against this.
Updated
Starmer says there should be an inquiry into killing of 15 humanitarian workers in Gaza
Sarah Champion (Lab) is asking the questions.
Q: Israel seems to be ignoring international law. How will the UK comply with the international court of justice ruling on Israel breaking international law?
Starmer says he was an international lawyer. He jokes that marks him down, not up. But of course he believes in international law, he says.
He says the government thinks the occupation of Palestine is unlawful.
Q: Many people feel Israel is not being held to account. Will we push for an inquiry into the recent killing of 15 humanitarian workers in Gaza?
Starmer says there has to be an inquiry into that.
And he says aid needs to be getting into Gaza.
And the UK should put its “foot in the door” to push for a two-state solution.
Starmer says he does not want to cut the aid budget.
But he does not accept the government can do nothing until the aid budget goes up again. He goes on:
That’s why I’ve had active discussions with the World Bank, other institutions, other countries and the private sector about how we could leverage aid financing in a different way, using the private sector, how we can better co ordinate and cooperate with other countries.
Meg Hillier asked Starmer about Darren Jones, the chief secretary to the Treasury, using a pocket money comparison when referring to disability benefits being cut.
Starmer replied:
Of course language matters, I think every member of Cabinet knows that. Occasionally people don’t get it quite right. They usually apologise and are quite right to.”
The two values that have driven me in everything I’ve done as a lawyer and as a politician are dignity and respect. Dignity is probably the most important word in my dictionary.
Geoffrey Clifton-Brown (Con) says the decision to scrap NHS England was welcome.
Q: What can be done to improve health prevention?
Starmer says health has to become more prevention focused, more community focused and more tech-focused.
He says the example he remembers most is poor dental health being the main cause of children going to hospital.
Q: 24% of five-year-olds have got signs of tooth decay. What can be done to transform NHS dentistry? The contract is not fit for purpose.
Starmer says the contract is being renegotiated.
And the government has to deal with dental deserts, he says.
He says supervised tooth brushing at school has just started.
Starmer says Louise Casey review should lead to social changes in 2026, before final report gets published
Meg Hillier asks Starmer if he expects the interim report from Louise Casey, which is due next year, to lead to policy changes.
Starmer says he asked Casey to do the work in two stages.
The second part will cover major reforms to the system.
But he also asked her to say what should be done now, he says. He says he is pretty sure that that report is due in 2026 – but he says he cannot find that date in the notes he has with him.
UPDATE: Starmer said:
Louise is starting her work this month. I’ve asked her to do her work in two stages. The second of the stages is, what are the major reforms that are needed, and therefore the cross party work needs to be done.
The first part is, what are the deliverable changes that we can do right here, right now, without waiting for the wider reform – I’m as sure as I can be, but I can’t find the right page of my notes – that that’s 2026.
Updated
Layla Moran (Lib Dem) asks about social care. She accuses Starmer of delaying social care reform.
Starmer says he has asked Louise Casey, who is leading the review of this, to start consulting on a cross-party basis straight away.
He says he does not want her to rush the work.
But he also does not accept that nothing can happen in the interim.
Sarah Owen (Lab) asks Starmer about the anxiety people are feeling about benefit cuts. She reads out quotes from people who have written in with about their fears.
Starmer says the principles are important. If people cannot work, they need protection. But if people can work, they should work. He says the current system makes it hard for people to get off benefits and into work.
Q: Will the consultation period bring people together?
Starmer says he does want to bring people together.
He says people never able to work won’t be constantly reassessed.
Starmer criticises OBR for not taking account of positive impact welfare reforms might have on employment
Deborah Abrahams (Lab) asks about the Pathways to Work green paper, and the cuts to benefits.
Starmer says he is convinced that some of the programmes to get people into work, including the right to try work, can make a big difference.
Q: In the past welfare reforms have not delivered the savings people expecte. The Joseph Rowntree Foundation says 400,000 will be pushed into poverty from these changes, not 250,000 as the DWP claims. How will you ensure you do not push people into poverty?
Starmer says is it significant that the OBR [Office for Budget Responsibility] assessements do not take into account any likely behavioural change. He says he “struggles with that”.
He says he is worried by the number of young people not in employment, education or training (Neets).
Abrahams says the evidence shows that poverty and family adversity are the factors explains why people become Neet. She calls for evidence to show the impact of these policies.
Starmer says evidence is crucial.
He says the last Labour government cut child poverty, and he wants to do the same too. The child poverty strategy will be crucial.
Q: Will you commit to not legislating before we have those impact assessments?
Starmer says he is not going to make commitments on timing, because the government needs to press on. But he says he absolutely accepts Abrahams’ point about the evidence base for policy.
UPDATE: Starmer said:
It is significant to my mind that the ability of any policy to change behaviour is not priced in. The OBR have scored nothing against any change here. The assumption is not a single person changes their behaviour.
I personally struggle with that way of looking at it. I do think these measures will make a material difference and they need to make a material difference.
Updated
Starmer says regulation has gone too far and 'large chunk of growth' can be achieved by cutting it back
Meg Hillier goes next.
Q: How will cutting regulation boost growth?
Starmer says:
I think there’s a large chunk of growth we can get by stripping away regulation …
You’ll be astonished at how many regulators and regulatory bodies that we’ve put in place over the years …
As soon as you regulator in place, you can bet your bottom dollar there’s going to be a consultation with X, Y and Z before a decision can be made. That then takes forever. There’s a deadline that’s breached, and nobody wants to do anything about it, because you might come up against the regulator and the priorities of the regulator aren’t necessarily aligned with what the government is trying to achieve.
So there’s a huge amount of work to do that.
I’m not saying there should never be any checks and balances. Of course, I’m not, but what I think has happened over the years, which is perhaps understandable, is every time there’s been anything that’s gone wrong in government, the instinct of successive governments has been let us put an arm’s length body, a regulator, a check and balance, a consultation in place, to a point where now all of us, myself included, are pretty frustrated that when we want to get something done, it is taking far too long.
Geoffrey Clifton-Brown (Con) asks about AI. Starmer has talked about how it can transform the public sector, he says. Clifton-Brown says the public accounts committee has heard calls for digital services manager to be embedded at senior levels in the civil service.
Starmer says he is in favour of this. He is pushing this from the centre, he says. It can be “transformative”. And it can release humans to be more human.
As an example he cites planning.
We think we can use AI to collate a lot of the available information put it into the right format, so a decision maker can use their professional judgement and spend more time on that, than on the task of collating the information.
Starmer says he is not one of those people who think progressing AI should be held back because it is too risky.
Starmer says he would like to see the defence be “part of our story on economic growth”.
Until now, there has been a tendency to see it as being in a category of its own.
Patricia Ferguson (Lab) asks Starmer if he would back a standalone minister for space, to help the development of the space industry in Scotland.
Starmer says that idea has not been put to him. He will think about it. But he says is he “not a particular fan of just creating more and more posts”.
But he says he does see space as a growth area for Scotland.
Starmer say he wants EV crossover point, where they become as cheap as petrol cars, to be reached sooner
Ruth Cadbury (Lab) goes next.
Q: How will you incentivise drivers to switch to electric vehicles (EVs), especially if they cannot charge at home. If you cannot charge of your domestic supply, you pay 20% VAT, not 5%?
Starmer says there are a number of things that need to be done.
He says the crossover point, when it becomes as cheap to buy an EV, is vital. That is in the late 2020s, he says. He says he is pushing to bring that forward.
And he says more charging points are needed. But what he announced on this was not new, he says.
Starmer recalls visiting Scunthorpe and being told that the plant could replace blast furnaces with an electric arc furnace by 2027-28. But it would take until 2034 to get a connnect to the grid, he says.
He says that was a converation that helped persuade him of the need to speed up grid connection times.
Asked about Scunthorpe steelworks, Starmer says the government is committed to the steel industry. He says all options are on the table.
Bill Esterson (Lab) asks what that means.
Starmer says talks are going on. He says there is a limit to what he can say now. He will update Esterson when he can.
Meg Hillier, the Labour chair, asks if the government should respond as it responded to the banking crisis, with more borrowing, or changes to the fiscal rules.
Starmer says some of what he thinks the government should be doing is about breaking down barriers, not spending more. He cites the electric vehicles plan announced yesterday as an example. What the government did was introduce more flexibility in the way the rules were applied.
Starmer says his 'instinct' is 'not to jump in with both feet to retaliate' against US over tariffs
Keir Starmer is at the committee now.
He says that his “instinct” is that “we shouldn’t jump in with both feet to retaliate”.
But the government has to keep its options on the table, he says.
He says he does not view this as a “temporary passing phase”.
In response, the government is turbocharging changes to the economy, and seeking to lower barriers to trade.
UPDATE: Starmer said:
My instinct is that we shouldn’t jump in with both feet to retaliate. So in that sense, I’m not changing my plans.
Obviously we have to keep our options on the table and do the preparatory work for retaliation if necessary. But I think that trying to negotiate an arrangement which mitigates the tariffs is better.
Updated
Starmer faces questions from Commons liaison committee
Keir Starmer is about to take questions from the Commons liaision committee.
Meg Hillier, chair of the Treasury committee, will chair the session.
And here is the committee’s list of the topics coming up, and who will be asking questions in each section.
Growth
Ruth Cadbury MP - Transport
Geoffrey Clifton-Brown – Public Accounts
Bill Esterson MP - Energy Security and Net Zero
Patricia Ferguson MP - Scottish Affairs
International Affairs and Defence
Tonia Antoniazzi MP - Northern Ireland Affairs
Sarah Champion MP – International Development
Tan Dhesi MP – Defence
Chi Onwurah MP - Science, Innovation and Technology
Welfare Reforms and Health
Debbie Abrahams MP – Work and Pensions
Geoffrey Clifton-Brown – Public Accounts Committee
Layla Moran MP – Health and Social Care
Sarah Owen MP – Women and Equalities
Sarah Jones, a business minister, has hosted a meeting of the Steel Council today, a body allowing the industry to consult with government and unions. In a statement afterwards, she said:
We know this is a concerning time for our steel industry in the face of global challenges. That’s why we’re working in lockstep with industry to drive forward our steel plan so it can help the sector secure jobs, deliver growth and power the modern economy.
This government will always stand up for UK steelmaking, and where others may talk tough, we are acting, with money ready to go to back up British industry. With our steel plan we’re placing it at the heart of our growth mission, and we’ll keep all options on the table to help steel in the UK thrive and deliver on our Plan for Change.
India striking more bilateral deals in light of economic uncertainty, says minister, ahead of meeting with Reeves
Eleni Courea is a Guardian political correspondent.
India is striking more bilateral deals in light of global uncertainty, a minister has said ahead of talks with Rachel Reeves about accelerating a UK trade deal.
Nirmala Sitharaman, the Indian finance minister, said “global uncertainties are multiplying by the day” and there was “a rapidity with which countries are talking to each other” to strike bilateral deals.
Speaking at an event at the Indian high commission in London, ahead of her meeting with the chancellor tomorrow, Sitharaman argued countries were operating in a “multipolar” environment that was “driving many countries to clearly be active on [seeking] bilateral arrangements” that went beyond historic ideological and political ties. She went on:
India is also looking at many bilateral arrangements, in the recent past we’ve signed agreements with Australia, the UAE, with Oman, and we’re looking forward to concluding the bilateral trade agreement with the UK, negotiating also with the EU. And this is going to catch up. And I think that’s the way the world is going.
Sitharaman also said she would be discussing visas for Indian students. She said:
There was a time when the first choice for Indian higher education seekers was UK, but gradually it came down ... You see Indians to discuss prioritising the United States rather than UK … So that will be another area in which we will be talking.
Updated
Lib Dems say ministers 'out of touch' with public in rejecting call for 'Buy British' campaign
Daisy Cooper, the Lib Dem deputy leader and Treasury spokesperson, has criticised Rachel Reeves for rejecting her call in the Commons earlier for a government-led “Buy British” campaign. (See 12.27pm.) In a statement, Cooper said:
The chancellor’s comments are an insult to businesses being pushed to the brink by Donald Trump’s trade war. This is completely out of touch with the British people who are rallying behind local businesses in their time of need.
Instead of talking down our high-streets, the government needs to send a clear message to the White House that they stand squarely behind British businesses and against Trump’s damaging tariffs.
No 10 backs Reeves in not calling for 'Buy British' campaign, saying it should be up to consumers to decide what they buy
At the Downing Street lobby briefing the PM’s spokesperson backed Rachel Reeves in turning down a Lib Dem request for the government to launch a “Buy British” campaign. (See 12.27pm.)
The spokesperson said the UK is an open, trading nation. He said the government “will always back British manufacturers”, but that it was up to people to decide what they wanted to buy.
Asked if the government would advise people to avoid US products, he said that would not be consistent with Britain being an open, trading nation. It was up to consumers to decide. The government was focusing on supporting British industries, he said.
Badenoch does not deny report saying Tories have lost key donor
Kemi Badenoch has failed to deny a Guardian report saying a key donor to the Conservative party has pulled his funding.
As Eleni Courea reports, Richard Harpin, the founder of the home repairs business HomeServe, who donated almost £850,000 to the Conseratives in 2024, has stopped giving to the party.
Asked about the story, Badenoch said she would not discuss “any specific individuals”. She claimed there were “many factual inaccuracies” in the story but she did not say what they were.
Asked again if Harpin had stopped his donations, she replied:
As I said, I’m not discussing any specific individuals. The Conservative party is fundraising and we’re making sure that we’re using that money wisely in the service of the British public.
Updated
Starmer tells cabinet trade framework created by Trump tariffs 'not a passing phase'
Keir Starmer has restated his belief that the Trump tariffs, or at least the global trade framework that they are creating, are here to stay. Speaking to cabinet this morning, he said the new era for the global economy created by US protectionism was “here to stay”. In its readout from cabinet, Downing Street said:
The prime minister updated cabinet on the response to President Trump’s implementation of further tariffs last week and reflected on his and the chancellor’s visit to Jaguar Land Rover yesterday where he saw first-hand the impact that tariffs were having, and underlined the government’s resolve to protect our key industries and support the wider economy. He reiterated that businesses have been clear they want a calm and pragmatic response from the government, continued dialogue with the US on an economic deal, while making preparations for all of the options available in response.
The prime minister said this new era for the global economy was not a passing phase, and was why we must act to accelerate our industrial policy to strengthen the UK as a place to invest, and that the announcements yesterday to support electric vehicle production and reduce the time it takes to deliver clinical trials were examples of an active state delivering a more secure economy.
Alex Burghart, the shadow Cabinet Office minister, asked Benn if he was confident that the duty reimbursement scheme would be able to cope with the possible volume of applications it might get if the EU does impose tariffs on the US, impacting exports going to Northern Ireland.
In response, Benn said the government had been “preparing for and looking at all eventualities”. He said imports from the US accounted for about 2% of Northern Ireland’s total purchases.
Hilary Benn tells MPs firms in Northern Ireland can get refunded if they have to pay EU tariffs on goods from US
In the Commons Hilary Benn, the Northern Ireland secretary, is responding to an urgent question from the Conservatives about the impact EU tariffs on the US would have on Northern Ireland.
Under the post-Brexit trade deal for Northern Ireland, the Windsor framework, if the EU imposes tariffs on the US, that tariff would apply to US goods being imported into Northern Ireland.
Businesses would have to pay the tariffs. But they could apply for refunds for goods that were not going to enter the EU market.
Benn explains how this work. And he says there is also a customs duty waiver scheme, subject to an overall limit.
He goes on:
These schemes work in our national interest, and HMRC is continuing to talk to and support any businesses that might be affected, to help them understand how to use the duty reimbursement and customs duty waiver schemes.
The Minister for the Cabinet Office [Nick Thomas-Symonds] has talked about all this with EU counterparts in recent days, because the government is fully aware of how sensitive this issue is for businesses in Northern Ireland.
What we need in these circumstances is a calm and considered response, and that is what the government will continue to provide.
Reeves rejects call from Labour Treasury committee chair, Meg Hillier, for fiscal rules to be revised
Meg Hillier, the chair of the Commons Treasury committee, has suggested the government should change its fiscal rules to allow more borrowing as a response to the problems facing the global economy.
Speaking during Treasury questions in the Commons, Hillier said:
Since the spring statement, the world has been rocked by the announcements by President Trump on tariffs last week. It’s an event that is as significant as the financial crisis of 2008 or indeed perhaps as Covid.
In those instances the state unleashed everything it could to try and resolve those issues. Is the chancellor considering changing any of her rules in order to make sure that everything that the state can throw at this problem is being done?
In response, Reeves said:
It is incredibly important to retain cool heads at this moment. Tariffs have been imposed and we are working closely with our friends and counterparts in the United States to reduce the impact on those, not just in the UK, but around the world as well.
The fiscal rules are very important for giving our country the stability it needs. We saw what happened when the previous government lost control of the public finances. It resulted in interest rates going through the roof, meaning higher costs for businesses and for working families.
We won’t make those mistakes. That’s why the fiscal rules are non-negotiable, and stability for this government is sacrosanct.
When Anneliese Dodds resigned as development minister, she also suggested the government should revise its fiscal rules, which are blamed for restricting government borrowing. In private, many Labour MPs probably agrees.
But the Treasury argues that it is not the fiscal rules that restrict government borrowing, but the high level of government debt, which means the government is spending £100bn a year on debt interest. Even if the rules allowed more borrowing, the bond markets would probably make this unaffordable, the Treasury believes.
Reeves rejects Lib Dem call for government to launch 'Buy British' campaign
Rachel Reeves, the chancellor, has declined to back Lib Dems calls for the government to launch a ‘Buy British’ campaign.
During Treasury questions, the Lib Dem deputy leader and Treasury spokesperson Daisy Cooper asked the government to “commit to a ‘Buy British’ campaign as part of a broader national effort to encourage people to buy British here at home”.
In response, Reeves replied:
In terms of buying British, I think everyone will make their own decisions. What we don’t want to see is a trade war, with Britain becoming inward-looking, because if every country in the world decided that they only wanted to buy things produced in their country, that is not a good way forward.
After Treasury questions there will be an urgent question on the impact of EU tariffs on the US on Northern Ireland.
That will be followed by two statements: from safeguarding minister Jess Phillips on child sexual abuse, and from the business minister Gareth Thomas on the Horizon compensation scheme for post office operators.
In her statement to MPs Rachel Reeves, the chancellor, also said she would be holding talks with the Indian government tomorrow “as part of our two nations’ economic and financial dialogue as we seek to secure a new trade deal with India”.
Reeves tells MPs government focusing most on cutting US additional tariffs on UK cars and steel
In the Commons, responding to Mel Stride, Rachel Reeves, the chancellor, said that discussions with the US were continuing on a trade deal and that she would be meeting Scott Bessant, the US treasury secretary, “shortly”.
Referring to the talks, she said:
The focus is on reducing tariff and non-tariff barriers to trade, with a particular focus on those sectors that are subject to the higher tariffs.
Because although the 10% tariffs are lower than many other countries’ around the world, and we welcome that, the additional tariffs on cars, on steel, and potentially on life sciences, pose a real challenge to our country, because those are some of our biggest export markets.
Reeves said the government was also concerned about the risk of “dumping” (goods being sold cheaply in the UK, because tariffs have made them too expensive for the US, at a risk to UK producers). But the government’s “first priority is not to create more trade barriers, but to reduce the ones that exist today”, she said.
In the Commons Mel Stride, the shadow chancellor, said the Conservatives would do whatever they could to help the government lower the US tariffs imposed on the UK. He said:
Free trade has been the bedrock of prosperity for our country, and many countries around the world, for decades. It has raised billions out of poverty. Tariffs are the enemy of free trade, and we on this side of the house will do whatever we can to assist the government in getting those tariffs down.
Reeves tells MPs Bank of England governor has assured her 'markets functioning effectively' despite tariffs crisis
In the Commons Rachel Reeves, the chancellor, is taking questions. Unusually, she opened with a mini statement about the Trump tariffs. It largely echoed what Keir Starmer said in his speech yesterday, with Reeves saying the government would respond in a calm, pragmatic manner, focusing on the national interest but also keeping “nothing off the table” in terms of possible retaliation.
But Reeves also said she had spoken to Andrew Bailey, governor of the Bank of England, this morning. She said:
The United States’ decision to impose tariffs has had and will continue to have huge implications for the world economy.
These implications have been reflected in the reaction that we’ve seen in global markets in recent days, which the financial authorities have of course been monitoring closely.
This morning I spoke to the governor of the Bank of England, who has confirmed that markets are functioning effectively and that our banking system is resilient.
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Half of Britons back retaliatory tariffs against US, poll suggests
Half of Britons (51%) think the government should impose retaliatory tariffs on imports from the US, according to polling by More in Common, a campaign group. Last week, just before the Trump tariffs were announced, YouGov published figures suggesting 71% of Britons would favour retaliatory tariffs against the US.
Yesterday YouGov also released polling suggesting that only around a third of voters think Keir Starmer and the government played a significant role in ensuring the US tariffs imposed on the UK are relatively low.
More in Common has asked the same question with slightly different wording, and produced a result more favourable to Starmer and the government. Its figures suggest that almost half of people think the PM and his team were at least somewhat responsible for the UK getting a lower tariff rate.
Denyer says Reform is “throwing everything” at the local elections because they think they can take advantage of people feeling let down by the Tories and Labour. She goes on:
But we are here to say that voters have another choice, a positive choice, instead of one of the tired, old parties, or worse, a party that is divisive, dishonest, in disarray, that wants to tear things down, not build communities up, and has no track record of delivering.
Labour 'are making choices that increase poverty', says Green at local elections campaign launch
The Green party local election launch is taking place now.
Carla Denyer and Adrian Ramsay, the two co-leaders, are speakign.
Ramsay says Labour have had nine months to prove themselves, “but they have failed at every turn”.
Denyer says postive change “just isn’t happening”. She says by cutting the winter fuel payment, refusing to get rid of the two-child benefit cap, and cutting disabiltiy benefits, Labour “are making choices that increase poverty”. She goes on:
Voters are telling us that this Labour government has been a crushing disappointment, unwilling to equip councils with what they need to actually support our communities.
So we know that in these local elections, where they’re still happening, many people are looking for something different.
Court of appeal starts hearing Prince Harry's challenge over Home Office decision about taxpayer-funded protection
The Duke of Sussex’s appeal against the dismissal of his legal challenge over the level of protection he is given while visiting the UK has begun at the court of appeal, PA Media reports. PA says:
Harry is challenging the dismissal of his high court legal action against the Home Office over the decision of the Executive Committee for the Protection of Royalty and Public Figures (Ravec) that he should receive a different degree of taxpayer-funded protection when in the country.
Last year, retired high court judge Sir Peter Lane ruled that Ravec’s decision, taken in early 2020 after the Duke and Duchess of Sussex quit as senior working royals, was not irrational or procedurally unfair.
The Home Office, which has legal responsibility for Ravec’s decisions, is opposing the appeal, with its lawyers previously telling the high court that decisions were taken on a “case-by-case” basis.
Harry was in attendance as the hearing began on Tuesday at the Royal Courts of Justice in central London.
The appeal, before Sir Geoffrey Vos, Lord Justice Bean and Lord Justice Edis, is due to conclude tomorrow, with a decision expected in writing at a later date.
There is a live feed here.
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Sir Philip Green loses legal case against UK over use of parliamentary privilege
Retail tycoon Sir Philip Green has lost a legal case against the UK government after complaining about being publicly named by Labour’s Peter Hain in the House of Lords as facing misconduct allegations. Simon Goodley has the story here.
Greens urge people disillusioned with 'old, tired parties' to back them in local elections
The Green party says it is offering “positive change” at the local elections to people fed up with the “old, tired parties”.
It is formally launching its campaign later this morning and, according to extracts released in advance, Adrian Ramsay, the party’s co-leader, will argue that his party is doing well because it is offering voters something different.
He is expected to say:
We know that politics in this country isn’t providing people with what they need - that disillusionment is high and morale is low. But up and down the country Greens are making a difference. We are smashing through records getting more and more hard-working councillors elected.
We are taking votes from the old, tired parties to offer something different - the positive change so desperately needed.
Meanwhile, Reform is trying to make gains on the back of a weak and lacklustre political old guard. It’s a party that uses the politics of fear to divide our communities. And whose policies are explicitly designed to only benefit a small number of the very richest people. Importantly for these local elections, Reform has no track record of delivering at any level of government.
The launch is taking place near Warwick, where the Greens run the council with Labour. Carla Denyer, the other Green co-leader, is expected to say:
The over 800 Green councillors across England and Wales between them already represent millions of people in this country. They are working hard every day to make a difference for their communities, working all year round on practical solutions, not just turning up on the doorstep when it’s election time.
Here in Warwick where we lead the council, we have invested millions into making council housing warmer and cheaper to run. In Mid Suffolk, another Green run council, in one year we have prevented hundreds of people from becoming homeless.
The Green say they lead 14 councils in England and Wales, and are part of running more than 40.
More than 100,000 certificates that formally recognise baby loss have been issued since the service was introduced, the Department of Health and Social Care has revealed. PA Media says:
Campaigners said they are “deeply moved by the overwhelmingly positive response” to the baby loss certificate scheme.
The voluntary service launched in February last year, allowing parents in England who had lost a baby before 24 weeks of pregnancy to acknowledge their baby existed.
It initially only included losses since September 2018, but was expanded in October to include any parent who has experienced a loss before 24 weeks, or 28 weeks if the loss occurred before October 1992.
Streeting says he hopes process for getting GP appointments to be 'wildly different and improved' by next election
Wes Streeting, the health secretary, has been giving interviews this morning partly to promote an announcement about the NHS in England hiring more than 1,500 new GPs since October. In a news release, the Department of Health and Social Care says this has happened because of a rule change introduced by the government. It says:
When the government came into office, unnecessary red tape was preventing practices from hiring newly qualified GPs, meaning more than 1,000 were due to graduate into unemployment. At the same time, there were also 1,399 fewer fully qualified GPs than a decade prior, showing how years of underfunding and neglect had eroded GP services.
The government cut the red tape and invested an extra £82m to allow networks of practices to hire the GPs, with the funding continuing past this year thanks to the extra funding announced at the budget.
In a bid to end what it describes as the “8am scramble” on the phone to make a GP appointment, the DHSC says it has also told GP surgeries to allow patients to request appointments online, “freeing up the phones for those who want to book over the phone, and making it easier for practices to triage patients based on medical need”.
In an interview with LBC, asked when the “8am scramble” would end, Streeting said:
It is going to take time. We’ve just actually done a deal with GPs with a new contract, the first time that’s happened since the pandemic, and that will ensure that everyone in every part of the country can access services online, including appointment booking. So I think that will help.
But, ultimately, this is going to be a case of step by step, year on year, seeing an improvement.
Asked again when patients would notice the difference, Streeting replied:
Let’s certainly hope that, by the next general election, people feel that their experience of accessing general practice is wildly different and improved compared to when we came in.
Trump’s tariffs could hit UK medicine supply, Streeting warns
US tariffs could adversely affect the supply of medicines to the UK, Wes Streeting, the health secretary, has warned. Jamie Grierson has the story.
Wes Streeting defends Starmer's non-antagonistic handling of Trump ahead of PM giving evidence to liaison committee
Good morning. It is the last day the Commons is sitting before the Easter recess, and Keir Starmer is giving evidence to the liaision committee, the body made up of all the other committee chairs. He will take questions on growth, on international affairs and defence, and on welfare reforms and health. These sessions are often better at producing the anticipation of news than they are at generating actual headlines, but we always live in hope. It is not as if theren’t lots of topics to ask him about.
Wes Streeting, the health secretary, has been giving interviews this morning. Many commentators (including the Guardian’s John Crace) are increasingly exasperated by Starmer’s willingness to talk about how the government will respond to the crisis that has hit the world trading system without appearing to say anything remotely critical about the person responsible. Streeting spent quite a lot of time this morning defending the PM’s non-antagonistic approach. On the Today programme, Nick Robinson put it to Streeting that Starmer was “taking us for fools” by not saying that world trade was working perfectly well until Trump, “the man [Starmer’s] been sucking up to”, ripped it up. Streeting replied:
We’ve made no bones about the fact that we disagree with the decisions being taken by the Trump administration in relation to tariffs. We don’t want to see a trade war. The tariffs, even being at the best end of the tariff regime, [are] still harmful to British interests, which is why we’re working to secure an economic partnership …
But what the prime minister has been doing, contrary to those who preferred that he would take to Twitter or pick up placards, is showing the cool, calm, level-headed leadership required, both to get the best possible trading relationship we can with the United States, as well as with our other trading partners.
Graeme Wearden has the latest on the economic reaction to the tariffs on his business live blog. European markets are up a bit this morning.
Here is the agenda for the day.
9.30am: Keir Starmer chairs cabinet.
9.30am: Daniel Kebede, general secretary of the National Education Union, holds a press conference ahead of the NEU’s annual conference.
11am: Carla Denyer and Adrian Ramsay, the Green party’s co-leaders, launch the party’s local elections campaign at an event in Kenilworth, Warwickshire.
11.30am: Rachel Reeves, the chancellor, takes questions in the Commons.
11.30am: Wes Streeting, the health secretary, Sir James Mackey, chief executive of NHS England, and Sir Chris Whitty, England’s chief medical officer, give evidence to the Commons health committee about NHS England.
Lunchtime: Kemi Badenoch is due to give interviews during a local elections campaign visit.
2.30pm: Starmer gives evidence to the Commons liaision committee.
3.30pm: Nigel Farage, the Reform UK leader, Richard Tice, his deputy, and Andrea Jenkyns, the party’s candidate for mayor of Greater Lincolnshire, visit the Scunthorpe steelworks.
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