Markus Andrews

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailAlmost two million pensioners will be forced to pay income tax in the next four years due to the government’s stealth tax freeze, new research has revealed.The chancellor’s refusal to increase the £12,570 threshold when people start paying income tax – and extending it until 2028 – will see a record number of pensioners being hit with tax bills.Currently, 8.5 million pensioners pay income tax – up from roughly 4.9 million in 2010.However, analysis by the House of Commons for the Liberal Democrats has found an extra 1.6 million pensioners will be paying it within the next four years compared to if the threshold had risen with prices.Without the freeze, the allowance would have risen to £15,220 this year and up to £15,990 in 2027/28.The Lib Dems say the policy will see the Conservative party face a “reckoning at the ballot from older voters sick of being taken for granted”.Recent figures from the Department for Work and Pensions show there are currently 12.7 million people receiving the state pension. According to the Institute for Fiscal Studies, over 60 per cent of these pensioners now pay income tax, up from around 50 per cent in 2010.Further analysis by the Resolution Foundation has found that the freezing on income tax thresholds will leave the average taxpaying pensioner £1,000 worse off by 2027-28.The average taxpaying pensioner will be £1,000 worse off by 2028 Liberal Democrat treasury spokesperson Sarah Olney MP said the figures were a result of Jeremy Hunt’s “pensioner punishing budget”: “These stark figures reveal the stealth tax bombshell facing pensioners under this Conservative government.“Older people who have worked hard and contributed all their lives are now being clobbered with years of unfair tax hikes.“Jeremy Hunt’s pensioner-punishing Budget will not be forgotten come the next election.”The revelations follow on from the spring Budget, which saw the government prioritise national insurance tax cuts for workers.After cutting 2 further percentage points off national insurance, Mr Hunt and Rishi Sunak indicated their goal was to abolish the tax entirely, leaving campaigners concerned that the cost of scrapping the tax would fall on the shoulders of pensioners.Both the Conservatives and Labour have now committed to keeping the state pension triple lock, meaning the state pension rises each year in line with the highest out of wage rises, inflation or 2.5 per cent. This means that the state pension is going up by 8.5 per cent this month.Baroness Altmann, a former Tory pensions minister, told the Telegraph the income tax freeze was “worrying”. “I do think it is worrying that so many more pensioners could be dragged into the tax net as the state pension may soon rise above the frozen threshold.She added: “Most of those tipped into tax will be poorer pensioners with little more than their state pension to live on. Most of them will be totally unaware of any liability and will never have filled in a tax return in their life. They are then at risk of being hit with fines and penalties for not paying a tiny amount of tax that they didn’t even know about.”A Treasury spokesperson defended the decision to freeze tax thresholds as a “difficult decision” that the government had to take, saying: “After providing hundreds of billions of pounds to protect lives and livelihoods throughout the pandemic and Putin’s energy shock, we had to take some difficult decisions to help pay it back.“Now the economy is turning a corner, we have cut National Insurance by a third, meaning that, coupled with above-inflation increases to personal tax thresholds since 2010, we have saved the average earner over £1,500 compared to what they otherwise would have paid.” More

Get the free Morning Headlines email for news from our reporters across the worldSign up to our free Morning Headlines emailA minister has warned people should not arrested just because they smell amid a mounting backlash over a fiercely criticised piece of legislation which criminalises homelessness.Draft legislation for the Criminal Justice Bill seeks to criminalise “nuisance rough sleeping”, stating this includes anyone who has slept rough, is “intending to sleep rough”, or “gives the appearance” of sleeping rough and causes a nuisance while doing so.The definition of so-called “nuisance” even includes “excessive smells”. Offenders can be hit with a month in prison or fines of up to £2,500 if convicted.Education Secretary Gillian Keegan told Sky News on Tuesday she would back government policy but warned people “should not be arrested just if they smell”.She added: “I haven’t looked at that detail of it, but I guess the word is ‘excessive’, and I don’t know what they mean by that.”Her comments come as over 40 Conservative MPs are expected to rebel against elements of the controversial legislation that criminalise “nuisance” rough sleepers.It comes after leading housing charities recently told The Independent they fear measures criminalising homelessness in the Criminal Justice Bill could hit women hardest.The new legislation, expected to become law before the general election, includes vague ill-defined measures that mean sleeping in doorways or hidden spots could be defined as nuisance behaviour and therefore criminalised. Campaigners are fearful women could be worst hit due to the fact they often seek out hidden spots to protect themselves from sexual violence, harassment and other dangers when sleeping on the streets.A former rough sleeper recently told The Independent about her experience of being homeless on and off from the age of 16 until her forties as she branded the bill a “Dickensian” piece of legislation.“It’s a disgrace,” the now 54-year-old said. “If the government thinks the way to end homelessness is to outlaw it, then they are not facing the issue of homelessness. To say, ‘you look homeless, so I’m going to arrest you’ – that is leaving the police with an untold amount of power to just arrest anybody that they like.”Former home secretary Suella Braverman – who provoked criticism when she referred to rough sleeping as a “lifestyle choice” – introduced the legislation to parliament.Senior government sources say the bill has been put on hold while ministers consult with MPs from both the left and right of the Tory Party who have raised fears about the proposals, The Times reports.Bob Blackman, a Tory MP for Harrow East, has tabled measures to ensure the government meets its initial pledge to repeal the 1824 Vagrancy Act.The Criminal Justice Bill has been branded as “the Vagrancy Act 2.0 on steroids” by senior Lib Dem MP Layla Moran – in reference to the intensely criticised 200-year-old piece of legislation.While parliament voted to repeal the Vagrancy Act in February 2022, this has not yet come into force, and the advent of the Criminal Justice Bill signifies a U-turn from the government given the draconian measures included in the legislation. More

Labour “would sell arms to Israel” if it “abides by humanitarian law”, a shadow minister has said.Speaking to Kay Burley on Sky News on Tuesday, 2 April, Pat McFadden said the opposition party “doesn’t have a boycott of selling arms to Israel.”However, if they were in charge, Mr McFadden said selling arms was “something we would do” if it were believed Israel was “abiding by international humanitarian law”.On whether he believed Israel was following international law, Mr McFadden said: “If there’s proper legal evidence that they aren’t, the Government should come out and say so. More

Rishi Sunak laughed at a BBC local radio presenter’s questioning as she grilled the prime minister on when this year’s general election will be.The PM burst into laughter when BBC Radio Tees’ Amy Oakden asked him to name the date, declaring he had “answered that question many times in the last few weeks” but refused to confirm when the vote would be.During the grilling, Ms Oakden pressed Mr Sunak on why he found her question funny.“There’s a way that we’d announce general elections and it would be done in the formal and official way,” Mr Sunak responded. More

Sign up to our free Brexit and beyond email for the latest headlines on what Brexit is meaning for the UKSign up to our Brexit email for the latest insight Enterprise Minister Simon Coveney, one of Ireland’s highest-profile government members, announced Tuesday he is stepping down from the government ahead of the election of a new national leader.Coveney, 51, developed a high international profile when he served as Ireland’s foreign minister between 2017 and 2022 during the turmoil over the U.K.’s departure from the European Union. Brexit had huge implications for Ireland, an EU member that shares a border with the U.K.’s Northern Ireland.Coveney has been minister for enterprise, trade and employment since December 2022.Prime Minister Leo Varadkar stepped down last month as head of the center-right Fine Gael party, part of Ireland’s coalition government, for “personal and political” reasons.His replacement, 37-year-old Simon Harris, is due to be confirmed as Ireland’s youngest prime minister, or taoiseach, next week by Ireland’s parliament, the Dail.Coveney, a member of Fine Gael, said on social network X that he’d told Harris “that I would not be making myself available to serve in cabinet when the Dail resumes next week.”Coveney told Irish broadcaster RTE that stepping aside would make it easier for Harris “to promote new talent in the party.”He said he plans to remain in parliament as the lawmaker for Cork South Central. More

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailThe UK has signed an agreement with the US that will see the two countries’ AI Safety Institutes work together to test emerging AI models.The Memorandum of Understanding will see the two align their scientific approaches and exchange information and personnel, as well as carry out joint testing exercises on AI models.The announcement follows a commitment made at the AI Safety Summit, held at Bletchley Park last November, when major AI firms in attendance such as OpenAI and Google DeepMind, agreed to a voluntary scheme that would allow AI safety institutes to evaluate and test new AI models before they were released.This agreement represents a landmark moment, as the UK and the United States deepen our enduring special relationship to address the defining technology challenge of our generationTechnology Secretary Michelle DonelanThe Department for Science, Innovation and Technology (DSIT) said the new partnership with the US would take effect immediately, and that the collaboration would help governments keep pace with the emerging risks around AI as it continues to develop rapidly.The UK has signed an agreement with the US that will see the two countries’ AI Safety Institutes work together to test emerging AI models (Dominic Lipinski/PA) DSIT said similar partnerships with other countries were also planned in the future.Technology Secretary Michelle Donelan said: “This agreement represents a landmark moment, as the UK and the United States deepen our enduring special relationship to address the defining technology challenge of our generation.”“We have always been clear that ensuring the safe development of AI is a shared global issue. Only by working together can we address the technology’s risks head-on and harness its enormous potential to help us all live easier and healthier lives.“The work of our two nations in driving forward AI safety will strengthen the foundations we laid at Bletchley Park in November, and I have no doubt that our shared expertise will continue to pave the way for countries tapping into AI’s enormous benefits safely and responsibly.”Gina Raimondo, US secretary of commerce, said: “AI is the defining technology of our generation. This partnership is going to accelerate both of our Institutes’ work across the full spectrum of risks, whether to our national security or to our broader society.“Our partnership makes clear that we aren’t running away from these concerns – we’re running at them. Because of our collaboration, our Institutes will gain a better understanding of AI systems, conduct more robust evaluations, and issue more rigorous guidance.“By working together, we are furthering the long-lasting special relationship between the US and UK and laying the groundwork to ensure that we’re keeping AI safe both now and in the future.”Speaking in November last year, Rishi Sunak said the AI Safety Summit would “tip the balance in favour of humanity” in reference to the agreement with AI firms to vet their new models.The Prime Minister said “binding requirements” would likely be needed to regulate the technology, but now is the time to move quickly without laws.Elon Musk, the owner of social media platform X, has also described AI as “one of the biggest threats” facing humanity.The Government announced in February that more than £100 million will be spent preparing the UK to regulate AI and use the technology safely, including helping to prepare and upskill regulators across different sectors.Ministers have chosen to use existing regulators to take on the role of monitoring AI use within their own sectors rather than creating a new, central regulator dedicated to the emerging technology. More

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailTwenty Lancashire councillors have resigned their Labour memberships after accusing Sir Keir Starmer and the national leadership of using “aggressive bullying tactics”.The councillors each sit on Pendle Borough Council, Nelson Town Council or Brierfield Town Council, and claim the national Labour Party no longer represents them.They claim the party is “targeting local councillors” by “preventing them from standing for elections” and will now form their own independent group.Pendle Borough leader Asjad Mahmood, now the leader of the independent group, said in a statement: “I, along with my colleagues, were elected by local residents to represent them in the council chamber.“As a Labour councillor, I have always felt that the party’s policies were aligned with my own beliefs and those of the constituents who have honoured me with their votes.“Sadly, over a recent period, senior party officials have attempted to impose their ideas at a local level. I was elected to serve the public, not party officials.”The Labour Party was facing opposition from some MPs over the use of the union flag on campaign material, according to reports It comes after 11 councillors quit the party in Burnley over Sir Keir’s decision not to push for a ceasefire in Gaza in November last year.Councillor Mohammed Iqbal, who was also among those who resigned, told BBC North West Today: “The party nationally seems to want to control who can stand where and when. We don’t think that’s right so we have taken the difficult decision to resign.”The Labour Party said its “focus is on winning the next general election to improve the lives of those we are elected to serve”.Last week, it was reported that Sir Keir was facing opposition from Bame Labour MPs over the use of the union flag on election campaign material.One MP who spoke to The Guardian described free post campaign material as being “plastered with union jacks” and worried it would alienate ethnic minority voters.In November, Burnley’s council leader quit the Labour Party just days after urging Sir Keir to resign as leader over his stance on the Israel-Hamas war. Councillor Afrasiab Anwar said it had been a “really difficult decision” to leave the Labour Party. Mr Anwar and 10 other councillors decided to leave the party – describing their memberships as “untenable” given the leadership’s refusal to demand a ceasefire in the Middle East.Sir Keir told reporters that his focus was on stopping the suffering in Gaza, not on the “individual positions” of party members. More

Business minister Kevin Hollinrake appeared surprised at finding out he was getting a pay rise during a live TV interview on Monday (1 April).The Tory MP appeared on Gareth Barlow’s Sky News Breakfast show when the presenter asked him about the 5.5 percent pay rise MPs have got, which comes into effect today.Appearing somewhat taken aback, Mr Hollinrake said: “I did not know we were getting a pay rise.”It comes as the UK minimum age rate increases today by 9.8 percent to £11.44 an hour, up from £10.42. More