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    Reeves ‘plots tax raid on landlords’ to help plug £40bn Budget black hole

    Rachel Reeves is reportedly plotting a tax raid on landlords in an attempt to plug the up to £40billion blackhole in the nation’s finances.The chancellor is considering raising taxes for landlords in her next budget by applying national insurance (NI) to rental income, arguing the move would target “unearned income”, according to reports.The plans aim to make the Treasury £2 billion, as it attempts to avoid breaking the chancellor’s “red lines” outlined before the general election, which included not increasing VAT, income tax or national insurance.Currently, NI contributions do not have to be paid on most earnings from property, pensions and savings, while employees with other forms of income are hit with the 8 per cent levy.But sources have told The Times that NI contributions could now be levied on rental income in what would be “a significant potential extra source of funds” at a time when Ms Reeves is under a multitude of financial pressures, including rising borrowing costs.Rachel Reeves is plotting a tax raid on landlords in an attempt to plug the up to £40billion blackhole in the nation’s finances More

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    Ed Davey to boycott King’s banquet for Trump over ‘horrifying’ Gaza war

    Sir Ed Davey is set to boycott Donald Trump’s state banquet next month over accusations the US president has not used his power to end the “horrifying” war in Gaza.The Liberal Democrat leader suggested the US president and Sir Keir Starmer were hoping to merely “close their eyes and wish this away” rather than act on the escalating humanitarian crisis in the Gaze Strip.In an announcement that led the Tories to accuse him of “deep disrespect” to the King, Sir Ed confirmed on Wednesday that he would decline an invitation to the dinner, set to take place during Mr Trump’s state visit in mid-September.Sir Ed said he and his wife Emily had “spent all summer thinking about this” and had “prayed about it”, before deciding it was “the one way” to send a message to both Mr Trump and Sir Keir.He said: “There is no honour like an invitation from the King, and not to accept his invitation goes against all of our instincts.Sir Ed Davey is set to boycott Donald Trump’s state banquet next month More

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    Warning Labour’s benefit changes will create two-tier system lasting ‘decades’

    Labour’s planned welfare reforms could create a two-tier benefits system, the impacts of which will last for “decades”, the Institute for Fiscal Studies (IFS) has warned.Major changes to universal credit (UC) will see the entitlement cut by almost half from £423.27 to £217.26 for all new claimants from April 2026 and frozen until 2029. Anyone who applies for the benefit after 6 April next year will only be entitled to the lower rate, meaning they will be paid around £2,500 less than a claimant who applied before this date, who will continue to receive the higher rate. This threatens to create a two-tier system that lasts into the 2040s and beyond, analysis from the IFS has found.The influential think tank said that around 500,000 people currently claiming an incapacity benefit, such as UC health, have been in receipt of it for 15 years or longer. Based on this trend, the two levels of entitlement still won’t be phased out by 2040.Work and pensions secretary Liz Kendall first announced the government’s welfare plans in March More

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    Farage rows back on plan to deport children as part of migration crackdown

    Nigel Farage has rowed back on plans to deport children as part of Reform UK’s strategy to tackle illegal migration. The Reform leader unveiled plans on Tuesday to detain and deport up to 600,000 people with no right to be in the UK, including anyone who arrived in Britain after crossing the Channel in a small boat.Asked whether this would include women and children, Mr Farage said: “Yes, women and children, everybody on arrival, will be detained.”Mr Farage was questioned during a press conference in Scotland (Andrew Milligan/PA)While Mr Farage said he accepted that “how we deal with children is a much more complicated and difficult issue” – and acknowledged that those protesting across the UK were not doing so “because of the few children coming” – the Reform leader said the “only way we will stop the boats is by detaining and deporting absolutely anyone” who crosses the Channel. “If you come to the UK illegally, you will be detained and deported and never, ever allowed to stay, period. That is our big message from today”, he added. Meanwhile, senior Reform figure Zia Yusuf said “phase one” would focus on adults and unaccompanied children would be sent back “towards the latter half of that five years”.But on Wednesday, Mr Farage insisted at a press conference in Broxburn, West Lothian that he had been “very, very clear” that the party was focused on “illegal males” and “not even discussing women and children at this stage”.He added: “The news reports that said that after my conference yesterday were wrong. Wrong, wrong, wrong.”Asked whether this meant women and children would be “exempt”, he said: “I didn’t say exempt forever, but at this stage it’s not part of our plan for the next five years.”Mr Farage later sought to clarify his comments, saying there had been a “slight confusion” and he had not understood the “context” of the question.He told broadcasters: “Deporting children is a very difficult thing to do. Who do they go to, what are the wards of care? Women and children, intimating families that have been here illegally for some years, are they top of our list? No.”Asked if women and children would be deported, he said: “If a single woman etc comes to Britain, they will be detained and deported.“If a woman comes with children, we will work out the best thing to do.”The Liberal Democrats said the U-turn shows he has “taken as much time reading his own plan as he does his constituents’ emails”. A spokesperson for the party added: “Reform’s plans do not even stand up to the scrutiny of their own leader. His band of plastic patriots are taking the country for fools.” His earlier comments were met with condemnation from charities who accused Mr Farage of “dehumanising people who have fled war and persecution”. Care4Calais’s chief executive Steve Smith said the majority of people “don’t want to see women and children placed in detention centres, denied their rights to safety”. Meanwhile, a Labour minister described the plans as “unworkable gimmicks”.Reform UK has pledged to scale up detention capacity for asylum seekers to 24,000 and bring forward legislation to make everyone who arrives illegally ineligible for asylum.The party claims their plans – which would require the UK to leave the European Convention on Human Rights (ECHR) and replace the Human Rights Act with a British Bill of Rights – will cost £10bn to implement but save £7bn currently spent on illegal migration during the first five years.But an analysis by The Independent, based on the latest cost estimates, found that it could mean spending £6.3bn each year on deportation flights alone and £3.6bn a year on converting detention facilities, as well as the unknown costs of a deal with third-party countries that agree to take in migrants deported from the UK.Reform’s plans would also see Mr Farage attempt to strike returns deals with Iran and Taliban-governed Afghanistan. Labour has so far focused its criticism on the practicality of the proposals, with Downing Street refusing to rule out seeking return agreements with autocratic regimes.On Wednesday, Cabinet Office minister Nick Thomas-Symonds declined to criticise Mr Farage for describing small boat crossings as an “invasion”.He told an event in Westminster hosted by The Spectator magazine: “We can all talk about language, but I don’t think it is about particular words we want to use, or particular slogans we want to use, or indeed about offering empty solutions, which is what Nigel Farage was doing yesterday, that’s going to solve this.”In his own press conference, Mr Farage said it was “really interesting” that “people aren’t questioning the need for something radical to be done”, pointing out that Sir Keir Starmer “hasn’t attacked me on the idea that we should be deporting people that come illegally”.The government’s reluctance to question Mr Farage’s language around the issue has brought criticism from some figures on the left, including Independent MP Diane Abbott.Ms Abbott, who lost the Labour whip for the second time in July, said it was “unsurprising” and accused the prime minister of “trying to copy Farage all summer”. 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    Brexit was never debated properly, minister says as he accuses Farage and Tories of offering only ‘snake oil’

    Brexit was never debated properly, the minister for Europe has said, arguing that the previous Conservative government left Britain with the first ever free trade agreement that made it harder to trade. Unveiling plans for a new permanent deal with the European Union, Nick Thomas-Symonds said Nigel Farage and Kemi Badenoch’s Conservatives are offering only “easy answers and snake oil” when it comes to the UK-EU relationship as he rejected claims that the government is surrendering sovereignty or freedoms.He promised to take a pragmatic approach that would “rebuild Britain, protect our borders, bring down bills in every part of the country and secure good jobs”, adding that the new relationship would “bring freedom back to our businesses and exercises our sovereignty.” Cabinet Office minister Nick Thomas-Symonds delivers a speech on the future of the UK-EU relationship (Stefan Rousseau/PA) More

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    Farage producing policies on the back of a fag packet, says Home Office minister

    Nigel Farage is producing policies on the “back of a fag packet”, a Home Office minister has claimed.Appearing on NewsNight on Tuesday (26 August), Lord Hanson said that the Reform UK leader’s plans to mass deport 600,000 asylum seekers if his party wins have no “substance to them”.“He’s producing policies which I’m afraid are on the back of a fag packet… They are also not really deliverable in terms of what is a very complex and challenging issue,” he said.Unveiling the radical plans at a press conference on London earlier that day, Mr Farage also pledged to scale up detention capacity for asylum seekers to 24,000 and secure deals with countries such as Afghanistan, Eritrea and Iran to return migrants to their countries. More

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    Cheese, olives and sausages could become cheaper for British shoppers under EU deal

    Artisan cheese, olives and sausages could become cheaper for Britons to buy if the government is successful in its bid to strike a permanent food and drink deal with the European Union.The government is attempting to get a permanent deal with the EU on food and drink agreed in the next 18 months, as it sets out its stall ahead of talks later this year.The current temporary agreement, which was put in place in June, stopped checks on some fruit and vegetables imported from the EU which meant no border checks or fees would be paid. It will expire in January 2027.While there are some concerns dynamic alignment with the EU could mean British business are hampered by European Union rules and regulations, EU minister Nick Thomas-Symonds on Wednesday will argue that it is a “necessary step” to boost growth and lower food prices – something he dubbed “sovereignty, exercised in the national interest”.It is understood that a permanent deal with the bloc is expected to lower supermarket prices on products such as sausages and burgers for British shoppers. There are also hopes within government that it would make it easier for retailers to import items such as artisan cheeses and olives, as well as giving access to better varieties of fruit.Items such as Scottish salmon could also be more easily exported to the EU, sources told The Times. It came after shadow foreign secretary Dame Priti Patel accused the prime minister of “dragging us back into Brussels’ arms”, claiming he is “looking to once again make this country a rule taker rather than a rule maker.”Cabinet Office minister Nick Thomas-Symonds will give a speech in Westminster on Wednesday More

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    Elon Musk launches fresh attack on ‘weak’ Nigel Farage

    Elon Musk has slammed Nigel Farage as “weak sauce who will do nothing”, reigniting his series of scathing attacks on the Reform UK leader. The billionaire Tesla owner and world’s richest man has said that Mr Farage is not capable of enacting real change in the UK, particularly in relation to immigration.Musk has thrown his support behind figures including Rupert Lowe, an independent MP who used to sit as a Reform representative until he had the party whip suspended due to allegations of bullying and verbal threats towards its chairman Zia Yusuf.Mr Lowe denies the allegations and the Crown Prosecution Service (CPS) has said he will not face any charges.Reform UK leader Nigel Farage and party treasurer Nick Candy during their meeting with Elon Musk in December (Stuart Mitchell/Reform UK/PA) More