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    Furlough to be extended in Budget, Rishi Sunak indicates

    Furlough support for jobs will be extended in Wednesday’s Budget to keep workers in employment as the economy begins to reopen, chancellor Rishi Sunak has indicated. The job retention scheme – which pays up to 80 per cent of wages for staff who would otherwise be laid off – is due to expire at the end of April, but the chancellor is coming under intense pressure to extend it as many businesses will still be closed at that point.He today signalled that it will continue, along with a raft of other business support measures due to run out at the end of March, including business rates relief, support for the self-employed and VAT breaks for hospitality and tourism.A similar reprieve is also expected for the £20-a-week temporary uplift to Universal Credit, which is currently due to be removed in March.But Mr Sunak indicated that the extensions may only be brief, saying they will be “aligned” with Boris Johnson’s roadmap out of lockdown, which runs to 21 June.Trade group UK Hospitality has called for support to continue to the end of the next financial year in April 2022, to help save companies which will need months to get back to break-even and get on top of debts after a year of near-constant closure.Inside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayInside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayMr Sunak told Sky News’s Sophy Ridge on Sunday he wants to “support people and businesses” as the UK emerges from lockdown.Asked if furlough would be extended, he replied: “I said at the beginning of this crisis that I would do whatever it took to protect people, families and businesses through this crisis and I remain completely committed to that.“The PM in the roadmap set out a path for us to recover and reopen and I want to support people and businesses along that path.“I’m not going to comment on specific policies but I want to make sure people realise that we are going to be there to support them and if you look at our track record we went big, we went early and there’s more to come next week.”Mr Sunak said he knew that the UC uplift had “made a difference to people over the past 12 months”, and indicated that he regarded it as part of the wider support package which he is expected to extend in the Budget.“It’s one part of a comprehensive plan that we’ve put in place to protect people, particularly those on low incomes,” he said. More

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    Budget news – live: Sunak ‘to extend furlough’ as No 10 refuses to deny ‘charity plan’ to renovate PM’s flat

    Rishi Sunak’s ‘vain’ Budget promo video mockedRishi Sunak is expected to extend the government’s furlough scheme when he sets out his Budget in the House of Commons on Wednesday.Business secretary Kwasi Kwarteng told BBC Breakfast on Tuesday morning the extension is likely to come with “other measures” when Mr Sunak addresses parliament. Mr Kwarteng played down the prospect of immediate large tax increases but said Mr Sunak had acknowledged the country could not “go on spending money forever”.The Labour Party has said it would focus on recovering from the Covid crisis before raising corporation tax at a later date in a bid to boost the public purse.Meanwhile, Boris Johnson is believed to be trying to set up a charity to help pay for a costly makeover of his Downing Street flat, after protesting at the huge bill.The prime minister complained the cost of the refurbishment – carried out by his fiancée Carrie Symonds – was “totally out of control” and running to “tens and tens of thousands”, it was reported. Mr Johnson’s official spokesman did not deny the reports. He told reporters: “Downing Street is a working building, as has been the case under successive administrations, refurbishment and maintenance are made periodically.”Inside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayInside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayShow latest update
    1614696132Pontins blacklist of people with Irish surnames ‘completely unacceptable’, says prime ministerBoris Johnson has denounced as “completely unacceptable” a blacklist of Irish surnames drawn up by Pontins to keep supposedly undesirable guests out of its holiday camps.The list, distributed to the company’s call handlers, said that people with names like Boyle, Delaney, Gallagher, McGinley, McMahon and O’Donnell were “unwelcome” and should not be allowed to book holidays.Political editor Andrew Woodcock has more details: Matt Mathers2 March 2021 14:421614694689Government refuses to say if MPs will be given vote on multi-billion pound aid cutForeign office minister James Cleverly has repeatedly refused to say whether MPs will be given a vote on a multi-billion pound cut to the UK’s aid budget after being grilled by senior Tories.The row comes after the government reneged on a manifesto commitment to maintain overseas aid spending at 0.7 per cent of national income, cutting the budget to 0.5 per cent — around £4 billion per year.Politics correspondent Ashley Cowburn has more details below:Matt Mathers2 March 2021 14:181614692860 Johnson’s ‘charity plan’ to renovate Downing Street ‘abuse of power’, former standards chief warnsBoris Johnson would be abusing his position as prime minister if he set up a charity to help pay for a renovation of Downing Street’s flat, a former standards chief has warned.Reports suggest Mr Johnson is trying to set up a body similar to those used by US presidents to help cover the cost of expensive refurbishments of the White House.It would be funded by wealthy Tory party donors, according to reports.But Sir Alistair Graham, a former chairman of the Committee on Standards in Public Life, said the alleged plan was “monstrous”, adding that charitable donations are not designed to enhance “living standards for the prime minister and his wife.”He told The Times: “It would seem to me an abuse of his position as prime minister. I cannot believe how it crossed his mind. If there is a need to do certain things in terms of maintenance, that should be paid out of government funds.”Downing Street has not denied the plan, first reported by the Daily Mail.Matt Mathers2 March 2021 13:471614690308No 10 refuses to comment on PM’s plans to redecorate flat via charityBoris Johnson’s official spokesman has refused to comment on reports that the prime minister is considering setting up a charity to pay for the refurbishment of his official flat.It was reported in the Daily Mail that the scheme – based on one used by the White House – could be funded by wealthy Tory benefactors. The paper claimed it followed reports that Mr Johnson had complained the cost of refurbishing the flat over No 11 by his fiancee Carrie Symonds was “out of control”.Speaking on the matter today, the PM’s spokesman said: “Matters concerning any work on Downing Street, including the residences, are covered in the Cabinet Office annual report and accounts. That is where we set out the details of what has happened.“Downing Street is a working building, as has been the case under successive administrations, refurbishment and maintenance are made periodically.”Here is deputy political editor Rob Merrick’s report on the claims from earlier:Sam Hancock2 March 2021 13:051614689742PM: Pontins blacklist of people with Irish surnames ‘unacceptable’Boris Johnson has denounced as “completely unacceptable” a blacklist of Irish surnames drawn up by Pontins to keep supposedly undesirable guests out of its holiday camps.The list, distributed to the company’s call handlers, said that people with names like Boyle, Delaney, Gallagher, McGinley, McMahon and O’Donnell were “unwelcome” and should not be allowed to book holidays.An investigation by the Equality and Human Rights Commission found that the company had been using the blacklist as part of a policy of refusing bookings by Gypsies and Travellers to its holiday parks.Political editor Andrew Woodcock has the full report:Sam Hancock2 March 2021 12:551614689434Johnson and Sunak want Budget to ‘unleash growth’No 10 has revealed what Boris Johnson and Rishi Sunak hope to achieve when the new Budget is announced on Wednesday. “It is a challenging time for the public finances but what they want to be doing is unleashing growth and supporting jobs,” the PM’s press secretary Allegra Stratton told reporters earlier. It comes following reports the chancellor is set to extend furlough support for jobs to keep workers in employment as the economy begins to reopen.The job retention scheme – which pays up to 80 per cent of wages for staff who would otherwise be laid off – is due to expire at the end of April, but Mr Sunak is coming under intense pressure to prolong it as many businesses will still be closed at that point.Sam Hancock2 March 2021 12:501614689087Public trust ‘eroded by ministers flirting with cuts to animal welfare standards’Trust in ministers has “eroded” due to the government’s nonchalant attitude towards diluting food and animal welfare standards in post-Brexit trade deals, an official report is warning.An independent commission – which trade secretary Liz Truss agreed to set up – demands that protections are maintained and calls for them to be enhanced, in the years to come. It also chastises ministers for casting doubt on bans on low-quality products such as chlorinated chicken.“With busy lives, people often don’t have the time to scrutinise what they buy and expect the reassurance that the government has this in hand,” it states.Deputy political editor Rob Merrick reports: Sam Hancock2 March 2021 12:441614688547EU workers may ‘lose right to live in UK after returning home during Covid’Tens of thousands of EU nationals living in the UK could lose their right to remain here after being forced to return to their home countries due to the pandemic, a new report has warned.After as many as 1.3 million foreign workers left the UK last year – the largest exodus since the Second World War – campaigners fear that many may have intended to return to homes and jobs in Britain, but have lost their rights because they felt unable to come back within six months, at a time when Europe was under public health restrictions and travel ground to a virtual halt.Official Home Office guidance states that an absence of more than six months from the UK as a result of the coronavirus outbreak will “not necessarily” affect a claim for “pre-settled status”, but guarantees this only for individuals whose return was delayed because they were personally ill with Covid-19, in quarantine or studying. Political editor Andrew Woodcock has more:Sam Hancock2 March 2021 12:351614688083Mental health minister urged to address ‘record long’ wait timesThe Scottish government has said it will “go further” after new figures showed 1,560 children waited longer than a year for specialist help with mental health problems by the end of 2020.The number of young people waiting 52 weeks or more for an appointment with Child and Adolescent Mental Health Services (CAMHS) is up from 589 at the end of December 2019 – a rise of 164.8 per cent. Campaigners at the Scottish Children’s Services Coalition (SCSC) complained that the figures were the worst on record as it was revealed some 11,166 children and younger people were waiting to be seen by CAMHS in December.Scotland’s mental health minister Clare Haughey said there had been a “significant increase” in performance in the most recent quarter, describing this as “encouraging”.But she added: “We want to go further as long waits are unacceptable.”Public Health Scotland’s latest waiting times report explained that the rise in the number of youngsters experiencing long waits was “potentially due to a combination of school closures, some CYP (children and young people) not having access to a safe/confidential space to engage in digital appointments, or have a desire to wait for an in-person appointment”.But the SCSC, an alliance of organisations working with vulnerable youngsters, branded the latest figures as “deeply troubling”, adding that they “point to a highly challenging environment for both our young people and our mental health services”.“Our mental health services must receive the funding they vitally need or we face having a lost generation of vulnerable children and young people,” a SCSC spokesman. Ms Haughey said a number of actions had been set out to “progress improvement on access to CAMHS and psychological therapies, backed by significant investment”.She continued: “The £120m we have announced for our Mental Health Recovery and Renewal Fund is the single largest investment in mental health in the history of devolution.“It will prioritise our ongoing work to improve specialist CAMHS services, address long waiting times, and clear waiting list backlogs.Sam Hancock2 March 2021 12:281614686265Furlough to be extended in Budget, Rishi Sunak indicatesFurlough support for jobs will be extended in Wednesday’s Budget to keep workers in employment as the economy begins to reopen, chancellor Rishi Sunak has indicated.The job retention scheme – which pays up to 80 per cent of wages for staff who would otherwise be laid off – is due to expire at the end of April, but the chancellor is coming under intense pressure to extend it as many businesses will still be closed at that point.Political editor Andrew Woodcock has the full report:Matt Mathers2 March 2021 11:57 More

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    Stamp duty holiday: Will it be extended beyond 31 March and how will it affect you?

    A stamp duty holiday for home buyers is set to end on 31 March unless Rishi Sunak changes his mind and extends the tax break at his upcoming Budget. That would mean a tax bill for anyone buying a home for between £125,000 and £500,000 from 1 April – purchases which are currently exempt from paying stamp duty. The chancellor will make his taxation and spending plans clear on 3 March in a Budget speech that will be keenly watched by those looking to move home. What do we know about the government’s plans and how will changes to stamp duty affect the cost of buying a flat or a house?What are stamp duty rates and how much does it cost home buyers?Inside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayInside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayUntil 31 March 2021, no stamp duty will be charged on a residential property bought for up to £500,000. This covers the majority of houses and flats in the UK.From £500,001 to £925,000, buyers must pay 5 per cent to the government, rising to 10 per cent on the portion between £925,001 and £1.5m. Above £1.5m, stamp duty is 12 per cent.For example, if you bought a house for £625,000 next month, you would pay nothing on the first £500,000 and then 5 per cent on the remaining £125,000.That works out at £6,250 for the Exchequer.The zero rate under £500,000 was a temporary measure (the “stamp duty holiday”) introduced last July after the number of home sales collapsed because most were prevented during the first lockdown in March and April.Since then, the housing market has boomed with more mortgages approved last year than in 2019, despite the lengthy shutdown.Prices have jumped across much of the country with Nationwide recording a 7.3-per-cent average rise in the year to December 2020. This is well in excess of wage growth and comes despite a severe economic crash and financial hardship for millions of households.Property industry experts say this has been fuelled by the stamp duty cut, low mortgage interest rates and people seeking more outdoor space or another room for home working.There were signs the growth has slowed in the latest figures with annual growth in average sold prices falling to 6.4 per cent in January.What will happen to stamp duty from 1 April 2021?The Scottish government has confirmed that its rates, which differ from the rest of the UK, will revert to levels in place before the pandemic (they can be found here).  Under current plans stamp duty rates in England, Wales and Northern Ireland will revert to where they were before 8 July 2020:Up to £125,000 – no stamp dutyFrom £125,001 to £250,000 – 2 per cent£250,001 to £925,000 – 5 per cent£925,001 to £1.5m – 10 per centAbove £1.5m – 12 per centAs before, each of the rates only applies to the portion of the value that is within that band. For example, if you buy a house in May 2021 for £275,000 you will pay:Nothing on the first £125,0002 per cent on the next £125,000 = £2,5005 per cent on the final £25,000 – £1,250Total = £3,750First-time buyers in England, Wales and Northern Ireland do not pay stamp duty on purchases up to £300,000. The changes, if they go ahead, will most affect people buying a property for between £125,000 and £500,000. With the average sale price at £250,000, a lot of buyers will face additional costs. Sales that are not already underway are unlikely to be completed before the deadline.The UK government may change its mind on stamp duty, however.  What other options are there for the stamp duty holiday?Several different approaches are said to be under consideration.The Daily Mail previously reported Conservative Party sources saying that an extension of the stamp duty holiday was being looked at as a way of boosting the UK’s flagging economy.An online petition signed by 140,000 people forced a debate in the Commons earlier in February with some Tory and Labour MPs arguing for an extension.Other reports have suggested the holiday could be phased out rather than ending abruptly on 31 March.On 24 February, The Times reported the holiday would be extended to June.What will Rishi Sunak do about stamp duty?As ever, Sunak has remained tight-lipped about future tax and spend plans. He has avoided answering questions about stamp duty in the House of Commons, saying only that an extension was one of many support measures that would have to be “considered in the round at the Budget”.So we do not yet know what he will do but we can look at the arguments in favour and against keeping the stamp duty cut.The tax cut has caused prices to rise, meaning that the overall cost of a property (purchase price plus stamp duty) may in many cases be approximately the same while the government has been deprived of billions of pounds of revenue. It is possible that re-introduction of the tax will help to cool down an overheated market.A stamp duty holiday also hands a tax break to relatively well-off homeowners when the pandemic has disproportionately hurt lower-income households, particularly private renters.
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    Budget: Rishi Sunak to announce £400m to help culture and arts sector

    Chancellor Rishi Sunak is set to announce more than £400m in support for the arts and culture sector in a bid to help museums, theatres, galleries and live music venues reopen in the coming months.In a slew of announcements ahead of Wednesday’s Budget statement, the Treasury said Mr Sunak would also unveil a £300m sports recovery package – with a “significant chunk” going to cricket as fans prepare to return to stadiums this summer.Mr Sunak is also set to pledge £150m to help communities take over pubs which have been badly-hit by the lockdowns during the coronavirus pandemic.It comes as former Conservative party leader William Hague said “some business and personal taxes” would have to go up during the recovery from the coronavirus pandemic.Lord Hague, writing in the Daily Telegraph, said those who opposed some form of tax rises in the current climate were buying into “dangerous illusions”.Amid intense speculation about possible tax increases, Boris Johnson was keen to dismiss the idea of new green levies penalising consumers and motorists in an interview with The Sun.The prime minister said he planned to use the UK’s ambition of being carbon neutral by 2050 to “generate high quality, high skill, high wage jobs” and not to slap higher taxes on carbon-intensive foods such as meat.Inside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayInside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayMr Sunak – criticised for releasing a “vain” Hollywood-style promo video ahead of his Budget – revealed a series of funding packages targeting trades which have seen profits knocked since the Covid outbreak began.As well as pumping another £300m into the government’s culture recovery fund, the chancellor will give £90m to national museums and cultural bodies, and another £20m to community cultural projects. More

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    What time is Rishi Sunak’s Budget announcement tomorrow?

    As Britons look forward to a possible end to the coronavirus lockdown, millions of people are also anxiously awaiting the chancellor’s spring Budget announcement.Rishi Sunak will outline the government’s financial plans 3 March, when he expected to focus on “the next stage” of the UK’s Covid response.The economic fallout of the Covid-19 crisis led to the government borrowing record-breaking amounts, with the latest data showing it borrowed £8.8bn in January.Mr Sunak is once again under pressure to extend the furlough and business support schemes, which were introduced during the first lockdown last March.The government announced its roadmap out of lockdown on Monday, but businesses still have weeks and months to go before they can even begin to think about opening their doors and welcoming customers in again.Mr Sunak may also introduce a number of measures to bolster the economy and help some industries get back on their feet.Inside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayInside Politics newsletterThe latest news on Brexit, politics and beyond direct to your inbox every weekdayAccording to reports, such measures may include cutting VAT and alcohol duty tax for restaurants and pub, extending the stamp duty holiday for homebuyers, and possibly vouchers for high street shoppers.Businesses have also urged him to extend the business rates holiday, which is set to end in April, to help them get through the year. However, it has been reported that officials are considering plans to increase corporation tax from 19 per cent to 25 per cent to shore up government funds.Mr Sunak may also face opposition from Conservative MPs, who may rebel if the Budget contains sizeable tax hikes some have railed against.Downing Street warned on Thursday that Tory MPs who vote against the Budget could be stripped as a whip, as it would consider such votes as a confidence issue. More