Palestinian aid agency funding will stay frozen until reports received, says UK

US, UK and Australia and others will decide on Unrwa support only after seeing reports on Israeli claims, says Foreign Office minister

Countries including the US, UK, Italy, Switzerland, Germany, Finland, the Netherlands and Australia will not take a decision on ending the suspension of funding to the Palestinian relief works agency Unrwa until they have seen two interim reports on the organisation, the UK Foreign Office minister Andrew Mitchell has said.

Mitchell’s remarks put back a decision on the funding for weeks, and runs counter to the decision by Sweden, Canada and the EU to resume funding the agency.

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Foreign Office official floated idea of giving honour to fixer for Saudi royals

Salah Fustok alleged by UK prosecutors to have been a middleman for nearly £10m in payments to Saudi prince

A Foreign Office official floated the idea of giving an honour to a businessman who was later alleged to have helped facilitate millions of pounds of bribes to a Saudi prince and his high-ranking associates.

Salah Fustok was alleged by UK anti-corruption prosecutors to have been a middleman for nearly £10m of payments to Prince Miteb bin Abdullah and other Saudi officials as “an inducement or reward” for the awarding of a contract by the Saudi Arabian national guard.

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Biggest Tory donor said looking at Diane Abbott makes you ‘want to hate all black women’

Exclusive: Remarks by Frank Hester, who has given £10m to the party in the past year, raise questions over his workplace behaviour

The Conservative party’s biggest donor told colleagues that looking at Diane Abbott makes you “want to hate all black women” and said the MP “should be shot”, the Guardian can reveal.

Frank Hester, who has given £10m to the Tories in the past year, said in the meeting that he did not hate all black women. But he said that seeing Abbott, who is Britain’s longest-serving black MP, on TV meant “you just want to hate all black women because she’s there”.

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Home Office to accept calls for inquiry into asylum seeker centre, say sources

Ministers said to have dropped opposition to inquiry into alleged assaults and mistreatment of people at Manston centre

The Home Office is to concede to demands for a statutory inquiry into alleged assaults and mistreatment of asylum seekers at Manston processing centre, Whitehall sources have told the Guardian.

The move comes after the government spent a year fighting off demands in the courts for an independent figure to investigate chaos, which led to claims of violence, drug dealing and filthy conditions at the Kent camp.

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US defence contractor paid commissions to Saudi firm later alleged to be conduit for bribes

Harris had longstanding relationship with ABTSS, later alleged by British prosecutors to have handled or received illegal payments

One of the largest military contractors in the US paid commissions to a Saudi company later alleged to have been a conduit for bribes for the kingdom’s royal family.

A document disclosed in a UK criminal trial revealed that Harris Corporation, now L3Harris, paid commissions to the Saudi company for over two decades for services in the kingdom.

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Michelle Donelan set to face more questions over taxpayer-funded £15,000 payout

Cross-party group of peers expected to ask for more details about why minister made and withdrew claims about two academics

The cabinet minister Michelle Donelan is to face more questioning this week over her judgment after taxpayers funded a payout to an academic she had falsely accused of supporting Hamas.

The science secretary will appear before a cross-party group of peers on Tuesday, when she is expected to be questioned on the process that led her to make the accusation, which she has since retracted. The decision to leave taxpayers with the £15,000 bill is also likely to be raised. The sum was paid “without admitting any liability”, the Department for Science, Innovation and Technology (DSIT) said.

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Boris Johnson ‘held unofficial talks with president of Venezuela in February’

Former PM apparently met autocratic leader Nicolás Maduro over concerns he may supply weapons to Russia

Boris Johnson flew to Venezuela in February for unofficial talks with its autocratic leader, Nicolás Maduro, according to reports.

The former prime minister spoke to the Venezuelan president about the war in Ukraine, amid concerns that the socialist republic could supply weapons or military support to Russia, according to the Sunday Times.

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Labour steps up preparations to govern as Reeves attacks ‘unfunded’ Tory tax cuts

Shadow cabinet talk with Whitehall officials after Keir Starmer meets head of civil service

All members of Keir Starmer’s shadow cabinet are to meet top civil servants in Whitehall departments before Easter as Labour steps up preparations to form the next government, according to senior party sources.

The Observer has been told that Starmer recently held a first round of so-called “access talks” with the cabinet secretary Simon Case, the head of the civil service, at a “neutral venue” in London, to kick off an exchange of information between the official opposition and Whitehall in advance of a potential handover of power.

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Revealed: legal fears over Michael Gove’s new definition of ‘extremism’

The communities secretary wants ‘trailblazer’ government departments to pilot a scheme to ban individuals and groups deemed extremist from public life

Michael Gove is set to announce a controversial plan this week to ban individuals and groups who “undermine the UK’s system of liberal democracy” from public life, despite fears inside government that the scheme is at risk of a legal challenge, leaked documents reveal.

Officials working for Gove, the secretary of state for the levelling up, housing and communities, have drawn up plans for “trailblazer” departments to pilot the scheme, according to documents that have been circulated to the Home Office and Downing Street and seen by the Observer.

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‘I’m Jewish and feel totally safe marching for Gaza’: London protesters defy Sunak’s ‘extremist’ slur

Marchers on Saturday came from wide range of backgrounds as rightwing press characterises city as ‘no-go zone for Jews’

As on previous Saturdays in the past six months, there were two marches taking place in London yesterday. The first, a gathering of tens of thousands of full-throated, flag-waving supporters of an immediate ceasefire in Gaza gathered at Hyde Park Corner at noon, and shuffled peaceably and patiently in the sunshine in the direction of the American embassy at Vauxhall, over the river.

The second march was taking place mostly in the imaginations of right-wing commentators and politicians who increasingly choose to see these displays of solidarity with the Palestinian cause only as a provocation and a threat. Following the prime minister’s Downing Street address on 1 March which represented these gatherings as representative of “forces trying to tear apart” our democracy, the latest figure to loud-hailer that version of reality was the government-appointed commissioner for countering extremism, Robin Simcox, who argued on Friday the marches were “a permissive environment for radicalisation”, leading to a hysterical Daily Telegraph front-page headline that read: “London is now a no-go zone for Jews”.

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The US could be facing a 2008-style financial crisis. Why does Sunak want to copy it?

The PM’s admiration for Washington’s economic model may backfire amid looming US banking and stock market disasters

One of the consistent themes of the Conservative economic narrative is an admiration for the US and its ability to grow quickly. The way it has bounced back from the pandemic and how it has ridden out the impact of Russia’s invasion of Ukraine should serve as a blueprint.

A neoliberal Conservative analysis puts the emphasis on tech, innovation and a myth-like entrepreneurial spirit that the UK would do well to emulate. What it ignores is the way the US economy zips ahead on fantastical stock market valuations and off-balance-sheet accounting reminiscent of the years before the 2008 financial crisis. And how both these habits could bite back in a big way, much as they did in 2008, and pretty soon.

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‘It’s an absolute mess’: building work seriously delayed on 33 new special schools in England

Promised provision, particularly for autistic children, was announced a year ago but few schools will open on time

Plans to deliver thousands of new special school places by 2026 are falling seriously behind, with experts branding the building programme “a mess”, the Observer can reveal.

The news calls into question the only announcement on schools the chancellor made in last week’s budget – a commitment of £105m towards 15 additional special schools.

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Police chief who led Stakeknife inquiry condemns MI5 for stalling investigation

Victims’ families say Jon Boutcher’s report into British spy proves state and IRA were ‘co-conspirators’ in murder

The police chief who led the inquiry into a murderous British spy in the IRA known as Stakeknife has condemned MI5 for stalling his investigation, as his report was hailed by victims’ families as proof that the British state and the IRA had been “co-conspirators” in murder.

Jon Boutcher criticised attempts “to undermine me and the investigation” and spoke of a delay strategy deployed by the secret services as he revealed that agent Stakeknife had probably killed more people than he saved in the service of the British state.

The army’s claim that Stakeknife saved “hundreds” of lives was “implausible”, “rooted in fables and fairy tales” and should have rung “alarm bells”. He said it was probable that the handling of Stakeknife “resulted in more lives being lost than saved”.

Stakeknife was involved in “very serious and wholly unjustifiable criminality, including murder”.

There were several cases of murder where the security forces had advance intelligence but did not intervene in order to protect sources.

Boutcher had “extremely fractious spells” with the secret services. He was forced to hold several meetings with MI5 to raise “concerns regarding access to information, its decision to classify as ‘top secret’ an accumulation of ‘secret’ documents, the fact that solicitors representing former security force personnel had been given greater and unorthodox access to MI5 materials and my concern that its strategy was one of delay”.

When Operation Kenova tried to submit evidence files in October 2019 to prosecutors on Scappaticci and members of the security services relating to cases of murder, abduction and conspiracy to pervert the course of justice, that “MI5 informed us that the building’s security accreditation had expired and we therefore could not proceed”. The evidence was finally submitted in February 2020.

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MoD paid millions into Saudi account amid BAE corruption scandal

Documents show officials stressing need to ‘keep the Saudis on side’ after revelations about notorious al-Yamamah deal

Britain’s Ministry of Defence moved questionable payments through its own bank account amid one of the biggest corruption scandals in history, despite concerns the money could be pocketed by the Saudi royal family.

Previously confidential documents show how the MoD agreed to make the payments to a Saudi bank account after the transactions came under scrutiny following an investigation by the UK anti-corruption agency, the Serious Fraud Office (SFO).

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Theresa May becomes latest Tory MP to step down before election, saying ‘it has been an honour to serve’ – UK politics live

Former PM says she remains committed to supporting Sunak as she decides to ‘pass the baton on’ after 27 years

Treasury minister Gareth Davies has denied the number of Conservative MPs stepping down signifies a lack of confidence in the party’s electoral prospects.

He told Sky News he was “personally sad” to see Theresa May step down after “a pretty good innings” of “27 years of service not just to her constituents but I think as one of our longest serving home secretaries and then obviously prime minister as well.”

This is what happens when you approach a new election, and completely reasonable for people to decide that it’s time to go, particularly when they’ve been in the House of Commons for a long time.

Each one has made their own decision for personal reasons and I respect every single person’s decision to do so.

Brexit has reignited the UK’s trade standing in global markets ‘worth hundreds of billions of pounds’ says Kemi Badenoch. Britons are better off.

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Theresa May to step down as MP at general election

Former PM says she wants to focus on causes close to her heart after 27 years in parliament

The former prime minister Theresa May will step down as an MP at the next general election after 27 years in parliament.

In a statement to the Maidenhead Advertiser, the Maidenhead MP said she wanted to focus on causes close to her heart, including her work on the Global Commission on Modern Slavery and Human Trafficking.

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UK science secretary received government advice before Hamas tweet

No 10 refuses to say how Michelle Donelan was advised over accusation against academic who then sued her for libel

The science secretary, Michelle Donelan, received government advice before she tweeted a letter in which she accused an academic of supporting Hamas, Downing Street has said.

No 10 refused to say what advice officials had given her and whether she actually followed it, but insisted she had “acted in line with established precedent”.

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Sunak warned unfunded axing of national insurance would harm services

Economists say making the policy an election pledge could cost £40bn, which is badly needed for health, education and elsewhere

Rishi Sunak has been warned against fighting an election on an unfunded plan to abolish employee national insurance amid projections the move could blow a £40bn hole in the public finances.

As the pre-election battle on the economy between the Conservatives and Labour intensified, the prime minister was on Thursday under mounting pressure to explain how the measure could be afforded while public services were crumbling.

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UK Insolvency Service seeks up to 15-year director ban for Lex Greensill

Government agency issues disqualification proceedings after inquiry into failed finance firm Greensill Capital

The Insolvency Service has begun legal action to have Lex Greensill disqualified from running companies for up to 15 years after the outcome of an investigation into the directors of his failed finance firm.

The government agency said it had issued disqualification proceedings on behalf of the business secretary against the former Australian sugar farmer, who founded the Greensill group of companies.

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UK politics: Sunak refuses to say how abolition of national insurance would be funded – as it happened

PM says ‘people trust me on these things’ and refuses to be drawn on whether government would forgo entire £46bn raised from measure

Keir Starmer has accused Jeremy Hunt of repeating the budget mistakes made by Liz Truss during her disastrous premiership.

In comments on the budget during a visit to a building site this morning, Starmer focused on Hunt’s proposal to abolish employees’ national insurance over time, saying that this was a bigger unfunded tax promise than those in Truss’s mini-budget. (See 9.28am.)

How humiliating was that for the government yesterday?

We’ve argued for years that they should get rid of the non-dom tax status, they’ve resisted that. And now, completely out of ideas, the only decent policy they’ve got is the one that they’ve lifted from us.

Nothing that Jeremy Hunt did yesterday, nor anything the OBR said, changes anything very significantly. Which is a shame. Because that means we are still:

-heading for a parliament in which people will on average be worse off at the end than at the start,

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