Rachel Reeves needs to put up taxes to cover £40bn deficit, thinktank says

NIESR suggests a rise of 5p in the pound on basic and higher rate of income tax would fill the budget gap

Rachel Reeves will need to raise taxes to close a government spending gap that is on course to reach more than £40bn after a slowdown in economic growth and higher-than-expected inflation, according to a leading thinktank.

In a blow to Labour’s hopes of balancing the books without breaking manifesto commitments ruling out personal tax rises, the National Institute of Economic and Social Research (NIESR) said a number of factors would knock off course the chancellor’s plans to stay within Whitehall spending limits.

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UK to bear transport costs of ‘one in, one out’ asylum seeker deal with France

Treaty can be ended by either side at a month’s notice and France can refuse returns on certain grounds

The UK will pay the costs of transporting asylum seekers to and from France under Keir Starmer’s “one in, one out” deal with Emmanuel Macron, it has emerged.

The deal will have to be renewed by 11 June next year, and can be ended at a month’s notice by either side, documents made public by the government indicate.

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Funding for English youth clubs aims to keep children off smartphones

Keir Starmer says £88m package will help tackle trend of young people becoming ‘disconnected from their communities’

Youth clubs and after-school activities in England will receive a funding injection of £88m as ministers try to get more children away from smartphones and computer screens.

The package, which Keir Starmer announced on Tuesday, is intended to give pupils access to sport, outdoor activities, art, music, debating and volunteering.

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UK to start small boats returns to France ‘within days’ after EU gives green light

Some asylum seekers will be sent back across Channel for first time under treaty agreed with French president

The UK will begin detaining people who arrive on small boats and returning some to France “within days” after the EU gave the green light to a deal agreed with the French president, Emmanuel Macron.

The treaty between France and the UK will allow the Home Office to return some asylum seekers back across the Channel for the first time in exchange for accepting others directly from France via a safe route.

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UK politics live: Farage announces defection of Leicestershire’s police and crime commissioner from Tories to Reform UK

Rupert Matthews, elected to post as Conservative in 2021, claims police are ‘fighting crime with one hand tied behind their back’

George Finch, the Reform UK leader of Warwickshire county council, goes next. (Aged 19, he is the youngest council leader in the country.)

He claims the police have opposed his attempts to expose the immigration status of someone arrested in connection with an alleged crime.

It was dirty, run down and had major drug issues. My attitude to the task was assertive and no nonsense. That’s the approach that I will take for my role within Reform UK [advising on crime].

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Labour does not deserve to win next election without change, Reeves says

Chancellor admits voter frustration as government faces renewed calls from Labour politicians for a wealth tax

Labour does not “deserve” to win the next election if it does not change the country, Rachel Reeves has said, as she acknowledged some voters were disappointed with the party’s record since entering government.

The chancellor said she understood the unhappiness felt by some voters towards a government that has U-turned on winter fuel allowance and welfare policies in recent months.

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Labour does not deserve to win next election without change, Reeves says

Chancellor admits voter frustration as government faces renewed calls from Labour politicians for a wealth tax

Labour does not “deserve” to win the next election if it does not change the country, Rachel Reeves has said, as she acknowledged some voters were disappointed with the party’s record since entering government.

The chancellor said she understood the unhappiness felt by some voters towards a government that has U-turned on winter fuel allowance and welfare policies in recent months.

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Labour does not deserve to win next election without change, Reeves says

Chancellor admits voter frustration as government faces renewed calls from Labour politicians for a wealth tax

Labour does not “deserve” to win the next election if it does not change the country, Rachel Reeves has said, as she acknowledged some voters were disappointed with the party’s record since entering government.

The chancellor said she understood the unhappiness felt by some voters towards a government that has U-turned on winter fuel allowance and welfare policies in recent months.

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Three million on NHS England waiting lists have had no care since GP referral

Exclusive: Data reveals ‘invisible crisis’ with millions yet to have first specialist appointment or diagnostic test

Almost half of the 6 million people needing treatment from the NHS in England have had no further care at all since joining a hospital waiting list, new data reveals.

Previously unseen NHS England figures show that 2.99 million of the 6.23 million patients (48%) awaiting care have not had either their first appointment with a specialist or a diagnostic test since being referred by a GP.

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New UK civil service internship scheme open only to working-class students

Minister says programme will help ensure Whitehall has ‘broadest range of talent and truly reflects the country’

A new civil service internship scheme will be open only to working-class students as part of a drive to make Whitehall better reflect the country, the government has said.

The programme will give students from lower-income backgrounds the chance to apply for paid government placements. The definition of working class will be based on what jobs were held by their parents when the applicant was 14 and replaces an existing programme open to all.

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UK Online Safety Act risks ‘seriously infringing’ free speech, says X

Elon Musk’s social media platform says lawmakers made a ‘conscientious decision’ to increase censorship

Elon Musk’s X platform has said the UK’s Online Safety Act (OSA) is at risk of “seriously infringing” free speech as a row deepens over measures for protecting children from harmful content.

The social media company said the act’s “laudable” intentions were being overshadowed by its aggressive implementation by the communications watchdog, Ofcom.

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Starmer and Reeves should consider wealth tax, says former shadow chancellor

Anneliese Dodds urges government not to duck ‘big decisions’ in autumn budget

The Treasury should consider a wealth tax to close the growing gap in the public finances, according to a Labour former shadow chancellor.

Anneliese Dodds, who held the role under Keir Starmer in opposition, said ministers must have a “full and frank discussion” with the public about the “really big decisions” they had to take at this autumn’s budget.

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Labour says firms will be penalised for late payments to suppliers

Government drive to support small business will include startup loans for 69,000 companies worth £4bn

Keir Starmer has warned businesses who persistently delay payments to their suppliers that it is “time to pay up” as the government prepares to impose fines and penalties on repeat offenders.

In what Labour has billed as the toughest crackdown on late payments in a generation, the business secretary, Jonathan Reynolds, will say on Thursday that the changes will slash a cost to the economy that has escalated to £11bn a year.

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UK to recognise Palestinian statehood in September unless Israel agrees ceasefire and two-state solution, Starmer says – as it happened

UK also demands Hamas release all hostages, disarm, sign up to a ceasefire and accept that they will play no role in the government of Gaza. This live blog is closed

Donald Trump is speaking now at the opening of his new golf course in Aberdeenshire. He said that as president he had “stopped about five wars”.

Yesterday he was claiming to have stopped six of them, and it is not clear why he has revised the number down.

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Labour focused on appeasing Reform, not beating them, says Jeremy Corbyn

Former Labour leader says his new party will inspire hope, not fear, and promises to reset ‘broken’ political system

Jeremy Corbyn has accused the Labour government of “appeasing” Reform UK by “scapegoating” migrants and minorities for its own domestic policy failures, saying his new leftwing political party would take on Nigel Farage instead.

The veteran leftwing MP, who confirmed last week he was launching a new, as yet unnamed, movement with former Labour MP Zarah Sultana, said British politics was at a “critical juncture” with the rise of rightwing populism. He said he saw their role as providing hope, not fear.

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Tens of thousands at risk of poverty despite Labour’s benefit U-turn, MPs warn

Changes to welfare reforms not enough to protect newly sick and disabled people from financial hardship

About 50,000 people who become disabled or chronically ill will be pushed into poverty by the end of the decade because of cuts to incapacity benefit, despite ministers dropping the bulk of its welfare reform plans, MPs have warned.

The work and pensions select committee report welcomed ministers’ decision earlier this month to drop some of the most controversial aspects of its disability reforms in the face of a parliamentary revolt by over 100 Labour backbenchers.

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Starmer defends investment in wind turbines after Trump wrongly claims it is ‘most expensive form of energy’ – UK politics live

UK PM meets US president at his golf course in Turnberry, Scotland, where they discuss energy, Gaza and trade

In a column for the Daily Record, John Swinney, Scotland’s first minister, has said that, if the SNP get a majority in next year’s Holyrood elections, that will be a mandate for a second independence referendum. He said:

Over the next few months, the SNP will set out some radical policies that we know will transform Scotland – ambitious ideas that can be realised with the powers of independence.

For us to achieve that independence, the first step is to secure a legal referendum recognised by all. In 2011 we secured that reliable and dependable route when the SNP achieved a majority of seats at Holyrood.

Tariffs are very important for the Scottish economy and obviously scotch whisky is a unique product.

It can only be produced in Scotland. It’s not a product that can be produced in any other part of the world. So there’s a uniqueness about that, which I think means there is a case for it to be taken out of the tariffs arrangement that is now in place.

I think what’s important is that we focus on the solutions that are required now, and the absolutely immediate situation is a necessity for a ceasefire and for humanitarian aid to need to flow into Gaza so that the people of Gaza can be saved from the starvation that they face.

And I think President Trump is ideally positioned. In fact, he’s perhaps uniquely positioned to apply that pressure to Israel to ensure that there is safe passage for humanitarian aid to support the people of Gaza, who face an absolutely unbearable set of circumstances as a consequence of the conflict.

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Angela Rayner: No 10 officials guilty of ‘self-harm’ by briefing against ministers

Exclusive: Deputy PM hits out at targeting of herself and others – often women – with negative headlines

Angela Rayner has hit back at anonymous No 10 officials who have briefed against senior cabinet ministers in recent months, warning them they are committing “self-harm”.

The deputy prime minister launched an outspoken defence of herself and other colleagues – often women – who have found themselves the subject of negative headlines in recent months, with several being tipped for the sack at a future reshuffle.

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Keir Starmer to recall cabinet for emergency meeting on Gaza crisis

Prime minister expected to press Donald Trump to take tougher stance towards Israel when they meet in Scotland

Keir Starmer will recall his cabinet from their summer break for an emergency meeting on the Gaza crisis this week as cross-party MPs warned his talks with Donald Trump provided a critical juncture in helping to resolve the conflict.

Amid growing international horror over the situation on the ground in Gaza, he will urge the US president to take a tougher stance towards Israel and will push for ceasefire talks to resume, when they meet in Scotland on Monday.

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Starmer faces difficult task persuading Trump to take different path on Gaza

PM will be hoping to convince Trump to push Netanyahu to revive peace talks when UK and US leaders meet on Monday

Moments after Air Force One touched down at Prestwick on Friday for a trip in which politics will take as big a billing as golf, Donald Trump was asked about his relationship with Keir Starmer.

“I like your prime minister. He’s slightly more liberal than I am, as you’ve probably heard. But he’s a good man,” the US president told reporters. At a time when the UK wants Trump’s ear on numerous weighty issues, his response to questions about the “special relationship” will have given Downing Street some reassurance.

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