Autumn statement 2022 live: OBR says living standards to fall 7% as Hunt confirms millions to pay more taxes

Fiscal watchdog’s figures show eight years of growth wiped out; chancellor announces higher taxes and some cost of living support

In the Commons Rishi Sunak is making a statement about the G20 summit. These statements are normally routine, and just summarise what was said or decided at the meeting. They don’t normally include fresh announcements.

Sunak started by talking about the missile incident in Poland. He said Russia attacked Ukraine with missiles on the day that he “confronted the Russian foreign minister across the G20 summit table”. He said the blame for the missile landing in Poland lay with Russia. Ukraine could not be blamed for defending itself, he said.

During the bombardment of Ukraine on Tuesday an explosion took place in eastern Poland. The investigation into this incident is ongoing and it has our full support.

As we’ve heard the Polish and American presidents say, it is possible the explosion was caused by Ukrainian munition which was deployed in self-defence.

In just a few moments the chancellor will build on these international foundations when he sets out the autumn statement, putting our economy back on to a positive trajectory and restoring our fiscal sustainability.

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Labour lambasts autumn statement but Tory dissent is muted

Shadow chancellor attacks ‘crisis made in Downing Street’ but there are few signs of anger on Tory benches

Jeremy Hunt has seemingly escaped public pushback from fellow Conservative MPs over his tax-raising autumn statement, but he was lambasted by Labour for trying to blame global factors for a crisis sparked by Liz Truss’s mini-budget.

While there had been mutterings of dissent in advance at the idea of Hunt trashing Truss’s embrace of tax cuts, in the lengthy Commons debate after his statement there were only a few fairly muted quibbles.

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Jeremy Hunt: everyone will be paying more tax after autumn statement

Chancellor also warns of severe cuts to services as he prepares for his biggest test in his new role

Everyone will be paying “a bit more tax” after the autumn budget, the chancellor has said, as he asked everyone to make sacrifices.

Warning of severe cuts to public services, Jeremy Hunt said there would be “very difficult decisions” made but claimed his plan would show the way through “difficult times”.

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Truss? Brexit? Covid? Who is really to blame for the Tories’ ‘fiscal hole’?

The succession of PMs have all spoken out on who or what has caused the state of UK finances. They’re all partly right, but conveniently miss out one or two other key reasons

Covid-19 ripped a £400bn hole in the government’s finances. The money was used largely to support the economy and it succeeded in allowing industries and workers to bounce back once restrictions were lifted.

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Truss allies challenge Kwarteng’s claim he tried to slow down tax cuts

One backer of ex-PM says ‘that wasn’t what was going on’, as Jeremy Hunt also appears to dispute version of events

Kwasi Kwarteng’s claims that he tried to get Liz Truss to slow down her financial plans have been challenged by her allies.

In his first interview since he was sacked as chancellor by Truss, Kwarteng said he had told the then prime minister to be more cautious with their £45bn programme of tax cuts.

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Hunt dismisses Kwarteng’s claim that mini-budget not to blame for state of UK finances – UK politics live

Latest updates: chancellor says ‘we’ve learned that you can’t fund spending or borrowing without showing how you are going to pay for it’

Sadiq Khan, the Labour mayor of London, has released polling suggesting that half of Londoners are either “financially struggling” (18%) or “just about managing” financially (32%).

According to the polling, 49% of Londoners are also using less water, energy or fuel.

This shocking new polling highlights the realities of the worst cost of living crisis in generations.

With spiralling inflation and soaring interest rates meaning many Londoners are struggling to make ends meet – a situation made worse by the government’s failed mini-budget – the chancellor has a duty to take decisive action on Thursday to support vulnerable Londoners.

In total, the NHS paid more than £3bn to agencies who provide doctors and nurses on short notice. The figure represents a 20% rise on last year, when the health service spent £2.4bn. Trusts spent a further £6bn on bank staff, when NHS staff are paid to do temporary shifts, taking the total spent on additional staff to around £9.2bn.

One in three NHS trusts paid an agency more than £1,000 for a single shift last year, while one in every six trusts paid more than £2,000, results from freedom of information requests reveal.

Taxpayers are picking up the bill for the Conservatives’ failure to train enough doctors and nurses over the past 12 years. This is infuriating amounts of money paid to agencies, when patients are waiting longer than ever for treatment.

Labour will tackle this problem at its root. We will train the doctors and nurses the NHS needs, paid for by abolishing the non-dom tax status.

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Decline of UK manufacturing accelerates as government ‘abandons’ sector

Amid higher costs and worker shortages, British Chambers of Commerce says Brexit is another factor

When the minor ups and downs caused by the extra bank holiday for the Queen’s funeral are stripped out of the latest GDP figures, it is clear the long decline of Britain’s industrial base has accelerated.

Protected by the government through the coronavirus pandemic, this year, factory owners say ministers have abandoned them to cope with a long recession without so much as a glance in their direction.

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Zayn Malik urges Rishi Sunak to give free school meals to all children in poverty

Bradford-born singer who relied on free school lunches urges PM to extend provision to all families on universal credit

Zayn Malik has called on Rishi Sunak to “give all children living in poverty” free school meals during the cost of living crisis.

The former One Direction singer, 29, who relied on free school lunches as a child growing up in Bradford, recently became an ambassador for the Food Foundation and is backing its Feed the Future campaign.

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Jeremy Hunt to outline £60bn of tax rises and spending cuts

Guardian understands early drafts of UK government’s autumn statement include at least £35bn reduction in spending

Jeremy Hunt will set out tax rises and spending cuts totalling £60bn at the autumn statement under current plans, including at least £35bn in cuts, the Guardian understands.

Ministers must submit the key points of the autumn statement to the Office for Budget Responsibility (OBR) by Monday morning.

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Rishi Sunak preparing years of tax rises to plug £50bn fiscal black hole

PM set to hike taxes across the board to repair nation’s finances after Liz Truss’s disastrous mini-budget

Rishi Sunak is preparing years of tax rises for Britain in an effort to make up for a £50bn fiscal hole left by Liz Truss’s disastrous tenure in Downing Street, according to a Treasury insider.

After a meeting between the prime minister and Jeremy Hunt on Monday to plan the upcoming autumn statement, a Treasury source said things were going to get “rough”.

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Voters choose Sunak’s Tories over Labour to repair economy, new poll reveals

Rishi Sunak’s arrival in Downing Street is already helping to repair the party’s reputation for financial management

Rishi Sunak and the Conservatives have overturned Labour’s lead in terms of who voters trust most to manage the economy, a new poll for the Observer has revealed.

The new prime minister is currently drawing up tax rises and spending cuts designed to fill a £40bn fiscal hole left by Liz Truss’s disastrous time in Downing Street, with warnings that any significant attempt to cut Whitehall budgets will lead to huge pressure on public services. It comes with new analysis revealing that freezing public service spending would save £20bn but would also lead to a return to the austerity of the 2010s.

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Lloyds bank profits plunge by 26% as lender prepares for bad loans

Larger-than-forecast drop to £1.5bn in third quarter came despite rising interest rates

Profits at Lloyds Banking Group dropped by 26% in the three months to September, as the UK’s “deteriorating” economic outlook forced it to put aside nearly £670m to protect against potential defaults on loans and mortgages.

Lloyds, which owns Halifax and is the country’s largest mortgage lender, said pre-tax profits had tumbled to £1.5bn in the third quarter, down from £2bn during the same period last year. That was larger than the 9.5% fall to £1.8bn that analysts had predicted.

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Cost of living crisis: Stop the Squeeze calls for wealthiest to ‘pay proper share’ of tax

Coalition of 40-plus charities and groups launches amid fears of spending cuts to plug public finances

Pressure is building on the leaders of Britain’s two biggest political parties to support higher taxes on wealth amid growing fears over the impact that a renewed austerity drive would have amid the cost of living crisis.

In an intervention which comes as the new prime minister, Rishi Sunak, considers options for filling a £35bn black hole in the public finances, a new coalition of 40 charities and campaign groups – including Oxfam, Save the Children and Christians Against Poverty – said Britain’s tax system was broken and those who paid the most should “pay their proper share”.

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Bank of England left in the dark ahead of new interest rate decision

With fiscal statement deferred and mixed government messaging on tax and spending the BoE has little to go on

The Bank of England will next week consider how much to raise interest rates without having received any guidance from the government about its tax and spending policies, after Jeremy Hunt pushed back the date for this year’s “autumn statement”.

Its policymakers meet on 3 November to decide the increase in the cost of borrowing required to tackle a rate of inflation that climbed above 10% in September.

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Pensions triple lock and benefits in spotlight as Sunak delays fiscal plan

No 10 not committing to keeping triple lock or inflation-linked benefits rise in 17 November statement

Ministers are to re-examine the pensions triple lock and increasing benefits in line with inflation over the next fortnight, according to No 10, after Rishi Sunak delayed the announcement of the government’s fiscal plans from 31 October to 17 November.

The Treasury has said the new date will now be a full autumn statement, with Sunak telling his cabinet that time needed to be made to do things in the proper way.

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Wealth taxes could raise £37bn for UK public services, campaigners say

Tax Justice UK calls on Rishi Sunak’s government to introduce five reforms targeting the richest people

Rishi Sunak’s new government could raise up to £37bn to help pay for public services and the energy bills support scheme if it introduced a string of “wealth taxes”, according to tax equality campaigners.

Tax Justice UK called on the government to introduce five tax reforms targeting the very wealthy, who the campaign group said had done “really well financially” during the coronavirus crisis and national lockdowns, rather than seek to save money with further cuts to public services.

Equalising capital gains tax with income tax could raise up to £14bn a year. At present many well-paid people collect their salaries via sole trader or business partnership companies, and can pay capital gains tax at a rate of 20% rather than income tax, which is as high as 45% for earnings over £150,000. CGT also applies to income from renting out a second home, and dividend income on stocks and shares.

Applying national insurance to investment income could raise £8.6bn.

Closing loopholes on inheritance tax could raise £1.4bn.

Scrapping the non-dom regime and taxing their offshore income could generate £3.2bn.

And introducing a 1% tax on super-rich people’s assets over £10m could raise an additional £10bn.

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Nearly man to next PM: Rishi Sunak’s rapid change of political fortune

Former chancellor looked finished when he lost to Liz Truss – but out of chaos has come a ‘coronation’

One of the many unlikely knock-on effects of Liz Truss’s ultra-brief time as prime minister is the fact that when her successor walks into No 10, the political obituaries that calmly wrote him off as the nearly man of modern UK politics will be just seven weeks old.

Had Boris Johnson successfully returned it would have been viewed, with reason, as an extraordinary and unprecedented comeback. But in some ways Rishi Sunak’s career resurrection has been just as unlikely.

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Jeremy Hunt to detail mini-budget U-turn to MPs after Penny Mordaunt insists PM had ‘genuine reason’ for missing Commons question – live

Latest updates: chancellor to make statement after leader of Commons denied PM was hiding under a desk

Judging by what Conservative MPs have been telling journalists in private over the last few days, the consensus (but not unanimous) view among Tories seems to be that Liz Truss will have to be replaced as party leader before the next election. But very few MPs are saying that in public, and Sky’s Tom Larkin, who is running a spreadsheet of Tories calling for Truss’s resignation, has only got three names on it.

Damian Green, the former first secretary of state, was on the Today programme and you would expect him to be on the Larkin list. He is chair of the One Nation Conservatives caucus, the group most horrified by Truss’s experiment with hardline free market ideology. But he insisted that Truss did have the credibility to carry on as PM, despite the fact she is abandoning most of the key tax policies at the heart of her leadership campaign. He explained:

She is a pragmatist - she’s realised that the first budget didn’t work in spectacular fashion, so she’s now taken the sensible view that we will now try something else, and she’s appointed a very sensible chancellor in Jeremy Hunt.

I obviously don’t know what he’s going to say, but clearly what he’s going to do is already beginning to reassure the markets, and I hope will continue to do so afterwards.

Yes, because if she leads us into the next election, that will mean that the next two years have been a lot more successful than the past four weeks have been. That would not only be good for the Conservative party, that would be particularly good for the country as well, so I think everyone would welcome that.

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Liz Truss fights for survival as even allies say she could have only days left

Prime minister to meet mutinous Tory MPs this week in effort to shore up her position after U-turns on tax

Liz Truss is fighting for her political survival, with Conservative MPs threatening to oust her and even allies warning she has just days to turn around her premiership despite ripping up her economic strategy and appointing Jeremy Hunt as chancellor.

The beleaguered prime minister will attempt to shore up her crumbling support by gathering her cabinet ministers at No 10 on Monday and then embarking on a series of meetings with mutinous Tory MPs before the next budget in a fortnight’s time.

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The unravelling: the full story of how Liz Truss lost her way – and her authority in the Tory party

The prime minister ditched her close ally Kwasi Kwarteng to save her own job – but now Conservative MPs are openly plotting to replace her

After an astonishing eight-minute press conference, in which Liz Truss attempted to salvage her imploding leadership by firing her closest political ally and ditching a totemic policy that won her the job, the most telling reaction was that of officials who had served in Boris Johnson’s chaotic Downing Street.

Just a few short months ago, they had been forced to endure months of scandal, followed by the resignations of dozens of ministers. They had even awkwardly brushed shoulders with cabinet members gathered in Downing Street to tell Johnson that his time was up. But after watching Truss’s hunted demeanour on Friday afternoon, their suffering suddenly seemed trifling.

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