Gordon Brown calls for G7 to act on Covid vaccine ‘apartheid’

Former prime minister says group should commit to global vaccine drive and slams UK’s foreign aid cut

Preventing poor countries suffering from vaccine “apartheid” will require the G7 group of rich nations to commit $30bn (£22bn) a year to a global immunisation drive, Gordon Brown has said.

The former Labour prime minister said the UK should use June’s G7 summit in Cornwall to rekindle the moral purpose of the Make Poverty History campaign of 2005, paying for its share of the new fund by reversing the government’s “misguided” cut to the foreign aid budget.

Continue reading...

Amid unease on the left, Starmer aims to ‘bring Labour home’

A year on from landing the party’s top job, the leader plans on taking his message directly to the voters

Keir Starmer plans to spend the summer months criss-crossing the country to make his pitch directly to voters at scores of town hall-style meetings, in an attempt to “bring Labour home” to its traditional supporters.

A year after his election, with his personal poll ratings slipping and amid growing internal unease about his leadership, Starmer’s team say he hopes to emulate David Cameron, who fielded voters’ questions face to face on his “Cameron Direct” tour in 2008.

Continue reading...

A year of Covid crisis: a glimmer of economic hope at the end of the tunnel

Twelve months after the pandemic struck the Guardian’s economic tracker reveals real risk of lasting damage

When Boris Johnson announced the first stay-at-home order, effectively shutting down whole sections of the economy, it was hoped the tide could be turned within 12 weeks. As many months later, lockdown measures are being relaxed for a third time and Britain still faces a lengthy road to recovery from the worst recession for 300 years.

As restrictions ease, the chief economist at the Bank of England, Andy Haldane, warned that despite the reopening of the economy, the risk of a “jobs equivalent of long Covid” remains for workers across the country.

Continue reading...

Budget 2021 live: Sunak to freeze income tax thresholds and raise corporation tax to pay for Covid recovery

Latest updates: chancellor extends furlough, universal credit uplift and stamp duty holiday

Sunak turns to corporation tax.

Sunak says he will announce two measures now to address the borrowing.

The government’s response has been fair, he says.

Continue reading...

Rishi Sunak to offer ‘help to grow’ training for SME managers

Small businesses will receive help in Wednesday’s budget to boost tech and management skills

The bosses of small businesses are to be invited back to school to brush up on their management skills, under plans to be announced in the budget designed to help close Britain’s productivity gap with rival nations.

As part of the attempt to speed up the UK’s recovery from the Covid-19 pandemic, the chancellor, Rishi Sunak, will unveil a “help to grow” scheme that will offer the leaders of up to 130,000 small and medium-sized enterprises (SMEs) the chance of MBA-style management training.

Continue reading...

England’s poorest areas hit by Covid ‘perfect storm’ – leaked report

Exclusive: government analysis reveals unmet financial needs of many people needing to self-isolate

A “perfect storm” of low wages, cramped housing and failures of the £22bn test-and-trace scheme has led to “stubbornly high” coronavirus rates in England’s most deprived communities, an unpublished government report has found.

A classified analysis by the Joint Biosecurity Centre (JBC), produced last month, concluded that “unmet financial needs” meant people in poorer areas were less likely to be able to self-isolate because they could not afford to lose income.

Continue reading...

Brexit cost will be four times greater for UK than EU, Brussels forecasts

Departure to cost EU 0.5% of GDP but UK 2.25% by end 2022, according to first official estimate since deal was agreed

The economic blow dealt by Brexit will be four times greater in the UK than the EU, according to the latest forecasts by Brussels.

A month into the new relationship, the European commission said the UK’s exit on the terms agreed by Boris Johnson’s government would generate a loss in gross domestic product (GDP) by the end of 2022 of about 2.25% in the UK compared with continued membership. In contrast, the hit for the EU is estimated to be about 0.5% over the same period.

Continue reading...

UK importers brace for ‘disaster’ as new Brexit customs checks loom

Exporters badly hit already but KPMG says ‘biggest headaches’ have yet to come’ for importers

British firms are warning of further Brexit red tape as the government prepares to introduce a long list of new controls on imports from the European Union in April and July.

In the coming months further checks are due to be phased in at the UK border, controlling everything from the import of sausages and live mussels to horses and trees, as well as the locations these checks can take place.

Continue reading...

Is the leftwing vision of Brexit Britain just fantasy? | Letters

Readers respond to an article by Larry Elliott calling for those on the left to see the UK’s departure from the EU as an opportunity to rebalance the economy

Larry Elliott is consistent in his criticism of the EU (The left must stop mourning Brexit – and start seeing its huge potential, 31 December). He points out the neoliberalism inherent in the core EU policies of free movement of goods, services, capital and people. He then extols the advantages for the UK of being freed from EU shackles to pursue its own destiny in the world.

But aren’t we committed to chasing the same neoliberalism on a broader canvas? He says nothing of the EU’s social and political projects – health and safety, employment protection, social welfare, retirement rights and other programmes. He ignores the ambitions of a gradual rapprochement between nations that engaged in monstrous wars in the recent past. Brexit UK is moving backwards, self-condemned to continued national decline, as other countries find ways of developing at least some elements of a progressive agenda in a harsh and divided world.
Peter Taylor-Gooby
Professor of social policy, University of Kent

Continue reading...

Brexit deal: Boris Johnson poised to announce UK and EU have reached trade agreement – live

Negotiations continued overnight between UK and EU at European commission’s headquarters in Brussels

Boris Johnson is confident he can sell the trade deal to Brexiters, according to the FT (paywall).

Sebastian Payne and George Parker report that Downing Street has been preparing the ground for weeks with the ERG, ensuring that senior backbenchers were aware of the shape of things to come and compromises being made.

Senior members of the group have already welcomed Johnson’s imminent deal as the “Christmas Eve Agreement”, a reference to the 1998 Belfast Good Friday Agreement that secured peace in Northern Ireland.

Indications from senior figures within the ERG suggest that many of its members will accept the compromises negotiated by Johnson and Lord Frost.

If they want help from the party to stay in parliament, then they’ll back the deal.

In case you’re just joining us, the final stage of the negotiations for a post-Brexit trade deal has been delayed after it emerged that the European commission was using out-of-date figures to calculate the reduction in the amount of fish that member states can catch in British waters after 1 January.

A deal was due to be announced early this morning but the announcement had to be postponed when officials noticed a discrepancy between two sets of fishing figures and realised that the numbers used in the negotiation appeared to be out of date.

Continue reading...

For seasoned EU watchers, Brexit trade talks look uncannily like Grexit

Analysis: While there are similarities with the 2015 clash between Athens and Brussels, there are also key differences

It was a marathon even by the European Union’s standards. For hours, leaders of countries in the eurozone argued, haggled and shouted at each other. After breaks for refreshment, they argued, haggled and shouted some more. Rumours swirled around the packed media room. Eventually, as Brussels was waking to a new morning, the 17-hour overnight summit staggered to an end.

All participants were in agreement that victory had been snatched from the jaws of defeat. Despite the brinkmanship, a deal was eventually done – as seasoned EU watchers had always said it would be, even when all hope seemed lost.

Continue reading...

Economic cost of Covid crisis prompts call for one-off UK wealth tax

Tax experts and economists outline ‘fairest, most efficient’ way to repair public finances and quickly raise £260bn

The government has been urged to launch a one-off wealth tax on millionaire households to raise up to £260bn in response to the coronavirus pandemic, as the crisis damages Britain’s public finances and exacerbates inequality.

The Wealth Tax Commission – a group of leading tax experts and economists brought together by the London School of Economics and Warwick University to examine the case for a levy on assets – said targeting the richest in society would be the fairest and most efficient way to raise taxes in response to the pandemic.

Continue reading...

Deadly frost and war with the French: Britain’s recession of the 1700s

Economic distress caused by pandemic is the first in a very long time to have been brought about by the natural world

The chancellor has said the government will borrow a peacetime record of almost £400bn this year in the face of the worst recession the UK has experienced in more than 300 years. But how many of us know what happened at the time of that distant milestone?

Three centuries ago, Britain looked very different. The country was still largely agricultural and as such was completely at the mercy of nature – though 2020 has shown that perhaps, in a way, it still is. Nonetheless, in the early 18th century it was the success or failure of the harvest, which depended on the weather, that had a profound impact on the rate of economic growth.

Continue reading...

Failure to seal post-Brexit deal would more than halve UK growth, says KPMG

Accountancy firm warns of stalled economic recovery without EU trade agreement

Failure to strike a post-Brexit trade deal would cut the UK’s economic growth rate by more than half next year, delaying a full recovery from the coronavirus pandemic, according to a report.

The accountancy firm KPMG said the economy would suffer heavily should the UK fail to secure a trade deal with the EU before the end of the Brexit transition period at the end of December, just as the country attempts to escape the deepest recession since records began.

Continue reading...

Five post-Trump obstacles to a global green recovery

Joe Biden’s win gives the globe a better chance of averting climate catastrophe, but major obstacles remain

Environmentalists have been heartened by Joe Biden’s victory as, if the US rejoins the Paris agreement as expected, it will give the world a much better chance of averting climate catastrophe. However, there are still hurdles to overcome to rein in emissions and keep warming to within 1.5C above pre-industrial levels.

Continue reading...

UK coronavirus live: Boris Johnson holds news briefing on first day of England’s new lockdown

Latest updates: PM gives televised address after Sunak extends furlough until end of March

Q: What is your response to concerns about the data presented by government? (See 4.11pm.)

Johnson says the government is happy to share the data it has.

Q: Won’t we have to live with restrictions for some time?

Stevens says the NHS is prepared for coronavirus.

Continue reading...

Rishi Sunak announces extension of UK’s coronavirus furlough scheme – video

The chancellor has announced that the government will extend the UK's furlough scheme until March as the second wave of Covid-19 infections and new lockdown threaten to push up unemployment. In a major climbdown, Rishi Sunak said the Treasury would continue to pay 80% of workers’ wages

Continue reading...

Understanding how this catastrophe occurred is of critical importance

The catastrophe facing the UK is a direct result of our government’s obsession with libertarian issues. Now we must avoid repeating the same mistakes

Six weeks ago, the government was given a stark warning that the nation faced a “very large epidemic with catastrophic consequences”. Only by imposing an immediate two-week “circuit breaker” lockdown could it hope to reduce the spread of coronavirus, the Sage group of scientific advisers told ministers.

“As over 90% of the population remain susceptible, not acting now to reduce cases will result in a very large epidemic with catastrophic consequences in terms of direct Covid-related deaths and the ability of the health service to meet needs,” the group warned.

Continue reading...

Temporary, timely and targeted. Furlough has proved to be just one of these

As mark 1 gives way to mark 2, scheme has prevented return to dole queues of 1980s– for now

Temporary, timely and targeted. That was how Rishi Sunak described the government’s strategy for coping with the impact of Covid-19 when he gave his budget speech on 11 March.

Less than two weeks later the UK was in lockdown and the chancellor sought to deliver on his pledge with the Treasury’s job retention scheme, or the furlough as it has become known.

Continue reading...

Sunak’s £12bn scheme for self-employed was ‘terribly targeted’, says analysis

Review finds testing flaws meant support went to many workers who lost no income but not to others who had

Rishi Sunak’s flagship scheme to help the self-employed through the pandemic has handed £1.3bn to workers who saw no loss of income while giving nothing to 500,000 people left without work, new analysis has revealed.

In a sign of major flaws in the £12.7bn self-employment income support scheme (SEISS), more than 400,000 workers were able to claim support despite losing no income in the crisis.

Continue reading...