Inflation falls to lowest level in three years at 1.7 per cent
“Inflation fell to 1.7 per cent in the year to September, according to figures released by the Office for National Statistics (ONS) on Wednesday morning. This is the lowest rate in more than three years and down from 2.2 per cent in August and July. The rate has fallen to below the Bank of England’s two per cent target as a result of lower motor fuel prices and cheaper air fares. It is a bigger drop than expected by many economists who had predicted it to fall just below two per cent. The drop makes it even more likely the Bank will decide to cut interest rates in November from their current level of 5 per cent to 4.75 per cent. Key changes including a drop to core inflation, which excludes volatile measures such as food and energy prices, from 3.6 to 3.2 per cent.” – The I
- Bank must release the brakes on the economy by cutting interest rates – Alex Brummer, The Daily Mail
Starmer and his family ‘met Swift at London concert’…
“Sir Keir Starmer and his family met Taylor Swift after receiving £2,800 worth of free tickets and hospitality to attend one of her concerts in the summer, it is understood. Downing Street on Tuesday rejected suggestions that he received the tickets as a “thank-you” after the singer was given a taxpayer-funded police escort while performing at Wembley stadium. The prime minister’s former chief of staff, Sue Gray, was involved in talks with Swift’s mother about the provision of security. Yvette Cooper, the home secretary, and Sadiq Khan, the mayor of London, were also involved in discussions. The police argued during the talks that there was no justification for providing Swift with a taxpayer-funded blue-lights escort because there was no specific threat against her.” – The Times
- The Prime Minister held a 10-minute meeting with the singer at her final UK concert, Number 10 sources confirm – The Daily Telegraph
- Cooper trues to make light of Taylorgate row with lame joke – The Daily Mail
…as he is accused of weakening Britian by pushing for UN Security Council reform
“Sir Keir Starmer has been accused of diluting Britain’s global influence by proposing to increase the number of permanent members of the UN Security Council. Lord Hermer, the Attorney General, said Britain would push to reform the council by adding permanent representation from Africa, Brazil, India, Japan and Germany. That would double the current permanent members, which comprises China, France, Russia, the UK and the US, although it also includes 10 non-permanent members who are elected for two-year terms by the UN General Assembly. “We will advocate for reform of the Security Council, to ensure that those with seats at the top table truly represent the global community,” he said in a lecture to the Bingham Centre for the Rule of Law.” – The Daily Telegraph
Reeves plans £40 billion in tax rises and spending cuts
“Rachel Reeves is drawing up plans for up to £40 billion worth of tax rises and spending cuts to avoid a return to austerity as warnings grow that her budget may “hammer” businesses and increase pressure on charities. The chancellor has told cabinet ministers that plans to fill the “£22 billion black hole” in Britain’s finances in her budget on October 30 will be enough only to “keep public services standing still”. Officials believe that as much as £40 billion will be needed to avoid real-terms cuts to departments, most of which will need to come from tax rises, unless there is a big improvement in the economic outlook. Reeves is also planning to announce a big investment in the NHS and other public services.” – The Times
- Figure is significantly more than the £22 billion fiscal role the Government previously identified – The Financial Times
- Chancellor’s words will be interpreted as signal she will not give in to ministers over cuts she imposes in Budget – The Guardian
- She is accused of hypocrisy after admitting NI raid would hit workers’ pay – The Daily Telegraph
- Chancellor summons City bosses to No 11 for infrastructure taskforce relaunch – The Guardian
- Which taxes are most likely to go up in the Budget? – The Times
- UK tax rises acceptable if part of pro-business Budget, CBI chair says – The Financial Times
- Reeves’s tax rises not enough to fix public finances, IMF suggests – The Daily Telegraph
- How Labour is relying on semantics to justify a tax rise – The Times
- Reeves warned against tax raid on landlords after average London rent hints £2, 694 – The Daily Telegraph
- Weathy non-doms lobby UK for Italian-style tax regime – The Financial Times
- In refusing to rule out increases in employers’ national insurance contributions, Labour perpetuates a delusion – Editorial, The Times
- NICs are a jobs levy – Editorial, The Daily Telegraph
- A hike in gambling taxes would be a win-win – Alice Thomson, The Times
- National Insurance raid will be a disaster – and even the Chancellor knows it – Jeremy Hunt, The Daily Telegraph
- Reeves should not appease bond market vigilantes – Toby Nangle, The Financial Times
- Labour needs to stop promising one thing and doing another – Tom Peck, The Times
>Today:
Lammy urged to raise human rights concerns on China trip
“David Lammy must “engage with China as it really is under the leadership of Xi Jinping” and raise human rights concerns during his trip to the country, UK parliamentarians who have been hit with sanctions by Beijing have said. The foreign secretary is expected to hold high-level meetings in China this week. The visit forms part of an effort by Labour to improve relations with China after they deteriorated under successive Conservative governments. Rachel Reeves, the chancellor, plans to travel to the country next year and restart high-level economic dialogue. The rapprochement is controversial because of human rights and security concerns about China, including its treatment of the Uyghur Muslim minority in Xinjiang and crackdown on democratic freedoms in Hong Kong.” – The Guardian
- UK could take part in joint EU defence missions as part of Brexit reset – The I
Labour cuts £160 million from next-generation fighter jet programme amid concerns over future
“Ministers have been accused of “cutting” the RAF’s next generation fighter programme by 10 per cent this year as Rachel Reeves seeks budget savings. The Ministry of Defence has confirmed £160 million less than expected will be spent on the Tempest project amid wider fears about its future. It comes after Labour was accused of downgrading its pre-election commitment to increase military spending to 2.5 per cent of GDP “as soon as possible”. James Cartlidge, the shadow defence secretary, said the move amounted to a “cut” to the project that “sends entirely the wrong message to our adversaries”. An MoD spokesman said suggestions the programme had been cut were “false” and that the underspend had been agreed with the defence industry.” – The Daily Telegraph
Ministers back away from total ban on mobile phones in schools…
“A legal ban on smartphones in schools has been ruled out by No 10 as new figures show that some children spend more time on their devices than in the classroom. Campaigners had been pushing for an all-out ban in schools in response to concerns about their effects on children and their health and education…No 10 has now said it has no plans to enforce a blanket ban because head teachers “already have the power to ban phones.” The Department for Science and Technology said a ban on the sale of smartphones to under-16s was not practical and that there were no plans to implement one. Ministers are waiting to implement the Online Safety Act next year before deciding on other measures, such as requiring under-16s to get permission from their parents before using social media.” – The Times
- Parents want smartphone banned in schools, poll finds – The I
…as they pledge crackdown on rising car insurance costs
“Ministers have pledged to curb the “spiralling” costs of car insurance paid by UK motorists, in an early test of the government’s efforts to balance consumer rights with its pro-business agenda. Louise Haigh and Tulip Siddiq on Wednesday instructed the competition watchdog and the main financial regulator to join a “taskforce” including industry and consumer groups as part of a push to “agree solutions to keep costs under control”. The action by the transport secretary and the economic secretary to the Treasury came as the government said motor insurance premiums had jumped by 21 per cent on average since June 2022, much faster than comparable European countries. The government blamed the surge in the cost of policies on inflation…” – The Financial Times
Terminally ill could end their life if two doctors and a judge degree, under assisted dying bill
“A judge and two doctors will have to agree that terminally ill patients can be helped to end their lives under a proposed law to be introduced on Wednesday. Advocates of assisted dying believe MPs are in favour of changing the law as Britain begins six weeks of intense debate before a vote on whether to allow doctors to end the lives of people who have only months to live. Intense lobbying is now under way from both sides, with many MPs saying they are yet to make up their minds which side they will pick in a free vote. Kim Leadbeater, the backbench Labour MP, will introduce a bill to give “choice at the end of life” and Sir Keir Starmer has promised to give it time to become law if the Commons votes in favour.” – The Times
- How MPs could vote on assisted dying – and it’s closer than you might think – The I
- Time’s up for status quo on assisted dying – Daniel Finkelstein, The Times
- I don’t want the people I love – or anyone – to choose to die because they feel they’re a burden – Justin Welby, The Daily Mail
>Today:
Water industry ownership should be decided by citizens’ assembly, new bill says
“The future ownership of the water industry should be decided by a citizens’ assembly to remove decision-making from boardrooms and impose democracy on the sector, a private member’s bill is to argue. Labour MP Clive Lewis, who in the past has called for water to be put back into public ownership, will introduce his bill on the future of water ownership and management later today. Lewis said he wanted to create an open conversation in parliament and involve the public in water management through a citizens’ assembly as well as push the debate beyond “simplistic and unhelpful narratives of privatisation v nationalisation”. Lewis’s bill says the conversation about future ownership of water must be held openly.” – The Guardian
- UK water companies face struggle to raise equity without bill hikes, Moody’s warns – The Financial Times
Incapacity benefits more lucrative than part-time work, says IFS
“Britons with long-term sickness risk being up to £1,200 worse off if they come off incapacity benefits and work part-time, a … The Institute for Fiscal Studies (IFS) said discouragingly high taxes on working people were making it difficult to entice welfare claimants back into the labour market. Someone on incapacity benefits deciding to re-enter the workforce for 16 hours per week would be as much as £1,200 worse off a year than if they did not work…It added that four in five people on incapacity benefits have been out of work for more than two years, equivalent to around 2.6m Britons…Ministers are scrambling to solve Britain’s bulging long-term sickness problem, as the costs of supporting those out work are projected to surpass £100bn by the end of the decade.” – The Daily Telegraph
Badenoch: I’m Labour’s worst nightmare – they can’t paint me as prejudiced
“Kemi Badenoch has warned Tory members the Conservative party will cease to exist if they choose the wrong leader. The shadow housing secretary said that “we have one chance to get this right”, telling members that the current leadership race is an “existential” moment for the party. In an interview with The Telegraph, she said: “Assuming we can just do this [again] in 18 months’ time is not serious. There will be no second chance.” Mrs Badenoch…said she would be “Labour’s worst nightmare”, partly because she would nullify any attempts to portray Conservatives as prejudiced…Mrs Badenoch said accusations she is running scared of TV debates with Mr Jenrick are “hilarious”, pointing out that she is also accused of crossing the street to start a fight…” – The Daily Telegraph
- She privately defend flexible working before publicly opposing it – The Guardian
- Badenoch failed to take advantage of Brexit, says Cash – The Daily Telegraph
- Why Badenoch, the human tornado, must be Tory leader – Sarah Vine, The Daily Mail
No student loans for the worst-performing university courses, pledges Jenrick
“Robert Jenrick will announce plans to withhold student loans for the worst-performing courses in a major speech set to be delivered on Wednesday. The Tory leadership contender will propose withholding student loans for the worst 10 per cent performing courses – freeing up funding for apprenticeships and vocational training. Under the plans, set to be delivered to the Thatcherite Centre for Policy Studies, 130,000 fewer students would go to university. The money will instead go towards expanding the funding for small businesses taking on apprenticeships for under-19s to include medium-sized businesses. He will also enable universities to become Institutes of Technology. Apprentices would learn alongside university students in some situations…” – The Daily Telegraph
- Tory leadership race ‘collapses into lurid smears’ – The Sun
- Mordaunt distances herself from Jenrick after ‘I’m offering Penny’ campaign image – The Daily Telegraph
Tory MPs want Corbyn’s support to oust bishops from House of Lords
“Conservative MPs will seek to make common cause with Jeremy Corbyn to oust bishops from the House of Lords as part of Labour’s reform drive. Labour MPs face being embarrassed as they are forced to vote in favour of keeping Anglican bishops in the Lords as they back plans to oust hereditary peers. The bill, which passed its second reading on Tuesday evening, will remove the 92 remaining hereditary peers from the Lords in what ministers have described as the biggest constitutional overhaul in a quarter of a century. However, Sir Gavin Williamson, the Tory former chief whip, is putting forward an amendment that would remove bishops from the House of Lords, arguing that Labour’s modernisation does not go far enough.” – The Times
- Labour accused of ‘power grab’ with vote to boot out hereditary peers in order to ‘parachute in their cronies’ – The Daily Mail
- The Government is starting to reform Parliament. It should go much further – Editorial, The Times
>Today:
Cameron planned to sanction two ‘extremist’ Israeli ministers
“Lord Cameron of Chipping Norton was planning to impose sanctions on two “extremist” Israeli ministers who pushed to end aid convoys to Gaza. The former foreign secretary revealed he was “working up” the sanctions against Bezalel Smotrich, the Israeli finance minister, and Itamar Ben-Gvir, the national security minister, during his final days as foreign secretary. Cameron told BBC Radio 4 that the two men were “extremists” and said sanctions would have been a way of putting “pressure” on the Israeli prime minister, Binyamin Netanyahu, to act in line with international law…Asked why the sanctions had not been imposed, Cameron said he had been advised the move would have been too “political” during an election.” – The Times
- Cameron’s Israel intervention is just a cynical political move – Kate Maltby, The I
Johnson offered to introduce Milei to Jagger, say reports
“Boris Johnson has promised to introduce Javier Milei to his rock star hero Sir Mick Jagger, it has been reported. The former Prime Minister made the proposal in a meeting between the pair in Buenos Aires on Monday as Mr Johnson continues his tour promoting his new book, Unleashed. The Argentinian leader has allegedly been trying to meet the Rolling Stones’ frontman for a long time. Mr Johnson is said to have been eager to volunteer as a facilitator of the meeting between Sir Mick and the libertarian leader, promising to “personally arrange” it, an Argentinian newspaper reported. Sources close to the Argentinian president told the newspaper there had been “chemistry” between Mr Milei and Mr Johnson during the meeting, which was reportedly organised at Mr Johnson’s request…” – The Daily Telegraph
News in Brief:
- Working people will pay for Reeves’s NI hike – Hamish McRae, The Spectator
- Compromise killed off the Habsburgs – Brendan Simms, UnHerd
- Don’t be fooled, Labour still don’t understand business – Oliver Middleton, CapX
- Out of power for half a century – Jeremy Black, The Critic
- The sun finally sets on the British Empire – Ed West, Wrong Side of History
- Levelling up: against just “cities and skills” – Neil O’Brien, Neil’s Substack
