Autumn statement - latest: Sunak and Hunt can only make ‘tiny tax cuts’, expert warns

The government can only afford “a tiny tax cut here or a tiny cut there,”  a respected economic think tank has said ahead of Wednesday’s statement.

Paul Johnson, director of the Institute for Fiscal Studies think tank, said any tax cuts would have to be followed by “incredibly tight spending plans”.

His comments came after prime minister Rishi Sunak delivered a speech earlier on Monday in which he suggested taxes would be cut on Wednesday.

Mr Sunak also claimed handing over the UK economy to Labour would be “just as dangerous” as Liz Truss’s stewardship of the economy.

He claimed Keir Starmer and Rachel Reeves wanted to continue the “big government, big spending approach” of the Covid pandemic, pointing to the opposition’s £28bn green business plan.

“This makes the same economic mistake as last year’s mini-budget – blowing tens of billions of pounds on unfunded spending is just as dangerous as blowing tens of billions of pounds on unfunded tax cuts.”

Key Points

• Sunak and Hunt can only make ‘tiny tax cuts’, expert warns

• PM: Now is the time for tax cuts

• Call me Lord: David Cameron officially becomes peer

• Labour would be as dangerous as Truss - Sunak

12:04 , Matt Mathers

Rishi Sunak has hit out at a reported warning from the United Nations that lengthy sentences for climate protesters could curb freedoms in the UK.

Ian Fry, UN special rapporteur on the promotion and protection of human rights in the context of climate change, has raised with ministers the sentences handed to Just Stop Oil campaigners who scaled the Dartford Crossing in October 2022.

But the Prime Minister said it was “entirely right” to hand “tough sentences” to demonstrators who cause major disruption.

“Those who break the law should feel the full force of it,” he tweeted.

“It’s entirely right that selfish protestors (sic) intent on causing misery to the hard-working majority face tough sentences.

“It’s what the public expects and it’s what we’ve delivered.”

1p cut to income tax would save 36 million people £200 - but gains not spread evenly

11:23 , Matt Mathers

A 1p cut to the basic rate of income tax would benefit 36 million people and cost around £7bn, a think tank has calculated ahead of the statement.

The Resolution Foundation said the average gain would be around £200 but warned that the giveaway would benefit “the richest half of the population in particular.”

“The cash gains from cutting the basic rate aren’t spread evenly however,” it added.

“Overall, 80 per cent of the gains go to the richest half of the population, and half to the top quarter.

“We’re reshuffling taxes not cutting them – with most people seeing taxes go up.

“The Income Tax and National Insurance threshold freeze next April will raise £8 billion. You’d only be a winner if you  earn between £40,000 and £51,000. Everyone else will be worse off.”

Benefits will be uprated at 6.7% and pensions triple lock kept - report

11:05 , Matt Mathers

Benefits will rise in line with last September’s inflation figure of 6.7 per cent, according to a report.

Government ministers were said to be considering uprating benefits to October’s lower rate of 4.6 per cent in a one-off move to save money.

But this has now been ruled out, according to ITV News. In April of each year, benefits are raised in line with whatever inflation stood at the previous September.

ITV also reports that Rishi Sunak will keep the pensions triple lock.

Sunak to cut benefits for long-term sick unless they seek to work from home

10:30 , Matt Mathers

Rishi Sunak will threaten to cut benefit payments to hundreds of thousands of people with mobility and mental-health problems unless they find work they can do from home.

The prime minister will tell them to find jobs or face a benefits cut of £4,680 a year if they do not in a bid to get more people back to work, according to reports.

Archie Mitchell reports:

Sunak to cut benefits for long-term sick unless they seek to work from home

Ministerial statements for Tuesday

10:28 , Matt Mathers

Here are the written ministerial statements due to be made in the Commons on Tuesday:

• Secretary of State for Business and Trade: Republic of Korea Trade Negotiations Update: Launch of Negotiations

• Chancellor of the Exchequer: Investment update

• Chancellor of the Exchequer: Treasury Update

• Secretary of State for Health and Social Care: NHS England Update

• Secretary of State for Justice: Correction to Question 203779 in the 2022-23 session

• Secretary of State for Transport: Motoring Executive Agency Business Plans for 2023-24

Hunt will cut NI contribtions - report

09:20 , Matt Mathers

Jeremy Hunt will “probably” make a small cut to national insurance in tomorrow’s statement.

The chancellor has also delayed slashing inheritance tax and stamp duty until next year, according to The Sun.

He will not raise income tax thresholds despite the record tax take, the paper adds.

Government borrowing rises ahead of statement

09:12 , Matt Mathers

Government borrowing was higher than expected last month at £14.9bn but official figures showed a smaller-than-expected deficit across the first half of the year.

The £14.9bn was £4.4 billion more than a year earlier and the second-highest October borrowing since monthly records began in 1993.

It was more than most economists had been pencilling in and higher than the £13.7 billion expected by the UK’s fiscal watchdog, the Office for Budget Responsibility (OBR), marking the first time it has overshot the official forecasts this financial year.

The ONS also revised up borrowing figures for the first six months of the financial year to £83.4 billion from £81.7 billion previously estimated, due largely to weaker income and corporate tax receipts.

But despite the higher-than-forecast figures, financial year-to-date borrowing is still below official forecasts made last March, standing at £98.3 bn, £21.9 bn more than a year earlier, though less than the £115.2 billion forecast by the OBR.

EU didn’t believe Boris Johnson’s ‘madman’ no-deal Brexit bluff

08:55 , Matt Mathers

European Union negotiators did not believe Boris Johnson’s bluff that he was prepared to pull the UK out of the bloc with a no-deal Brexit, Michel Barnier has revealed.

The EU’s former Brexit negotiator has said he knew the former PM was not serious about his “madman” claim to be ready to exit without a trade agreement with Brussels.

Adam Forrest reports:

EU didn’t believe Boris Johnson’s ‘madman’ no-deal Brexit bluff

Minister: We’re going to cut taxes

07:59 , Matt Mathers

A government minister said taxes would be cut in Wednesday’s autumn statement but declined to be drawn on specific changes.

Laura Trott, chief secretary to the Treasury, said the government could start to think about reducing taxes because the economy had turned a corner.

“Real wages are, for three months, now ahead of inflation – again, that’s really important to kind of making a difference to how people feel,” she told Times Radio.

“So we can now talk about tax cuts and focus on growth, and that is what we’re going to be doing.”

Spark EV battery production to prevent decline of UK car industry, MPs warn

07:46 , Matt Mathers

Electric vehicle (EV) battery production must be incentivised to prevent the decline of the UK car industry, MPs warned.

A report by the cross-party Business and Trade Committee stated that hundreds of thousands of jobs are at risk if the issue is not addressed.

Neil Lancefield reports:

Spark EV battery production to prevent decline of UK car industry, MPs warn

Government accused of ‘economic blackmail’

07:00 , Alexander Butler

The Government has been accused of “economic blackmail” after no Levelling Up funding was allocated to Northern Ireland.

Some 55 projects across the UK will get a share of nearly £1 billion from the fund aimed at regenerating high streets and improving transport links.

But no funding was allocated to Northern Ireland.

Levelling Up Secretary Michael Gove’s department said “given the current absence of a working executive and assembly, the Government is not proceeding with this round of the Levelling Up Fund at this time”.

More than £300m will ‘unlock’ mansion house reform benefits, Jeremy Hunt says

06:00 , Alexander Butler

The Government will spend more than £300 million to “unlock” £50 billion in capital from British pension funds, Chancellor Jeremy Hunt has said.

Dubbed the Mansion House Reforms and announced by the Chancellor earlier this year, leading pensions firms agreed to put 5% of their investments into early-stage businesses in the fintech, life sciences, biotech and clean technology sectors by 2030.

The move was pitched as a way to help increase the retirement savings of a typical earner who starts saving at 18, by 12% over their career, or more than £1,000 more a year once they stop working.

Watch as Sunak discusses Autumn Statement during London school visit

04:00 , Oliver Browning

Watch as Rishi Sunak gives a speech in London on Monday 20 November.

The prime minister painted a more positive picture of the economy ahead of the autumn statement on Wednesday, which Jeremy Hunt has signalled could be used to cut taxes for businesses.

Mr Sunak hailed having last week hit his pledge of halving inflation as he gave an update on the state of the nation’s finances.

Watch as Sunak discusses Autumn Statement during London school visit

What will Jeremy Hunt unveil in the Autumn Statement?

02:00 , Joe Middleton

Chancellor Jeremy Hunt faces a troubling economic backdrop when he delivers his Autumn Statement to the country on Wednesday.

Economic forecasts show that growth is stagnant and Britain is teetering on the edge of a recession - while high prices and the cost of living crisis continues to impact millions of hard-pressed families.

However, last week Mr Hunt had a sliver of good news as inflation has halved over the past year, leading him to say the economy had “turned a corner” and fuelling expectations he will unveil tax cuts on Wednesday.

Everything Jeremy Hunt is expected to unveil in the autumn budget statement

Gove says he has ‘made the case’ for more council funding

00:01 , Alexander Butler

Michael Gove has been pushing the Treasury for “appropriate funding” for local councils, the veteran Cabinet minister has said.

Speaking at a local government conference on Monday, the Communities Secretary said he had been “doing my best to reinforce to the Treasury and to Number 10 some of the particular challenges that local government faces”.

In the run-up to the Chancellor’s Autumn Statement on Wednesday, local councils have been pushing for more funding to cope with a variety of pressures including social care, children’s services and temporary accommodation.

Gove says he has ‘made the case’ for more council funding

Cameron vows to put development ‘back at heart’ of Foreign Office

Monday 20 November 2023 22:00 , Alexander Butler

Lord Cameron said the UK will continue to lead efforts to tackle food insecurity around the world as he closed the Global Food Security Summit in London.

In his first major speaking engagement since becoming Foreign Secretary, the former prime minister said he would “put development right back at the heart” of the Foreign, Commonwealth and Development Office (FCDO).

“Food is the foundation of all aspects of development. Malnourished children can never fully develop their bodies and their minds,” he said.

Cameron says meeting of Tory MPs ‘like going back to school’

Monday 20 November 2023 21:00 , Adam Forrest

David Cameron received a warm reception at a meeting of the 1922 Committee of Tory MPs in parliament.

As well as receiving the traditional banging of desks as he entered, Lord Cameron was greeted and welcomed back by Tory colleagues.

A large number of MPs turned out to hear Lord Cameron speak – including former prime minister Theresa May and several current ministers. “It’s a bit like going back to school,” he said outside the room.

Too early to say inflation beaten, Bank of England warns

Monday 20 November 2023 20:02 , Alexander Butler

It is “much too early” to say that inflation has been beaten, despite figures last week which showed the Prime Minister’s target to halve inflation had been reached, the governor of the Bank of England has warned.

Andrew Bailey, who sits on the body which decides interest rates, said that inflation is still “too high”. It comes after last week’s inflation figures showed a group of goods and services increased in price by around 4.6 per cent in the 12 months to the end of October.

“While the inflation data for October released last week were welcome news, it is much too early to declare victory. Inflation remains too high and we need to make sure we get it all the way down to the 2 per cent target,” he said.

Hunt promise business investment boost – and porridge for breakfast

Monday 20 November 2023 18:17 , Alexander Butler

Jeremy Hunt said his autumn statement on Wednesday would include a package of measures to boost business investment, Adam Forrest reports.

The chancellor told the CBI conference that the UK’s productivity was 15 per cent lower than Germany’s, partly due to skills training, but also because of a lack of capital investment.

He promised “a whole range of measures designed to unlock business investment and close that gap”.

The chancellor gave nothing away of tax cuts, saying only that the government was now “focused on growth” after halving inflation.

Mr Hunt also he will have porridge with banana and honey, followed by egg on toast, the day of the autumn statement (as he does on all big days).

What will Jeremy Hunt unveil in the Autumn Statement?

Monday 20 November 2023 16:07 , Matt Mathers

Chancellor Jeremy Hunt faces a troubling economic backdrop when he delivers his Autumn Statement to the country on Wednesday.

Economic forecasts show that growth is stagnant and Britain is teetering on the edge of a recession - while high prices and the cost of living crisis continues to impact millions of hard-pressed families.

Joe Sommerlad reports:

Everything Jeremy Hunt is expected to unveil in the autumn budget statement

Tory moderate warns Sunak against radical Rwanda plan B

Monday 20 November 2023 15:39 , Matt Mathers

Stephen Hammond, deputy chair of the One Nation group of Tory moderates, has warned Rishi Sunak against trying to get around human rights law with his Rwanda deportation plan B, Adam Forrest reports.

The PM is said to be mulling a “semi-skimmed” option, which would try to disapply the UK Human Rights Act (HRA) in asylum claims, and a “full-fat” option of using “notwithstanding clauses” to ignore the HRA and the European Convention on Human Rights (ECHR) in a way that is legal.

“Leaving the ECHR would be a red line for the One Nation [MPs] – the idea we would find ourselves in a group with Russia is beyond incredible,” Mr Hammond told The Independent.

“I’m very wary of trying to disapply treaties we’ve signed up to,” he said. “On [trying to disapply] the ECHR and the HRA, I’d be very cautious. It’s a view among large numbers of colleagues in the One Nation group.”

He added: “One of the things that has been most successful is the treaties like the one with Albania, we need to have more of those, so people arriving on boats can be sent back.”

Inheritance tax hits middle-class and should be scrapped, says senior Tory MP

Monday 20 November 2023 15:20 , Matt Mathers

Tory MP David Jones, deputy chair of the European Research Group, urged Jeremy Hunt to focus on slashing inheritance tax and corporation tax, Adam Forrest reports.

“He needs to stimulate growth – cutting corporation tax would be a good way of doing that – it’s been up and down like a yo-yo,” he told The Independent.

“Inheritance tax disproportionately impacts the middle class – it’s bitterly resented,” Mr Jones added. “It would be a strong signal that we were returning to Conservative principles if it were completely abolished.”

Cutting income tax cut better than national insurance, says Tory MP

Monday 20 November 2023 15:15 , Matt Mathers

Senior Tory John Redwood – a leading right-wing advocate for tax cuts – has backed the idea of reducing income tax, amid speculation Jeremy Hunt is more likely to slash national insurance, Adam Forrest reports.

“I would rather have the income tax [cut] than the national insurance option,” Mr Redwood told The Independent. “People resent it [income tax] more, people recognise it more, and if you’re trying to get confidence up you ought to do something people feel good about.”

“Any tax cut is better than none,” he added. The former minister is pushing for energy tax cuts – including in VAT on domestic bills and carbon taxes paid by business – at the autumn statement.

Call me Lord: David Cameron officially evelated to upper chamber

Monday 20 November 2023 14:56 , Matt Mathers

David Cameron was elevated to the House of Lords this afternoon in an official introductory ceremony.

The former prime minister, who insisted on being called ‘Dave’, according to an unofficial biography, is now Lord Cameron of Chipping Norton, reflecting his long-held ties to the well-helled Cotswolds town in his former constituency, Whitney.

Lord Cameron was elevated to parliament’s upper chamber last week so that he take up the role of foreign secretary.

Labour and Lib Dems ridicule five new pledges from Sunak

Monday 20 November 2023 14:42 , Matt Mathers

Responding to Rishi Sunak’s five new long-term economic pledges, Pat McFadden, Labour’s national campaign coordinator said: “The Tories have failed to deliver on so many pledges from the past.

“Why should people believe they will deliver on pledges for the future?” asked the Labour frontbencher.

He added: “It sums up this Conservative Party to claim things will be better tomorrow when they can’t even fix the problems of today.”

Liberal Democrat leader Ed Davey MP said that in failing to mention the NHS in the five new pledges, Mr Sunak “has shown yet again just how out of touch he is”.

Mr Davey added: “Shockingly, the prime minister doesn’t even understand the link between a better health service and a stronger economy.”

Low growth cause of high taxes, shadow business secretary says

Monday 20 November 2023 14:00 , Alexander Butler

The UK has hit the highest tax burden in 70 years because of “low growth”, shadow business secretary Jonathan Reynolds said.

“We’ve had low growth, that is the fundamental reason for that. I don’t think anyone right now thinks that services in the UK are so generously funded that taxes have risen to meet that need,” he said.

“There is simply no way that any political decision in the next government or the one after that can be anything other than extremely difficult, unless there is a significant step change in the performance of the economy.”

He added he would not speculate on possible tax cuts being announced by the Chancellor in the autumn statement on Wednesday.

Starmer in No 10 would be as dangerous as Liz Truss, says Rishi Sunak

Monday 20 November 2023 13:45 , Alexander Butler

Rishi Sunak has claimed handing over the economy to Keir Starmer would be “just as dangerous” as having Liz Truss in charge.

Outlining how he planned to cut taxes in a “responsible” way, ahead of Wednesday’s autumn statement, the prime minister claimed Sir Keir and Rachel Reeves wanted to continue the “big spending approach”, pointing to the opposition’s £28bn green business plan.

In an extraordinary attack on his predecessor’s policies, Mr Sunak then said Labour’s approach to spending would put Britain at the same risk as Ms Truss, who was ousted after big tax cuts which triggered an economic collapse.

“This makes the same economic mistake as last year’s mini-budget – blowing tens of billions of pounds on unfunded spending is just as dangerous as blowing tens of billions of pounds on unfunded tax cuts,” Mr Sunak said.

Starmer in No 10 would be as dangerous as Liz Truss, says Rishi Sunak

EU didn’t believe Boris Johnson’s ‘madman’ no-deal Brexit bluff

Monday 20 November 2023 13:40 , Matt Mathers

European Union negotiators did not believe Boris Johnson’s bluff that he was prepared to pull the UK out of the bloc with a “no deal” Brexit, Michel Barnier has revealed.

The EU’s former Brexit negotiator has said he knew the former PM was not serious about his “madman” claim to be ready to exit without a trade agreement with Brussels.

Adam Forrest reports:

EU didn’t believe Boris Johnson’s ‘madman’ no-deal Brexit bluff

Sunak and Hunt can only make ‘tiny tax cut’, says IFS

Monday 20 November 2023 12:39 , Matt Mathers

Paul Johnson, director of the Institute for Fiscal Studies (IFS), said the chancellor can only afford “a tiny [tax] cut here or a tiny cut there” on Wednesday, Adam Forrest reports.

The respected economist told Times Radio that any tax cuts would have to be followed by “incredibly tight spending plans” – including cuts to public services.

Although Mr Hunt has been said to have enhanced fiscal “headroom” of around £25bn, the IFS director said Britain’s grim debt picture meant there was little to play with.

“There’s lots of speculation that against his rather strange target there’s a little bit more room for manoeuvre. But that’s not real,” said Mr Johnson.

Sunak: It’s time to cut tax to grow Britain’s economy

Monday 20 November 2023 12:20 , Matt Mathers

Rishi Sunak has signalled his government is now ready to cut taxes to get Britain’s economy growing again as he tries to revive the Tory party’s fortunes in the polls.

Chancellor Jeremy Hunt is said to be ready to cut national insurance and business taxes in Wednesday’s autumn statement – despite his previous claims tax cuts were too risky.

Adam Forrest has the full report:

Rishi Sunak: It’s time to cut tax to grow Britain’s economy

City of London Corporation backs tax cuts

Monday 20 November 2023 12:01 , Matt Mathers

The City of London Corporation has welcomed signals from the government that it will cut taxes in Wednesday’s statement.

Chris Hayward, the corporation’s policy chairman, said it was vital to reduce the burden on households and keep UK businesses competitive.

“It’s right the government is looking at ways we can reduce the tax burden on households and businesses,” he said.

“A competitive tax regime is critical to the UK retaining its world-leading financial centre status.

“Our banking sector for instance already faces higher rates of tax compared to New York or Dublin.”

UK spending £1.5m on minibuses and electric vehicles for Albania prisons

Monday 20 November 2023 12:00 , Matt Mathers

Thirty-seven minibuses and electric vehicles have been provided to Albania by the Government at a cost of £1.5 million, as part of a recent deal to return Albanian prisoners.

The arrangement, announced in May, will see 200 Albanian nationals jailed in England and Wales sent home for the rest of their sentence.

Dominic McGrath reports:

UK spending £1.5m on minibuses and electric vehicles for Albania prisons

Sunak: welfare system not sustainable

Monday 20 November 2023 11:46 , Matt Mathers

The welfare system is not currently “sustainable”, Rishi Sunak suggested when asked about a possible squeeze on welfare payments in the autumn statement.

Declining to “pre-empt” any announcements on Wednesday, the prime minister said: “Our view on the welfare system is that it should be compassionate, it should be fair and it should be sustainable…

“With over 2 million people of working age who are not currently working, that isn’t a good situation.

“It’s not sustainable for the country, for taxpayers. It’s not fair. But it’s also not compassionate to write people off.

“And over a decade we’ve seen the percentage of people who are essentially deemed not to be able to do any work has tripled. That doesn’t seem like a system that’s working properly. And that’s why we will look to make sure that the system is reformed and supports those who can work to do so.”

Lammy tells Labour’s Gaza rebels ‘hard diplomacy’ needed for peace as he visits Israel

Monday 20 November 2023 11:40 , Matt Mathers

Shadow foreign secretary David Lammy has told Labour’s Gaza rebels that “hard diplomacy” is required for the conflict to end, as he visits Israel and the West Bank to meet regional leaders.

It marks the first visit by a member of Sir Keir Starmer’s team to Israel and the occupied Palestinian territories since Hamas’s 7 October atrocity sparked a full-scale war.

Adam Forrest reports:

Lammy tells Labour’s Gaza rebels ‘hard diplomacy’ needed as he visits Israel

Sunak signals tax cuts on the way

Monday 20 November 2023 11:37 , Matt Mathers

Rishi Sunak said that now inflation had been halved the government could “turn our attention to cutting taxes”, Adam Forrest reports

The PM refused to get drawn into “individual taxes” ahead of chancellor Jeremy Hunt’s autumn statement on Wednesday.

But Mr Sunak said he was focused on tax cuts that would “get the economy growing … on the supply side” – suggesting it would be personal and business tax, rather inheritance tax.

The Tory leader took a swipe – possibly at some of his own MPs on the right – who push “simple, fairytale” tax cuts and subsidies. He added: “We can’t do everything all at once. It will take discipline and we need to prioritise.”

Sunak offers another five big promises

Monday 20 November 2023 11:35 , Matt Mathers

Rishi Sunak has outlined “five long-term decisions” he claimed to be making for the British economy, Adam Forrest reports.

They would focus on reducing debt, cutting tax, building sustainable energy, backing British businesses and delivering world-class education.

At the start of the year Mr Sunak offered five big promises – some of which have not been going very well. They were stopping the boats, cutting NHS waiting lists, halving inflation, growing the economy and getting debt falling.

Sunak says Labour running economy ‘just as dangerous’ as Liz Truss

Monday 20 November 2023 11:29 , Matt Mathers

Rishi Sunak has claimed handing over the UK economy to Labour would be “just as dangerous” as Liz Truss’s stewardship of the economy.

He claimed Keir Starmer and Rachel Reeves wanted to continue the “big government, big spending approach” of the Covid pandemic, pointing to the opposition’s £28bn green business plan.

“This makes the same economic mistake as last year’s mini-budget – blowing tens of billions of pounds on unfunded spending is just as dangerous as blowing tens of billions of pounds on unfunded tax cuts.”

The Tory leader pointed to his own background in business, as he attacked Labour for having “no experience” in the area.

Suggesting he is well aware of his own unpopularity, Mr Sunak finished his speech by saying: “Whether you like me or not, I hope you know when it comes to the economy … I’ll always take the rights decisions for our country.”

Will energy bills will rise again in January for UK households?

Monday 20 November 2023 10:35 , Matt Mathers

Households are set to learn that their energy bills will rise again from January as hopes for relief from the cost-of-living crisis are put on hold.

Ofgem will announce its latest price cap on Thursday, with energy consultancy Cornwall Insight predicting it will increase from the current £1,834 for a typical dual fuel household to £1,931 – a 5% jump to take effect from January to March.

Josie Clarke has the full report:

Will energy bills will rise again in January for UK households?

Rishi Sunak faces cabinet split over Rwanda deportation Plan B

Monday 20 November 2023 10:25 , Matt Mathers

Rishi Sunak is facing a cabinet revolt over his Rwanda migration plan as calls grow for Britain to opt out of European human rights laws.

The prime minister is said to be under pressure to use emergency legislation to disapply the Human Rights Act and tell courts to ignore the European Convention on Human Rights in asylum cases.

Archie Mitchell reports:

Rishi Sunak faces cabinet split over Rwanda deportation Plan B

Watch: Suffering of innocent civilians in Gaza 'must end' says Sunak as he urges pause for humanitarian aid

Monday 20 November 2023 10:20 , Matt Mathers

Sunak tells food summit no parent should ever watch their child starve

Monday 20 November 2023 10:08 , Matt Mathers

Rishi Sunak said “no parent should ever have to watch their child starve” as he opened the Global Food Security Summit in London on Monday.

The prime minister also launched a white paper setting out the government’s long-term approach to international development more broadly up to 2030.

Speaking at the gathering at Lancaster House, Mr Sunak announced a new virtual hub to link UK scientists with global research initiatives aiming to develop climate and disease resistant crops.

He said: “In a world of abundance, no one should die from lack of food, and no parent should ever have to watch their child starve.”

On the Israel-Hamas conflict, Mr Sunak reiterated his stance that Israel has the right to defend itself, but added: “It must also act within international humanitarian law.

“The situation on the ground is truly tragic and getting worse.”

Government must do more to bring down enery bills - Labour

Monday 20 November 2023 10:02 , Matt Mathers

The government needs to do more to bring down energy bills and tackle the cost of living crisis, a shadow minister has said ahead of the autumn statement.

James Murray, shadow financial secretary to the treasury, said ministers should invest more in clean energy and the insulation of homes to reduce the cost of gas and electricity.

“There’s plenty the government should be doing,” he told Sky News. “But they should be focused on tackling the cost of living crisis and getting the economy growing”.

Inheritance tax cut pushed back to next year - reports

Monday 20 November 2023 09:50 , Matt Mathers

Jeremy Hunt’s plan to cut inheritance tax will be pushed back until next year, according to reports.

The move had been heavily trailed in recent weeks but the chancellor was said to be reconsidering amid a backlash against a tax cut for the rich amid a cost of living crisis.

Labour’s shadow chancellor Rachel Reeves said on Sunday that cutting inheritance tax should not be a priority for the government.

The Financial Times, Daily Mail and others report the measure will not be in Wednesday’s statement.

Treasury minister: ‘No plans’ to cut winter fuel payments for pensioners

Monday 20 November 2023 09:40 , Matt Mathers

Gareth Davies said there are “no plans" to reduce the number of pensioners eligible to receive winter fuel payments, Archie Mitchell reports.

A leaked recording obtained by the Telegraph suggested Paymaster General John Glen has questioned the policy of universal winter fuel payments to wealthy pensioners, but the exchequer secretary to the Treasury told Sky News: "We are not going to be touching the winter fuel allowance."

Mr Davies said: "But we have a strong record of supporting pensioners so we will always stand by our pensioners to ensure they have a dignified retirement and security in retirement."

Pressed on whether he was ruling out means testing the benefit, the MP replied: "We have no plans to change the winter fuel allowance.”

Treasury minister: Tax cuts ‘won’t come at expense of sound money’

Monday 20 November 2023 09:30 , Matt Mathers

Gareth Davies has said the government’s autumn statement will not cut taxes “at the expense of sound money”, Archie Mitchell reports.

The exchequer secretary to the Treasury ruled out any changes that would fuel inflation or threaten the government’s ability to pay down the national debt.

Mr Davies said: “Ideally we want to get the tax burden down overall, but that won’t come at the expense of sound money.”

He told Times Radio: “We’ve always been clear that our number one target is getting inflation down. That is the tax that’s impacting families and businesses throughout the country. That’s come down now and that’s laying the foundations for growth."

ICYMI: Hunt refuses to rule out shock income tax cut amid warnings of revolt if budget favours rich

Monday 20 November 2023 09:20 , Matt Mathers

The prospect of a shock income tax cut has emerged after chancellor Jeremy Hunt failed to rule it out.

Mr Hunt has said he wants to put the country on “the path to lower taxes” but would “only do so in a responsible way”, as he prepares to unveil his autumn statement on Wednesday.

Adam Forrest reports:

Jeremy Hunt considers shock income tax cut after Tory revolt over handouts to rich

Sunak to give update on state of the nation’s finances ahead of autumn statement

Monday 20 November 2023 09:09 , Sam Rkaina

Rishi Sunak is expected to use a speech to paint a more positive picture of the economy ahead of the autumn statement, which Jeremy Hunt has signalled could be used to cut taxes for businesses.

The Prime Minister will hail having last week hit his pledge of halving inflation as he gives an update on the state of the nation’s finances in London on Monday morning.

Mr Hunt, the Chancellor, heightened expectations that businesses could find some relief in his financial statement on Wednesday as he said now is the time to boost growth.

But he persistently warned against changes that could fuel inflation, dampening speculation that the pressure of income tax could be eased.

Mr Hunt suggested during a round of interviews on Sunday that the personal tax burden will not come down “overnight” as he seeks to avoid prices spiralling again.

The Chancellor made clear to Times Radio that his “priority is backing British business” and changes that “unlock growth”.

Pressed if income tax could be eased, he stressed the need to act “in a responsible way”.

“I want to show people there’s a path to lower taxes. But we also want to be honest with people, this is not going to happen overnight,” he said. “It requires enormous discipline year in, year out.”