Labour Will Not Promise To Nationalise Water, Energy Or Rail, Says Rachel Reeves

Labour would not pursue mass nationalisation of industries if it wins the next election, Rachel Reeves has said, although the party later clarified there was a “positive role for rail in public ownership”.

Jeremy Corbyn’s 2019 general election manifesto promised to “bring rail, mail, water and energy” and “the broadband-relevant parts of BT” into public ownership.

But speaking to BBC Radio 4′s Today programme on Monday, Reeves suggested the party had now ditched those ideas.

“They were a commitment in a manifesto that secured our worst results since 1935,” the shadow chancellor said.

“I’ve set out fiscal rules that say all day-to-day spending will be funded by day-to-day tax revenues.

“Within our fiscal rules, to be spending billions of pounds on nationalising things, that just doesn’t stack up against our fiscal rules.”

She added: “So we have scrapped the 2019 manifesto. That is not the starting point.”

Reeves said the party would be going into the next election with new ideas “not the policies of 2019”.

A Labour spokesperson later added: “We are pragmatic about public ownership as long as it sits within our fiscal rules – a point Rachel was underlining in the interview by referencing this framework.

“For example, we know there is a positive role for rail in public ownership.”

Starmer has faced accusations from his opponents on the left of the party that he campaigned for the leadership by promising to introduce leftwing policies before shifting to the right after he won.

The Labour leader has said “the slate is wiped clean” as Labour gears up for the next election.

“What we’ve done with the last manifesto is put it to one side. We’re starting from scratch,” he said last month.

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Russia Strikes Ukrainian Port Of Odessa — Just Days After Signing Grain Deal

Russia has struck the Ukrainian port of Odessa just a day after the two countries signed a landmark deal to allow grain exports out of the war-torn country.

Two Russian cruise missiles hit the port’s infrastructure on Saturday, while Ukraine’s air defences brought down two others missiles.

Odessa’s regional governor, Maksym Marchenko, said an unspecified number of people were injured in the attack.

Russia has admitted responsibility for the strike, saying the missiles “destroyed a military infrastructure target” at the port.

Ukrainian president Volodymyr Zelensky condemned Moscow’s actions and said “the invaders can no longer deceive anyone”.

And Ukrainian foreign ministry spokesman Oleg Nikolenko said: “It took less than 24 hours for Russia to launch a missile attack on Odesa’s port, breaking its promises and undermining its commitments before the UN and Turkey under the Istanbul agreement.

“In case of non-fulfilment, Russia will bear full responsibility for a global food crisis.”

The attack was also condemned in the UK, with foreign secretary Liz Truss branding it “absolutely appalling”.

“It is absolutely appalling that only a day after striking this deal, Vladimir Putin has launched a completely unwarranted attack on Odessa,” she said.

“It shows that not a word he says can be trusted.”

The strike came just hours after Moscow and Kyiv signed a deal to allow grain exports to continue through the Black Sea in a move the UN described as a “beacon of hope” for ending the global food crisis.

The war in Ukraine — which supplies much of the world with products such as wheat and corn — has halted Ukrainian sea shipments and caused grain prices to rise dramatically.

Under the deal signed on Friday, a path opened for significant volumes of commercial food to leave the ports of Odessa, Chernomorsk and Yuzhny.

A key element of the deal was the agreement by both Russia and Ukraine that there would be no attacks on any of the vessels.

US Secretary of State Antony Blinken said the attack cast serious doubt on Russia’s commitment to the deal and warned of a deepening of the global food crisis.

“Russia must stop its aggression and fully implement the grain deal to which it has agreed,” he said.

The US ambassador to Ukraine, Bridget Brink, also denounced the strike “outrageous” and accused the the Kremlin of “weaponising” food.

“Russia must be held to account.”

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Liz Truss Pledges To Strike Rwanda-Style Deportation Deals With Other Countries

Liz Truss has vowed to deport more migrants if she is elected prime minister.

The foreign secretary said she would strike more Rwanda-style deportation deals in a bid to halt small boats bringing illegal immigrants from France.

Truss, who is battling it out against Rishi Sunak for Boris Johnson’s job, also vowed to bolster Border Force staff by 20 per cent in a bid to deter people from crossing the Channel.

The pledges come as the leadership rivals struck a hard-line tone on immigration in a bid to win over Tory party members, who will pick their favourite for PM, with the result announced on September 5.

Sunak said he would give MPs control over who comes to the UK by creating an annual cap on the number of refugees accepted each year.

Both candidates have backed Priti Patel’s controversial policy of sending migrants to Rwanda, with Truss saying she would extend it to other countries.

Truss said: “We need to break the cycle of these appalling gangs and stop people taking dangerous journeys across the channel.

“As prime minister, I am determined to see the Rwanda policy through to full implementation as well as exploring other countries where we can work on similar partnerships.

“I’ll make sure we have the right levels of force and protection at our borders. I will not cower to the ECHR [European Convention on Human Rights] and its continued efforts to try and control immigration policy.”

Sunak said he will do “whatever it takes” to make the Rwanda scheme work, arguing that the UK’s current immigration system is “broken” and “chaotic”.

Also included in Truss’s policy pitch are plans to double Border Force Maritime staffing levels so that more Channel patrols can take place, as well as appointing a new Home Office minister to oversee the Border Force.

A source close to Truss said: “As foreign secretary, Liz worked closely with Priti Patel to formulate the generation-defining Rwanda policy.

“As prime minister she will do whatever it takes to protect our borders. She’s been frustrated with the ECHR and its mission creep. She is prepared to take a tougher stance and deliver the reforms required so the ECHR works for Britain.”

Sunak sought to match Truss on immigration with a 10-point plan that includes a commitment to a more narrow definition of who qualifies for asylum compared with that offered by the ECHR.

The plan will also give the government enhanced powers to detail, tag and monitor illegal migrants.

Sunak said: “Our immigration system is broken and we have to be honest about that. Whether you believe that migration should be high or low, we can all agree that it should be legal and controlled.

“Right now the system is chaotic, with law-abiding citizens seeing boats full of illegal immigrants coming from the safe country of France with our sailors and coastguards seemingly powerless to stop them.

“It must stop, and if I am prime minister I will stop it.”

Sunak said he would immediately work with French president Emmanuel Macron to find a solution to small boat crossings, including through a new cross-government taskforce.

Writing in the Sunday Telegraph, Sunak said: “The ECHR cannot inhibit our ability to properly control our borders and we shouldn’t let it. We need to inject a healthy dose of common sense into the system, and that is what my plan does.”

Labour’s shadow home secretary Yvette Cooper criticised the pair’s plans and said it risked wasting £120m of taxpayer money if it is ruled unlawful by courts.

The first deportation flight was grounded in June after a series of legal challenges were lodged, with more expected to be filed in due course.

Cooper said: “The Conservatives have been in power for 12 years. It beggars belief that they claim to be the ones to sort things out when they have both failed for so long.”

The shift on to immigration comes after Sunak and Truss repeatedly clashed over economic policy.

Truss has vowed to cut taxes “from day one” if she replaces Johnson and has said she would immediately scrap Sunak’s increase in national insurance, which she argued was strangling growth and hitting families already hard-pressed by the cost of living crisis.

Sunak retaliated by branding her tax-cutting plans as “immoral” and a “fairytale”. He said he will only cut tax when inflation — currently running at 9.4 per cent — was under control.

Over the next six weeks, Truss and Sunak will take part in a number of hustings across the country in a bid to woo Tory party members.

Polling from YouGov last week gave Truss a 24-point lead over Sunak among Tory party members.

However, new polling from Opinium put Sunak slightly ahead of his rival among all voters on the question of who would make the better prime minister.

Forty-three per cent of the 2,000 adults surveyed said Sunak would make a good prime minister, compared with 36 per cent for Truss.

The two will go head-to-head in a televised BBC debate on Monday, with The Sun and Talk TV staging another on Tuesday.

Sky News will then host another debate on August 4.

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Rishi Sunak Says Liz Truss’s Plans To Cut Taxes Immediately Are ‘Immoral’

Liz Truss’s plans to cut taxes immediately if she becomes prime minister are “immoral”, Rishi Sunak has said.

In a major ramping up of his attacks on his Tory leadership rival, the former chancellor said the move would require the government to borrow “tens and tens and tens of billions of pounds”, which would have to be repaid by future generations.

He also said he was the “underdog” in the contest and said the “forces that be” want Truss to win.

Sunak made his comments while addressing supporters in Grantham, the birthplace of Margaret Thatcher.

Truss has pledged to reverse the rise in national insurance payments and halt the planned increase in corporation tax – policies introduced by Sunak when he was chancellor.

She has insisted that the £30bn cost of the policies can he paid for from the fiscal “headroom” in the economy.

But Sunak said: “I do believe that it is the wrong approach for the government at this moment to be borrowing an extra tens and tens and tens of billions of pounds at a time when inflation is rising to almost double digits and interest rates are already on the rise.”

He added: “Not only do I think it’s the wrong thing for the economy, I do also believe that it’s immoral because there is nothing noble or good about wracking up bills on the country’s credit card that we then pass on to our children and grandchildren.”

Suggesting that Truss was misleading voters, the former chancellor said: “We can cut more taxes, but only if we defeat the enemy of inflation and that can only happen if we are honest about the ravages it causes.

“We must see the danger in front of us and act – not pretend like it isn’t happening or, more dreadful still, make the situation worse, putting people’s homes and savings at risk.

“I will deliver a lower tax economy, I will deliver tax cuts, but tax cuts you can believe in. I will make that happen.”

The most recent opinion poll of Tory party members – who will decide who succeeds Boris Johnson – suggested Truss is 24 points ahead of her rival.

Sunak said: “Be in no doubt, I am the underdog. The forces that be want this to be a coronation for the other candidate.”

Responding to his comments, a spokesperson for Truss said: “Liz‘s plans for tax cuts will reward people for their hard work and effort, allowing them to keep more of their hard-earned money.

“You cannot tax your way to growth. We have the highest tax burden since the 1940s and as prime minister Liz will take immediate action to prioritise growth and cut taxes.

“We can’t continue with a business-as-usual approach on the economy that is failing to deliver for the British people.”

Chief secretary to the Treasury Simon Clarke, who used to work under Sunak when he was chancellor, also hit out at his former boss, accusing him on Twitter of engaging in “project fear”.

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Liz Truss’s Economic Guru Says Her Tax Plans Will Send Interest Rates Soaring

Liz Truss’s plans to cut taxes would lead to interest rates rising to up to seven per cent, according to her economic guru.

Professor Patrick Minford said higher rates – which would send monthly mortgage repayments soaring – were “a good thing” for the economy.

At the moment, the Bank of England interest rate is 1.25 per cent.

Earlier this week, Truss said Minford supported her plans to reverse the increase in national insurance and halt a planned rise in corporation tax, despite warnings they could lead to higher inflation.

Former chancellor Rishi Sunak, Truss’s rival for the Tory leadership, has insisted that taxes should only come down once inflation is under control.

But in an interview with The Times, Minford said: “If we raise corporation tax we’ll kill off growth.

“It’s crazy to try to begin getting the debt-to-GDP ratio down five minutes after Covid. Borrowing is actually something that allows you to pursue the right policies and not be blown off course by temporary shocks.”

On warnings that tax cuts will lead to higher interest rates to bring down inflation, he said: “Yes, interest rates have to go up and it’s a good thing.

“A normal level is more like 5-7 per cent and I don’t think it will be any bad thing if we got back to that level.”

Minford added: “If you’ve got incredibly low interest rates you kill off savings and create febrile markets with a lot of zombie companies surviving because it costs them nothing to borrow.

“It’s right that a healthy economy should have a decent interest rate. That’s certainly one thing I want to see.”

A Truss campaign source told The Times: “Patrick Minford has no formal involvement in Liz’s campaign.

“Liz’s absolute priority is tackling the cost of living and getting our economy growing faster. We can’t have business-as-usual economic policy.”

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EU Launches Fresh Legal Action Against The UK Over Northern Ireland Protocol Breaches

Brussels has launched fresh legal action against the UK for failing to comply with aspects of the controversial Northern Ireland protocol.

The European Commission said it was bringing four new claims against the UK despite “repeated calls” on the government to implement the agreement on trade between Britain and Northern Ireland.

It comes in addition to infringement claims lodged in response to the UK’s refusal to carry out checks on certain agrifoods.

Relations between the government and the EU were made even worse by the introduction of the Northern Ireland Protocol Bill, which would give ministers the power to unilaterally over-ride key parts of the agreement.

Critics have said that would be a breach of international law, something the government denies.

The commission said in a statement: “Despite repeated calls by the European parliament, the 27 EU member states and the European Commission to implement the protocol, the UK government has failed to do so.

“In a spirit of constructive co-operation, the commission refrained from launching certain infringement procedures for over a year to create the space to look for joint solutions with the UK.

“However, the UK’s unwillingness to engage in meaningful discussion since last February and the continued passage of the Northern Ireland protocol bill through the UK parliament go directly against this spirit.”

The UK has been at loggerheads with the EU over aspects of the protocol — the mechanism that has prevented a hard border on the island of Ireland by keeping Northern Ireland in the single market — since its inception.

This means that goods entering Northern Ireland from mainland Britain must undergo checks.

The government says customs checks are disrupting trade and causing delays, as well as causing problems with those who do not want the province to be treated differently from Britain.

At the core of the Northern Ireland Bill are plans to simplify checks on goods travelling between Britain and the province by creating so-called green and red lanes.

Goods that enter Northern Ireland from mainland Britain, and are destined to stay there, would enter the green lane where there would be no checks and minimal paperwork, which is frustrating businesses.

Goods that move from Britain to Ireland would have to use a red lane, where checks would be applied at Northern Ireland ports. This is so the EU can be certain that goods entering its market are compatible with the its trade rules.

The Northern Ireland protocol bill cleared its final stages in the Commons just days ago by 267 votes to 195 and will be sent to the House of Lords in the autumn.

A government spokesperson said: “It is disappointing that the EU has chosen to bring forward further legal action, particularly on goods leaving Northern Ireland for Great Britain which self-evidently present no risk to the EU single market.

“A legal dispute is in nobody’s interest and will not fix the problems facing the people and businesses of Northern Ireland. The EU is left no worse off as a result of the proposals we have made in the Northern Ireland Protocol Bill.

“We will review the EU’s arguments and respond in due course. ”

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Boris Johnson Says Voters Were Right To ‘Trust’ Him In 2,584 Word Goodbye Essay

Boris Johnson has said he is “proud” of his time as prime minister and that people were right to “trust” him when they voted Conservative in 2019.

In a 2,584 word written statement to parliament published on Thursday, Johnson listed what he saw as his achievements in office over the last three years.

Parliament breaks for its summer recess and when it returns Johnson is due to have been replaced as Tory leader.

Unless there is an emergency during August, the statement is likely to be his last to parliament as prime minister.

“I am proud of our record in office since 2019. I remain determined that we continue to deliver in our final weeks,” he said.

“I know that the Conservative government that follows after us will do what its predecessors have always done and meet the challenges of the day by serving the British people.”

Johnson said his government had “focused relentlessly on delivery” and that the lengthy defence “puts on record why the millions of people who voted Conservative in 2019, many for the first time, were right to place their trust in me”.

The prime minister was removed as Tory leader largely because his own MPs and cabinet said they could no longer trust him.

The PM’s list of achievements, as seen by him, include having “got Brexit done” and having successfully “guided the country” through Covid.

He said his government had “acted on every front” when it came to “bringing down crime, strengthening our health system, sorting out social care and improving our schools”.

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Leak Inquiry Launched Over Briefings Against Penny Mordaunt

The head of the civil service has launched an inquiry into leaks allegedly designed to damage Penny Mordaunt’s leadership campaign.

Simon Case, the cabinet secretary, launched the probe after papers drawn up by civil servants made their way into a Sunday Times story.

The paper claimed the documents suggest she backed watering down the legal process for transitioning when she was equalities minister.

Her team fiercely rebutted the story, saying the contest was being distracted by side issues. Mordaunt’s campaign has been the subject of a number of briefings that she has described as “toxic”.

Case has promised the investigation will be completed “as quickly as possible” given the “importance” of the subject.

David Davis, who is supporting Mordaunt’s run to be prime minister, wrote to the government equalities office demanding to know how the policy paper was released.

In a letter to Tory MP Davis, Case said: “Thank you for your letter of 17 July, raising your concerns about the apparent leaking of information designed to influence the Conservative leadership election.

“I have been very clear in writing with the civil service that it is paramount that public resources are not used to support leadership campaigns during the Conservative Party leadership election.

“Further to that, unauthorised disclosure of government information to the media is clearly inappropriate.

“In light of these facts and the concerns you raise, I can confirm that I have launched a leak investigation into this matter.

“The investigation will be completed as quickly as possible given the importance of the subject.”

Mordaunt herself has accused her Conservative leadership rivals of mounting a smear campaign against her and condemned “toxic” briefings from rival camps.

In response to the original story, Baroness Williams of Trafford, the equalities minister from 2018 to 2020, refuted the allegations, saying: “I feel compelled to issue a statement to challenge the factually incorrect representations put forward by leadership candidates in relation to Penny Mordaunt MP’s position and tenure at the equalities office.

“The events relayed at the hustings and repeated again to the media today in relation to the self-ID debate are completely incorrect.

“As minister for equalities in the department under both Penny Mordaunt and Amber Rudd I saw first hand that the position stated was absolutely not Penny Mordaunt’s and completely refute the allegations made by other candidates about the self ID debate.

“Having sat in the equalities office for many years, I am shocked to see such incorrect reporting and briefings by our colleagues and would question the motives of those seeking to do so.”

Tory MPs voted on the PM’s successor on Wednesday afternoon, with the result announced by Graham Brady, chairman of the 1922 committee of Tory backbenchers, at 4pm.

The final two candidates will then be put to party members to make the final decision, with the winner announced on September 5.

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Theresa May Stages Silent Protest Against Boris Johnson As He Leaves His Final PMQs

Theresa May suggested there was no love lost between her and Boris Johnson on Wednesday when she refused to clap him while he left the Commons.

While almost every Tory MP stood, clapped and cheered as Johnson left the despatch box for his final time as PM, one among them stood out.

Footage from ITV’s Shehab Khan showed that May stayed sitting, even looking the other way as Johnson departed.

After a few seconds, she did stand, and stared after Johnson. Once the benches around her started whistling, she folded her arms and looked on after the prime minister.

May was actually forced out of Downing Street by her own party, much like Johnson, but the two have come to blows in the past.

She appointed him as her foreign secretary back in 2018, although they clashed over Brexit as Johnson repeatedly tried to make her take a more hardline approach with the EU.

May wasn’t the only person who held back from applauding Johnson upon his exit – Labour refused to clap at all.

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Kemi Badenoch Becomes Latest Candidate To Exit The Tory Leadership Race

Kemi Badenoch has been knocked out of the race to succeed Boris Johnson as Tory leader and prime minister.

The former frontbencher received the fewest votes of the four remaining candidates in the contest.

Rishi Sunak once again came out on top, with Penny Mordaunt retaining second place and Liz Truss staying in third spot.

Badenoch won the backing of 59 MPs, up just one from the last round.

Truss got 86, up 15 on the third ballot, Mordaunt was up 10 votes to 92, with Sunak up three to 118.

The fifth and final ballot of MPs will take place tomorrow.

The two candidates receiving the highest number of votes will go into the final run-off, with the winner being decided by the 200,000 Tory members and announced on September 5.

A spokesperson for Sunak’s campaign said: “Rishi has continued to progress today because he is the candidate with the clearest plan to restore trust, rebuild the economy, reunite the country and because he is best placed to beat Labour at the next election.

“Every poll shows only Rishi can beat Starmer, and is the candidate the public think would make the best PM.

“MPs are also recognizing that Rishi has the best experience and plans to deal with the current economic situation.

“Rishi will rebuild our economy by gripping inflation, so we can get our economy growing and unleash the full opportunities of post-Brexit Britain.”

Mordaunt said: “This afternoon colleagues once again put their trust in me and I cannot thank them enough. We are so nearly across the finish line. I am raring to go and excited to put my case to members across the country and win.

“I want to pay tribute to my friend Kemi Badenoch who electrified the leadership contest with her fresh thinking and bold policies.

“She and I both know that the old way of government isn’t working as it should. Voters want change and we owe it to them to offer a bold new vision for this country. Kemi’s passion for this showed and I’m glad she put herself forward to be heard.”

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