ALEX BRUMMER: Reeves hasn't 'fixed the economic foundations' - she's presiding over a looming disaster that could be as bad as Greece
As the Chancellor lives it up with her fellow G7 finance ministers at the £350-a-night Rimrock Resort Hotel in Canada 's Rocky Mountains, her credibility at home is draining away.
Rachel Reeves 's claims to have fixed the public finances are sounding increasingly delusional as the economic outlook becomes more grim with every passing day.
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Telegraph
34 minutes ago
- Telegraph
Starmer faces fresh MP rebellion over farmers' inheritance tax
Sir Keir Starmer is facing a fresh rebellion from Labour MPs over his inheritance tax raid on farmers. The Telegraph understands that more than 40 MPs are considering mounting an attempt to water down the policy, which threatens to bankrupt family farms by landing them with large inheritance tax bills. Rebels have been emboldened after forcing the Prime Minister to climb down on welfare cuts this week, in the third about-turn for the Government in two months. The U-turns – on benefits, winter fuel payment cuts and a national inquiry into grooming gangs – have added to a £40 billion black hole Rachel Reeves, the Chancellor, needs to fill at the next Budget. In a sign of fraying party discipline, MPs are plotting further rebellions on immigration and the two-child benefit cap, alongside the farming revolt. A senior rebel told The Telegraph: 'It's obviously a Government in crisis and the back benches are feeling ignored. The whole strategy is not working and we've got to change direction.' The fresh threats to Sir Keir's authority come after more than 100 MPs publicly broke with the Government over its disability benefit cuts, leading to a Number 10 climbdown this week. Backbenchers are considering using rebel amendments to exempt small family farms from changes to inheritance tax announced in the October Budget. Farmers have historically been able to pass down their land tax-free. But from April 2026, full tax relief will be capped for estates at £1 million, above which just 50 per cent tax relief will be available. A so-called 'rural growth group' has proposed that ministers consider the impacts of substantially raising the planned £1 million cut-off point at which estates lose valuable tax reliefs. The back-bench group has suggested estates receive full tax relief on the value of agricultural properties up to £10 million, 50 per cent to £20 million, and nil thereafter. This higher threshold would probably exempt almost all small family farms from inheritance tax, with only the richest paying the levy. The changes will be enacted in a Bill due to be voted on by MPs later this year, when they could be challenged by rebels. Sam Rushworth, Labour MP for Bishop Auckland, who is a member of the group, said they would 'consider what amendments to put down'. Mr Rushworth said: 'We are all keen to avoid amendments. I don't want it to get to that point. I am a Labour MP and I broadly support the Government, [but] I would like to see them bring forward different recommendations in the Bill.' A handful of Labour parliamentarians have publicly criticised the so-called 'tractor tax' plans. Markus Campbell-Savours, Labour MP for Penrith and Solway in Cumbria, a rural seat, said in December that he would vote against the Treasury's plans, telling the House of Commons: 'Let me be clear, if today was the real vote, I would vote against the Government's plans.' Sir Keir is also facing opposition to some of his new immigration rules which are expected to be voted on after the summer break, The Telegraph understands. Many of the immigration changes announced by the Prime Minister last month, including changes to visa routes, can be brought into effect without a vote in the House of Commons. However key parts of the proposals, including a new levy on international student fees, will require the endorsement of Labour MPs. A leading rebel told The Telegraph that the Government should spend the summer recess 'reflecting on an evidence-based approach as to how to build effective policies on immigration'. Another said: 'The leadership have to seriously look at their actions on this policy regarding the lack of consultation with backbench MPs.' A number of refugee charities have been lobbying parliamentarians over the changes after their repeated requests for meetings with Yvette Cooper, the Home Secretary, were turned down. 'Biggest mistake to date' MPs opposed to the changes were encouraged this week by the Prime Minister's apology for using the term 'island of strangers' in his speech announcing the immigration changes. One rebel Labour MP said: 'Of course it was right for the Prime Minister to apologise for the language that he used and understand the distress that it caused, but similarly, if the Government listened more on policy, this would be stronger'. This week Sir Keir apologised for the language in the speech, saying he had not read it properly before delivery because he had been distressed by an arson attack on his family home. But he gave no indication that the Government would U-turn on any of its immigration reforms. Nigel Farage, the Reform UK leader, said the apology was Sir Keir's 'biggest mistake to date'. He said: 'This is absolute proof that Keir Starmer has no beliefs, no principles and just reads from a script. 'Only a year into his premiership and he has already made his most fatal error. He has no intention of clamping down on immigration, both legal and illegal. 'This is his biggest mistake to date and one he will not be able to recover from – the public voted for change, instead they're being given more mass immigration and a spiralling crisis at the border. 'We need a leader that has vision and unwavering principles, that man is clearly not Keir Starmer.' Some Labour MPs on the party's Right wing were bewildered by the Prime Minister's sudden apology. One told The Telegraph 'that row-back is the most staggering of all' and said it would further erode discipline. Labour MPs are also bracing for a fight with the Government in the autumn over the two child benefit cap, which many want to see scrapped. The Prime Minister has reportedly committed to scrapping the cap but no announcement has yet been made. In a speech next week, Kemi Badenoch is set to mock Sir Keir's growing roster of U-turns. 'Now that his backbenchers smell blood, there's almost certainly another climbdown on the two-child benefit cap in the offing,' she is expected to tell the Local Government Association on Wednesday. 'Labour told us 'the adults were back in charge', but this is actually amateur hour. The Prime Minister is incapable of sticking to a decision.' A senior Labour party figure said that Downing Street's loss of control over MPs constituted 'an absolute s--- show'. The source said: 'This is an outburst beyond the welfare bill that has broken out. It is from loyal, moderate people who have defended the winter fuel cut for months and then had the rug pulled from under them with the U-turn. 'These are moderate MPs getting constant lobbying from disabled groups and constituents and now they've been told there is money available after all. Those frustrations are largely with Rachel. But they're also with No 10.' 'Now they have lost their patience. It's an absolute s--- show.' Labour MPs have described the past week as a 'deep crisis' with senior government figures forming 'circular firing squads'. One Labour MP said of the Chancellor: 'It's already clear that Rachel Reeves has lost because her whole economic and fiscal strategy is failing on numerous counts. The PM is reversing everything that she wanted to do.' A Government spokesman said: 'Our reforms to agricultural and business property relief are vital to fix the public services we all rely on. 'Three quarters of estates will continue to pay no inheritance tax at all, while the remaining quarter will pay half the inheritance tax that most people pay, and payments can be spread over 10 years, interest-free. 'We're investing billions of pounds in sustainable food production and nature's recovery, slashing costs for food producers to export to the EU and have appointed former NFU president Baroness Minette Batters to advise on reforms to boost farmers profits.'
Sky News
2 hours ago
- Sky News
Starmer says he was 'heavily focused' on world affairs before U-turn on welfare bill
Sir Keir Starmer has said he was "heavily focused" on world affairs before he was forced to U-turn on his welfare bill after rebellion by MPs. In a piece in The Sunday Times, Sir Keir said he was occupied with the G7 and NATO summits and the escalating tensions in the Middle East for much of the past two weeks. His "full attention really bore down" on the welfare bill on Thursday, he added. It comes after the government was forced to U-turn on plans to cut sickness and disability benefits after significant rebellion by Labour MPs earlier this week. The government has since offered concessions ahead of a vote in the Commons on Tuesday, including exempting existing Personal Independence Payment claimants (PIP) from the stricter new criteria, while the universal credit health top-up will only be cut and frozen for new applications. Sir Keir defended the U-turn by saying: "Getting it right is more important than ploughing on with a package which doesn't necessarily achieve the desired outcome." He said all the decisions were his and that "I take ownership of them". There have been reports that rebel MPs blamed Sir Keir's chief of staff Morgan McSweeney for the government's approach. Sir Keir said: "My rule of leadership is, when things go well you get the plaudits; when things don't go well you carry the can. "I take responsibility for all the decisions made by this government. I do not talk about staff and I'd much prefer it if everybody else didn't." 1:30 Sir Keir said on Saturday that fixing the UK's welfare system is a "moral imperative". Speaking at Welsh Labour's annual conference in Llandudno, North Wales, Sir Keir said: "Everyone agrees that our welfare system is broken, failing people every day. "Fixing it is a moral imperative, but we need to do it in a Labour way, conference, and we will."
Daily Mail
4 hours ago
- Daily Mail
Wrestling fan arrested after trying to break into WWE star Liv Morgan's home while brandishing an air rifle
An obsessed Canadian pro wrestling fan was arrested after showing up at WWE superstar Liv Morgan's home with an air rifle, before leaving a handwritten note on her porch claiming it was just a 'friendly visit.' Shawn Chan, 41, of Scarborough, Ontario, was taken into custody earlier this month at the WWE Performance Center after security recognized him from surveillance footage attempting to break into Morgan's Florida home while carrying an air rifle, according to an FBI probable cause affidavit obtained by The Independent. Before leaving, Chan left a handwritten note that read: 'I came here to pay just a friendly visit, nothing more... Yea, I just wanted to let you know that I was here,' the court docs allege. Chan is currently being held at the Paso County Detention Center, where he faces a domestic violence charge. He faces up to five years behind bars if convicted. 'She expressed concern that her home address was known to the public and that two other individuals had shown up to her residence without invitation or notice,' the affidavit read. 'The victim explained she does not bring fan mail into the house because of the number of concerning messages she receives.' A federal court filing unsealed on Friday alleges that Chan obtained a passport on the very day he boarded a flight to Orlando - the same city where Morgan lives and trains. Although the 31-year-old wrestler isn't named in the court docs, the dates and details align with contemporaneous reports about Chan's June arrest on state charges related to Morgan, as reported by The Independent. However, the release of the affidavit revealed that Chan's alleged stalking began in May, according to the documents. On May 26, the Canadian citizen boarded a flight to Orlando and told US customs upon arrival that he would be staying at the WWE Performance Center - a training facility that offers no lodging accommodations. According to the affidavit, the center serves as a 'state-of-the-art training facility designed to develop well-rounded athletes with aspirations of joining the WWE,' and 'does not have any hotel rooms, dorm rooms or other lodging.' After just four days in Orlando, Chan allegedly took a two-hour trip west of the city and arrived at a residence that, according to court docs, appears to match the description of Morgan's home. Video footage showed a man, believed to be Chan, arriving just after 5 p.m. on May 31 - dressed in a black shirt, tan shorts, and a black baseball cap, with a large black backpack slung over his shoulder, as reported by The Independent. Instead of using the driveway, chilling footage allegedly showed Chan sneaking through the yard - circling the property twice before finally stepping onto the front porch. Once at the front door, the affidavit states, he allegedly began searching for a way inside - specifically reaching around the doormat, presumably in search of a spare key hidden underneath. He then shifted focus to the door handle, where court docs allege he 'touched around the bottom of the door, swiped the locking mechanism on the door several times with his hand, grabbed the front door handle and leaned into the door attempting to open it.' After failing to break in, Chan allegedly retrieved a long air rifle pellet gun (pictured) that he had left ominously propped against the front porch wall - a weapon capable of firing metal pellets at 600 feet per second, per the court docs After failing to break in, Chan allegedly retrieved a long air rifle pellet gun that he had left ominously propped against the front porch wall. 'The air rifle is a Sig Sauer MCX.177 air rifle capable of firing metal pellets at 600 feet per second,' according to the affidavit. 'Chan can be seen sitting on the front porch with the pellet gun before standing and walking to the front door,' it added. According to court docs, the 41-year-old wrestling fanatic lingered around the property for more than two hours, seemingly waiting for Morgan to return - though she was out of town at the time, The Independent reported. Chan allegedly then left a note on the porch alongside several delivered packages, in which he claimed to have been wronged by the gaming community while insisting he was simply paying her a 'friendly visit.' The note, according to the affidavit, also included Chan's home address in Canada and his phone number. On June 3, just days after allegedly staking out Morgan's home, Chan attended the WWE Performance Center, where court filings state she is known to 'make appearances.' While it remains unclear whether the women's tag team champion was at the facility that day, security quickly recognized Chan from surveillance footage and alerted law enforcement to his presence. On June 3, just days after allegedly staking out Morgan's home, Chan attended the WWE Performance Center (pictured) - where court filings state she is known to 'make appearances - and was taken into custody Deputies then arrived on the scene, took Chan into custody, and conducted a search of his belongings, as reported by The Independent. Among his belongings, officers discovered two mysterious bottles of liquid, each adorned with Chinese writing. When questioned about the liquid, Chan allegedly dismissed it as medication - one of which he claimed to carry in case of injury, to treat ailments like bleeding, according to the affidavit. 'Chan was also in possession of a Canadian passport in his name, which was issued May 26, 2025... the same day he traveled to Orlando,' the docs allege. After seeing the footage, Morgan later told officers that she had no idea who Chan was and expressed concern over what personal information of hers might have been made public. Chan was indicted on Wednesday on one count of interstate domestic violence and is scheduled to appear in Orlando federal court for arraignment on July 18.
