UK politics live: Starmer hints at national insurance hike in budget as critics slam ‘Labour manifesto breach’

Sir Keir Starmer said Labour’s national insurance manifesto pledge related to taxes on working people

Keir Starmer welcomes King Charles to investment summit reception

Sir Keir Starmer has refused to rule out increasing employers’ national insurance contributions in the upcoming Budget but insisted the government would keep its manifesto promises.

He told the BBC: “We were very clear in the manifesto that we wouldn’t be increasing tax on working people and we expressly said that that was income tax, that was NICs etc.”

The prime minister’s refusal comes after Rachel Reeves has been criticised for refusing to rule out a rise in employer national insurance contributions that could be announced at the Budget on 30 October.

Speaking at Monday’s International Investment Summit, the chancellor warned of tax rises to come at the event in just over two weeks’ time.

Ms Reeves said: “We will stick to the commitments we made in our manifesto.”

Institute for Fiscal Studies director Paul Johnson saying a hike in employer NI contributions would be a “straightforward breach” of the Labour manifesto.

Speaking to Times Radio, he added that the pledge would “almost certainly” have to be broken in some way if Labour wants to fill its public spending gap.

Key Points

• Starmer refuses to rule out rise in employers national insurance contributions
• Reeves criticised for possible employer national insurance tax hike
• Reeves pledges end of instability as she announces new National Wealth Fund
• Government will cap corporation tax at 25% for the rest of the Parliament
• Sir Keir takes a swipe at Boris Johnson at investment summit

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Former Tory MP warns Robert Jenrick would ‘poison’ Conservative Party if he became leader

Robert Jenrick would “poison” the Conservative Party and wants to go further to the right than Nigel Farage, an influential former Tory MP claimed.

In a damning assessment of the former immigration minister, Matthew Parris dubbed him a “slick, smooth-tongued salesman with all the attributes of a crowd-pleaser, except the ability to please a crowd”.

[15 October 2024 01:00 · Kate Devlin]

Kemi Badenoch faces backlash for ‘stigmatising’ autism

Conservative leadership hopeful Kemi Badenoch has been accused of “stigmatising” autism after she endorsed a report that suggested people with the condition get “economic advantages and protections”.

The pamphlet, which Ms Badenoch launched, also claimed that they receive “better treatment or equipment at school”.

[15 October 2024 00:01 · Archie Mitchell]

Minister ‘absolutely ready’ to engage with Elon Musk despite investment summit absence

The minister in charge of social media and digital technology has insisted he is “absolutely ready to engage” with Elon Musk, despite not having spoken to the world’s richest man since taking office in July.

Peter Kyle denied the Tesla chief had been snubbed by the UK government ahead of its inaugural international investment summit, to which Mr Musk was not invited.

[14 October 2024 23:00 · Archie Mitchell]

Reeves warned national insurance hike would be ‘straightforward breach’ of manifesto

Rachel Reeves has been warned that hiking employer national insurance contributions would be “a straightforward breach” of the Labour manifesto.

The chancellor has been told by Paul Johnson, director of the influential Institute for Fiscal Studies (IFS), that the party said “very clearly” it would not make the change.

[14 October 2024 22:00 · Kate Devlin]

Exclusive: Brexit wine tax sparks call for consumers to pressure MPs

Customers are being urged to “urgently” pressure MPs over a post-Brexit wine tax dubbed Rishi Sunak’s “sneaky Sauvignon surcharge”.

Major wine companies such as Majestic have asked customers to write to their member of parliament to highlight the issue before Rachel Reeves‘ Budget at the end of this month – to “get this ill-conceived policy stopped before it is too late”.

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Alex Salmond’s cause of death confirmed as heart attack, says Alba

A post-mortem examination has confirmed Alex Salmond’s cause of death as a heart attack, the Alba Party has said.

Mr Salmond, who was Scotland’s first minister from 2007 until 2014, died suddenly in North Macedonia on Saturday aged 69.

The former first minister had made a speech at the Institute for Cultural Diplomacy Forum in the city of Ohrid before collapsing at lunch in a crowded room.

The Scottish and UK governments are working together to repatriate the ex-SNP leader’s body.

Conservative MP David Davis, who was a friend of Mr Salmond, called for the RAF to bring Mr Salmond’s body back to the UK.

The Alba Party, which Mr Salmond founded in 2021 after leaving the SNP, said it expected an update on his return on Monday evening.

[14 October 2024 18:37 · Jabed Ahmed]

Watch: David Davis chokes up in House of Commons remembering friend Alex Salmond

[14 October 2024 17:14 · David Maddox, Political Editor]

Analysis: Rachel Reeves’ had no choice but to cap corporation tax

Keir Starmer and Rachel Reeves had pinned their success on achieving economic growth in the UK. But critics have said that outside planning reforms there has been little on offer for businesses and more to be worried about especially with increased workers rights.

With the the chief executives of many of the world’s biggest businesses in London Ms Reeves had to give a concrete promise about what “stability” means for them and how it makes Britain a good place to invest.

By capping corporation tax she takes away some of the concerns about the Budget on 30 October where the language so far has suggested Labour are going after the rich. But she also provides some long term assurance for businesses wanting to invest in the UK.

This is also true of her agreeing to keep Rishi Sunak reforms like full expensing and research and development tax breaks.