Rachel Reeves accused of ‘misleading’ UK over public finances – live updates

Paul Johnson, former chairman of the Institute for Fiscal Studies (IFS) think tank, said “this is probably misleading”.

“It is designed to confirm the narrative that there is a fiscal black hole that needs to be filled with significant tax increases,” he said. Times. “In fact, there was no such hole as he knew at that time.”

Downing Street was asked on Friday whether Ms Reeves’ warnings that the OBR would make tough decisions despite its improved forecasts meant she was misleading the public and markets as the Budget approached.

“I do not accept this,” the prime minister’s official spokesman said.

He added: “In his speech here (Downing Street) he talked about the challenges facing the country and made his decisions incredibly clear in the budget.”

Kemi Badenoch has called for the chancellor to lose his job following accusations that he misled Britain about public finances.

“There is more evidence, as if we needed it, that the chancellor should be sacked,” the opposition leader said on Friday.

“Reeves has lied to the public for months to justify record tax increases for greater prosperity.”

“His budget wasn’t about stability. It was about politics: bribing Labor MPs to save his own skin. Disgraceful.”

The Chancellor has been accused of misleading the UK in his assessment of the state of public finances ahead of the budget.

The fall in productivity forecasts used by Rachel Reeves to illustrate the “challenges” facing the country has been more than offset by the rise in tax revenues due to inflation, the Office for Budget Responsibility (OBR) said on Friday.

OBR chairman Richard Hughes wrote to the Treasury select committee explaining that Reeves had been told in September that the OBR had made only minor downgrades to its overall assessment.

Reeves warned this would have “consequences” on people’s jobs and wages and said he would have to raise taxes as a result.

Labor is facing scrutiny over its decision to raise taxes in the budget, which the Institute for Fiscal Studies (IFS) think tank says amounts to a breach of manifesto promises. The Prime Minister denied the accusation.

French police will block small boats at sea to prevent immigrants from crossing the English Channel.

The document seen by the French newspaper Le Monde, The agreement, signed by four states in northern France, accepts the maritime police to launch “planned operations” to interfere with the boats. According to the newspaper, pushbacks will first begin at sea, and then will be carried out in the “inland waters” of ports and canals.

Holly Bancroft has the full story:

Businesses are set to slow hiring as a result of measures in the autumn budget, heading the UK towards a record tax burden, according to a new survey.

About 56 percent of business leaders said there will likely be fewer hires than originally planned.

The survey of 500 business leaders was conducted by WPI Strategy and polling firm Merlin Strategy to gauge sentiment among businesses in the wake of Wednesday’s Budget announcement.

The survey showed that a long-term freeze on income tax thresholds was seen as the most damaging impact of the Budget, with 47 per cent of business leaders saying it would have a negative impact on their businesses and employees.

However, 45 percent said it was a justified measure to raise revenue.

The survey also showed that 56 per cent of respondents thought it would be better for the Government to increase income tax and leave all other taxes as they are.

Meanwhile, nearly two-thirds of business leaders fear they will be the target of further tax increases in the near future.

The Employment Rights Bill is now expected to provide only parental leave and sick pay for all workers from the first day of work.

However, protection against unfair dismissal will now be available only after six months, instead of on the first day as on the day the bill was presented.

Here’s an overview of how the bill will change the workplace for employees in the UK:

Backbench MPs and the union have called on Sir Keir Starmer to reverse his U-turn on workers’ rights.

Andy McDonald, the Labor MP for Middlesbrough and Thornaby East, described the move as a “total betrayal” and vowed to press for its reversal.

“We cannot support this half-measure,” he said, adding: “This is the wrong move and I will be campaigning for this concession to be reversed.”

Labour’s transport and travel union TSSA also called on the government to reintroduce plans to give workers the right to claim unfair dismissal from the first day on the job.

“Our union has long campaigned for strong, meaningful rights from the first day of employment, arguing that day-one protections are essential to protect workers from arbitrary and unfair treatment,” said TSSA General Secretary Maryam Eslamdoust.

“This remains our position and it is vital that the government rethinks this damaging U-turn.”

Business groups welcomed Thursday’s concession, saying the six-month vesting period was “vital for businesses’ confidence in hiring and supporting employment, as well as protecting workers.”

Six business groups involved in the discussions – including the British Chambers of Commerce, the Confederation of British Industry and the Federation of Small Businesses – said the change addressed the “fundamental problem that needs to be addressed in primary legislation”.

But they warned companies would “still have concerns” about many of the powers in the Bill, including strike thresholds, guaranteed hours contracts and seasonal and temporary workers.