Labour MPs move to expel Rachel Reeves before Christmas | UK | News
Labor is facing a fresh internal revolt as rural MPs begin quietly organizing to depose Rachel Reeves, claiming the family farm tax could mean defeat at the next election.
Dozens of people chose to abstain from Tuesday night’s crucial Budget vote on the tax, in open defiance of the three-row whip. Penrith and Solway MP Markus Campbell-Savours went further, voting against the measure and was subsequently suspended from the Parliamentary Labor Party. He warned that the policy would “devastate” family farms.
A Labor insider told the Daily Mail that 48 MPs joined a WhatsApp group focusing on the row and discussions turned to “whether they could get Reeves out before Christmas”.
The source said: “There is real anger at his refusal to listen to this. This is an issue that is causing real problems in people’s constituencies and he doesn’t want to hear it. People are appalled by his arrogance.”
Chancellor under renewed pressure after Budget cut
The renewed rebellion comes as the Chancellor faces calls to resign over the fallout from last week’s Budget. Debates in the House of Commons heated up on Wednesday, with Kemi Badenoch accusing Ms Reeves of misleading the public about the financial situation ahead of the Budget.
His attack came after the head of the Office for Budget Responsibility, Richard Hughes, resigned days after revealing he already knew the Chancellor would follow his fiscal rules when he held an urgent press briefing warning the country about the public budget.
The Conservative Party leader claimed Mr Hughes was sacked because he said “there was no need for the Chancellor to increase taxes on working people”.
He continued: “We also know that the Chancellor briefed the media and distorted the facts. All this was to break promises and raise taxes. If he were CEO, he would be fired and could even be sued for market abuse.”
The Prime Minister attempted to defend the budget, saying he was “proud” of it and claiming Ms Badenoch had “completely lost the plot”.
Badenoch steps up attack on Reeves
Ms Badenoch intensified her criticism and said: “Nobody believes a word the Prime Minister says. We now know that the black hole is fake, his book is fake, his CV is fake, even his chess claims are fake.
“It doesn’t belong to the Treasury. It belongs to La La Land. They’re increasing taxes on working people, that’s £16 billion to increase benefits to protect them from those working in the background.”
Amid the political storm, Ms Reeves ordered a leak investigation after warnings from economists and the OBR that pre-Budget Treasury briefings had disturbed markets.
Treasury principal secretary James Murray confirmed to MPs: “A leak investigation is currently ongoing with the full support of the Chancellor and the entire Treasury team.”
Farm tax sparks uproar among rural MPs
The family farm tax, introduced in last year’s budget, has become a growing headache for Labor MPs representing rural areas. Although this year’s budget included a small concession, many MPs warned it fell far short of what was needed. About 30 people abstained from voting Tuesday night.
Mr Campbell-Savours said Labor could not defend a measure it had previously promised not to implement in opposition.
He said: “These are changes that leave many particularly older farmers having not yet arranged for asset transfers and devastated by the impact this will have on family farms.”
South Derbyshire MP Samantha Niblett said: “Most farmers are not rich land barons; they scrape by on tiny and sometimes non-existent profit margins. Many have been expressly advised against passing their farms on to their children and now face huge and unexpected tax bills.”
Ms Niblett described the pressure on older farmers as “a level of distress and strain that cannot be overstated”, adding: “We must accept a difficult truth: we have lost the trust of our farmers and now more than ever they deserve our respect, integrity and unwavering support.”
South West Norfolk MP Terry Jermy argued that despite the significant value of their land, many family farms were “making very little profit”, leaving them unable to bear the new tax burden.
He said: “While I recognize the economic situation and terrible legacy of the last Conservative Government, the future of farming in this country depends on this Government’s policy being correct.”
Conservatives accuse Labor of targeting farmers
Shadow environment secretary Victoria Atkins condemned Labour’s handling of the issue, saying: “Labour has continued its attacks on farmers and family businesses by sacking the only MP who dared to vote against the vindictive Family Farm and Business Taxes.
“After the Charity Street Budget and strengthening the death tax, this Government promised higher taxes, higher unemployment and depleted food security.
“Only Conservatives will defend our rural and agricultural communities and repeal the Family Farm and Business Taxes.”
