Boris Johnson news – live: Government 'far too slow' to roll out economic recovery plan, says Sadiq Khan, as Rishi Sunak unveils mini-budget
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Chancellor Rishi Sunak has scrapped stamp duty for homes under £500,000 and slashed VAT on the hospitality sector – with Britons to be given money-off restaurant vouchers throughout August - in his emergency “mini-budget”, as he announced the government’s coronavirus furlough scheme will end in October.
It came after Boris Johnson and Keir Starmer clashed in the Commons, with the Labour leader accusing the prime minister of “rubbing salt in the wounds” of care home workers with his comments that they had failed to follow procedures as Covid-19 deaths soared. Mr Johnson said the government took “full responsibility” but failed to directly apologise for his comments.
Meanwhile, the finance ministers of Scotland, Wales and Northern Ireland have also written to the chancellor to demand Westminster hand over “crucial” but “relatively limited” fiscal powers in light of the coronavirus crisis, to allow capital spending to be moved over to day-to-day revenue and bring an end to “arbitrary” borrowing limits.
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'The past few months have cast a worrying spotlight on the attitudes of some UK employers towards pregnant women and new mothers'
It is wrong that 50,000 women a year are made to feel they must give up their jobs because they are pregnant, a Tory former minister has said.
Former women and equalities minister Maria Miller said women will have "a central role to play" in the country's recovery from Covid-19 and argued that the pandemic provides a "clear opportunity" for the Government to improve employment protections for pregnant women.
Presenting her Pregnancy and Maternity (Redundancy Protection) Bill in the Commons, Mrs Miller called for it to be made impossible for a pregnant women to be made redundant during her pregnancy or for six months after she returns to work, unless in exceptional circumstances.
Mrs Miller said: "The past few months have cast a worrying spotlight on the attitudes of some UK employers towards pregnant women and new mothers, and those employers' willingness to contravene existing redundancy laws by allowing pregnant women and new mothers to be the first in line for dismissal.
"Some women have been told to go home on sick pay when they aren't allowed to work because of the health and safety regulations that are in place because they are pregnant, and to go home on sick pay, rather than, as is set out in law, full pay that should be available to them."
Sir Ed Davey demands focus on the future from chancellor
Acting Liberal Democrat leader Sir Ed Davey said the Chancellor "should be talking about the longer term" in an impassioned speech to the Commons following the mini-budget.
Sir Ed said: "Can I give almost two cheers for the short-term measures announced today, but less than one for the medium and long-term measures.
"The Chancellor is going to have to produce a much more coherent economic strategy if we are going to deal with unemployment in the medium term, inequality and climate change, which are still massive challenges for our country."
On the stamp duty holiday, he added: "I don't think this is going to be a huge boost to people. For a start, the housing market is already picking up now that people are able to buy again, there was demand already there.
"Secondly, this tax cut will get capitalised in the price, people's house prices will just go up, not serving anyone. And it is mainly going to go to better off people.
"I would rather have seen help for renters, help for homeless people, building homes - that is the way to tackle the housing problem in our country."
Workers neglected in mini-budget furious over lack of support
Workers excluded from the Government's coronavirus support have expressed anger at Rishi Sunak's failure to help them.
Campaigners believe as many as three million freelance and self-employed workers have been unable to claim on the Government's support schemes due to various restrictions.
Dave Leyland, a business development manager in the architectural facade industry, said he and his family had been "absolutely destroyed by the way we are being treated".
"My confidence levels right now are extremely shot to pieces," said the 59-year-old, who had until recently been working for 43 years.
'A huge relief': Pub and restaurant workers welcome hospitality rescue package
The chancellor had attempted to play down the significance of Wednesday’s “summer statement” but it contained more significant announcements than some recent Budget speeches.
Restaurant workers, estate agents, and would-be homeowners were among those who welcomed Rishi Sunak’s speech, but what is the likely impact of the new measures?
Find out below:
Ça marche! Two chicken katsu, one fiscal stimulus package!
Following his announcement that some restaurants will be able to offer £10 off meals on certain days, Rishi Sunak has popped by Wagamamas to serve - what appears to be - two katsu curry dishes.
However the chancellor's foray into the hospitality sector has drawn some criticism from MPs:
Government has set aside £10bn for test and trace system for England
The government has allocated £10 billion of public money for spending on the much-criticised test and trace system for England, Treasury documents released today have revealed.
The sum, much of it going on contracts with private firms like Serco and G4S, amounts to more than 100 times Public Health England’s £90 million annual budget for infectious diseases and was described as “extraordinary” by a member of the Independent Sage group of scientists.
Labour demanded a full break-down of the test and trace budget to ensure that the money is being spent in “the most effective way to limit the spread of Covid-19”.
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Too early for coronavirus inquiry as we are only 'halfway' through crisis, outgoing Cabinet Secretary warns
An inquiry into the government’s handling of the coronavirus pandemic should be delayed until next year, the outgoing cabinet secretary has suggested – arguing we may only be “halfway” through.
Mark Sedwill said no investigation should take place until “the crisis is over”, despite pressure from medical and scientific experts to learn lessons before a feared second spike in the autumn.
Sir Mark – who appeared to be forced to quit by Boris Johnson – also insisted ministers “did respond well”, despite criticism of mistakes over testing, equipment and the timing of the lockdown.
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What do Rishi Sunak’s VAT discounts mean for your holiday or day out?
Chancellor Rishi Sunak announced a raft of measures on Wednesday 8 July designed to reboot the UK economy and get people using hospitality and tourism services again.
Although lockdown-easing measures allowed the reopening of pubs, restaurants, hotels, B&Bs, art galleries, cinemas and other hospitality attractions, from 4 July – the government is still concerned about lack of consumer-confidence in Covid-19-security measures.
In a bid to encourage customers to use these services throughout the summer, Mr Sunak has implemented a cut in VAT (value added tax) effective from next Wednesday (15 July).
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Pictured: Farmers and environmental activists drive past parliament in protest
Budget days - mini or otherwise - always add a touch of drama to Westminster.
For farmers they used the occasion to call for the government to keep maintaining food standards central to any deal with the US by driving tractors and other vehicles alongside parliament square.
They were joined by Extinction Rebellion activists who used the event to highlight the need for a green approach to the future of farming.
Leicester politicians reject Boris Johnson’s attempt to blame mayor for factory exploitation
Politicians in Leicester have refuted and criticised Boris Johnson’s attempt to blame the local mayor for the exploitation of workers within the city’s garment industry.
The sector has once again fallen under scrutiny after The Sunday Times reported that workers in a Leicester-based factory were making clothes destined for Boohoo, the fast fashion retailer for as little as £3.50 pounds an hour.
The report also claimed that few measures had been put in place to prevent the potential spread of coronavirus among workers.
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