Tag: Rishi Sunak

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No10 Denies Role in No11 Woes

The cost of living issue is fuelling protests and it may snowball into in to another major crisis for Mr Johnson. It may end up like 1990’s poll tax crisis which toppled the Thatcher government … writes Kaliph Anaz

No10 denies newspaper reports that Prime Minister’s office was behind the leaks to corner Chancellor Rishi Sunak over his wife’s tax arrangements.

Political pundits are suspecting the role of No10 because the drop in popularity of the chancellor will help the prime minister consolidate his position in the party as the sole reliable pair of hands. The party-gate fines and the forthcoming local election results will bring more damage to the party. The other leading opponent Foreign Secretary Liz Truss is comparatively “featherweight.” 

The cost of living issue is fuelling protest and it may snowball into another major crisis for Mr Johnson. It may end up like the 1990’s poll tax crisis which toppled the Thatcher government.

Meanwhile, Sunak blamed Labour for the “awful” smears. The Chancellor told The Sun newspaper that his spouse Akshata Murthy had done nothing wrong in choosing a financial arrangement that means she is not legally obliged to pay tax in Britain on foreign income.

Mr Sunak said Ms Murthy was entitled to use the “non-dom” arrangement as she is an Indian citizen and plans to move back to her home country to care for her parents. The fashion-designer daughter of a billionaire, she married the Chancellor in 2009 before he became an MP. She is reported to hold a 0.91% stake in Infosys, an IT business founded by her father Narayan Murthy.

The Chancellor said it was “unpleasant” to read attacks on his wife “especially when she hasn’t done anything wrong”.

 “She hasn’t broken any rules. She’s followed the letter of the law,” Mr Sunak told The Sun.

The Chancellor said his partner “pays full UK tax on every penny that she earns here in the same way that she pays full international tax on every penny that she earns internationally”.

In another development, Labour’s Emily Thornberry suggested that Mr Sunak may have broken the ministerial code over his wife’s tax arrangements.

Ms Murthy was accused of taking taxpayers money through the furlough scheme introduced by her husband.

“So she can be a non-dom and avoid paying UK taxes,” said Marina Purkiss, a London-based political commentator. “But she can also be eligible to claim up to £100k of UK tax-payer cash for her UK-based business. How wonderfully convenient of our tax laws…”

“We’re not “attacking his wife,” she added. “We’re attacking a system and its exploiters, that allow grossly conflicted politicians to shape laws that enrich them and their ilk while impoverishing the rest of us.”

Liberal Democrats called on the Chancellor to legislate to close a loophole allowing Ministers’ spouses to be non-doms.

The Liberal Democrats have said that Mr Sunak must do the right thing and ban Government members’ partners from claiming non-domicile status.

Currently, Ministers are not allowed to hold non-dom tax status, but this rule does not apply to their immediate family. The Liberal Democrats have called on the Government to close this loophole, warning it “leaves the door open for government ministers to exploit non-dom arrangements.”

‘Non-dom’ status is granted to those whose permanent home, or domicile, is outside of the UK. While they must pay UK tax on UK earnings, they do not need to pay normal UK tax on foreign income or gains. Instead, they are only liable for an annual charge known as a “remittance charge” if they have lived here for several years. The calls come after it was revealed that the Chancellor’s wife does not have to pay UK income tax on income made abroad. This was discovered on the same day national insurance contributions increased by 1.25%, in broken Conservative promise that has hiked taxes for families struggling with the cost of living crisis.

Lib Dem Treasury Spokesperson Christine Jardine

Lib Dem Treasury Spokesperson Christine Jardine has also called on the Chancellor to disclose where his wife is domiciled for tax purposes, in order to establish whether she has avoided paying tax via a tax haven. The MP has said that failure to act upon this in a timely manner will raise questions around the Chancellor’s judgement and whether he can act in a way that does not suit “his own personal and selfish interests”.

“Government ministers have a duty to do what’s morally right. When they change peoples’ taxes, they and their immediate families should play by the same rules as everybody else,” said Liberal Democrat Treasury Spokesperson Christine Jardine MP.

 “The Chancellor’s household should be no different to the millions of UK households who now face the highest tax burden in decades. It’s just nonsensical that someone can be domiciled in a different country to the person they live with.

 “Rishi Sunak must put what’s right above his own personal and selfish interests. He must take immediate action to close this loophole which leaves the door open for government ministers to exploit non-dom arrangements. And he must come clean on his family’s tax affairs while he’s at it. It would be a scandal if his household were to have benefitted from overseas tax havens.”

New rules should include reliefs for cases where Ministers’ partners are nationals of countries that don’t have a double taxation agreement with the UK and have particularly inflexible tax rules.

READ MORE: Opposition puts Sunak in a spot

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Sunak’s wife’s Infy link sparks new tax row

Akshata Murthy is the daughter of Narayana Murthy, the billionaire co-founder of IT services company Infosys, and she owns around 0.93% of the company, reports Asian Lite News

The wife of British finance minister Rishi Sunak is treated as non-domiciled for UK tax purposes but pays taxes in Britain on all her UK income, her spokeswoman said on Wednesday.

Akshata Murthy is the daughter of Narayana Murthy, the billionaire co-founder of IT services company Infosys, and she owns around 0.93% of the company. The tax status means she would not pay taxes in Britain on dividends from the Indian business.

The news, which featured prominently in Britain’s newspapers on Thursday, comes as the government is putting up taxes in for millions of people. Tulip Siddiq, a lawmaker and Treasury spokeswoman in the opposition Labour Party, said Sunak should say whether he had benefited from his wife’s tax status.

Murthy’s spokeswoman said as a citizen of India, Murthy was treated under British law as non-domiciled for UK tax purposes because India does not allow its citizens to hold the citizenship of another country simultaneously.

Sunak, who became finance minister in February 2020 just as the country entered the COVID-19 pandemic, is now facing some of the toughest economic conditions in decades, with inflation soaring and living standards set to drop to levels last seen in the 1950s.

To help fund the rebuilding of the country’s national health service and its public finances, he has increased the tax take to the highest level since the 1940s.

“Akshata Murty is a citizen of India, the country of her birth and parent’s home,” the spokeswoman said in a statement. “India does not allow its citizens to hold the citizenship of another country simultaneously.

“She has always and will continue to pay UK taxes on all her UK income.”
A person familiar with the situation said Sunak had declared his wife’s status to the government when he became a minister and the Treasury department was also informed. The person who asked not to be named due to the sensitivity of the matter added that Murthy pays foreign taxes on her foreign income

ALSO READ: Sunak under fire over response to cost of living crisis

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Sunak under fire over response to cost of living crisis

Chancellor of Exchequer Rishi Sunak in the Cabinet room for the Prime Minister’s weekly cabinet meeting before delivering his Spring Statement in the House of Commons . Picture by Andrew Parsons / No 10 Downing Street

But the measures were met with howls of protest, and not only from opposition lawmakers and anti-poverty campaigners…reports Asian Lite News

Finance minister Rishi Sunak faced broad criticism on Thursday for not giving enough help to poorer households as the country heads for its biggest drop in living standards since at least the 1950s.

After earning plaudits for his response to the coronavirus crisis in 2020, Sunak was under fire for what fiscal analysts said looked like a plan to hold back money for giveaways to voters ahead of Britain’s next national election.

Sunak announced reductions in fuel duty and taxes on wages including an income tax cut in 2024 in a budget update on Wednesday, telling parliament it represented the biggest net cut to personal taxes in over 25 years. read more

But the measures were met with howls of protest, and not only from opposition lawmakers and anti-poverty campaigners.

The Resolution Foundation, a think-tank which focuses on living standards, said only one in eight workers will see their tax bills fall over the next two years.

It also said absolute poverty was expected to rise by 1.3 million people next year, including half a million children, as inflation heads for around 9% later this year, outpacing pay and welfare benefits.

“Rishi Sunak has prioritised rebuilding his tax-cutting credentials over supporting the low-to-middle income households who will be hardest hit from the surging cost of living,” Resolution Foundation Chief Executive Torsten Bell said.

Britain’s budget watchdog, the Office for Budget Responsibility, said Sunak undid only one-sixth of his previously announced tax rises aimed mainly at funding health and social care after the COVID-19 pandemic.

Newspapers, which have long cast Sunak as a future successor to Prime Minister Boris Johnson, criticised him for not doing enough to support people on the lowest incomes.

The Daily Express ran a headline: “The Forgotten Millions Say: What About Us?”

A survey published by polling firm Opinium after Sunak’s announcement – but conducted earlier this month – showed opposition Labour Party leader Keir Starmer and his would-be finance minister Rachel Reeves had overtaken Sunak and Johnson when people were asked who they trusted most to run the economy.

In media interviews on Thursday, Sunak defended his plans, offering scenarios showing how many workers stood to be better off. He also said he could not completely offset the jump in inflation which has been aggravated by the conflict in Ukraine.

But the Institute for Fiscal Studies, another think tank, said his decision last year to raise social security rates from April – which was only partially softened on Wednesday by a higher payments threshold – combined with a lower income tax rate made the tax system less equitable and less efficient.

IFS director Paul Johnson said this would widen the gap between taxes on earnings and those on pensions and unearned income.

“His choice to increase national insurance rates and reduce the basic rate of income tax looks, to me at least, indefensible from an economic point of view – though one can see the political attractions,” Johnson said at a news conference.

Richard Hughes, chair of the OBR whose forecasts underpin the budget, said Sunak remained on course to push the government’s tax take to the highest since the 1940s.

He also said the roughly 30 billion pounds of wiggle room that Sunak has kept for future spending or tax cuts could easily be wiped out if there were further rises in energy prices or higher-than-expected Bank of England interest rates.

ALSO READ-Questions on wife’s Russia link

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Questions on wife’s Russia link

Infosys statement said the multinational software services major “supports and advocates for peace” between Russia and Ukraine…reports Asian Lite News

Rishi Sunak on Thursday faced questions about the Russian presence of Infosys, the Indian software services company in which his wife Akshata Murty has a share.

With reference to stringent sanctions being imposed on Russia, the Indian-origin finance minister who is the son-in-law of Infosys co-founder Narayana Murthy was asked on air if his advice to businesses was not being followed within his own home. The minister stressed that the operations of individual companies was a matter for them.

“It’s been reported that you’ve got family links to Russia, that your wife apparently has a stake in the Indian consultancy firm Infosys,” a ‘Sky News’ reporter said during the television interview.

“They operate in Moscow, they have an office there, they have a delivery office there. They’ve got a connection to the Alpha Bank in Moscow. Are you giving advice to others that you’re not following in your own home?,” she questioned.

Sunak replied that as “an elected politician”, he was giving the interview about what he’s responsible for.

“My wife is not,” he said.

On being pushed on whether his family was “potentially benefiting” from Russian President Vladimir Putin’s regime, he said: “I don’t think that’s the case, and as I said the operations of all companies are up to them.

“We’ve put in place significant sanctions and all the companies we are responsible for are following those as they rightly should, sending a very strong message to Putin’s aggression.” He was then asked if Infosys, which also has a UK presence, was sending a similarly “strong message”.

“I have absolutely no idea because I have nothing to do with that company,” replied Sunak.

An Infosys statement said the multinational software services major “supports and advocates for peace” between Russia and Ukraine.

The statement said: “Infosys has a small team of employees based out of Russia, that services some of our global clients, locally. We do not have any active business relationships with local Russian enterprises.

“A key priority for Infosys in times of adversity, is to continue extending support to the community. The company has committed USD 1 million towards relief efforts for the victims of war from Ukraine.” The UK has imposed wide-ranging sanctions on Russian businesses and individuals, with Sunak issuing a call for all UK companies to “think very carefully” about any investments in Russia over the ongoing Ukrainian conflict.

ALSO READ-‘Dishy Rishi’ Draws Flak For Failing Working Families

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Rishi Sunak to unveil mini budget

Sunak will produce a fiscal statement at a pivotal time for the country when hard pressed families are facing enormous increases in their cost of living…reports Asian Lite Newsdesk.

Rishi Sunak is expected to pledge to “stand by” hardworking families and set out further plans to support people with the rising cost of living when he unveils his spring statement later.

It is understood the chancellor will unveil proposals intended to build “a stronger, more secure economy” as people across the UK face growing household bills that have been exacerbated by the war in Ukraine.

He will also say that building a strong economy is fundamental in enabling the United Kingdom to counter the threat that Russia’s President Vladimir Putin poses to its values.

“We will confront this challenge to our values not just in the arms and resources we send to Ukraine but in strengthening our economy here at home,” Sunak is expected to say.

“So when I talk about security, yes – I mean responding to the war in Ukraine. But I also mean the security of a faster growing economy. The security of more resilient public finances. And security for working families as we help with the cost of living.”

The chancellor’s spring statement is also tipped to outline how the government plans to create a new culture of enterprise, with the private sector more, investing more and innovating more.

Sunak will produce a fiscal statement at a pivotal time for the country when hard pressed families are facing enormous increases in their cost of living.

Those are going to ramp up much higher in the coming months as the impact of the Russia-Ukraine war intensifies – and subsequently, the cost of living is likely to be at the top of the chancellor’s agenda for his statement.

For households it is the impact on fuel prices and energy bills that is hurting most – leaving Mr Sunak facing calls to take concrete action.

As a result of the invasion, the Bank of England now thinks inflation will top 8% in April and go even higher in the autumn.

One thing to look out for in the statement is whether the chancellor cuts taxes on petrol – like other countries in Europe and further afield have already done.

The average price of petrol has shot up to an all-time high of 165.37p a litre, an increase of more than 55% in the last two years. Diesel has also risen by a similar proportion to 177.47p per litre, according to figures compiled by the government.

As a result, the average tank of fuel now costs almost £90, up by about £33 compared to May 2020.

More recently, wholesale costs have been rising sharply, partly made more extreme by Russia’s war in Ukraine.

Reports suggest a 5p per litre cut in fuel duty is on the cards.

ALSO READ: Terror survivors call on UK to fund post-attack support

ALSO READ: New US-UK trade deal cuts tariffs on British steel

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Rishi Sunak under fire over alleged presence in lockdown party

Sunak, when asked about the surprise birthday party, said he had been in the cabinet room ‘100, 200, God knows how many times’. Adding: ‘You are asking me about something that happened almost two years ago.’…writes Ashis Ray

Rishi Sunak, the Indian-origin chancellor of the exchequer in the British government, was allegedly photographed standing beside Prime Minister Boris Johnson at a gathering in the cabinet room of 10 Downing Street (the historic office-cum-residence of a United Kingdom premier) to celebrate Johnson’s birthday in June 2020. It is being determined in a police inquiry as to whether this get-together violated the prevailing Covid-19 rules.

Sunak is visualised as waiting in the wings to mount a challenge in a ruling Conservative party leadership contest, in the event 15 per cent of its MPs in the House of Commons express no confidence in Johnson. There’s speculation as to whether Sunak’s attendance will affect his prospective candidature.

The Prime MinisterBoris Johnson is joined by the Chancellor of the Exchequer Rishi Sunak as they make their way up the staircase of No10 Downing Street to give a press conference on the Coronavirus. Picture by Andrew Parsons / No 10 Downing Street

The photo reportedly shows the head of government holding a can of Estrella beer, with Sunak next to him. Earlier, reliable media reports indicated there was cake cutting and eating at the event, with Johnson’s wife Carrie attending as well.

Sunak, when asked about the surprise birthday party in an interview by BBC, said he had been in the cabinet room ‘100, 200, God knows how many times’. Adding: ‘You are asking me about something that happened almost two years ago.’

In short, he neither confirmed nor denied he was there. It remains to be seen whether a police investigation currently underway finds him or Johnson culpable in respect to what the UK prime minister’s office claimed to have been an impromptu bash. It has, however, acknowledged there was a surprise birthday celebration organised by Carrie Johnson, maintaining the prime minister stayed at it for only 10 minutes.

On Monday, a redacted report of an intra-government examination by a senior civil servant Sue Grey revealed that 12 of the 16 cases of perceived violations of Covid-19 laws then in force were now being probed by London Metropolitan Police, popularly known as Scotland Yard. The Yard are said to possess around 300 pictures from various sources in addition to records of emails and text messages as they attempt to get to the bottom of a matter that has paralysed the central government in Britain, with the prime minister see as a suspect.

Sources told The Mirror newspaper No 10 aides were present in the cabinet room for the birthday celebration, but there was no birthday cake.

Adam Wagner, a barrister, said to The Guardian daily: “The legal question for the prime minister is whether he participated in the gathering. The fact that he was photographed holding a beer strongly suggests he did and therefore committed a criminal offence of the regulations.”

The punishment for holding social events during the COVID-19 lockdown period is a financial penalty, the sum of which depends on the extent of contravention — in other words, the size of the gathering and the brazenness involved. However, an attempt to erase evidence by deleting messages and pictorial proof is a more serious crime, a sentence for which could even be prison.

Johnson’s woes were compounded during the week with the resignation of a long-serving and trusted head of policy at Downing Street, Munira Mirza, who is of Pakistani-descent. She quit because her boss made a false allegation against the former barrister and now leader of opposition Sir Keir Starmer in parliament about his performance as director of public prosecution and did not comply with her request to the prime minister to withdraw the charge or apologise for it.

Sunak was put a question on the affair at a press conference. He replied: “I wouldn’t have said it.” This has been quickly interpreted as the chancellor distancing himself from the prime minister as the latter battles to save his premiership.

ALSO READ: Revolt Against Boris Begins

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RIFT IN TORY RANKS

Chancellor of the Exchequer Rishi Sunak and Home Secretary Priti Patel — do not appear to be on the same page as far as support to Prime Minister Boris Johnson is concerned, reports Ashis Ray

The two senior cabinet ministers of Indian origin in the British government— Chancellor of the Exchequer Rishi Sunak and Home Secretary Priti Patel — do not appear to be on the same page as far as support to Prime Minister Boris Johnson is concerned. Sunak’s endorsement of his boss is seen by British media as “tepid”, as compared Patels wholesome loyalty to the incumbent of 10 Downing Street.

The Independent reported: “Cabinet divisions the Downing Street party scandal have widened as Priti Patel appeared to criticise Rishi Sunak for declining to back the Prime Minister fully.” She was seemingly referring to Sunak’s absence from “Prime Minister’s Questions” slot in the House of Commons at which Johnson tendered a grovelling apology and was pilloried by the Leader of Opposition Sir Keir Starmer.

Sunak was, in fact, on a visit to Devon, some 225 miles away from London, and only tweeted a message eight hours after the event. His carefully worded message said: “The PM was right to apologise and I support his request for patience while Sue Gray carries out her enquiry.”

Gray is a senior civil servant, who has been entrusted with the onerous and unenviable task of investigating into 17 odd parties reportedly held at Downing Street during Covid lockdowns. Her brief is to find out if these were social gatherings and, so, broke the law. Johnson’s prime ministership is said to hinge on her discovery, although, technically, whether he violated the ministerial code by having knowledge of or attending non-work get-togethers, may not be her remit. There is separately the more serious issue of Johnson misleading Parliament, which is reason for a resignation. Gray’s report is expected next week.

Asked on Sky News if she agreed with Sunak’s “lukewarm support” for Johnson’s apology in the Commons, Patel replied: “No! On the contrary, I have publicly supported the Prime Minister and actually you’re speaking to the Home Secretary who spends all my time day in day out supporting the Prime Minister, his agenda of delivering on the people’s priorities and the work that we do.”

Big trouble for PM

Johnson is in trouble on various fronts, from accepting a donation from a businessman to refurbish his official residence – a significant part of which he allegedly failed to declare, as is mandatory under ministerial and MPs’ codes in the United Kingdom – and about he and his office serially violating Covid-19 lockdown laws introduced by his government and ratified by Parliament since 2020.

Rather notoriously, there was a garden party at Downing Street on May 20, 2020 during the height of restrictions on the public, where 100 people were invited and asked to “bring you own bottle” or “BYOB”. The invitation went out from Johnson’s Principal Private Secretary and was attended by the Prime Minister and his wife Carrie. His explanation that he thought it was a work meeting and didn’t know it the assembly contravened the existing law has been rejected by an overwhelming section of Britons in opinion polls.

Furthermore, the night before the British monarch Queen Elizabeth’s late husband, the Duke of Edinburgh’s funeral last year – when Britain was in official mourning as well as in Covid lockdown – there was a party in the basement of Downing Street, with drinking and dancing to disco music conducted by a DJ. The alcohol for the binge was smuggled into the building in a suitcase.

Sunak and Patel’s political standings at present are quite different. The former who entered parliament five years after the latter did, has sped past her and is the bookmakers’ favourite to succeed Johnson in case he steps down. Sunak’s performance as Chancellor in saving livelihoods with generous grants and furloughs during the Covid crisis has endeared him to his party and the British public.

Patel, on the other hand, has from all accounts struggled at the Home Office. She was also indicted for violating the ministerial code with “bullying” behaviour towards civil servants. But Johnson did not dismiss her as has been the convention. The senior-most civil servant in her ministry resigned and had to be paid heavy compensation by the treasury to withdraw a suit he had filed at a tribunal.

A leadership contest in Johnson’s ruling Conservative party is triggered by 15 per cent of its MPs asking for it. This works out to 54 lawmakers. Senior Conservative MP David Davies shocked the Commons on Wednesday by telling Johnson to his face: “In the name of God, go!”

Govt accused of ‘blackmail’

Prime Minister Boris Johnson on Thursday dismissed new allegations that his aides had tried to “blackmail” and threaten Conservative rebels, in a potentially criminal twist to Downing Street’s “partygate” scandal.

Senior Tory William Wragg disclosed the alleged intimidation campaign as Downing Street battles to shore up Johnson against calls from within the party for his resignation.

“The intimidation of a member of parliament is a serious matter. Reports of which I am aware would seem to constitute blackmail,” said Wragg, one of seven Tory MPs who have publicly called for a party confidence vote.

Addressing MPs, Wragg said any affected members should report it to the police and to the Speaker’s office in the House of Commons.

Speaker Lindsay Hoyle, addressing the chamber in sombre tones, said any such campaign would amount to “contempt” of parliament, which is a criminal offence.

Scotland’s First Minister First Minister Nicola Sturgeon alleged the charge amounted to “corruption”, and accused Johnson of “tarnishing the office of prime minister”.

But Johnson told reporters: “I’ve seen no evidence, heard no evidence, to support any of those allegations.

“What I am focused on is what we’re doing to deal with the number one priority of the British people, which is coming through Covid,” he said on a visit to a medical clinic in southwest England.

Johnson refused to confirm his aides’ assertion that he would fight any no-confidence vote and not comment further on the dramatic defection of Conservative MP Christian Wakeford to the Labour party on Wednesday.

The alleged intimidation campaign includes threats to withdraw funding from rebels’ constituencies, and to leak damaging stories to the media.

Wakeford said he had been told his seat in northwest England could lose a school if he did not fall into line.

Prior to Wragg’s explosive intervention, Johnson allies had been talking up the prime minister’s chances of survival, after Wakeford’s cross-party switch focused Tory minds on the threat from a resurgent Labour opposition.

ALSO READ-BRICS: Another eventful year for India

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Rishi Sunak not out of running to be PM if Boris is ousted

The pro-Conservative Daily Mail reported: “Boris Johnson has slumped to his lowest ever popularity rating among Tory members, a poll has found.”…reports Ashis Ray

In 2012, two years into his premiership, David Cameron had said that his Conservative party will be the first in Britain to have a Prime Minister of Indian-origin.

“We were the first party to have a woman Prime Minister (Margaret Thatcher) – (there has been a second one since in Theresa May) – we were the first party to have a Jewish Prime Minister in (Benjamin) Disraeli, and when I look at the talent behind me, I think we are going to be the first party to have a British Indian Prime Minister,” Cameron had said.

In fact, historically persons of Indian origin in the United Kingdom felt more at home with the Labour party and virtually voted en mass for it. Beginning with giving Keith Vaz a ticket in 1987, the Labour party had steadily increased its number of MPs of Indian descent by 2010, at which point Cameron, an Indophile, decided to correct the imbalance by making two of the current cabinet ministers in the British government of Prime Minister Boris Johnson — Priti Patel and Alok Sharma — first-time MPs.

Five years later, he awarded a seat to Rishi Sunak, now Chancellor of the exchequer.

Speculation is mounting about the future of Johnson – he having condoned sleaze among his colleagues, been allegedly corrupt himself, and 10 Downing Street, his office-cum-residence, apparently serially breaching Covid lockdown rules (which were legislated in Parliament and were therefore law) by having not exactly work gatherings in the premises last winter.

UK Prime Minister Boris Johnson (Andrew Parsons / No 10 Downing Street)

These included at least one in which the Prime Minster himself participated on-screen from his private flat in the building, so seemingly with his knowledge and approval. Ordinary citizens have been prosecuted and punished for similar violations during the same period.

The pro-Conservative Daily Mail reported: “Boris Johnson has slumped to his lowest ever popularity rating among Tory members, a poll has found.”

It added: “The Prime Minister is the most unpopular member of the Cabinet, according to the Conservative Home survey, with a net approval score of minus 34 per cent.”

The British public is clearly livid. Another quite comprehensive opinion poll indicated that if a general election is held now, the Conservatives would lose 111 seats in the House of Commons, including Johnson’s. And the Labour party would emerge as the largest single party, within striking distance of an absolute majority.

In such a climate, discussion is rife as to who could succeed Johnson in the event he is ousted by his party.

The Daily Mail again provided an indication. It published that until recently, Sunak was leading the pack within the party. Foreign Secretary Liz Truss has, however, according to the Daily Mail quoting Conservative Home, “leapfrogged the Chancellor”. But it’s close. Truss is preferred by about 23 per cent and Sunak by around 20 per cent.

Redfield & Wilton Strategies found that 35 per cent of Conservative voters ‘strongly support’ removing Johnson and another 25 per cent ‘support’ this. A total of 20 per cent were neutral.

The same research also received a feedback that suggested “Rishi Sunak would be the preferred replacement in No 10”.

It detailed: “Some 29 per cent thought that he would be better and a further 14 per cent saw him as a ‘significant’ upgrade – superior figures to both Truss and Sajid Javid (the Health Secretary).”

Sunak did himself no disfavour by adopting a Keynesian, rather an un-Conservative approach to massive borrowing and spending on furloughs and grants to the tune of hundreds of billions of pounds to alleviate distress for businesses and people amid the Covid crisis.

Thus, Cameron’s forecast that the Conservatives will produce the first British Prime Minister of Indian extraction appears to be in the mix, even if this doesn’t happen in the short term.

It would be a considerable leap of faith for the rank and file of the right-wing Conservative party, which, until 15 years ago, was quite white dominated, to rally around a non-white as party leader and Prime Minister.

Tom Tugendhat, with a little over 5 per cent support in Conservative Home’s survey, is eyed as a dark horse. He is presently Chairman of the House of Commons’ select committee on foreign affairs, with a military background and a record of distinguished service in Afghanistan and Iraq.

But a backbench MP, with no experience in government, is normally not catapulted from the back benches to the top job.

ALSO READ-Sunak delivers Budget for stronger economy

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Sunak delivers Budget for stronger economy

A new temporary business rates relief for the hospitality industry, a freeze on fuel and alcohol duties and increasing the country’s National Living Wage to GBP 9.50 from April 2022, were among some of the key announcements, reports Asian Lite News

Chancellor of the Exchequer Rishi Sunak delivered his Autumn Budget to the House of Commons on Wednesday, with the promise of delivering stronger growth for the pandemic-hit British economy.

While warning of some ‘challenging months’ ahead with inflation expected to rise, the minister unveiled an extra GBP 150 billion investment as part of the Budget and Spending Review.

A new temporary business rates relief for the hospitality industry, a freeze on fuel and alcohol duties and increasing the country’s National Living Wage to GBP 9.50 from April 2022, were among some of the key announcements.

“Today’s Budget delivers a stronger economy for the British people: stronger growth, with the UK economy recovering faster than our major competitors. Stronger public finances, with our national debt finally under control. Stronger employment, with fewer people out of work and more people in work. Growth up, jobs up, and debt down: let there be no doubt our plan is working,” said Sunak.

Sunak, in charge of Britain’s economic response to the pandemic, said the Budget was designed to create jobs, improve skills, tackle health service backlogs, put more police on the streets, and build new homes, hospitals, and schools.

The Treasury said its latest figures show that the economy is on track to reach pre-pandemic levels by early next year, with unemployment peaking at less than half what was initially predicted.

Among some of the measures expected to prove popular include an end to a duty premium on sparkling wines and a cut in the cost of a pint of beer of 3 pence.

“Over the last decade, consumption of sparkling wines like prosecco has doubled. English sparkling wine alone has increased almost tenfold. It’s clear they are no longer the preserve of wealthy elites,” noted Sunak, himself a teetotaller.

“And they’re no stronger than still wines. So, I’m going to end the irrational duty premium of 28 per cent that they currently pay. Sparkling wines wherever they are produced will now pay the same duty as still wines of equivalent strength,” he said.

Sunak announced GBP 5.9 billion to tackle the National Health Service (NHS) backlog of non-emergency tests and procedures, modernise digital technology and ensure there are at least 100 community diagnostic centres to help people across England get health checks, scans and tests closer to their homes.

Support for education

To support pupils and teachers, he announced an additional GBP 4.7 billion invested in the core schools budget in England. To boost wages, skills funding will increase by a total over the Parliament of GBP 3.8 billion compared to 2019-20. And, for parents, he said GBP 302 million will fund new early years programmes including bespoke breastfeeding services and parent-infant mental support, and funding to rollout Family Hubs across England.

Sunak said, “The evidence is compelling that the first 1,001 days of a child’s life are the most important. We’re confirming GBP 150mn to support training and development for the entire early years workforce. To help up to 300,000 more families facing multiple needs, we’re investing an extra GBP 200mn in the Supporting Families programme. And we will provide over GBP 200mn a year to continue the holiday activity and food programme.”

Opposition slams Budget

The Opposition Labour Party, represented by Shadow Chancellor Rachel Reeves in place of party Leader Keir Starmer who is self-isolating after testing positive for Covid-19, responded to the Budget as asking British people “to pay so much for so little.”

With reference to the duty cut on sparkling wines and air passenger duty on domestic flights, Reeves shot back: “At least the bankers on short haul flights sipping champagne will be cheering today. Never has a Chancellor asked the British people to pay so much for so little. This country deserves better.”

The Opposition welcomed the increase in the minimum wage but said the government needed to go “further and faster” and should have moved to a rise of at least GBP 10 an hour.

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UK furlough scheme comes to an end

Chancellor Rishi Sunak said he was “immensely proud” of the scheme, but that it was the right time for it to close…reports Asian Lite News.

The UK’s furlough scheme is closing on Thursday, but some badly-hit sectors are saying support should continue, the BBC reported.

The scheme, which was introduced in March 2020, helped pay the wages of 11.6 million workers after Covid-19 forced large parts of the economy to close.

At the end of July it was still supporting the incomes of around 1.6m workers the latest HMRC figures show.

Chancellor Rishi Sunak said he was “immensely proud” of the scheme, but that it was the right time for it to close.

Meanwhile, the British businesses buoyed by the UK’s economic recovery have returned £1.3 billion in furlough cash, according to new statistics.

Figures released last week showed that firms who have overclaimed or decided they no longer need payments received through the Coronavirus Job Retention Scheme handed back £300 million in the last three months.

In total, they have repaid £1.3 billion to HMRC since July 2020 through adjustments to claims and the voluntary disclosure service, which will continue into 2022.

“This Government stepped in to help when people needed it most, supporting nearly 12 million jobs through furlough. This worked, nearly 2 million fewer people are now expected to be out of work in the UK than previously feared,” Sunak said.

“Now with our recovery underway it is heartening to see that £1.3 billion in furlough grants have been returned as the economy recovers.”

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