Reeves must raise tax to cover £41bn gap, says thinktank
The Government faces a £41.2 billion shortfall that could force Rachel Reeves to raise taxes this autumn to meet her own borrowing rules, according to the National Institute of Economic and Social Research (NIESR). Reeves has pledged that day-to-day spending will be covered by tax revenue and that national debt must fall as a share of income within five years. NIESR recommends moderate tax rises, including reforming council tax and expanding the scope of VAT, to reassure investors. Labour has previously ruled out tax hikes on 'working people’, but Reeves now faces a difficult balance between honouring manifesto promises, controlling debt, and funding public services. NIESR also urged the Government to focus on growth, productivity, and welfare reform. The poorest 10% remain worse off than before Covid. With sluggish growth projected, the autumn Budget is expected to be the most challenging of this Parliament. Breaking news: the Bank of England has cut its interest rate to the lowest for four years, which will benefit those paying mortgages. See
Channel migrants: ‘no specified number’ to be returned to France
Home secretary Yvette Cooper has confirmed there is 'no specified number' of migrants set to be returned under the UK-France 'one in, one out' agreement, now in effect. The scheme enables the UK to return illegal Channel-crossers to France while accepting an equal number of vetted asylum seekers with ties to Britain. Though early estimates suggest around 50 returns per week, this is modest compared to the 800 weekly arrivals this year. Critics argue that the plan addresses only a small portion of illegal arrivals and lacks true deterrence. The treaty was agreed between Prime Minister Starmer and President Macron following months of negotiations. The Home Office has pledged £100 million to support enforcement, fund 300 new National Crime Agency officers, and bolster anti-smuggling technology. Migrants returned to France cannot reapply via the legal route. The treaty remains active until 2026, with ongoing reviews planned. See
Struggling families need grants for school uniforms
As the back-to-school season approaches, a major debt advice charity is urging the Government to introduce a statutory school uniform grant for England. While families in Scotland, Wales, and Northern Ireland receive support of £93 to £200 per child, just 22 out of 153 English councils offer any dedicated help, creating a postcode lottery of support. The average uniform cost now exceeds £340 for primary pupils and £450 for secondary students. Money Wellness says current Department for Education reforms, such as limiting branded items, will not be enough for low-income households. With council budgets under pressure, many families are turning to uniform banks for affordable or donated items. Some families welcome the destigmatisation of second-hand clothing and its environmental benefits. Campaigners stress that without a consistent national scheme, children risk being disadvantaged based on where they live.
No 10 declines to say if Palestine will be recognised
Downing Street has refused to confirm whether the UK will proceed with recognising Palestinian statehood in September if Hamas remains in power or hostages are not released. Keir Starmer previously stated that recognition depends on Israel meeting certain conditions, including a ceasefire, increased humanitarian aid to Gaza, halting annexation of West Bank land, and engaging in a peace process. However, critics argue the move could reward Hamas, especially in light of comments by its leader Ghazi Hamad claiming recognition is a 'fruit' of the 7 October attacks. Families of British hostages and some Labour MPs have voiced strong objections, insisting recognition should be tied to the hostages’ release. Despite calling Hamas 'pariahs' with no future role in Gaza, Starmer’s spokesperson said no single party will hold veto power over the decision. The Government insists its focus remains on increasing aid, ending suffering in Gaza, and promoting a two-state peace solution. A final decision is expected at the UN General Assembly in September. See
Anglicans decry appointment of lesbian Archbishop of Wales
The election of Bishop Cherry Vann, an openly lesbian cleric, as the next Archbishop of Wales has drawn sharp criticism from senior leaders across the global Anglican community. Vann, currently Bishop of Monmouth and a patron of a pro-LGBT group, will be enthroned at Newport Cathedral. She has stated that gay marriage in the Church is 'inevitable’, though she acknowledges theological opposition within the Church in Wales. The Global Anglican Future Conference (GAFCON) called the appointment a 'serious error’; chairman Archbishop Laurent Mbanda has warned that it compromises biblical truth and bows to cultural pressure. Nigerian Primate Henry Ndukuba accused the Church in Wales of sacrificing the authority of Scripture for a postmodern agenda. Justin Badi Arama of South Sudan labelled the move a 'divisive rejection' of historic Anglican teaching. The controversy reignites tensions between progressive and conservative Anglicans worldwide. Former archbishop Justin Welby also faced criticism for appearing to shift from traditional biblical views on sexuality during his tenure.
Kate Forbes stepping down from politics
Scotland’s deputy first minister Kate Forbes has announced she will step down from politics at the 2026 Holyrood elections to prioritise family life. In a letter to first minister John Swinney, Forbes - who has represented Skye, Lochaber and Badenoch since 2016 - expressed deep gratitude for her time in office, but said she didn’t wish to miss more of her daughter’s early years. A committed Christian, Forbes has often drawn attention for her faith-based positions, including her public opposition to abortion and same-sex marriage. These views sparked controversy during her 2023 SNP leadership bid, which she lost to Humza Yousaf. When Yousaf resigned in 2024, she declined to stand again and supported Swinney. Despite political challenges, Forbes has been a vocal advocate for Christian engagement in public life. Speaking to the Evangelical Alliance, she urged believers to step into political service, citing the positive impact of Christian values across Scottish communities.