Starmer warns of bigger impact on economy the longer Iran war continues - as it happened
Addressing the war in Iran, Keir Starmer acknowledged that the longer the conflict went on the greater the likely impact on the UK’s economy.The prime minister said:double quotation markThe job of government is obviously to get ahead, to look around the corner, to work with others, and the chancellor speaks to the governor of the Bank of England on a daily basis, with looking cross-departmental within government, assessing the risks, monitoring and talking to our international partners as well about what more we can do together to reduce the likely impact on people here and businesses here, of course.But it is important to acknowledge that that work is needed, because people will sense, you will sense I think, that the longer this goes on, the more likely the potential for an impact on our economy, impact into the lives and households of everybody and every business.And our job is to get ahead of that, to look around the corner, assess the risk, monitor the risks, and work with others in relation to that.The longer the US-Israel war with Iran continues, the more likely it is there will be economic damage in the UK, Keir Starmer warned as governments around the world braced for major disruption to energy supplies as a result of the escalating US-Israeli war with Iran.
The prime minister insisted the economy was resilient and said the chancellor, Rachel Reeves, has been speaking to the governor of the Bank of England “on a daily basis”.He is facing scrutiny over whether the government is doing enough to prepare support packages that would help businesses and consumers in the event of sustained fuel price rises and inflationary pressures that would squeeze household budgets even further.Starmer stressed that decisions about what is in Britain’s “best interests” are decisions for the UK prime minister alone.Downing Street played down suggestions that a British aircraft carrier, HMS Prince of Wales, is being readied to protect Britons in the Middle East.Finance ministers from the G7 – including the UK and US – held their conference call today to discuss the crisis, after the price of oil surged.
UK motorists were being affected by the surge in oil prices, and being encouraged to cut out non-essential car journeys to save fuel.Thanks for joining us.We are closing this blog now.You can find all our latest coverage of UK politics here.While anxiety intensifies over global economies, the UK is pressing ahead with measures to improve post-Brexit trade with the EU.
The UK government on Tuesday announced it will comply with EU production and marketing laws in key areas including jams, cereals, frozen food and cut flowers, to simplify post Brexit exports to the rest of Europe and try to help grow the economy,The announcement is seen as a necessary pre-cursor to a sanitary and phytosanitary agreement ahead of the second annual UK-EU summit in July,On Tuesday the government formally announced which EU rules it would comply with,They include rules on frozen food, food enzymes and food additives,EU rules on marketing of jams, jellies, marmalade as well as fruit juices and honey will also now apply.
“Since leaving the EU, there has been some divergence from EU legislation.However, in many cases that divergence has been minor or minimal,” said Defra, listing the areas where the UK would now follow EU law.More than 16,000 businesses stopped exporting to the EU according to a House of Commons select committee and many of those were food producers.Even those producing food as they did before Brexit, they were hit by a mountain of paperwork and standards and public health compliancy verification after Brexit.Downing Street has played down suggestions that a British aircraft carrier, HMS Prince of Wales, is being readied to protect Britons in the Middle East.
Speculation the aircraft carrier could be sent to the eastern Mediterranean grew over the weekend, after reports it has been placed on advanced readiness to sail from Portsmouth.But the prime minister’s official spokesperson told journalists earlier:double quotation markHMS Prince of Wales has always been on very high readiness.The MoD is increasing the preparedness of the carrier, reducing the time it would take to set sail for any deployment, but there is no decision taken to deploy her.Extra fighter jets and a warship, HMS Dragon, are already being sent to the region after drone attacks targeting UK bases.Labour is in “deep trouble” with Black voters, a former government adviser has warned, saying the party is at risk of being seen as “accepting the normalisation of racism”.
David Weaver, who is the chair of Operation Black Vote (OBV), said the government’s plans to restrict juries would “heighten, normalise and embed” racial disproportionality in the justice system and that Black voters were saying: “We don’t know what Labour stands for any more,”In November, Keir Starmer vowed to “stand up to racism”,But the “moral panic” over migration and slow progress on tackling racial pay gaps and the Windrush scandal meant sentiment was low, Weaver said,“We’re not happy,” he added,“When they’re away from power, Labour will go alongside Black communities.
But the closer their proximity to power, the more they revert to type.And we had real hopes of them coming into government.You can read more here:In a press release published on the day the Courts and Tribunals Bill was introduced in parliament (25 February), the justice secretary, David Lammy, justified the reforms by saying:double quotation markThe criminal courts we inherited were on the brink of collapse, with victims waiting years for justice while the backlog spiralled out of control.For too long, victims have paid the price for a system left to crumble by those who should have acted to reform our justice system for the modern realities of crime.Our courts reform will deliver record investment, serious reform and practical modernisation to get cases heard faster, protect jury trials for the most serious crimes, and set us on a path to turn the corner on the rising backlog by the end of this parliament.
This is the only way to deliver the swift and fair justice victims deserve.The Criminal Bar Association, which represents practising members of the Criminal Bar in England and Wales, sets out its opposition to the proposed reforms here:The Courts and Tribunals Bill 2026 was published on the 25th of February.It is now being pushed through the parliamentary process with what can only be described as indecent haste.The second reading of the Bill in the House of Commons is on Tuesday the 10th of March.This rush to the finish line can only be for one reason – to prevent those who have a voice and wish to oppose this radical and draconian evisceration of the longstanding right to jury trial, from effectively marshalling their opposition.
We may not have a written constitution in this country, but trial by jury is a constitutional matter too important to restrict without proof of urgent necessity.A close examination of the government’s “Impact Assessment” demonstrates that such proof is lacking.We are not reactionaries.We are in favour of a package of radical reforms.Good and laudable work to reduce the backlog has already started.
For example:more sitting days,use of ‘Blitz’ courts to identify cases that can quickly resolve,quicker transport of remand prisoners to court.These are among the many measures that can make a real difference now.But this government seem unprepared and unwilling to let these remedies and efficiencies be tried first, or given time to take effect.And we know they would have effect – that can be seen from courts such as Liverpool and Preston, and circuits such as Wales and Chester.Instead, however, the government are barrelling in, so set on their plan to destroy a system that is emulated, respected and revered in countries far and wide, a system that overcomes bias and bigotry and is suited to our multicultural society, a system that works and is fair.
Is this driven by an ideological antipathy to public involvement in the administration of justice? Or is it just a straightforward penny-pinching measure?You can read more about the controversial bill and the different stages of the legislative process here.In other news, the Times is reporting that dozens of Labour MPs are set to join a rebellion over proposals to remove the right to trial by jury in thousands of cases.Up to 65 Labour MPs have reportedly indicated they would not support the Courts and Tribunals Bill, with most planning to abstain at the second reading tomorrow, according to the report.Conservative and Liberal Democrats MPs are expected to oppose the bill, which contains a series of measures to tackle delays and bring down the backlog.Some rebels will only reportedly offer their support if the justice secretary, David Lammy, agrees to compromise amendments as the bill passes through parliament.
Criticism of the government’s proposed court reforms has centred around scaling back jury trials, particularly from lawyers and some MPs.Campaigners argue that the reforms undermine a fundamental principle of the justice system and will not work.A report from the Institute for Government (IFG) said plans to introduce judge-only criminal trials in England and Wales would save less than 2% of time in crown courts.Oil prices have already shot up thanks to the US-Israeli war in Iran.But what is the economic fallout likely to be? Will interest rates rise? What about inflation?Could the cost of borrowing increase – and by how much?Pippa Crerar and Kiran Stacey discuss how the cost of living might be hit and the political implications of that…Kemi Badenoch said she would be bringing a vote in Parliament on Tuesday to “keep fuel duty low”.
Asked whether she supported the idea of a Liz Truss-style support package to help households and businesses with a surge in oil prices, she told the Press Association on a visit to Bromley:double quotation markWell, the first thing that the prime minister should do is stop Rachel Reeves’ silly changes to fuel duty.Last week, she had an opportunity in the spring statement to announce measures to help all of those families out there who are struggling with the cost of living.Instead, she spent the statement telling us what a fabulous job she was doing.So tomorrow, I’m going to be bringing a vote so that we can make sure that we keep fuel duty, though, and if I would expect Labour MPs and others to support that at a time when we’re expecting serious shocks to energy prices.Nigel Farage, the Reform party’s leader, supports regime change in Iran and said last week that Keir Starmer’s “inaction” while the US and Israel bombed the country was “frankly pathetic”.
He has called for the UK to support Trump’s war in Iran, a view that is wildly at odds with British voters, according to YouGov polling (only 29% support the joint US-Israeli strikes),A vocal proponent of the “special relationship”, it emerged that Farage did not meet Donald Trump when he travelled to the US president’s Mar-a-Lago residence on Friday, according to a report in the FT, after suggesting he was expecting to meet with him,No 10 would not be drawn into revealing further details of Keir Starmer’s call with Donald Trump over the weekend,Asked about the call, the prime minister’s official spokesman said:double quotation markThe prime minister was asked about this this morning,He talked about how it’s really important to emphasise that the US and the UK are working together every single day.
He also emphasised the importance of acting in the national interest for British people.Pressed about whether Starmer and the US president spoke about the barrage of insults which Trump has launched towards him and the British government, the spokesman said:double quotation markI’m not going to go further than what you have got on the readout which we issued yesterday.The PM addressed some reactions about that this morning.Downing Street sources have characterised the call between the two leaders as “constructive”.Senior Labour MP Emily Thornberry, who was Keir Starmer’s shadow attorney general before the general election, has said she still backs the prime minister’s decision to not involve the UK in offensive actions on Iran (Starmer subsequently agreed to allow the US to strike Iran defensively from RAF Fairford in Gloucestershire and Diego Garcia, an island in the Indian Ocean).
Speaking to Sky News, Thornberry, who is chair of parliament’s foreign affairs committee, said:double quotation markIt is very, very unusual for a British prime minister to say no to an American president.I think that the last time it happened was (Harold) Wilson, so a long time ago.But it was right – it was right to say that we shouldn’t be involved in offensive action against Iran.Because there wasn’t a plan, because it isn’t in Britain’s interest and because it isn’t legal.And they didn’t even try to claim it was legal …I think it is now right that we try to protect our friends and our allies since Iran seems to be just attacking people ‘willy-nilly’.
Nigel Farage has invested in Kwasi Kwarteng’s bitcoin reserves company, as the leader of Reform UK aligns himself closer with the cryptocurrency industry,The MP has invested £215,000 in Stack BTC, the crypto business that is chaired by the former Conservative chancellor,Farage, who has long courted the UK’s crypto sector, said he was delighted to have “become an investor in Stack” and “lend my support to the team”,“I have long been one of the UK’s few political advocates for bitcoin, recognising the role digital currencies will play in the future of business and finance,” he said in a statement,“I believe that we can and should be a major global hub for the crypto industry.
”It comes as Reform, which has received £12m in political donations from the crypto billionaire Christopher Harborne, strengthens its ties with the sector.Last year it became the first main party in the UK to accept donations through bitcoin and other cryptocurrencies.Farage has also said he would allow people to pay their taxes with crypto and would set up a sovereign wealth fund of digital currency assets if he gained power.You can read the full story here:This policy paper on the changing fuel duty rates says the following:double quotation markAlongside other measures announced at Budget 2025 to address the cost of living, this measure continues to support motorists by freezing the current fuel duty rates until the end of August 2026.Rates will gradually return to March 2022 levels by March 2027, avoiding a 5 ppl increase in March 2026 when the cut was due to expire.
The planned increase in line with inflation for 2026 to 2027 is also being cancelled.This measure will save the average car driver £49 in 2026 to 2027 compared to previous plans.Rachel Reeves is under pressure to cancel the planned increase in fuel duty due in September which will cause drivers to pay more for petrol and diesel as the government rolls back a temporary cut that was introduced four years ago.In an interview with the Press Association, the Conservative party leader Kemi Badenoch suggested she would be pushing for an extension of the 5p cut to fuel duty in parliament.Asked about the vote she says she will put forward on Tuesday, she said:double quotation markLast week at the spring statement, Rachel Reeves said that the 5p cut on fuel duty would only last until September.
Given what we know about what is going on in the world, we should be extending that.So tomorrow, I’m going to be bringing in a vote so that we can have a say on keeping fuel duty low as much as possible.That’s the kind of measure that will actually help people with the cost of living.Lib Dems leader Ed Davey has said the planned visit by King Charles to the US next month should be cancelled after Donald Trump repeatedly insulted Britain over its response to the war on Iran.King Charles is due to visit the US in late April to commemorate 250 years since the country’s independence.
But Davey told LBC it would be “wrong” for Keir Starmer to advise the King to put himself into an “embarrassing situation” with the visit, which comes amid a low point in UK-US relations following Trump’s criticism of Starmer over the UK’s refusal to aid the offensive strikes on Iran.The Lib Dem leader said Trump damages the British economy with his tarrifs and said it is increasingly clear that the US president is “out of control”.‘Donald Trump is corrupt.He’s immoral.He's out of control.
’@EdwardJDavey spells out the rationale for cancelling Charles’ visit to the US.pic.twitter.com/cxxs8whxcDIn a post on X published yesterday, Davey said:double quotation markGiven Trump’s illegal war that is devastating the Middle East and pushing up energy bills, Keir Starmer should advise the King to call off April’s state visit to the US.A state visit should not be given to someone who repeatedly insults and damages our country.