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decide to do Prepare plans for budget has left keir starmer became even more “vulnerable” and more likely to face imminent attempt to oust him, Labor MPs have claimed.
Ministers and backbenchers react with dismay to news of plans to raise income tax was abandonedIt is shown claiming that “no one is in charge” of the government.
Independent Supporters of the Health Secretary are said to be Wes Streeting Still want him to replace Sir Keir At the coronation to get the Labor government back on track. One MP said the U-turn was more likely to lead to a coup, while a minister described the PM’s position as “weak”.
It is being claimed that Downing Street The Treasury overruled a planned income tax rise to buy Sir Keir time and prevent a coup attempt.
But the move may again backfire as a senior minister complained: “This has increased the sense of directionlessness.” Another minister said: “It seems as if no one is in charge anymore.”
Meanwhile, one minister disappointedly suggested that “the gilt markets are now under the control of the government.”
The decision on income tax got leaked The Financial Times It comes in the wake of a dreadful week for Downing Street where sources said Sir Keir was ready to fight off a plot to replace him with Mr Streeting.
Economists have warned that what appears to be a political decision will mean the government will not be able to build up enough of a buffer to protect the UK from further economic shocks – leaving it even more exposed.
Instead, the government is preparing to use a basket of smaller taxes to plug an estimated £20 billion spending black hole – such as those on gambling firms, banks and wealth worth £2 million or more.
the chancellor will also Borders reportedly stabilized for an additional two years and is considering a new levy on high-value properties among the measures to be announced on 26 November.
Mr Streeting has denied a plot to replace the Prime Minister, but the briefing – for which the controversial chief of staff was blamed Morgan McSweeneyThe decision to oust Sir Keir has been “brought forward”, sources have said – which the Prime Minister has denied.
A senior Labor leader said: “Now MPs are ready to move ahead immediately after the Budget.”
Another source said: “Wes doesn’t want to be seen as a knife-wielder but he wants the coronation.”
There are calculations by some MPs that if Sir Keir holds on until elections in Scotland and Wales in May and council elections in England, other rivals could prepare themselves for a leadership bid.
This could include Manchester Mayor Andy Burnham getting a seat in Parliament and former Deputy Prime Minister angela rainer He had ample time to recover from the tax scandal that led to his resignation.
One veteran Labor MP said Sir Keir’s leadership “was over long before this U-turn. He just didn’t realise”. He added: “Now they do, I really fear what they will do to stay. I fear it will cause irreparable damage.
“This looks like a crisis of democracy. Honestly, whoever was in power would have faced this. But clearly some political projects will withstand unrest better than others. It is sinking without a trace.
“Apparently Wes is busy moving colleagues out of the way and heading for the lifeboat. Alas, he’ll find that it too is on fire and has a hole in it.”
Meanwhile, aides to new deputy leader Lucy Powell, who was elected to replace Ms Rayner on the anti-Starmer ticket, are “really proving to be a handful” for Downing Street.
Aides point to the fact that the decision on income tax came just days after the party broke its manifesto promise and warned of interference against raising it or VAT or employee national insurance contributions.
However, the move has also been seen as a sign Embattled Chief of Staff Morgan McSweeney He is still in power despite many MPs demanding his resignation.
Mr McSweeney and Welfare Secretary Pat McFadden are said to have led internal opposition to the income tax rise, warning about a potential breach of trust with the electorate – even with National Insurance slashed in a so-called “two up, two down” policy to raise £6bn.
Sir Keir claimed he had been “assured” that no one in Downing Street was responsible for the briefing against Mr Keir. But it has led MPs to claim he is “too weak” to sack Mr McSweeney.
One MP said: “If he can’t sack McSweeney he has clearly lost control.”