LONDON — “Better than the last guy” might not be quite the tagline every world leader hopes for. It could yet be Rishi Sunak’s winning formula.
The British prime minister, swept into office late last year by wave after wave of Tory psychodrama, has cleared several major hurdles in the space of the past month. His success has even sparked a shocking rumor in Westminster that — whisper it — he might actually be quite good at his job.
That was the murmur among hopeful Conservative MPs ahead of this week’s U.K. budget, anyway — many of them buoyed by the PM’s recent moves on two long-running sources of angst in Westminster.
First came an apparent resolution to the intractable problem of post-Brexit trade arrangements in Northern Ireland. Sunak’s so-called Windsor Framework deal with Brussels landed to near-universal acclaim.
A week later, Sunak unveiled hard-hitting legislation to clamp down on illegal migration to the U.K., coupled with an expensive deal with France to increase patrols across the English Channel. Tory MPs were delighted. The Illegal Migration Bill sailed through parliament Monday night without a single vote of rebellion.
Then came Wednesday’s annual budget announcement, with Sunak hoping to complete an improbable hat trick.
It started well, with Chancellor Jeremy Hunt making the big reveal that the U.K. is no longer expected to enter recession this year, as had been widely predicted.
But a series of jaw-droppers in the budget small print show the scale of the challenge ahead.
The U.K.’s overall tax take remains sky-high by historic standards — an ominous bone of contention for skeptical Tory MPs and right-wing newspapers alike. Meanwhile, millions of Britons’ living standards continue to fall, thanks to high fuel bills and raging inflation. U.K. growth forecasts remain sluggish for years to come.
“He’s chalking up some wins,” observed one former party adviser grimly, “because he’s going to need them.”
‘Workmanlike’
Among all but the bitterest of Sunak’s Tory opponents, there is a palpable sense of relief about the way he has approached his premiership so far.
“It doesn’t mean everything will suddenly turn to gold,” said Conservative MP Richard Graham, a longtime Sunak-backer. “But like Ben Stokes and England’s cricket team, his quiet self-confidence may change what the same team believes is possible.”
Nicky Morgan, a Conservative peer and former Treasury minister, praised a “workmanlike” budget that would reassure voters and the party there was a “firm hand on the tiller” after the “turmoil” of the preceding year with two prime ministers stepping down, Boris Johnson and then Liz Truss.
UK Chancellor Jeremy Hunt meets children during a visit to Busy Bees Battersea Nursery in south London after delivering his Budget earlier in the day | Stefan Rousseau/POOL/AFP via Getty Images
Most of Wednesday’s biggest announcements, including an extra £4 billion for childcare and a decision to lift the cap on pensions allowances, were either trailed or leaked in advance. This may have made for a predictable budget speech, but as Morgan put it: “I think that’s probably what businesses and the public need at the moment.”
An ex-minister who did not originally support Sunak for leader said that the general tone of the budget, together with the Northern Ireland deal and small boats legislation, meant that “increasingly it’s hard for hostile voices to pin real failure on Rishi.”
Others, however, fear key announcements could yet unravel. An expensive change to pension taxes was instantly savaged by critics as a “giveaway for the 1 percent.” Headline-grabbing back-to-work programs and an expansion of free childcare will take years to kick in.
Hiking corporation tax was the “biggest mistake of the budget,” Truss ally and former Cabinet minister Jacob Rees-Mogg complained.
Doing the hard yards
Observers note that in the wake of the rolling chaos under Truss and Johnson, the bar for a successful government has been lowered.
“[Sunak] could stand at the podium and soil himself, and he’d be doing a better job than his predecessors,” noted one business group lobbyist on Wednesday evening, having watched budget day unfold.
But even Sunak’s fiercest critics praise his work rate and attention to detail, in sharp contrast to Johnson. Most accept — grudgingly — he has set up an effective Downing Street operation.
Having returned from his Paris summit last Friday evening, the PM kicked off budget week with a whirlwind trip to the west coast of California to launch a defense pact with the U.S. and Australia, arranging a bank bailout along the way. He landed back in the U.K. less than 24 hours before Hunt unveiled the annual spending plan.
“It turns out working like an absolute maniac and being forensic is quite useful,” one of his ministers said.
Another Tory MP added: “He’s got the brainpower and will do the hours. He’s not good at barnstorming politics or old school dividing lines — but he is good for the politics we have right now.”
There has also been a clear effort to run a tighter ship behind the scenes at No. 10. One veteran of Johnson’s Downing Street said the atmosphere seemed “calm” in comparison.
There are tentative signs that voters are starting to notice.
James Johnson, who ran a recent poll by JL Partners which showed Sunak’s personal ratings are on the up, said the PM’s growing reputation as a “fixer” seems to be behind his recent rally, and that the biggest increase on his polling scorecard was on his ability to “get things done.”
It remains to be seen if this will shift the dial on the Tory Party’s own disastrous ratings, however, which languish some 25 points behind the opposition Labour Party. “Voters have clearly lost trust in the Tories,” Johnson said. “But if government can deliver … I would expect it to feed through.”
Anthony Browne, a Tory MP elected in 2019, expressed hope that Sunak had begun “changing the narrative” which in turn “could restore our right to be heard.”
Trouble ahead?
Sunak will be well aware that plenty of recent budgets — not least Truss’ spectacular failure last September — have unraveled in the 72 hours after being announced.
And while expanding free childcare, incentivizing business investment and ending the lifetime pensions allowance were all crowd-pleasers for his own MPs, they were not enough to conceal worrying subheadings.
The tax take is predicted to reach a post-war high of 37.7 percent in the next five years, while disposable incomes are hit by fiscal drag pulling 3.2 million people into higher tax bands. Right-wing Tories are not impressed.
Ranil Jayawardena, founder of the Conservative Growth Group of backbench MPs, described it in a statement as “an effective income tax rise,” which will be “a concern to many.”
Net migration is set to rise to 245,000 a year by 2026-27, and will add more people to the labor force than all the measures intended to make it a “back to work” budget, according to the Whitehall’s fiscal watchdog, the Office for Budget Responsibility (OBR). The message is not one Conservative MPs want to hear.
Already singled out by Labour’s Keir Starmer as a “huge giveaway to the wealthiest,” scrapping the lifetime allowance on pensions will cost £835 million a year by 2027-28 while benefiting less than 4 percent of workers. Conservative MPs reply that NHS doctors are one of the main groups to benefit.
Perhaps most worrying of all, the government’s own budget expects living standards to fall by 6 percent this year and next — less than the 7 percent fall predicted in November but still the largest two-year fall since records began in the 1950s.
There are some problems that can’t be solved by pulling an all-nighter. Ironically for Sunak, whose career was made in the Treasury, his may prove to be the state of the U.K. economy.
Rosa Prince, Stefan Boscia and Dan Bloom contributed reporting.
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Esther Webber, Eleni Courea and Emilio Casalicchio
LONDON — It was clear when Boris Johnson was forced from Downing Street that British politics had changed forever.
But few could have predicted that less than six months later, all angry talk of a cross-Channel trade war would be a distant memory, with Britain and the EU striking a remarkable compromise deal over post-Brexit trade rules in Northern Ireland.
Private conversations with more than a dozen U.K. and EU officials, politicians and diplomats reveal how the Brexit world changed completely after Johnson’s departure — and how an “unholy trinity” of little-known civil servants, ensconced in a gloomy basement in Brussels, would mastermind a seismic shift in Britain’s relationship with the Continent.
They were aided by an unlikely sequence of political events in Westminster — not least an improbable change of mood under the combative Liz Truss; and then the jaw-dropping rise to power of the ultra-pragmatic Rishi Sunak. Even the amiable figure of U.K. Foreign Secretary James Cleverly would play his part, glad-handing his way around Europe and smoothing over cracks that had grown ever-wider since 2016.
As Sunak’s Conservative MPs pore over the detail of his historic agreement with Brussels — and await the all-important verdict of the Democratic Unionist Party of Northern Ireland — POLITICO has reconstructed the dramatic six-month shift in Britain’s approach that brought us to the brink of the Brexit deal we see today.
Bye-bye Boris
Johnson’s departure from Downing Street, on September 6, triggered an immediate mood shift in London toward the EU — and some much-needed optimism within the bloc about future cross-Channel relations.
For key figures in EU capitals, Johnson would always be the untrustworthy figure who signed the protocol agreement only to disown it months afterward.
In Paris, relations were especially poisonous, amid reports of Johnson calling the French “turds”; endless spats with the Elysée over post-Brexit fishing rights, sausages and cross-Channel migrants; and Britain’s role in the AUKUS security partnership, which meant the loss of a multi-billion submarine contract for France. Paris’ willingness to engage with Johnson was limited in the extreme.
Truss, despite her own verbal spats with French President Emmanuel Macron — and her famously direct approach to diplomacy — was viewed in a different light. Her success at building close rapport with negotiating partners had worked for her as trade secretary, and once she became prime minister, she wanted to move beyond bilateral squabbles and focus on global challenges, including migration, energy and the war in Ukraine.
“Boris had become ‘Mr. Brexit,’” one former U.K. government adviser said. “He was the one the EU associated with the protocol, and obviously [Truss] didn’t come with the same baggage. She had covered the brief, but she didn’t have the same history. As prime minister, Liz wanted to use her personal relationships to move things on — but that wasn’t the same as a shift in the underlying substance.”
Indeed, Truss was still clear on the need to pass the controversial Northern Ireland Protocol Bill, which would have given U.K. ministers powers to overrule part of the protocol unilaterally, in order to ensure leverage in the talks with the European Commission.
Truss also triggered formal dispute proceedings against Brussels for blocking Britain’s access to the EU’s Horizon Europe research program. And her government maintained Johnson’s refusal to implement checks on goods entering Northern Ireland from Great Britain, causing deep irritation in Brussels.
But despite the noisy backdrop, tentative contact with Brussels quietly resumed in September, with officials on both sides trying to rebuild trust. Truss, however, soon became “very disillusioned by the lack of pragmatism from the EU,” one of her former aides said.
“The negotiations were always about political will, not technical substance — and for whatever reason, the political will to compromise from the Commission was never there when Liz, [ex-negotiator David] Frost, Boris were leading things,” they said.
Former British Prime Minister Liz Truss announces her resignation outside 10 Downing Street in central London on October 20, 2022 | Daniel Leal/AFP via Getty Images
Truss, of course, would not be leading things for long. An extraordinary meltdown of the financial markets precipitated her own resignation in late October, after just six weeks in office. Political instability in Westminster once again threatened to derail progress.
But Sunak’s arrival in No. 10 Downing Street — amid warnings of a looming U.K. recession — gave new impetus to the talks. An EU official said the mood music improved further, and that discussions with London became “much more constructive” as a result.
David Lidington, a former deputy to ex-PM Theresa May who played a key role in previous Brexit negotiations, describes Sunak as a “globalist” rather than an “ultra-nationalist,” who believes Britain ought to have “a sensible, friendly and grown-up relationship” with Brussels outside the EU.
During his time as chancellor, Sunak was seen as a moderating influence on his fellow Brexiteer Cabinet colleagues, several of whom seemed happy to rush gung-ho toward a trade war with the EU.
“Rishi has always thought of the protocol row as a nuisance, an issue he wanted to get dealt with,” the former government adviser first quoted said.
One British officialsuggested the new prime minister’s reputation for pragmatism gave the U.K. negotiating team “an opportunity to start again.”
Sunak’s slow decision-making and painstaking attention to detail — the subject of much criticism in Whitehall — proved useful in calming EU jitters about the new regime, they added.
“When he came in, it wasn’t just the calming down of the markets. It was everyone across Europe and in the U.S. thinking ‘OK, they’re done going through their crazy stage,’” the same officialsaid. “It’s the time he takes with everything, the general steadiness.”
EU leaders “have watched him closely, they listened to what he said, and they have been prepared to trust him and see how things go,” Lidington noted.
Global backdrop
As months of chaos gave way to calm in London, the West was undergoing a seismic reorganization.
Russia’s large-scale invasion of Ukraine triggered a flurry of coordinated work for EU and U.K. diplomats — including sanctions, military aid, reconstruction talks and anti-inflation packages. A sense began to emerge that it was in both sides’ common interest to get the Northern Ireland protocol row out of the way.
“The war in Ukraine has completely changed the context over the last year,” an EU diplomat said.
A second U.K. official agreed. “Suddenly we realized that the 2 percent of the EU border we’d been arguing about was nothing compared to the massive border on the other side of the EU, which Putin was threatening,” they said. “And suddenly there wasn’t any electoral benefit to keeping this row over Brexit going — either for us or for governments across the EU.”
A quick glance at the electoral calendar made it clear 2023 offered the last opportunity to reach a deal in the near future, with elections looming for both the U.K. and EU parliaments the following year — effectively putting any talks on ice.
“Rishi Sunak would have certainly been advised by his officials that come 2024, the EU is not going to be wanting to take any new significant initiatives,” Lidington said. “And we will be in election mode.”
The upcoming 25th anniversary of the Belfast/Good Friday peace agreement on April 10 heaped further pressure on the U.K. negotiators, amid interest from U.S. President Joe Biden in visiting Europe to mark the occasion.
“The anniversary was definitely playing on people’s minds,” the first U.K. official said.“Does [Sunak] really want to be the prime minister when there’s no government in Northern Ireland on the anniversary of the Belfast/Good Friday Agreement?”
The pressure was ramped up further when Biden specifically raised the protocol in a meeting with Truss at the U.N. General Assembly in New York in late September, after which British officials said they expected the 25th anniversary to act as a “key decision point” on the dispute.
The King and I
Whitehall faced further pressure from another unlikely source — King Charles III, who was immediately planning a state visit to Paris within weeks of ascending the throne in September 2022. Truss had suggested delaying the visit until the protocol row was resolved, according to two European diplomats.
The monarch is now expected to visit Paris and Berlin at the end of March — and although his role is strictly apolitical, few doubt he is taking a keen interest in proceedings. He has raised the protocol in recent conversations with European diplomats, showing a close engagement with the detail.
One former senior diplomat involved in several of the king’s visits said that Charles has long held “a private interest in Ireland, and has wanted to see if there was an appropriately helpful role he could play in improving relations [with the U.K].”
By calling the deal the Windsor framework and presenting it at a press conference in front of Windsor Castle, one of the king’s residences, No. 10 lent Monday’s proceedings an unmistakable royal flavor.
The king also welcomed von der Leyen for tea at the castle following the signing of the deal. A Commission spokesperson insisted their meeting was “separate” from the protocol discussion talks. Tory MPs were skeptical.
Cleverly does it
The British politician tasked with improving relations with Brussels was Foreign Secretary Cleverly, appointed by Truss last September. He immediately began exploring ways to rebuild trust with Commission Vice-President and Brexit point-man Maroš Šefčovič, the second U.K. official cited said.
His first hurdle was a perception in Brussels that the British team had sabotaged previous talks by leaking key details to U.K. newspapers and hardline Tory Brexiteers for domestic political gain. As a result, U.K. officials made a conscious effort to keep negotiations tightly sealed, a No. 10 official said.
“The relationship with Maroš improved massively when we agreed not to carry out a running commentary” on the content of the discussions, the second U.K. official added.
This meant keeping key government ministers out of the loop, including Northern Ireland Minister Steve Baker, an arch-Brexiteer who had been brought back onto the frontbench by Truss.
British Foreign Secretary James Cleverly is welcomed by European Commission Vice-President Maroš Šefčovič ahead of a meeting at the EU headquarters in Brussels on February 17, 2023 | Kenzo Tribouillard/AFP via Getty Images
The first U.K. official said Baker would have “felt the pain,” as he had little to offer his erstwhile backbench colleagues looking for guidance while negotiations progressed, “and that was a choice by No. 10.”
Cleverly and Šefčovič “spent longer than people think just trying to build rapport,” the second U.K. officialsaid, with Cleverly explaining the difficulties the protocol was raising in Northern Ireland and Šefčovič insistent that key economic sectors were in fact benefiting from the arrangement.
Cleverly also worked at the bilateral relationship with German Foreign Minister Annalena Baerbock, while Sunak made efforts to improve ties with French President Emmanuel Macron, Lidington noted.
A British diplomat based in Washington said Cleverly had provided “a breath of fresh air” after the “somewhat stiff” manner of his predecessors, Truss and the abrasive Dominic Raab.
By the Conservative party conference in early October, the general mood among EU diplomats in attendance was one of expectation. And the Birmingham jamboree did not disappoint.
Sorry is the hardest word
Baker, who had once described himself as a “Brexit hard man,” stunned Dublin by formally apologizing to the people of Ireland for his past comments, just days before technical talks between the Commission and the U.K. government were due to resume.
“I caused a great deal of inconvenience and pain and difficulty,” he said. “Some of our actions were not very respectful of Ireland’s legitimate interests. I want to put that right.”
The apology was keenly welcomed in Dublin, where Micheál Martin, the Irish prime minister at the time, called it “honest and very, very helpful.”
Irish diplomats based in the U.K. met Baker and other prominent figures from the European Research Group of Tory Euroskeptics at the party conference, where Baker spoke privately of his “humility” and his “resolve” to address the issues, a senior Irish diplomat said.
“Resolve was the keyword,” the envoy said. “If Steve Baker had the resolve to work for a transformation of relationships between Ireland and the U.K., then we thought — there were tough talks to be had — but a sustainable deal was now a possibility.”
There were other signs of rapprochement. Just a few hours after Baker’s earth-shattering apology, Truss confirmed her attendance at the inaugural meeting in Prague of the European Political Community, a new forum proposed by Macron open to both EU and non-EU countries.
Sunak at the wheel
The momentum snowballed under Sunak, who decided within weeks of becoming PM to halt the passage of the Northern Ireland Protocol Bill in the House of Lords, reiterating Britain’s preference for a negotiated settlement. In exchange, the Commission froze a host of infringement proceedings taking aim at the way the U.K. was handling the protocol. This created space for talks to proceed in a more cordial environment.
An EU-U.K. agreement in early January allowed Brussels to start using a live information system detailing goods moving from Great Britain to Northern Ireland, seen as key to unlocking a wider agreement on physical checks under the protocol.
The U.K. also agreed to conduct winter technical negotiations in Brussels, rather than alternating rounds between the EU capital and London, as was the case when Frost served as Britain’s chief negotiator.
Trust continued to build. Suddenly the Commission was open to U.K. solutions such as the “Stormont brake,” a clause giving the Northern Ireland Assembly power of veto over key protocol machinations, which British officials did not believe Brussels would accept when they first pitched them.
The Stormont brake was discussed “relatively early on,” a third U.K. official said. “Then we spent a huge amount of effort making sure nobody knew about it. It was kept the most secret of secret things.”
Yet a second EU diplomat claimed the ideas in the deal were not groundbreaking and could have been struck “years ago” if Britain had a prime minister with enough political will to solve the dispute. “None of the solutions that have been found now is revolutionary,” they said.
An ally of Johnson described the claim he was a block on progress as “total nonsense.”
The ‘unholy trinity’
Away from the media focus, a group of seasoned U.K. officials began to engage with their EU counterparts in earnest. But there was one (not so) new player in town.
Tim Barrow, a former U.K. permanent representative to the EU armed with a peerless contact book, had been an active figure in rebuilding relations with the bloc since Truss appointed him national security adviser. He acquired a more prominent role in the protocol talks after Sunak dispatched him to Brussels in January 2023, hoping EU figures would see him as “almost one of them,” another adviser to Sunak said.
Ensconced in the EU capital, Barrow and his U.K. team of negotiators took over several meeting rooms in the basement of the U.K. embassy, while staffers were ordered to keep quiet about their presence.
Besides his work on Northern Ireland trade, Barrow began to appear in meetings with EU representatives about other key issues creating friction in the EU-U.K. relationship, including discussions on migration alongside U.K. Home Secretary Suella Braverman.
Barrow “positioned himself very well,” the first EU diplomat quoted above said. “He’s very close to the prime minister — everybody in Brussels and London knows he’s got his ear. He’s very knowledgeable while very political.”
But other British officials insist Barrow’s presence was not central to driving through the deal. “He has been a figure, but not the only figure,” the U.K. adviser quoted above said. “It’s been a lot of people, actually, over quite a period of time.”
When it came to the tough, detailed technical negotiations, the burden fell on the shoulders of Mark Davies — the head of the U.K. taskforce praised for his mastery of the protocol detail — and senior civil servant and former director of the Northern Ireland Office, Brendan Threlfall.
The three formed an “unholy trinity,” as described by the first U.K. official, with each one bringing something to the table.
Davies was “a classic civil servant, an unsung hero,”the official said, while Threlfall “has good connections, good understanding” and “Tim has met all the EU interlocutors over the years.”
Sitting across the table, the EU team was led by Richard Szostak, a Londoner born to Polish parents and a determined Commission official with a great CV and an affinity for martial arts. His connection to von der Leyen was her deputy head of cabinet until recently, Stéphanie Riso, a former member of Brussels’ Brexit negotiating team who developed a reputation for competence on both sides of the debate.
Other senior figures at the U.K. Cabinet Office played key roles, including Cabinet Secretary Simon Case and senior official Sue Gray.
The latter — a legendary Whitehall enforcer who adjudicated over Johnson’s “Partygate” scandal — has a longstanding connection to Northern Ireland, famously taking a career break in the late 1980s to run a pub in Newry, where she has family links. More recently, she spent two years overseeing the finance ministry.
Gray has been spotted in Stormont at crunch points over the past six months as Northern Ireland grapples with the pain of the continued absence of an executive.
Some predict Gray could yet play a further role, in courting the Democratic Unionist Party as the agreement moves forward in the weeks ahead.
For U.K. and EU officials, the agreement struck with Brussels represented months of hard work — but for Sunak and his Cabinet colleagues, the hardest yards may yet lie ahead.
This story was updated to clarify two parts of the sourcing.
LONDON — As nations around the world scramble to secure crucial semiconductor supply chains over fears about relations with China, the U.K. is falling behind.
The COVID-19 pandemic exposed the world’s heavy reliance on Taiwan and China for the most advanced chips, which power everything from iPhones to advanced weapons. For the past two years, and amid mounting fears China could kick off a new global security crisis by invading Taiwan, Britain’s government has been readying a plan to diversify supply chains for key components and boost domestic production.
Yet according to people close to the strategy, the U.K.’s still-unseen plan — which missed its publication deadline last fall — has suffered from internal disconnect and government disarray, setting the country behind its global allies in a crucial race to become more self-reliant.
A lack of experience and joined-up policy-making in Whitehall, a period of intense political upheaval in Downing Street, and new U.S. controls on the export of advanced chips to China, have collectively stymied the U.K.’s efforts to develop its own coherent plan.
The way the strategy has been developed so far “is a mistake,” said a former senior Downing Street official.
Falling behind
During the pandemic, demand for semiconductors outstripped supply as consumers flocked to sort their home working setups. That led to major chip shortages — soon compounded by China’s tough “zero-COVID” policy.
Since a semiconductor fabrication plant is so technologically complex — a single laser in a chip lithography system of German firm Trumpf has 457,000 component parts — concentrating manufacturing in a few companies helped the industry innovate in the past.
But everything changed when COVID-19 struck.
“Governments suddenly woke up to the fact that — ‘hang on a second, these semiconductor things are quite important, and they all seem to be concentrated in a small number of places,’” said a senior British semiconductor industry executive.
Beijing’s launch of a hypersonic missile in 2021 also sent shivers through the Pentagon over China’s increasing ability to develop advanced AI-powered weapons. And Russia’s invasion of Ukraine added to geopolitical uncertainty, upping the pressure on governments to onshore manufacturers and reduce reliance on potential conflict hotspots like Taiwan.
Against this backdrop, many of the U.K.’s allies are investing billions in domestic manufacturing.
The Biden administration’s CHIPS Act, passed last summer, offers $52 billion in subsidies for semiconductor manufacturing in the U.S. The EU has its own €43 billion plan to subsidize production — although its own stance is not without critics. Emerging producers like India, Vietnam, Singapore and Japan are also making headway in their own multi-billion-dollar efforts to foster domestic manufacturing.
US President Joe Biden | Samuel Corum/Getty Images
Now the U.K. government is under mounting pressure to show its own hand. In a letter to Prime Minister Rishi Sunak first reported by the Times and also obtained by POLITICO, Britain’s semiconductor sector said its “confidence in the government’s ability to address the vital importance of the industry is steadily declining with each month of inaction.”
That followed the leak of an early copy of the U.K.’s semiconductor strategy, reported on by Bloomberg, warning that Britain’s over-dependence on Taiwan for its semiconductor foundries makes it vulnerable to any invasion of the island nation by China.
Taiwan, which Beijing considers part of its territory, makes more than 90 percent of the world’s advanced chips, with its Taiwan Semiconductor Manufacturing Company (TSMC) vital to the manufacture of British-designed semiconductors.
U.S. and EU action has already tempted TSMC to begin building new plants and foundries in Arizona and Germany.
“We critically depend on companies like TSMC,” said the industry executive quoted above. “It would be catastrophic for Western economies if they couldn’t get access to the leading-edge semiconductors any more.”
Whitehall at war
Yet there are concerns both inside and outside the British government that key Whitehall departments whose input on the strategy could be crucial are being left out in the cold.
The Department for Digital, Culture, Media and Sport (DCMS) is preparing the U.K.’s plan and, according to observers, has fiercely maintained ownership of the project. DCMS is one of the smallest departments in Whitehall, and is nicknamed the ‘Ministry of Fun’ due to its oversight of sports and leisure, as well as issues related to tech.
“In other countries, semiconductor policies are the product of multiple players,” said Paul Triolo, a senior vice president at U.S.-based strategy firm ASG. This includes “legislative support for funding major subsidies packages, commercial and trade departments, R&D agencies, and high-level strategic policy bodies tasked with things like improving supply chain resilience,” he said.
“You need all elements of the U.K.’s capabilities. You need the diplomatic services, the security services. You need everyone working together on this,” said the former Downing Street official quoted above. “There are huge national security aspects to this.”
The same person said that relying on “a few [lower] grade officials in DCMS — officials that don’t see the wider picture, or who don’t have either capability or knowledge,” is a mistake.
For its part, DCMS rejected the suggestion it is too closely guarding the plan, with a spokesperson saying the ministry is “working closely with industry experts and other government departments … so we can protect and grow our domestic sector and ensure greater supply chain resilience.”
The spokesperson said the strategy “will be published as soon as possible.”
But businesses keen for sight of the plan remain unconvinced the U.K. has the right team in place for the job.
Key Whitehall personnel who had been involved in project have now changed, the executive cited earlier said, and few of those writing the strategy “have much of a background in the industry, or much first-hand experience.”
Progress was also sidetracked last year by lengthy deliberations over whether the U.K. should block the sale of Newport Wafer Fab, Britain’s biggest semiconductor plant, to Chinese-owned Nexperia on national security grounds, according to two people directly involved in the strategy. The government eventually announced it would block the sale in November.
And while a draft of the plan existed last year, it never progressed to the all-important ministerial “write-around” process — which gives departments across Whitehall the chance to scrutinize and comment upon proposals.
Waiting for budget day
Two people familiar with current discussions about the strategy said ministers are now aiming to make their plan public in the run-up to, or around, Chancellor Jeremy Hunt’s March 15 budget statement, although they stressed that timing could still change.
Leaked details of the strategy indicate the government will set aside £1 billion to support chip makers. Further leaks indicate this will be used as seed money for startups, and for boosting existing firms and delivering new incentives for investors.
U.K. Chancellor Jeremy Hunt | Leon Neal/Getty Images
There is wrangling with the Treasury and other departments over the size of these subsidies. Experts also say it is unlikely to be ‘new’ money but diverted from other departments’ budgets.
“We’ll just have to wait for something more substantial,” said a spokesperson from one semiconductor firm commenting on the pre-strategy leaks.
But as the U.K. procrastinates, key British-linked firms are already being hit by the United States’ own fast-evolving semiconductor strategy. U.S. rules brought in last October — and beefed up in recent days by an agreement with the Netherlands — are preventing some firms from selling the most advanced chip designs and manufacturing equipment to China.
British-headquartered, Japanese-owned firm ARM — the crown jewel of Britain’s semiconductor industry, which sells some designs to smartphone manufacturers in China — is already seeing limits on what it can export. Other British firms like Graphcore, which develops chips for AI and machine learning, are feeling the pinch too.
“The U.K. needs to — at pace — understand what it wants its role to be in the industries that will define the future economy,” said Andy Burwell, director for international trade at business lobbying group the CBI.
Where do we go from here?
There are serious doubts both inside and outside government about whether Britain’s long-awaited plan can really get to the heart of what is a complex global challenge — and opinion is divided on whether aping the U.S. and EU’s subsidy packages is either possible or even desirable for the U.K.
A former senior government figure who worked on semiconductor policy said that while the U.K. definitely needs a “more coherent worked-out plan,” publishing a formal strategy may actually just reveal how “complicated, messy and beyond our control” the issue really is.
“It’s not that it is problematic that we don’t have a strategy,” they said. “It’s problematic that whatever strategy we have is not going to be revolutionary.” They described the idea of a “boosterish” multi-billion-pound investment in Britain’s own fabricator industry as “pie in the sky.”
The former Downing Street official said Britain should instead be seeking to work “in collaboration” with EU and U.S. partners, and must be “careful to avoid” a subsidy war with allies.
The opposition Labour Party, hot favorites to form the next government after an expected 2024 election, takes a similar view. “It’s not the case that the U.K. can do this on its own,” Shadow Foreign Secretary David Lammy said recently, urging ministers to team up with the EU to secure its supply of semiconductors.
One area where some experts believe the U.K. may be able to carve out a competitive advantage, however, is in the design of advanced semiconductors.
“The U.K. would probably be best placed to pursue support for start-up semiconductor design firms such as Graphcore,” said ASG’s Triolo, “and provide support for expansion of capacity at the existing small number of companies manufacturing at more mature nodes” such as Nexperia’s Newport Wafer Fab.
Ministers launched a research project in December aimed at tapping into the U.K. semiconductor sector’s existing strength in design. The government has so far poured £800 million into compound semiconductor research through universities, according to a recent report by the House of Commons business committee.
But the same group of MPs wants more action to support advanced chip design. Burwell at the CBI business group said the U.K. government must start “working alongside industry, rather than the government basically developing a strategy and then coming to industry afterwards.”
Right now the government is “out there a bit struggling to see what levers they have to pull,” said the senior semiconductor executive quoted earlier.
Under World Trade Organization rules, governments are allowed to subsidize their semiconductor manufacturing capabilities, the executive pointed out. “The U.S. is doing it. Europe’s doing it. Taiwan does it. We should do it too.”
This story has been updated. Cristina Gallardo contributed reporting.
LONDON — Public sector workers on strike, the cost-of-living climbing, and a government on the ropes.
“It’s hard to miss the parallels” between the infamous ‘Winter of Discontent’ of 1978-79 and Britain in 2023, says Robert Saunders, historian of modern Britain at Queen Mary, University of London.
Admittedly, the comparison only goes so far. In the 1970s it was a Labour government facing down staunchly socialist trade unions in a wave of strikes affecting everything from food deliveries to grave-digging, while Margaret Thatcher’s Conservatives sat in opposition and awaited their chance.
But a mass walkout fixed for Wednesday could yet mark a staging post in the downward trajectory of Rishi Sunak’s Conservatives, just as it did for Callaghan’s Labour.
Britain is braced for widespread strike action Wednesday, as an estimated 100,000 civil servants from government departments, ports, airports and driving test centers walk out alongside hundreds of thousands of teachers across England and Wales, train drivers from 14 national operators and staff at 150 U.K. universities.
It follows rolling action by train and postal workers, ambulance drivers, paramedics, and nurses in recent months. In a further headache for Sunak, firefighters on Monday night voted to walk out for the first time in two decades.
While each sector has its own reasons for taking action, many of those on strike are united by the common cause of stagnant pay, with inflation still stubbornly high. And that makes it harder for Sunak to pin the blame on the usual suspects within the trade union movement.
Mr Reasonable
Industrial action has in the past been wielded as a political weapon by the Conservative Party, which could count on a significant number of ordinary voters being infuriated by the withdrawal of public services.
Tories have consequently often used strikes as a stick with which to beat their Labour opponents, branding the left-wing party as beholden to its trade union donors.
Sunak has so far attempted to cast himself as Mr Reasonable, stressing that his “door is always open” to workers but warning that the right to strike must be “balanced” with the provision of services. To this end, he is pressing ahead with long-promised legislation to enforce minimum service standards in sectors hit by industrial action.
Sunak has made tackling inflation the raison d’etre of his government, and his backbenchers are reasonably content to rally behind that banner | POOL photo by Oli Scarff/Getty Images
Unions are enraged by the anti-strike legislation, yet Sunak’s soft-ish rhetoric is still in sharp relief to the famously bellicose Thatcher, who pledged during the 1979 strikes that “if someone is confronting our essential liberties … then, by God, I will confront them.”
Sunak’s careful approach is chosen at least in part because the political ground has shifted beneath him since the coronavirus pandemic struck in 2020.
Public sympathy for frontline medical staff, consistently high in the U.K., has been further embedded by the extreme demands placed upon nurses and other hospital staff during the pandemic. And inflation is hitting workers across the economy — not just in the public sector — helping to create a broader reservoir of sympathy for strikers than has often been found in the past.
James Frayne, a former government adviser who co-founded polling consultancy Public First, observes: “Because of the cost-of-living crisis, what you [as prime minister] can’t do, as you might be able to do in the past, is just portray this as being an ideologically-driven strike.”
Starmer’s sleight of hand
At the same time, strikes are not the political headache for the opposition Labour Party they once were.
Thatcher was able to portray Callaghan as weak when he resisted the use of emergency powers against the unions. David Cameron was never happier than when inviting then-Labour leader Ed Miliband to disown his “union paymasters,” particularly during the last mass public sector strike in 2011.
Crucially, trade union votes had played a key role in Miliband’s election as party leader — something the Tories would never let him forget. But when Sunak attempts to reprise Cameron’s refrains against Miliband, few seem convinced.
QMUL’s Saunders argues that the Conservatives are trying to rerun “a 1980s-style campaign” depicting Labour MPs as being in the pocket of the unions. But “I just don’t think this resonates with the public,” he added.
Labour’s current leader, Keir Starmer, has actively sought to weaken the left’s influence in the party, attracting criticism from senior trade unionists. Most eye-catchingly, Starmer sacked one of his own shadow ministers, Sam Tarry, after he defied an order last summer that the Labour front bench should not appear on picket lines.
Starmer has been “given cover,” as one shadow minister put it, by Sunak’s decision to push ahead with the minimum-service legislation. It means Labour MPs can please trade unionists by fighting the new restrictions in parliament — without having to actually stand on the picket line.
So far it seems to be working. Paul Nowak, general secretary of the Trades Union Congress, an umbrella group representing millions of U.K. trade unionists, told POLITICO: “Frankly, I’m less concerned about Labour frontbenchers standing up on picket lines for selfies than I am about the stuff that really matters to our union” — namely the government’s intention to “further restrict the right to strike.”
The TUC is planning a day of action against the new legislation on Wednesday, coinciding with the latest wave of strikes.
Sticking to their guns
For now, Sunak’s approach appears to be hitting the right notes with his famously restless pack of Conservative MPs.
Sunak has made tackling inflation the raison d’etre of his government, and his backbenchers are reasonably content to rally behind that banner.
As one Tory MP for an economically-deprived marginal seat put it: “We have to hold our nerve. There’s a strong sense of the corner (just about) being turned on inflation rising, so we need to be as tough as possible … We can’t now enable wage increases that feed inflation.”
Another agreed: “Rishi should hold his ground. My guess is that eventually people will get fed up with the strikers — especially rail workers.”
Furthermore, Public First’s Frayne says his polling has picked up the first signs of an erosion of support for strikes since they kicked off last summer, particularly among working-class voters.
“We’re at the point now where people are feeling like ‘well, I haven’t had a pay rise, and I’m not going to get a pay rise, and can we all just accept that it’s tough for everybody and we’ve got to get on with it,’” he said.
More than half (59 percent) of people back strike action by nurses, according to new research by Public First, while for teachers the figure is 43 percent, postal workers 41 percent and rail workers 36 percent.
‘Everything is broken’
But the broader concern for Sunak’s Conservatives is that, regardless of whatever individual pay deals are eventually hammered out, the wave of strikes could tap into a deeper sense of malaise in the U.K.
Inflation remains high, and the government’s independent forecaster predicted in December that the U.K. will fall into a recession lasting more than a year.
More than half (59 percent) of people back strike action by nurses, according to new research by Public First, while for teachers the figure is 43 percent, postal workers 41 percent and rail workers 36 percent | Joseph Prezioso/AFP via Getty Images
Strikes by ambulance workers only drew more attention to an ongoing crisis in the National Health Service, with patients suffering heart attacks and strokes already facing waits of more than 90 minutes at the end of 2022.
Moving around the country has been made difficult not only by strikes, but by multiple failures by rail providers on key routes.
One long-serving Conservative MP said they feared a sense of fatalism was setting in among the public — “the idea that everything is broken and there’s no point asking this government to fix it.”
A former Cabinet minister said the most pressing issue in their constituency is the state of public services, and strike action signaled political danger for the government. They cautioned that the public are not blaming striking workers, but ministers, for the disruption.
Those at the top of government are aware of the risk of such a narrative taking hold, with the chancellor, Jeremy Hunt, taking aim at “declinism about Britain” in a keynote speech Friday.
Whether the government can do much to change the story, however, is less clear.
Saunders harks back to Callaghan’s example, noting that public sector workers were initially willing to give the Labour government the benefit of the doubt, but that by 1979 the mood had fatally hardened.
This is because strikes are not only about falling living standards, he argues. “It’s also driven by a loss of faith in government that things are going to get better.”
With an election looming next year, Rishi Sunak is running out of time to turn the public mood around.
Annabelle Dickson and Graham Lanktree contributed reporting.
Rishi Sunak has fired Conservative Party chairman Nadhim Zahawi over a “serious breach” of U.K. government ethics rules relating to his tax affairs.
Zahawi has been hit by weeks of damaging headlines over an investigation into his personal taxes carried out by HM Revenue and Customs.
The party chairman and Cabinet Office minister was hit by a penalty from the tax authority while serving as a senior minister, with media reports putting the total charge at £4.8 million. An independent probe, ordered by Sunak and published Sunday morning, concluded Zahawi had not been sufficiently transparent about his private dealings with the tax authority when accepting a succession of senior ministerial roles.
In a letter to Zahawi confirming his sacking, Sunak said he had vowed to put “integrity, professionalism and accountability at every level” of his administration, and that the investigation by the government’s ethics watchdog Laurie Magnus had found “a serious breach of the Ministerial Code.”
“As a result, I have informed you of my decision to remove you from your position in His Majesty’s Government,” Sunak said.
No.10 also published Magnus’ letter to Sunak, setting out the findings of his short investigation. The ethics chief said that while Zahawi had “provided his full and open cooperation” with his own inquiry, he had shown “insufficient regard” for the ministerial code, and in particular, its requirement to be “honest, open and an exemplary leader.”
Zahawi had, Magnus concluded, failed to declare the HMRC investigation when he became Boris Johnson’s chancellor in July last year; failed to update his declaration of ministerial interests when he settled with HMRC last September; and failed to disclose the nature of the HMRC probe and penalty when Sunak was forming his own government in October 2022, “including to Cabinet Office officials who support that process.”
“Without knowledge of that information, the Cabinet Office was not in a position to inform the appointing Prime Minister,” Magnus concluded.
Zahawi hits out at press
In his reply to the prime minister, Zahawi — who served as U.K. vaccines minister as Johnson’s government vied to get COVID-19 under control — said it had been, “after being blessed with my loving family, the privilege of my life to serve in successive governments and make what I believe to have been a tangible difference to the country I love.”
Zahawi’s own letter made no mention whatsoever of his tax affairs and instead attacked the media, saying he is “concerned” about “the conduct from some of the fourth estate in recent weeks.”
“In a week when a Member of Parliament was physically assaulted, I fail to see how one headline on this issue ‘The Noose Tightens’ reflects legitimate scrutiny of public officials,” he said, referring to the front page of the Independent newspaper, whose reporting helped bring the tax investigation to light.
The sacking was seized on by the opposition Labour Party, with Shadow Education Secretary Bridget Phillipson arguing that Sunak had taken too long to act, and is a prime minister “trying to manage his MPs, rather than govern in the national interest.”
“It’s vital that we now get answers to what Rishi Sunak knew and when did he know it,” she added. “We need to see all the papers, not just have the prime minister’s role in this brushed under the carpet.”
Iran executed a former deputy Iranian defense minister, who was a British-Iranian, on allegations of spying for British intelligence, marking the first execution of a prominent official in over a decade in a clear sign of deteriorating relations with the West.
Alireza Akbari, a 61-year-old British-Iranian dual national, was executed for spying on behalf of the U.K., an accusation he had always denied since he was arrested in Iran in 2019.
Akbari was accused of “harming the country’s internal and external security by passing on intelligence,” an activity he carried out between 2004 and 2009 and for which he would have received a payment of over €2 million, the judiciary’s official news outlet Mizan said.
U.K. Prime Minister Rishi Sunak called the execution a “callous and cowardly act, carried out by a barbaric regime.”
Akbari’s death would “not stand unchallenged,” said U.K. Foreign Secretary James Cleverly, in a statement that prompted Persian authorities to summon the British ambassador in Teheran.
BBC Persian aired an audio message from Akbari earlier this week in which the inmate said he had been tortured and forced to confess crimes on camera he hadn’t committed — something that human rights NGO Amnesty International is now urging London to investigate.
Maryam Samadi, Akbari’s wife, said she was “just shocked,” in a phone interview with the New York Times on Friday. “We saw no reason or indication for the charges,” she said. “We could have never imagined this, and I don’t understand the politics behind it.”
The U.K. Foreign Office is now seeking the possibility of giving asylum to Akbari’s family, considered at risk, but that’s proving difficult, as the country does not recognize dual nationality for its citizens.
LONDON (AP) — King Charles III evoked memories Sunday of his late mother, Queen Elizabeth II, as he broadcast his first Christmas message as monarch in a speech that also paid tribute to the “selfless dedication” of Britain’s public service workers, many of whom are in a fight with the government over pay.
Charles, 74, also empathized in the prerecorded message with people struggling to make ends meet “at a time of great anxiety and hardship.” Like some other parts of the world, the U.K. is wrestling with high inflation that has caused a cost-of-living crisis for many households.
The king’s first remarks, however, recalled his mother, who died in September at age 96 after 70 years on the throne.
“Christmas is a particularly poignant time for all of us who have lost loved ones,” Charles said. “We feel their absence that every familiar turn of the season and remember them in each cherished tradition.”
Charles immediately ascended to the throne upon the queen’s death. His coronation ceremony is scheduled for May.
For his televised Christmas message, he wore a dark blue suit. Unlike Elizabeth, who often sat at a desk to deliver the annual speech, Charles stood by a Christmas tree at St. George’s Chapel, a church on the grounds of Windsor Castle where his mother and his father, Prince Philip, were buried.
Charles said he shared with his mother “a belief in the extraordinary ability of each person to touch, with goodness and compassion, the lives of others and to shine a light in the world around them.”
“The essence of our community and the very foundation of our society” can be witnessed in “health and social care professionals and teachers and indeed all those working in public service whose skill and commitment are at the heart of our communities,” the king said.
Strikes this month by nurses, ambulance crews, teachers, postal workers and train drivers have put pressure on U.K. Prime Minister Rishi Sunak’s government. Opinion polls show a high level of support for the workers, especially nurses. Unions are seeking pay raises in line with inflation, whch stood at 10.7% in November.
Soaring food and energy prices in the wake of the COVID-19 pandemic and Russia’s invasion of Ukraine have created financial strains for many individuals and families.
Speaking over video footage of food banks and other charity work, Charles expressed sympathy for “those at home finding ways to pay their bills and keep their families fed and warm.”
Charles also reached out to people of other faiths in the United Kingdom and across the British Commonwealth, saying the meaning of Jesus Christ’s birth crosses “the boundaries of faith and belief.”
Charles believes the monarchy can help to unite his country’s increasingly diverse ethnic groups and faiths. It is part of his effort to show that the institution still has relevance.
The six-minute message concluded with an appeal to heed “the everlasting light” which, Charles said, was a key aspect of Elizabeth’s faith in God and belief in people.
“So whatever faith you have or whether you have none, it is in this life-giving light and with the true humility that lies in our service to others that I believe we can find hope for the future,” he said.
The king made no reference to the recent clamor over this month’s Netflix documentary series about the acrimonious split from the royal family that accompanied the decision of his son Prince Harry and daughter-in-law Meghan to step back from royal duties and move across the Atlantic Ocean.
Video footage accompanying the Christmas message showed working members of the royal family at official events. Harry and Meghan didn’t appear, nor did Prince Andrew, who was stripped of his honorary military titles and removed as a working royal over his friendship with the notorious U.S. sex offender Jeffrey Epstein.
Andrew did, however, join Charles and other senior royals for a Christmas morning walk to a church located near the family’s Sandringham Estate in Norfolk county England.
The king and his wife, Queen Consort Camilla, led family members to a service at St. Mary Magdalene Church. They included Prince William, Charles’ older son and heir to the throne, and William’s wife, Kate, and the couple’s three children, Prince George, 9, Princess Charlotte, 7, and Prince Louis, 4.
Joining them on the walk was Charles and Andrew’s younger brother, Prince Edward, and his wife, Sophie.
After the family entered the church, congregants sang “God Save the King” followed by the Christmas hymn “O Come, All Ye Faithful.”
Sandringham has been the private country home of four generations of British monarchs for more than 160 years, but this was the royal family’s first Christmas there since 2019, according to Britain’s Press Association news agency.
Elizabeth spent her last two Christmases at Windsor Castle because of the COVID-19 pandemic. Crowds lined the streets near Sandringham to greet the royal family Sunday for its return to the holiday tradition.
“It will be in King Charles’ thoughts about his mother, about her legacy. They will be thinking about it over Christmas,” said John Loughrey, 67, who lives in south London and camped out overnight to be first in line. “It’s going to be a sad time and a happy time for them. That’s how it’s got to be.”
U.S. President Joe Biden is poised to name former Congressman Joe Kennedy as special envoy to Northern Ireland.
The 42 year-old politician, who hails from the Kennedy political dynasty, will fill the post which has been vacant since January 2021 when Donald Trump’s former White House chief of staff Mick Mulvaney stepped down from the role.
It comes at a sensitive time for Northern Ireland, which has been without a sitting executive, and has found itself at the center of a standoff between the U.K. and the EU over Brexit trade arrangements.
Kennedy is the grandson of former U.S. Senator and Attorney General Robert Kennedy who was assassinated in 1968. He represented Massachusetts in Congress between 2013 and 2021. He chose not to run for the U.S. House of Representatives in the 2020 elections, instead challenging Senator Ed Markey for his seat in the U.S. Senate. But in a blow to his political career, he lost the Democratic primary contest to Markey, paving the way for his exit from frontline politics.
Two officials told POLITICO that an announcement is imminent from the White House. From January, new rules mean that all special envoy roles must be approved by the U.S. Senate — a procedural requirement that could delay any appointment.
Negotiations are continuing between British and EU officials over the Northern Ireland protocol — the part of the Brexit agreement that deals with trade between Great Britain and Northern Ireland.
Unionists, who support Northern Ireland’s status as part of the U.K., oppose the protocol which they say erects barriers between Great Britain and Northern Ireland. But the EU argues that the British government committed to the arrangement which is now set out in international law during earlier negotiations, and that the protocol preserves Northern Ireland’s place in the EU’s single market.
On Thursday, British Foreign Secretary James Cleverly met European Commission Vice President Maroš Šefčovič for high-level talks in Brussels on the protocol, amid indications that a deal could be agreed by February next year.
LONDON — British MPs have defended taking gifts paid for by the Qatari government as a corruption scandal in Brussels shines the spotlight on lobbying by the country ahead of the World Cup.
The Qatari government spent more than £260,000 in gifts, hospitality and travel on British MPs since October last year.
Human rights campaigners have criticized the access afforded to the Qatari government following the arrest of European Parliament Vice President Eva Kaili and three others in connection with an alleged illicit influence campaign by Qatar. A series of raids by the Belgian federal police resulted in the detention of five people they said had committed “alleged offenses of criminal organization, corruption and money laundering,” and yielded €600,000 in cash, plus phones and computers.
All the trips by MPs were declared in accordance with parliamentary rules but human rights campaigners have questioned their legitimacy.
Sacha Deshmukh, Amnesty International UK’s chief executive, said: “No politician should be taking money or lavish trips from Qatar. Instead, they should be speaking out against the regime’s extensive human rights violations.”
Rose Whiffen, research officer for Transparency International U.K., said: “MPs should ask themselves why governments with poor human rights records are offering them paid foreign trips before deciding whether it is right to accept them.”
While there is no evidence of bribes to U.K. MPs, some MPs who received benefits from the Gulf state currently hosting the FIFA World Cup have been criticized for initiating debates in which they praised Qatar’s record on human rights in the House of Commons.
Alun Cairns, a former Cabinet minister and chair of the Qatar all-party parliamentary group (APPG), put forward a debate about the country in the House of Commons in October in which he hailed its progress on human rights in a lengthy speech. He cited Nelson Mandela’s words that “sport can change the world” and spoke of “the importance of bringing together cultures to better understand, influence and progress” so that “each nation respects, sees and supports human rights.”
Analysis by POLITICO as part of a wider investigation into APPGs showed Cairns visited Qatar twice in 2022 on trips worth a total of £9,323 including flights, accommodation and meals.
David Mundell, another former Cabinet minister and vice-chair of the Qatar APPG, said in the same debate, referring to criticism of Qatar’s record on gay rights: “Many of the people who have voiced opinions on this issue should also focus their energies on the handling of LGBT issues in professional football in the U.K.”
Mundell made one visit to Qatar last year worth more than £7,000.
Lisa Cameron, an SNP MP who is another vice-chair of the Qatar APPG, said that “understanding of [mental health issues] is progressing right across the world, including in Qatar.” She made one visit this year worth £3,865.
In total, 36 MPs have accepted the hospitality of the Qatari government since October last year, with three MPs receiving benefits worth more than £13,000 each. The average trip was worth £5,922.70.
Deputy Commons Speaker Nigel Evans received the largest total, despite his position which precludes him from speaking in any debates or putting forward questions.
These MPs rarely voiced criticism of Qatar. Conservative Mark Pritchard raised questions about their funding of the Eritrean regime back in 2010 before he began accepting their hospitality, and Labour’s Chris Bryant has condemned the decision to hold the World Cup in Qatar after saying he regretted taking their money.
Analysis of the APPG records showed the group was composed of only six to ten parliamentarians from 2015 to 2021, when membership increased to 14 and then again to 17 this year.
Eight MPs in receipt of benefits from the Qataris are members of the APPG, while several others declared “APPG business” as the reason for their visits despite not being registered members of the APPG.
MPs who responded to requests for comment defended their actions as a way of holding Qatar to account.
Doyle-Price said: “It is precisely to challenge them on their human rights record that we go on these trips … If we are going to moralize at Qatar we should be a bit more honest with ourselves about our own shortcomings.”
Furniss said she went there “in order to have full and frank discussions with political leaders on their human rights record” and added she was “disappointed by the lack of progress.”
Bryant noted that MPs attended a center for Afghan refugees and that they “forcefully put our human rights concerns to the Qatari authorities.” However, he added that “they didn’t want to listen and it all felt wrong,” which led him to conclude he should not have gone.
The MPs’ code of conduct stipulates they may not initiate any parliamentary proceeding that “would have the effect of conferring any financial or material benefit on a foreign government … which has, within the previous six months, funded a visit they have undertaken or provided them with hospitality.”
Cairns’ initiation of a debate on Qatar in October after his visit in March appears to fall just outside the six-month rule. He did not respond to a request for comment.
Earlier this week MPs backed proposals to strengthen the code of conduct including a requirement to “avoid placing themselves under any obligation to people or organizations that might try inappropriately to influence them in their work.”
Foreign Secretary James Cleverly and Sport and Equalities Minister Stuart Andrew have attended World Cup games in Qatar, though there is no suggestion their trips were funded by the organizers.
In the U.K., declarations by MPs setting out gifts they have accepted and their business interests can be completed up to 28 days later and so the rules have not required MPs accepting hospitality during the World Cup to declare it yet.
After six years of chaos and recrimination since Britons voted to leave the European Union, there are signs the country is showing an unexpected outbreak of common sense in its approach to the bloc.
In his first weeks in office, Prime Minister Rishi Sunak — a Brexiteer himself — has sent clear signals that he wants a more constructive relationship with Brussels and Paris, and to avoid a trade war with Britain’s biggest economic partner.
Gone are the nationalist bombast of former Prime Minister Boris Johnson and the sheer havoc wrought by his successor Liz Truss crashing the economy in pursuit of a Brexit dividend. Instead, they have both given way to a sudden burst of pragmatism, as Sunak is seeking practical solutions to festering problems.
This change in outlook may be partly due to the realization that Europe needs to stand united in the face of a threat to its common security from Russian President Vladimir Putin — although that hadn’t stopped Johnson from bragging about how leaving the EU had supposedly freed the United Kingdom to be more supportive of Ukraine than France or Germany.
It may also be due to the dire economic straits Britain is in after the collapse of Truss’ short-lived experiment for a deregulated, low-tax Singapore-on-the-Thames. Or, perhaps, German Chancellor Olaf Scholz’s hard line on any EU deal with the U.K. has had a sobering effect. As may have the shift in British public opinion, which now thinks leaving the bloc was a mistake by a margin of 56 percent to 32 percent.
For whatever reason, it is a welcome start.
In just three weeks, Sunak has signed up to an EU defense initiative to make it easier to move armed forces around the Continent, he’s acted to improve Britain’s relations with Ireland, and he’s created political space for a possible compromise on the vexed issue of trade with Northern Ireland, which has bedeviled relations with Brussels since the U.K.’s exit from the EU.
At their first meeting, Sunak told United States President Joe Biden that he wants to have a negotiated settlement on the Northern Ireland Protocol in place by next April — the 25th anniversary of the Good Friday peace agreement. So, sustained pressure from Washington is starting to pay off as well.
The prime minister has also sought to thaw frosty relations with France, clinching an agreement with Paris to clamp down on migrants crossing the Channel from northern France in small boats. Europe’s only two nuclear powers have now agreed to hold their first bilateral summit since 2018 early next year, focusing on strengthening defense cooperation.
To be fair, after saying “the jury is still out” on whether Macron was a friend or foe of the U.K., Truss had already taken a symbolic first step toward reconciliation by agreeing to attend the first meeting of the European Political Community last month. The geopolitical grouping was dreamed up by Macron to bring the entire European family together — except Russia and Belarus.
What’s more, the torrent of Europe-bashing rhetoric from Conservative ministers has almost dried up — at least for now. Suddenly, making nice with the neighbors is back in fashion, if only to ensure they don’t turn the lights off on the U.K. by cutting energy exports when supplies get tight this winter.
The tone of contrition adopted by Northern Ireland Minister Steve Baker, once the hardest of Brexit hardliners, was one of the most striking signals of this new humility. “I recognize in my own determination and struggle to get the U.K. out of the European Union that I caused a great deal of inconvenience and pain and difficulty,” he told Ireland’s RTÉ radio recently. “Some of our actions were not very respectful of Ireland’s legitimate interests. And I want to put that right.”
Meanwhile, encouragingly, Sunak is reportedly considering deprioritizing a bill by ousted Brexit ideologue Jacob Rees-Mogg to review, reform or automatically scrap some 2,400 retained EU laws, standards and regulations by the end of 2023 — a massive bureaucratic exercise that has rattled business confidence and angered almost everyone. The prime minister now seems receptive to pleas from business to give the review much more time and avoid a regulatory vacuum.
A bonfire of EU rules would inevitably provoke new trade tensions with Brussels — and at a time when the Office of Budget Responsibility, Britain’s independent fiscal watchdog, has just confirmed the growth-shredding damage inflicted by Brexit.
This isn’t the end of Britain’s traumatic rupture with the bloc. Just how neuralgic the issue remains was highlighted when earlier this week, Sunak had to deny reports that senior government figures were considering a Swiss-style relationship with the EU to ensure frictionless trade. He vowed there would be no alignment with EU rules on his watch.
To paraphrase Churchill, it may not even be the beginning of the end. But it is, perhaps, the end of the beginning.
Puncturing the illusion of a deregulated fiscal paradise fueled by borrowing without new revenue has had a sobering effect on the U.K. — offering Sunak a political window of opportunity to start fixing EU ties. After all, the Conservative Party can’t afford to defenestrate yet another prime minister after Theresa May, Johnson and Truss, can it?
But beyond the conciliatory tone, the real test still lies ahead.
Sunak will have to confront the hard-line Protestant Democratic Unionist Party (DUP) to push through any compromise with the EU on the Northern Ireland Protocol.
As the province remains part of the EU single market under the withdrawal treaty, any such deal is bound to involve some customs checks in Northern Ireland on goods arriving from Great Britain — even if they are scaled down from the original plan. It’s also bound to involve a role for the Court of Justice of the European Union as the ultimate arbiter of EU law. Both are anathema to the DUP.
But securing such an agreement would at least open the door to a calmer, more cooperative and sustainable relationship between London and Brussels.
LONDON (AP) — The U.K fell silent for two minutes on Remembrance Sunday as King Charles III led the nation in honoring servicemen and women who lost their lives in past conflicts.
Big Ben chimed 11 times to mark the start of the silence as thousands of veterans, including some who had served during the World War II looked on solemnly under gray London skies.
Their number gets fewer each year – adding poignancy to the appearance of Charles, leading the ceremony for the first time since the death of his mother Queen Elizabeth II in September. She had served as a mechanic and truck driver during the last months of World War II, and continued to join the annual commemoration in London well into her 90s.
The veterans, with brightly shined shoes and medals gleaming on their lapels, watched Charles lay a newly designed wreath of poppies at the foot of the Cenotaph, London’s war memorial. Other royals, including the Prince of Wales and the Earl of Wessex, as well as Prime Minister Rishi Sunak and the leader of the opposition also laid wreaths.
Many thousands thronged the streets of London to watch the occasion and join in the silence, though they applauded when 10,000 veterans later marched past.
Remembrance Sunday is marked every year in the U.K. on the closest Sunday to Armistice Day on Nov. 11 with the wearing of poppies and a national two-minute silence observed at 11 a.m. It marks the moment the guns fell silent in 1918 at the end of World War I.
Officials said this year’s service is dedicated both to fallen soldiers in wars past and to Ukrainians fighting against Russia’s invasion.
“We must never forget those who gave their lives in defense of our values and our great nation,” said Defense Secretary Ben Wallace. “All of us will also be thinking of those brave Ukrainians who are fighting for their very own survival to defend freedom and democracy for all, just as the U.K. and Commonwealth soldiers did in both world wars.”
Western officials welcomed Russia’s retreat from the Ukrainian city of Kherson, labeled a “big moment” by the White House and “another strategic failure” for Moscow by the U.K.
Ukrainian troops on Friday entered Kherson, the only provincial capital to be taken by Russia in its invasion. The Russian Defense Ministry confirmed in a video that Moscow’s troops had been withdrawn from the Ukrainian city and other territories on the western bank of the Dnipro River, in a huge blow to President Vladimir Putin’s war effort.
“It has broader strategic implications as well,” U.S. National Security Adviser Jake Sullivan said, “because being able to push the Russians across the river means that the longer-term threat to places like Odesa and the Black Sea coastline are reduced from where they were before.”
“And so this is a big moment. And it’s certainly not the end of the line, but it’s a big moment,” the top White House official told reporters while flying to a Southeast Asian summit in Cambodia, according to a readout published online.
French President Emmanuel Macron called it a “critical step towards the restoration of [Ukraine’s] sovereign rights.”
U.K. Defense Secretary Ben Wallace said Russia’s retreat “marks another strategic failure for them. In February, Russia failed to take any of its major objectives except Kherson,” according to a statement.
The Ukrainian military said it was overseeing “stabilization measures” around Kherson to make sure it was safe, the Associated Press reported on Saturday. Kyiv was making speedy but cautious efforts to make the city liveable after months of occupation, as one official described it as “a humanitarian catastrophe,” the news outlet said.
“We will restore all conditions of normal life – as much as possible,” Ukrainian President Volodymyr Zelenskyy said in his nightly address. “Our defenders are immediately followed by policemen, sappers, rescuers, energy workers,” he said. “Medicine, communications, social services are returning.’
Roman Holovnya, an adviser to Kherson’s mayor, said humanitarian aid and supplies had begun to arrive, but that many residents still lacked water, medicine, food and electricity, the AP reported.
“The occupiers and collaborators did everything possible so that those people who remained in the city suffered as much as possible over those days, weeks, months of waiting” for Ukraine’s forces to arrive, Holovnya said. “Water supplies are practically nonexistent,” he said.
“I am moved to tears to witness freedom returning to Kherson,” Estonian Prime Minister Kaja Kallas tweeted on Saturday. “Ukrainians hugging their soldiers, and blue and yellow flags raised.”
Ukrainian Foreign Minister Dmytro Kuleba on Saturday said that the “war goes on” after the Ukrainian army’s success. Ahead of a meeting with U.S. Secretary of State Antony Blinken in Cambodia, Kuleba also thanked Washington for helping Kyiv against Moscow’s invasion.
“It’s only together that we will be able to prevail and to kick Russia out of Ukraine. We are on the way. This is coming, and our victory will be our joint victory — victory of all peace-loving nations across the world,” Kuleba said.
LONDON (AP) — The United Kingdom will have another reason to celebrate the coronation of King Charles III, for the government has declared a special public holiday to mark the occasion.
The holiday will be on Monday, May 8, capping a three-day weekend that will begin with the coronation. The coronation of Charles’ late mother, Queen Elizabeth II, was also marked with what is known as a bank holiday in Britain.
“The coronation of a new monarch is a unique moment for our country. In recognition of this historic occasion, I am pleased to announce an additional bank holiday for the whole United Kingdom next year,” new Prime Minister Rishi Sunak said. “I look forward to seeing people come together to celebrate and pay tribute to King Charles III by taking part in local and national events across the country in his honor.”
Charles will be crowned on May 6 at Westminster Abbey in London. His ceremony will be designed to preserve the historical traditions of the monarchy while looking to the future following the late queen’s 70-year reign. The coronation is expected to be shorter and less extravagant than the three-hour ceremony that installed Elizabeth in 1953, in keeping with Charles’ plans for a slimmed-down monarchy.
The coronation holiday means May will have three long weekends next year, with traditional bank holidays already scheduled for May 1 and May 29.
LONDON — She’s already been forced to resign as U.K. home secretary once this fall.
And now scandal-hit Suella Braverman — controversially restored to her role by new PM Rishi Sunak just last week — is clinging to her job for a second time over claims she broke the law by holding thousands of undocumented migrants in bleakly unsuitable conditions at a former military base in southeast England.
In a statement to the House of Commons Monday, the Tory hard-liner denied widespread reports that she personally prevented officials from mass-booking hotel rooms for hundreds of asylum seekers who could no longer be hosted at the overcrowded Manston processing facility in Kent. Experts said if proven this could amount to a breach of the ministerial code — a resigning matter.
“Like the majority of the British people I am very concerned about hotels, but I never blocked their usage,” Braverman insisted, as opposition MPs called for her to resign. “As a former attorney general, I know the importance of taking legal advice into account.”
The Manston site is currently holding about 4,000 people, more than three times its maximum capacity of 1,600. Many are being forced to stay far longer than the legally permitted 24 hours. Reports suggest hundreds are sleeping on bare floors, and that disease is rife.
David Neal, the U.K. government’s independent chief inspector of borders and immigration, told MPs last week he was left speechless by the “wretched conditions.” He revealed some migrants from Afghanistan had been held in a marquee for 32 days, though the facility is designed only to host people for a maximum 24 hours while they undergo checks before being transferred to detention centers or hotels.
The crisis has been triggered by a huge increase in the number of undocumented migrants attempting to cross the English Channel — numbering nearly 40,000 so far this year, according to Ministry of Defense figures. On Sunday alone some 468 people made the dangerous journey in eight boats, the MoD said.
Since leaving the EU, the U.K. has been asking for a bilateral deal with France and the wider EU bloc to return those crossing the Channel to the first country deemed safe they enter into. So far, none has been forthcoming.
“The system is broken,” Braverman admitted. “Illegal migration is out of control and too many people are more interested in playing political parlor games, covering up the truth, rather than solving the problem.”
She said the Home Office is currently negotiating extra accommodation for undocumented migrants with private providers and considering “all available options” to tackle overcrowding at processing centers in the U.K.
She also told MPs she was “appalled” to learn, on her first appointment as home secretary in September, that there were “over 35,000 migrants” staying in hotels around the U.K. at an “exorbitant cost” to the British taxpayer. She instigated an urgent review into alternative options, she said, but that the department has continued procuring hotel rooms in the meantime.
But earlier Monday, local Conservative MP Roger Gale described the overcrowding at the Manston facility as “wholly unacceptable” and suggested the situation may have been allowed to happen “deliberately.”
“I was told that the Home Office was finding it very difficult to secure hotel accommodation,” he said. “I now understand this was a policy issue, and that a decision was taken not to book additional hotel space.”
The accusations add to the pressure on the home secretary, whose return to the Cabinet last week was widely questioned given she had been forced to quit only six days earlier after being caught using her personal email account to share sensitive government documents.
A Home Office review published Monday found Braverman sent six Home Office documents to her personal email address between September 15 and October 16. One was then forwarded on to a backbench ally for his perusal — a clear breach of security rules.
Striking a defiant tone, Braverman admitted to having made mistakes but insisted the broader claims about her conduct were a conspiracy to keep her out of high office. She told MPs that some people would like to “get rid” of her, adding: “Let them try.”
A Braverman ally conceded the home secretary is “in great difficulty” but warned she had “deliberately put in an impossible position by those who would rather her not to hang around.”
“The pressure is not easing in any way, and I think it may be too much for her.”
Claims that former U.K. Prime Minister Liz Truss’ mobile phone was hacked by foreign agents while she was serving as foreign secretary must be “urgently investigated,” the opposition Labour Party said.
Private messages exchanged between Truss’ personal phone and foreign officials — including detailed discussions about arms shipments to Ukraine — are thought to have been intercepted by foreign agents, the Mail on Sunday reported, citing security sources.
The newspaper claimed that the hack was uncovered during this summer’s Conservative leadership campaign, but that details were suppressed by then-Prime Minister Boris Johnson and Cabinet Secretary Simon Case, the U.K.’s most senior civil servant. Russia was suspected to be behind the hack, the report said.
Labour’s shadow home secretary, Yvette Cooper, said the allegations were “extremely serious.”
“There are immensely important national security issues raised by an attack like this by a hostile state,” Cooper said in a statement.
“There are also serious security questions around why and how this information has been leaked or released right now which must also be urgently investigated,” she said. “It is essential that all of these security issues are investigated and addressed at the very highest level.”
Speaking to Sky News’ Sophy Ridge on Sunday program, U.K. Housing Secretary Michael Gove did not deny the hack took place but insisted “very robust protocols” were in place to ensure the security of governmental communications.
“I don’t know the full details of what security breach, if any, took place,” Gove said. “I’m sure that the right protocols were followed. I’m sure that more information, as appropriate, will be released.”
Citing allies of Truss, the Mail on Sunday reported that the former foreign secretary had been worried that revelations about the hack would compromise her bid to become prime minister, with one claiming she “had trouble sleeping” until it was confirmed that news of the alleged security breach would not be disclosed by the government.
LONDON — Now on their third prime minister since the last general election, the despairing British public want a vote on who runs the country. They appear to be out of luck.
New U.K. premier Rishi Sunak did not secure the 2019 election win for the Tories. Neither did his predecessor Liz Truss, who instead for a chaotic 44 days tried to rip up many of the economic and policy promises in Conservative manifesto.
It was, of course, Boris Johnson who secured the Tories’ 80-seat majority almost three years ago — before being kicked out of Downing Street in the summer by his own MPs following a string of humiliating scandals. His replacement Truss, elected by just 81,00 Conservative members, lasted less than two months before her colleagues wielded the knife again.
This carousel of leaders has left some observers pondering how Britain, can repeatedly change its figurehead — not to mention, in Truss’ case, its entire economic direction — without once consulting the public.
Unsurprisingly, it’s a question opposition leader, Labour’s Keir Starmer, hopes to capitalize on.
Asking questions to the new PM in the House of Commons Wednesday, Starmer noted that the last time Sunak took part in a vote — his head-to-head contest with Truss — “he got trounced by the former prime minister … who herself got beaten by a lettuce.”
“Let working people have their say,” Starmer told the PM, “and call a general election.”
A defiant Sunak replied that his mandate “is based on a manifesto that we were elected on — an election that we won, and they lost.”
Public panic
Constitutionally, Sunak is correct.
The U.K. government retains total control over whether a snap election should be called ahead of the January 2025 deadline for the next vote — unless dozens of Tory MPs suddenly go rogue and decide to bring down their own regime via a no-confidence vote in the Commons.
And the Tories’ rock-bottom poll ratings mean any kind of electoral gamble is off the table for the foreseeable future. Conservative support among the public — already dire at the tail-end of the Johnson tenure — plunged to record lows under Truss.
“The short answer to anyone at home or abroad asking why the Conservatives don’t have an election, is because they don’t have to have an election,” said Joe Twyman, director at U.K. polling firm Deltapoll. “Given the situation the polls are in, they would be assured of a loss.”
Under the British political system, the public votes for a governing party rather than a specific prime minister — and it’s for each party to pick its leader as and when it sees fit. The set-up differs markedly from presidential systems in places like France and the U.S., which are led by directly-elected heads of state.
“It’s a fundamental rule of a parliamentary democracy that it isn’t the prime minister who wins a mandate at a general election, it’s the parliamentary party,” said Catherine Haddon, a constitutional expert at the Institute for Government think tank.
“Once you start going down the route of arguing every prime minister needs to win a general election to be able to hold the job, you are fundamentally changing the system.”
Furthermore, the U.K.’s “first-past-the-post” voting system tends to deliver single-party rule, meaning coalition governments — which might collapse in times of turbulence, so triggering an election — are historically rare.
So Sunak retains a healthy parliamentary majority, inherited from Johnson’s 2019 victory.
Left wanting
But the one thing counting against the Conservatives is public opinion.
A YouGov poll this week found 59 percent of the British public think Sunak should call an election — including 38 percent of all Conservative voters — compared with just 29 percent who thought he shouldn’t. That’s far higher than normal, and way above even the peak figure of 41 percent who wanted an election at the height of the Partygate scandal.
“Turmoil in the government, with the Conservatives now two leaders removed from the one who took them to election victory in 2019, has clearly convinced many Britons that the time is right for a new vote,” said YouGov’s head of data journalism, Matthew Smith.
An internal poll for the opposition Labour Party this week found similar results, with support for an election strongest among swing voters, according to a Labour official. Even a third of those 2019 Conservative voters who are still planning to vote the same way next time round want a snap election, the official said. Those leaning toward Labour are even more enthusiastic about a fresh campaign.
Other research confirms the public is getting restless. A focus group this week for the non-partisan “More in Common” campaign found seven out of eight participants wanted an election once the current economic crisis has died down — a significant increase on previous exercises.
Luke Tryl, the U.K. director of More in Common, said most people want “a choice over who is in charge” — although he noted that the same people also often feel conflicted, being “exhausted with the constant politics of the past few years.”
Consultants at the agency Public First have found similar results in their own focus groups. The firm’s founding partner James Frayne said demands for a general election had “surged in recent weeks, and won’t be going anywhere.” He added: “As far as most voters are concerned, one unelected PM screwed up the economy so badly that another unelected PM must impose brutal austerity in response.”
Internal dissent
Indeed, even some Conservatives — chiefly those supportive of Boris Johnson — have suggested an election is necessary following his departure from No. 10 Downing Street.
Former Cabinet Minister Nadine Dorries said publicly that an election would be “impossible to avoid” after her fellow MPs rejected Johnson’s recent comeback bid. Backbencher Christopher Chope and Tory peer Zac Goldsmith both made similar claims.
“Imposing a new prime minister no-one voted for goes against the grain of what is democratic,” said one Johnson-supporting Conservative MP. “Colleagues who removed Boris can’t have their cake and eat it. We’ve had a sh*t show since, and appointing Rishi without a single vote is precarious. But colleagues insist they don’t want a general election.”
For the vast majority of Conservative MPs, who want to avoid a vote at all costs, Sunak appears their best hope of calming the waters and so holding off the clamor for an election.
“It is legitimate to feel there should be an election,” said a former Johnson adviser. “But in a world where there’s no general election, the best thing for everyone is to have Rishi — because however well he ends up doing, I think he will be quite calm, professional, and not trying to do crazy things that f*ck up all our mortgages.”
Twyman, from Deltapoll, suggested that ultimately, being accused of dodging democracy is probably the “lesser of two evils” for the Tories.
“It doesn’t look good for the Conservatives,” he said. “But a Labour majority of 300 doesn’t look good for the Conservatives either.”
Annabelle Dickson contributed reporting.
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LONDON — If his key appointments are any indication, the Rishi Sunak era in Britain could actually be … kind of dull.
The new U.K. leader reappointed existing ministers, brought back old hands and largely kept critics on side as he sought to reassure nervous markets, allies and enemies that the U.K. is no longer a hotbed of chaos.
But the prime minister did, at least, have room to take revenge on a number of his most vocal detractors, and refused to offer any kind of promotion to his defeated leadership rival, Penny Mordaunt.
Sunak entered No. 10 Downing Street Tuesday with a promise to “fix” the “mistakes” made by his predecessor Liz Truss, after her radical economic prospectus spooked financial markets and helped jack up U.K. borrowing costs — swiftly bringing down her government amid bitter Tory recriminations and sparking a second Tory leadership race in two months.
Emerging from the wreckage of the Conservative Party, Sunak had pledged to put politics aside and “build a government that represents the very best traditions of my party.”
Nothing to see here
The biggest news of the reshuffle was that there wasn’t much news. Multiple figures who served under Sunak’s predecessor Liz Truss, including some who backed his rival Boris Johnson in the latest Conservative leadership race, kept their posts or were moved to other senior roles.
Sunak’s most important appointment was to keep Jeremy Hunt in post as chancellor, sticking by a Cabinet veteran who Truss had brought in from the cold just two weeks earlier to rip up her failed economic agenda.
James Cleverly was kept on as foreign secretary, while Ben Wallace remained as defense secretary — keeping two key ministries tasked with shaping Britain’s foreign policy intact. Chris Heaton-Harris stayed on as Northern Ireland secretary, while Nadhim Zahawi was moved from the Cabinet Office to become the Conservative Party chairman. All four men had backed Johnson in the leadership contest last week, leaving fellow Boris supporters in the party relieved.
“At this early stage of the reshuffle it looks as if Rishi is aiming to unite the party rather than divide it,” said Tory MP and Johnson ally Michael Fabricant. “Perhaps one of the mistakes Liz Truss made was to pack the Cabinet only with her supporters. That always creates a volatile situation.”
In an eyebrow-raising move, Suella Braverman, a darling of the party’s right who made her own bid for the leadership earlier this year, returned as home secretary less than a week after being fired over a sensitive information leak. Her reappointment looked like a debt being repaid following her unexpected backing of Sunak at the weekend.
Trade Secretary Kemi Badenoch and Culture Secretary Michelle Donelan, both Truss picks over the summer, kept their jobs too.
One Cabinet minister who did not back Sunak in either leadership race said the appointments were clearly a bid for unity: “He has put people in positions with a track record of delivery.”
Senior figures from other wings of the party were impressed too. “The new prime minister is clearly serious about including people from all sides of the party in his new Cabinet,” said Nicky Morgan, a former chair of the centrist One Nation Conservatives grouping in parliament and now a member of the House of Lords. “This is a very encouraging start to his term.”
Soft revenge
Others key allies of Sunak’s opponents were handed demotions, but allowed to remain in Sunak’s top team.
Thérèse Coffey, a close friend of Truss who served as her deputy prime minister and health secretary, was demoted to the environment, food and farming brief. Alok Sharma, who backed Johnson in the second race, kept his job overseeing the COP climate summits, but will no longer attend Cabinet — a clear step down.
But it was the treatment of Mordaunt, the last candidate standing against Sunak in the latest leadership race, that most ruffled feathers. She kept her relatively junior Cabinet-attending job as leader of the House of Commons, a decision seen in Westminster as a snub given widespread expectations that she was due a major promotion.
One former Cabinet minister argued the failure to promote Mordaunt looked like “an act of revenge, or small-mindedness.” Mordaunt had refused to drop out of the latest leadership race until it was clear she did not have sufficient nominations from fellow MPs to make the next round.
Leader of the House Penny Mordaunt leaves No. 10 Downing Street following Prime Minister Rishi Sunak’s cabinet reshuffle | Leon Neal/Getty Images
Yet some argued the very act of keeping her in post was in itself an olive branch, while one person familiar with the discussions on her appointment said she had been offered a different role, but refused it. One of Mordaunt’s allies insisted she was pleased to keep her existing brief.
A Downing Street official insisted: “This Cabinet brings the talents of the party together. It reflects a unified party and a Cabinet with significant experience, ensuring that at this uncertain time there is continuity at the heart of government.”
But there were plenty of rewards too for key Sunak supporters. Close allies Oliver Dowden, Michael Gove and Steve Barclay were handed roles in the Cabinet Office, communities department and health department respectively, just weeks after Truss made clear they had no place in her administration.
Simon Hart was made chief whip, while Gillian Keegan was promoted to the Cabinet for the first time as education secretary and Grant Shapps was moved from his week-long stint heading up the Home Office (to replace the sacked Braverman) to the business department.
To make space for the new appointments, Sunak allowed himself a few ruthless sackings — although he did permit Cabinet ministers to technically resign to spare their blushes.
Ministers seen as close to Johnson, including Brandon Lewis and Kit Malthouse, were fired, as was Robert Buckland, who supported Sunak in the first leadership race only to shamelessly switch to Truss when it became clear she would win.
Jacob Rees-Mogg, one of Sunak’s most vocal critics and a cheerleader for Johnson, was also dispensed with, as well as top Truss lieutenants Ranil Jayawarenda and Simon Clarke. Rees-Mogg had once branded Sunak a “socialist” — although he hastily recanted that criticism Tuesday morning as the new PM picked his top team.
Having told the Tories at the weekend they must “Back Boris” or go “bust”, it was not enough to save him from his fate.
An earlier version of this story included an inaccurate previous ministerial brief.
LONDON — Rishi Sunak has promised to “fix” the economic mess wrought by his predecessor Liz Truss after being appointed the new U.K. prime minister.
In a sombre speech on the steps of No. 10 Downing Street Tuesday, Sunak — who has spent the day fleshing out a top team that includes many carryovers from the Truss administration — admitted “mistakes were made” by his predecessor and said he had been appointed “in part, to fix them.”
Truss only took office as U.K. PM last month, but was swiftly forced to resign after her radical economic plan spooked the markets, sent Sterling plunging and drove U.K. borrowing costs through the roof.
Sunak had predicted precisely these consequences during a summer-long Tory leadership contest — in which he finished a distant second place — and is now reaping the political reward.
“Our country is facing a profound economic crisis,” Sunak said, in his first major speech as PM. “I will place economic stability and confidence at the heart of this government’s agenda. This will mean difficult decisions to come.”
Sunak takes over at an intensely challenging time for the U.K. economy, with surging energy costs, mortgage rates and inflation triggering a cost-of-living crisis for millions of households and businesses. Britain also has a yawning budget deficit, and Sunak’s administration is expected to confirm a package of tax hikes and spending cuts in an emergency budget statement next week.
Key picks
In a bid to calm markets, Sunak on Tuesday confirmed he is keeping Jeremy Hunt in post as top finance minister. Hunt was brought in in the dying days of Truss’ short premiership to steady the ship, and swiftly junked much of her tax-cutting agenda.
Key Sunak ally and Cabinet veteran Dominic Raab will serve as deputy prime minister, a role he also played for Johnson.
And Sunak looks to have opted for a steady-as-she-goes approach to foreign policy, keeping in place Truss’ Foreign Secretary, James Cleverly, and her Defence Secretary Ben Wallace, who also held the role under Boris Johnson and earned plaudits for his response to the Russian invasion of Ukraine. In a remarkably swift Cabinet comeback, Suella Braverman — who left as Truss’ Home Secretary just a week ago with a blast at her boss — returns to the Home Office.
In one sign of change at the top of government, Truss ally Jacob Rees-Mogg resigned as business secretary. He had previously branded Sunak a “socialist” during the summer’s bitter leadership contest, although he recanted that view Tuesday morning. He will be replaced by leading Sunak backer Grant Shapps.
Speaking on steps of No. 10 Downing Street, the new PM insisted he was “not daunted” by the challenges ahead, adding: “I know the high office I have accepted, and I hope to live up to its demands.”
Sunak, 42, is the youngest British prime minister in modern history, and the first British-Asian to lead the country. He was formally invited to form a government by new British monarch King Charles III on Tuesday morning, having won the second Conservative leadership contest of the year the previous afternoon.
In his speech, Sunak also took a veiled swipe at his predecessor-but-one — and former boss — Johnson, who was forced to resign in July over a string of personal scandals.
“This government will have integrity, professionalism and accountability at every level,” Sunak said.
Johnson tweeted his congratulations to his bitter rival immediately after Sunak took office, insisting it was “the moment for every Conservative to give our new PM their full and wholehearted support.”
Newly-elected British PM Rishi Sunak has been formally invited to form a government by King Charles III | Pool photo by Aaron Chown/AFP via Getty Images
Truss bids farewell
In her farewell speech Tuesday, outgoing PM Truss said it had been “a huge honor” to lead the nation and showed few signs of contrition over her chaotic seven weeks in office.
“From my time as prime minister, I am more convinced than ever we need to be bold and confront the challenges that we face,” Truss said defiantly.
She even quoted the Roman philosopher Seneca, adding: “It is not because things are difficult that we do not dare. It is because we do not dare that they are difficult.”
Sunak won the latest Conservative leadership race after his rival Penny Mordaunt failed to secure the required 100 nominations from her fellow Conservative MPs to make it onto a head-to-head ballot. He also beat off a brief challenge from former PM Johnson, who decided to pull out of the contest Sunday night despite claiming — without evidence — to have secured enough private nominations to make the cut.
Sunak has only been an MP since 2015 but is well known to the British public, having served as chancellor for more than two years under Johnson before quitting in July over his former boss’ personal conduct.
Sunak had become wildly popular with the general public soon after his appointment in February 2020, having set up a multi-billion pound scheme to protect people’s salaries if their companies were struggling to keep them on during the COVID-19 pandemic.
But his approval ratings took a severe hit earlier this year after it emerged his wife Akshata Murty held a highly privileged “non-domiciled” tax status in Britain, which she later renounced. He was also criticized after it was revealed he until recently continued to hold a U.S. green card, allowing him to live and work in America — allowing opponents to suggest he might not have been fully committed to Britain.
LONDON — It took one bruising campaign defeat and six weeks of exile — but on Tuesday, Rishi Sunak will finally become U.K. prime minister.
He faces the toughest in-tray of any British leader since World War II, entering No. 10 Downing Street as the country hurtles into winter with energy bills, hospital waiting lists, borrowing costs and inflation all soaring.
The challenge has been magnified by Liz Truss’ brief crash-and-burn premiership. As a result of her now-infamous mini-budget, which was scrapped almost in its entirety after causing chaos in financial markets, the Conservatives are trailing the opposition Labour Party by over 30 percentage points in opinion polls.
On Monday, Sunak told MPs he was ready to hit the ground running as he addressed them for the first time since becoming Tory leader. Over the days and months ahead, he will need to carry out his first ministerial reshuffle without further fracturing his party; oversee the first budget since the last one wreaked havoc on the economy; and determine what support to offer voters with their energy bills past this spring.
Prime ministers tend to think of their first 100 days as a way to set the tone for their premierships. For Sunak, who has just over two years to govern before he is required to face a general election, that first impression is going to be particularly important.
October 25 — Meeting with the king and first speech outside No. 10 Downing Street
Sunak will become the prime minister Tuesday after an audience with King Charles III, where he will ask the monarch for permission to form a government.
Sunak will then address the country for the first time as prime minister from the steps outside No. 10 Downing Street at around 11.35 a.m.
To much of the British public, the former chancellor is a familiar face who announced the wildly-popular furlough scheme during the coronavirus pandemic in 2020.
His task now will be to reassure people that the government will support them during another difficult economic period — only this time he is in a much tougher position. The popularity he gained during the pandemic has waned, and he is taking over after a major government crisis — the third Tory prime minister to hold office within three months.
October 25 — First reshuffle
The first big political test for Sunak will be his Cabinet reshuffle. Tory MPs believe he will learn the lesson from Truss’ first and only one, where she divvied up roles between her allies and left almost everyone who didn’t back her out in the cold.
“I think his reshuffle will be more unifying, bringing in people from all wings and will not be as destabilizing as Liz’s,” an MP who did not back Sunak predicted.
Sunak’s leadership rival Penny Mordaunt is expected to be handed a major Cabinet position | Dan Kitwood/Getty Images
Sunak is likely to make at least his major Cabinet appointments Tuesday afternoon, so they are in place to line up alongside him on the House of Commons’ front bench when MPs grill him during so-called prime minister’s questions (PMQs) on Wednesday.
His biggest decision will be whether to keep Jeremy Hunt — who was drafted in by Truss in a last-ditch effort to save her premiership — as chancellor. He is also likely to hand a big job to his leadership rival Penny Mordaunt.
Close Sunak allies who are likely to get promotions include Mel Stride, the current chairman of the Treasury select committee, Craig Williams, Claire Coutinho and Laura Trott. Tory big beast Michael Gove could see a return to Cabinet.
October 26 — First PMQs
Sunak will go head-to-head as prime minister with Keir Starmer, the Labour leader, for the first time on Wednesday.
Unlike his predecessor, Sunak won’t have much to worry about from his own side — Tory MPs have largely rowed behind him since he became their leader on Monday, with many expressing relief that the perpetual state of crisis of the Truss government has ended.
But MPs will want him to demonstrate that he can land blows against Starmer at a time when Labour is streets ahead in the polls. Sunak told Tory MPs on Tuesday that their party faced an “existential threat” as a result of its low poll ratings.
October 28 — Deadline to form a government in Belfast
If a power-sharing arrangement is not in place at Stormont by Friday, a fresh set of elections to the Northern Irish assembly will have to be triggered.
Calling these elections — the second set in seven months — could be one of the Sunak government’s first acts and an indication of successive Tory prime ministers’ failure to deal with the political crisis in Northern Ireland.
The Democratic Unionist Party issued a fresh warning on Monday night that it would not participate in the assembly unless Sunak takes action on the post-Brexit Northern Ireland protocol agreed with the EU.
October 31 — First budget
The next budget was penciled in for October 31 by Kwasi Kwarteng, the Truss-era chancellor who wanted to use it to reassure financial markets still reeling from his last one.
The timing of the budget — widely derided by Tory MPs because of the optics of holding it on Halloween — was intended to give the Bank of England time to react before its own key meeting on November 3, where it will set interest rate levels for the weeks ahead.
In its biggest test so far, Sunak’s government will have to decide whether to stick with that date; what actions to take to reassure the markets; and how to fill the enormous hole in the U.K. public finances.
Carl Emmerson, deputy director of the Institute for Fiscal Studies, said: “If his chancellor is Jeremy Hunt and Sunak is comfortable with the way things are proceeding for next Monday, then going ahead has lots of advantages.
“You get the announcement out before the Bank of England makes its next inflation figure, and you get the Office for Budgetary Responsibility forecasts out there, which helps show the markets you are serious about them.
“The case for changing that date is much stronger if Sunak says, ‘Actually, I want to do something different to what Jeremy Hunt has been planning, and I need more time,’” Emmerson added.
November 3 — Bank of England rates meeting
The Bank of England’s monetary policy committee is expected to raise interest rates at its meeting on November 3, triggering a fresh hike in people’s mortgages.
This is the point when many people will realize for the first time that they will have to make much larger mortgage repayments once their current fixed-rate deals come to an end.
Sunak made combating inflation and keeping mortgages low a central theme of his leadership campaign over the summer. Reacting to the rates decision and ensuring the government works closely with the Bank of England to combat inflation will be a key test of his premiership.
November 6 — COP27 summit in Egypt
Sunak made a point of telling Tory MPs on Tuesday that he is committed to the U.K.’s goal of achieving net-zero carbon emissions by 2050.
The question now is whether he attends the COP27 climate summit in Sharm El Sheikh, Egypt. Truss reportedly planned to go, despite her skepticism of aspects of the net-zero agenda.
If Sunak does go to Egypt, it could be his first foreign trip in office (unless he decides to make a quick visit to Ukraine beforehand) and his first opportunity to present himself on the world stage.
November 8 — Boundary changes
The Boundary Commission for England will publish its new constituency map on November 8.
At this point, some Tory MPs will know with near certainty that their constituencies are being carved up between neighboring areas, with some forced to jostle with colleagues over who will get to stand where.
It will be a political headache for Sunak to deal with, and any MPs whose safe seats become marginal will sense their political careers coming to an end — and will have less of an incentive to support him in key votes in the months ahead.
November 13 — G20 meeting in Indonesia
The next big foreign trip coming down the track is the G20 summit in Bali, Indonesia.
The meeting will be an opportunity for Western powers to present a united front against Russia following its invasion of Ukraine and against China’s increased aggression toward Taiwan, but also to hold talks behind closed doors. There have been reports that both China’s Xi Jinping and Russian Vladimir Putin will attend.
Sophia Gaston, the head of foreign policy at the Policy Exchange think tank, said this was shaping up to be “one of the most extraordinary summits of modern history, with a violent war raging in Ukraine and the leading protagonist, Vladimir Putin, on the guest list alongside other autocratic leaders and outraged democratic allies.”
“As well as promoting free trade and the rules-based international order, Sunak would likely see the G20 as an opportunity to build support for his proposed ‘NATO-style’ technology alliance,” Gaston said. “He may well also debut a new U.K. message on the net-zero transition.”
Late November or early December — Chester by-election
Labour whips are preparing to trigger a by-election in the city of Chester in late November or December.
The by-election is taking place because the city’s MP Christian Matheson resigned after a parliamentary watchdog recommended he be suspended for sexual misconduct.
Matheson sits on a 6,164-vote majority, and the seat has traditionally been a swing seat flipping between the Tories and Labour. It was Conservative up until 2010.
Based on current polling figures, Labour should win a significantly larger majority than it currently has, though by-elections do suffer from small turnouts and so unexpected results are not uncommon. A dramatic Tory defeat would set alarm bells ringing in the party.
Another by-election could be triggered in the coming months if, as expected, Boris Johnson elevates his ally and MP Nadine Dorries to the House of Lords in his resignation honors. That would likely be the first by-election in a Tory-held seat fought with Sunak as party leader.
December 31 — U.K. deadline for joining trans-Pacific trade bloc
The U.K. government has said it hopes to conclude negotiations on joining the CPTPP — a trade agreement signed by 11 countries including Australia and New Zealand — by the end of the year.
Securing this deal was one of Truss’ priorities. For Sunak it would represent both a concrete foreign policy achievement and an indication that the U.K. is successfully building closer diplomatic ties with countries in the Indo-Pacific after Brexit.
Talks around the partnership have thrown up some diplomatic obstacles, with China reacting angrily to U.K. trade officials meeting Taiwanese counterparts. Both China and Taiwan have applied to join the CPTPP.
There have been suggestions that the evidence against him is so damning that Johnson could face temporary suspension from parliament or even be kicked out as an MP. The inquiry may have formed part of Johnson’s decision not to stand for the Tory leadership contest.
If the privileges committee says Johnson should be sanctioned once it concludes its inquiry, Sunak will have to judge his response and decide whether to whip Tory MPs to back its recommendations even if that provokes Johnson’s ire. There is also the risk that Sunak himself will be dragged into the probe, given he too was fined over the Partygate scandal.
Among other things, the probe will examine the impact of the economic policies that Sunak designed as chancellor during the pandemic, putting his decisions under scrutiny.
His “Eat Out to Help Out” scheme — which encouraged people to dine in restaurants during the post-lockdown summer of 2020 — could become a focus, with critics claiming it drove up coronavirus-related infections and deaths.
February — Energy support nears its end
By the time Sunak’s first 100 days are up, there will be pressure on the government to explain how it will support people with their energy bills past the spring if wholesale gas prices haven’t drastically fallen. Hunt has already rolled back the Truss government’s two-year guarantee and instead capped people’s energy bills at an average of £2,500 for just six months. That policy ends in April.
The Institute for Fiscal Studies’ Emmerson said: “We’ve got a big generous offer from the government through this winter — although prices are still a lot higher than they were last year, they will be nowhere near as high as they would have otherwise been.
“The prime minister and chancellor will spend a lot of time thinking about how they replace that scheme. In some ways, it’s very similar to the kind of furlough scheme that Sunak had during the pandemic — very generous, big scheme with lots of crude edges to it,” he said.
“It’s understandable wanting to get in place quickly to support people, but how do you get out of it? Do it too quickly and that’s too much pain for too many people — keep it in place for too long, and that’s very expensive to the government.”
It’s just one of so many enormous decisions the new PM faces in his first 100 days.
LONDON — Rishi Sunak could be installed as U.K. prime minister as early as Monday after Boris Johnson sensationally abandoned hopes of a return to No. 10 Downing Street.
In a dramatic statement Sunday evening after a weekend spent canvassing Tory MPs, Johnson announced it was “not the right time” for him to attempt a comeback when Liz Truss steps down this week.
His decision leaves Sunak, his fierce rival and former chancellor, in pole position to take over as U.K. prime minister in the coming days — although third-placed Penny Mordaunt could yet see a surge in support following Johnson’s abrupt departure from the race.
“I believe I have much to offer,” Johnson said in a statement, “but I am afraid that this is simply not the right time.”
The rules agreed by Tory Party chiefs following Truss’ resignation state that any candidate hoping to succeed her requires the support of 100 fellow Tory MPs by the time nominations close on Monday at 2 p.m.
Sunak had easily cleared that hurdle by late Saturday afternoon, with both Johnson and Mordaunt lagging behind and seemingly struggling to make the cut.
In his statement Sunday evening, Johnson claimed he did in fact have the numbers required, and that he was confident of winning sufficient support in the subsequent ballot of Tory grassroots members to put himself back in No. 10. But he said the urgent need for party unity meant he would pull out of the race instead.
“You can’t govern effectively unless you have a united party in Parliament,” Johnson said. “And though I have reached out to both Rishi and Penny — because I hoped that we could come together in the national interest — we have sadly not been able to work out a way of doing this.
“Therefore I am afraid the best thing is that I do not allow my nomination to go forward and commit my support to whoever succeeds.”
Critics of Johnson claimed he simply never had the numbers to meet the 100-MP threshold, pointing to his lack of publicly-declared nominations and the deep-seated anger within the party over his scandal-hit years in Downing Street.
Whatever the truth, with his main rival now out of the race Sunak will be optimistic of winning the contest at the first attempt Monday, without the need for a ballot of the party grassroots. Senior figures including Chancellor Jeremy Hunt rowed in behind Sunak Sunday evening following Johnson’s departure from the race.
Allies of Mordaunt insisted she would remain in the contest and hoped to win enough support from former Johnson supporters to hit the magic total of 100 MPs — so forcing a ballot of members in the days ahead.
But most observers believe Sunak is now firmly on course for Downing Street, just seven astonishing weeks after he was roundly defeated by Truss in the last Tory leadership contest. Victory would see him installed as Britain’s first-ever Hindu prime minister, and at Diwali — the five-day Hindu and Sikh festival of lights.
In a series of tweets Sunday evening Sunak paid tribute to Johnson, the man who gave him his big break in politics in February 2020 — plucking him from the junior ministerial ranks to make him chancellor — before a dramatic falling-out between the pair saw Sunak quit the Cabinet in July 2022, precipitating Johnson’s own departure from No. 10.
“Boris Johnson delivered Brexit and the great vaccine roll-out,” Sunak said. “He led our country through some of the toughest challenges we have ever faced, and then took on Putin and his barbaric war in Ukraine. We will always be grateful to him for that.
“Although he has decided not to run for PM again, I truly hope he continues to contribute to public life at home and abroad.”
Johnson had always made clear he hoped to one day return as prime minister after being ousted back in July. His parting shot to the House of Commons at his final session of Prime Minister’s Questions was “Hasta la vista, baby” — a reference to actor Arnold Schwarzenegger’s famous “I’ll be back” catchphrase from the ‘Terminator’ movies.
Indeed, former colleagues of Johnson including his most senior ex-aide, Dominic Cummings, claim he tacitly supported Truss’ bid for No. 10 precisely because he believed she was unsuited to the role, and so would crash and burn once ensconced in No. 10 — potentially giving him the chance of a comeback.
But even Johnson was taken by surprise at the speed of Truss’ meltdown. He was on holiday with his family in the Caribbean when she abruptly resigned Thursday after just 44 days in power, and was forced to fly home late Friday night to kickstart his nascent leadership bid.
He was supported by several senior figures including Foreign Secretary James Cleverly, Cabinet Office Minister Nadhim Zahawi and Business Secretary Jacob Rees-Mogg.
But many other former allies had advised him against another run, and several of the party’s most senior right-wing figures had backed Sunak instead.
Even Johnson’s closest supporters were taken by surprise by his decision Sunday evening. Embarrassingly, a newspaper column written by Zahawi backing Johnson for the leadership was published at 9 p.m., the exact moment Johnson was pulling out of the race. Zahawi announced 29 minutes later that he was now backing Sunak instead.
Another prominent Johnson supporter, James Duddridge, tweeted simply: “Well that was unexpected. Off to bed!” An hour later he, too, announced he was backing Sunak.
