Wes Streeting on LBC’s Breakfast Show on Friday, after the Prime Minister gave some as yet unnamed No.10 advisers a rare public dressing down after a week of headlines briefing against the Health Secretary. © PA Images
Fresh off the finale of Celebrity Traitors, Westminster decided to stage its own version. Briefings supposedly from No. 10 circulated in the media earlier this week, suggesting that cabinet ministers, most notably Health Secretary Wes Streeting, were plotting to challenge Keir Starmer’s leadership. Streeting, who just happened to be scheduled to make media rounds as news broke, swiftly denied the claims, accusing some in No. 10 of having a “toxic” culture and attempting to “kneecap” him. Downing Street moved into crisis-management mode, insisting that the anonymous tips did not originate inside No. 10 and, crucially, that the attacks on ministers were not authorised by the Prime Minister. It was later reported that Starmer phoned Streeting after the story broke in an effort to smooth relations. The media later reported that calls from within Labour, including from unnamed Cabinet ministers, were being made for the dismissal of Morgan McSweeney, the Prime Minister’s Professor of the Dark Arts, amid questions over his possible involvement in the briefings. The stunning attempt by figures within the leadership to gun down opposition, has, inevitably, only made the Prime Minister appear weaker, and talk of the end of his premiership has moved from the fringe into mainstream media discourse – all while the Budget looms in less than two weeks. Streeting is right about one thing: whoever is behind this has been watching a little too much Celebrity Traitors (haven’t we all).
Culture Secretary Lisa Nandy was unlikely to have enjoyed the brief November recess when the President of the United States threatened to sue the BBC for $1bn over the editing of his 6 January 2021 speech in a Panorama documentary, arguing that the programme portrayed the speech as “radical” and “completely misled” viewers. Although the BBC apologised to the President for the episode, it insisted that it “strongly disagree[s] there is a basis for a defamation claim.” Heads rolled (as they often do when the Leader of the Free World gets involved) when BBC director general Tim Davie and BBC News CEO Deborah Turness both resigned, leaving the corporation all but decapitated, just as the Government launched the BBC Charter Review. It is now a risky time for the BBC – accusations of impartiality are as old as the BBC itself, but with attacks from left and right and inside and outside the institution, and a potential lawsuit from the world’s least forgiving democratic leader, rarely has it faced a moment of such peril.
With unemployment spiking, inflation remaining well above the Bank of England’s target rate and the Chancellor giving highly unprecedented speeches so close to her big Red Box moment… speculation over tax hikes, support with the cost-of-living, and continued pressures on businesses is higher we’ve seen ahead of any Budget in recent years. As the Treasury seeks to work out how it will fill the black hole in the Government’s finances and fulfil the myriad of spending commitments made in its first 16 months in Government, we’ve tried to cut through the chatter and bring you a list of the policy changes reportedly being debated in No. 11 Downing Street as we speak… many of which may form the basis of the Budget in just 12 days time….
Income tax and NICs: After weeks of setting the scene through leaked reports, speeches and carefully answered questions, it seems the Chancellor has done a massive 180 on plans to increase Income Tax by 2p and cut National Insurance Contributions by 2p at the Budget. The previously well trailed/leaked (delete as appropriate) game of chess would have reportedly raised £6bn and given the Treasury wiggle room to claim they aren’t raising taxes on “working people”; however…
Income Tax thresholds: The Chancellor is now reportedly planning on cutting income tax thresholds from 2028 whilst increasing a series of other, yet unclear, taxes, after the Office for Budget Responsibility has, reportedly, given the Chancellor an extra £10bn of headroom to play with, by discovering the blackhole in the UK’s finances is more like £20bn instead of £30bn. Small change eh? The Basic Rate of Income Tax has barely changed since 2019 (increasing by just £200 in 2021 to the current level of £37,700). The freeze has been used by successive governments as a highly effective stealth tax increase each year that people, in general, tend not to notice, despite wages increasing by around 7% in the same period – in part due to the hike in the personal allowance over the past 15 years. The sudden U-turn however may give Labour even more of a headache if people face a clear and obvious cut in their take-home pay because of it… just a year before the next general election is due to take place.
Child Benefit Cap: The Prime Minister gave his strongest hint yet this week that the Government will scrap the Child Benefit two-child cap, telling ITV’s Lorraine Kelly, he is “determined to drive child poverty down” and that people “won’t have to wait much longer”.
ISAs: In an attempt to get stationary savings moving again, there are lingering reports the Chancellor may drop the Cash ISA limit to £12,000 or even £10,000 per year. She appeared to row back on the reports in her Mansion House speech in July this year, but is reportedly considering ways of encouraging people to invest in stocks and shares ISAs that are used to invest in UK companies.
Mansion tax: The Government is also reportedly looking at a form of a wealth tax on properties, either to amend Capital Gains Tax Rules to cap Private Resident Relief, or by introducing an explicit Mansion Tax so the Exchequer takes a cut from the sale of properties over a certain value. Given the high degree of variation in property prices across the country, expect this to be particularly controversial in London.
National Insurance on rental income: The idea was floated ahead of Rachel Reeves’ last Budget and the Government’s current economic woes may see it introduced this time around. Reports began to emerge over the summer that No. 11 was considering ways to make rental incomes liable to National Insurance Contributions; something the property sector has argued however will just lead to a spike in rent prices.
Tax-free pension raid: Treasury sources have apparently confirmed they will not slash the tax free pension allowance, pensioners can take at the age of 55, after reports panicked savers last year causing a dramatic surge in withdrawals ahead of her first Budget. Instead she is reportedly considering placing limits on salary-sacrifice schemes that enable workers to increase their pension contributions and avoid on income tax or National Insurance Contributions on those savings, as an incentive. The proposals have been heavily criticised for perversely disincentivising pension contributions during an ever-increasing crisis in elderly social care.
Tax on lawyers: The Chancellor is also reportedly considering increasing NI contributions for partners in LLPs (Limited Liability Partnerships) who are classed as self-employed. Largely used by lawyers and accountants, the Treasury may see this as an easy win; although concerns this may damage the UK’s strong services sector may encourage the Chancellor to adopt a more simpler, catch-all change to Class 4 NIC instead.
UK exit tax: The Treasury may introduce an effective ‘exit tax’ for wealthy uk innovators and investors who would be required to pay capital gains tax on their assets at the point of emigrating from the UK should they choose to. The plan could raise £2bn in the short term but may have the opposite medium and long-term effect of reducing the UK’s attractiveness as a place to invest.
Inheritance Tax: Current exemptions to inheritance tax including the seven-year tax free rule and its associated taper relief could be squeezed or even abolished in an attempt to find more money for the Exchequer, according to reports spanning back a year. The Treasury may even introduce a cap on lifetime gifts that can be given tax-free.
Sin taxes: The Treasury may well have already decided to increase so called ‘sin’ taxes on alcohol, tobacco, sugar and now gambling despite inflation being almost double the rate it was just over a year ago. If the Chancellor is feeling generous, listen out for the customary message of congratulations to the “honourable members for…[insert constituencies here and here]” for their lobbying to win exemptions for local pubs.
Business rates: Businesses with a rateable value above £500,000 could see the introduction of a supplementary charge under new plans to increase taxes for the largest businesses including warehouses; whilst the Government has previously pledged to consider how best to support small businesses to expand without automatically losing their small business rates relief. Recent reports suggest the Treasury may have agreed to exempt supermarkets following evidence the change could make numerous supermarkets unprofitable, increase food prices, and lead to further unemployment.
Low value customs relief: It is widely anticipated the Chancellor will scrap the low-value customs relief where imported goods under £135 are not required to pay import duties. The move would copy President Trump’s end to ‘de minimis’ tariff exemptions earlier this year.
VAT on energy bills: Energy bills could see a small reduction if the Chancellor decides to scrap the 5% VAT rate as is reportedly being considered.
942 - number of amendments laid in the House of Lords ahead of today’s committee stage of the Assisted Dying Bill.
$1bn - the sum Donald Trump is demanding from the BBC in damages over its editing of the Panorama episode.
5% - the latest UK unemployment rate, the highest it’s been since 2021.
2/5 - the proportion of people unaware that Police and Crime Commissioners exist.
£21.8 million - amount added to Scotland’s economy since production of The Traitors franchise began in 2022.
0.1% - UK economic growth from July to September 2025, with growth actually contracting by 0.1% in the month of September.
14.4 million - the number of flu vaccines delivered by the NHS so far this autumn.
12 - days to go until the Budget (but who’s counting?)
Police and Crime Commissioners will be abolished, after the Home Secretary labelled them a “failed experiment” and said the move would save the taxpayer £100m. The Home Office stated that both turnout at PCC elections, and public knowledge of who their PCC is, has been ‘incredibly low’, with two-in-five people ‘unaware that PCCs even exist’. The transition to the new model will happen at the end of the next electoral cycle in 2028, with the roles to be absorbed by regional mayors ‘wherever possible’.
Small Modular Reactors are coming to the UK, after the Government announced that Wylfa had been selected as the first site for an SMR. The initial project will be for 3 SMR units, though there is potential for it to host up to 8 reactors. It is due to be designed by Rolls-Royce and the project is expected to create up to 3,000 jobs. The Prime Minister said that it was “national renewal in action”, and the announcement comes alongside the appointment of Simon Bowen as Chair of Great British Energy – Nuclear.
But that’s not the only investment in Wales announced this week, after a new AI Growth Zone in North Wales was confirmed, to be based across the Menai Strait with a base at Prosperity Parc on Anglesey and one at Trawsfynydd in Gwynedd. Up to 3,450 jobs are expected to be created through the Zone, with the Government also taking action to prioritise energy grid connections for AI growth zones and create a dedicated AI Growth Zone Delivery Unit.
No-fault evictions will be banned from 1st May 2026, after the government released a timeline for measures included in the Renters’ Rights Act. The Government will also make it illegal for renters to face more than one price increase a year, and for landlords to ask for more than one month’s rental payment in advance.
There’s a new Minister in the Department for Energy Security and Net Zero, after Alan Whitehead was appointed a Peer and a Minister. The former Labour MP for Southampton Test from 1997-2024 served as a Minister under Tony Blair, while also as a Shadow Minister for Energy Security under both Jeremy Corbyn and Keir Starmer. After stepping down from Parliament ahead of the 2024 general election, he had been a Board Director at the Energy Systems Catapult.
A new Bill was introduced to Parliament aimed at better protecting essential services from cyber-attacks. The Cyber Security and Resilience Bill covers services such as healthcare, transport, energy and water, and provides increased powers for regulators, tougher turnover-based penalties for companies that cut corners, and will lead to the regulation of medium and large businesses that provide services such as IT management and cyber security to private and public sector organisations such as the NHS.
£10m is being invested to reduce the number of accidental prison releases, after a number of high-profile cases dominated the news over the past few weeks. The funding will be used to introduce technological and AI solutions to support frontline staff to accurately calculate sentences, with the Ministry of Justice stating that ‘currently, already under pressure prison staff are having to wade through more than 500 pages of guidance, making mistakes more likely.’
Councillors and Mayors who break rules or commit serious misconduct face suspension, as the Government unveiled its measures to ‘strengthen standards and rebuild confidence in local government’. A new mandatory code of conduct will apply to all types and tiers of local authority in England, while allowances will be able to be withheld from councillors ‘where behaviour falls short’.
It was a good week for Bugs Bunny et al, as the government unveiled a new plan to phase out animal testing. The roadmap urges researchers to use new and developing opportunities to replace certain animal tests, including organ-on-a-chip systems, greater use of AI, and 3D bioprinted tissues. By the end of 2026 there will be no more regulatory testing on animals to assess the potential for new treatments to cause skin and eye irritation and skin sensitivity.
Every school will be given a target to improve attendance, after 1-in-3 schools failed to improve on its attendance record last year despite there being 140,000 fewer persistently absent pupils. From this month, every school will be issued with AI-powered minimum attendance improvement targets, with this to be based on each schools’ circumstances including location, pupil needs and deprivation.
Just three days for MPs in the Commons this week again, after a mini Recess meant that there was no sitting on Monday. But for three Cabinet members: the Justice Secretary, Work and Pensions Secretary and Culture Secretary, it was straight to Parliament to update the House on matter such as the accidental release of prisoners, a potential reconsideration of the WASPI pension decision, and yes, the BBC. The Conservatives used their Opposition Day debates this week to attack the Government on energy and taxation, while Thursday saw MPs reject a number of Lords amendments to the Planning and Infrastructure Bill.
Speaking of the Lords, they sat every day this week, and continued their way through a number of pieces of legislation such as the Crime and Policing Bill, Tobacco and Vapes Bill, and Border Security, Asylum and Immigration Bill. They also found time to debate a number of other issues, including biodiversity and the countryside, the Government’s economic and taxation policies, and the financial provision on divorce.
Almost a third of people think the BBC is generally biased in favour of left-wing political views, according to a new poll published by YouGov this week. In total bang on 50% of people believe the BBC is biased in some way as 19% believe it is generally biased in favour of right-wing political views. A further 19% don’t believe it to be biased and another 31% don’t know. The issue is, as expected, divided by party lines, as unsurprisingly very low numbers of Conservative and Reform voters believe the BBC to be biased towards the right (just 5 and 4% respectively). Perhaps interestingly however, 3 to 4 times this number of Labour votes (16%) believe the BBC is biased more in their favour.
Demos delved into the minds of 16-18 years olds in a report published this week looking at what young people really think about politics, social media and the future. The report introduces five archetypes - the Activist, Entrepreneur, Critical Realist, Traditionalist and Connector – co-designed with students, that they argue reflect the spectrum of young people today. The report also comes to a number of conclusions, including that young people are incredibly media-savvy, most remain hopeful that Britain can improve, and that mainstream politicians are not communicating effectively with young people, including most interestingly that ‘Nigel Farage is not liked but admired for using social media and for his straight talking. Keir Starmer is not disliked, he is invisible.’
Zack Polanski has not shied away from making the headlines since becoming Green Party leader, and last weekend was no different. Known for making punchy headlines and calling for a change away from the traditional Westminster system, Polanski used last week’s press round to turn to discussing international affairs. This time, promising that he would aim to convince Putin to give up his nuclear weapons. Taking critics head on, as Sky News’ Trevor Phillips pointed out to the new leader that this ask would be “somewhat in the realms of a miracle”, Polanski replied “well you’re laughing at it, but I think it’s important that we don’t laugh at peace”…
From one man p***ing into the wind… here’s another, courtesy of the Daily Mail this week, who caught former US Ambassador Peter Mandelson relieving himself from all the stress of the latest scandal on his way home from George Osborne’s house this week.
