MPs likely to be recalled after Queen’s funeral next week for emergency ‘budget’, No 10 signals
The Downing Street lobby briefing has just finished, and the prime minister’s spokesperson strongly hinted that we will get what in effect would be an emergency budget next week, where Liz Truss will announce her plans for immediate tax cuts.
Truss promised such an emergency budget during the leadership contest, and in her speech to MPs last week she said Kwasi Kwarteng, the chancellor, would be making a “fiscal statement” later this month. She refers to it as a “fiscal event” rather than a budget (perhaps because holding a formal budget would require the Office for Budget Responsibility to update its economic forecasts), but in practice it is going to be just like a normal budget – only much bigger.
The death of the Queen, which led to parliament being in recess this week, put those plans on hold. But at the lobby briefing, when asked if there would be a fiscal event next week, the spokesperson replied:
We are still planning to deliver a fiscal event this month. We would not do that in recess. Beyond that, we have not set out a date.
In practice, that means the emergency “budget” is pencilled in for next week. MPs were meant to be on recess next week, because the Lib Dems were supposed to be holding their party conference then, but that has been cancelled. They could return to parliament after the Queen’s funeral a week today.
Labour is having its party conference the following week, and the Conservatives are having theirs the week after (starting on Sunday 2 October), and so in practice next week is the only slot available. When this was put to the spokeperson, he did not confirm this – but did not deny it either.
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72% of voters favour further windfall tax on energy firms, poll suggests
Voters favour a further windfall tax on energy companies by a margin of seven to one, according to a poll by Savanta ComRes.
The poll was commissioned by the Daily Mail, which has written it up as a big boost for the new prime minister. “Voters overwhelmingly back Liz Truss’s plan to freeze energy prices for families and businesses”, says the Mail in its report.
The poll does suggest that 87% of people are in favour of freezing energy bills for consumers. This, broadly, is what Truss announced in a speech to MPs on Thursday, a few hours before the death of the Queen had announced. At that point the main opposition parties – Labour, the Liberal Democrats and the SNP – were also calling for energy bills to be frozen.
The poll also shows significant support for three of Truss’s policies that are not supported all the opposition parties: removing green levies from energy bills (backed by 71% of people, the poll suggests); abandoning the national insurance increase (backed by 66%); and cancelling the planned increase in corporation tax (backed by 53%).
But it also suggests that 72% of people favour a further windfall tax on energy companies – as proposed by Labour and some other opposition parties. Only 9% of people are opposed, the poll suggests.
British government officials are not impressed by Maroš Šefčovič comments about the EU’s proposals for the Northern Ireland protocol, according to Mujtaba Rahman, the Brexit specialist at the Eurasia Group consultancy. In his FT interview (see 10.08am) Šefčovič was not announcing a new proposal; instead he was presenting a positive gloss on the EU plans already on the table.
Senior UK officials tell me EU’s offer doesn’t go far enough – & isn’t particularly new. Aim of the green lane is to eliminate all paperwork on goods going from GB to NI – not just physical checks
— Mujtaba Rahman (@Mij_Europe) September 12, 2022
The King says Big Ben is one of the most powerful symbols of our nation. It will toll to mark the late Queen’s progress from Buckingham Palace to Westminster Hall on Wednesday, he says.
While very young, her late Majesty pledged herself to serve her country and her people and to maintain the precious principles of constitutional government, which lie at the heart of our nation.
This vow she kept with unsurpassed devotion.
She set an example of selfless duty, which, with God’s help and your counsels I am resolved faithfully to follow.
That’s the end of the King’s speech.
MPs and peers are now singing the national anthem.
King says parliament is ‘living and breathing instrument of our democracy’
King Charles is now responding. He says he is deeply grateful for these messages of condolence. Quoting Shakespeare on the first Queen Elizabeth, he says she was “a pattern to all princes living”.
As I stand before you today, I can’t help but feel the weight of history which surrounds us, and which reminds us of the vital parliamentary traditions to which members of both houses, dedicate yourselves with such personal commitment for the betterment of as all.
Parliament is the living and breathing instrument of our democracy. That your traditions are ancient we see in the construction of this great hall, and the reminders of mediaeval predecessors of the office, to which I have been called.
Hoyle finishes by presenting the King with a copy of the addresss to him from the Commons.
Constitututional monarchy ‘symbol of stability in ever-changing world’, says Commons Speaker
Hoyle says “our constitutional monarchy is a symbol of stability in an ever-changing world”.
He says the Queen visited Westminster Hall to mark historic occasions, including the 300th anniversary of the Glorious Revolution. He goes on:
It is perhaps very British to celebrate revolutions by presenting an address to Her Majesty, but those revolutions led to our constitutional freedoms.
Sir Lindsay Hoyle, the Commons Speaker, says the loss of the Queen is felt around the world. “But we know most of all it is a loss to you, Your Majesty, and to the royal family.
He offers his heartfelt sympathy. And there is nothing MPs can say that the King will not already know.
He says MPs have in recent days spoken about the Queen.
They have spoken of her sense of duty, her wisdom, her kindness, her humanity, how she touched the lives of hundreds of thousands of their constituents in her visits to every part of this country. The words have been heartfelt.
McFall says, on behalf of members of the House of Lords, he pledges his loyalty to the King.
And he reads the text of the loyal address to the King passed by peers.
McFall says the walls of Westminster Hall were built more than 900 years ago. “Much of a national story has taken place within these very walls,” he says. But he says it is also a living space, and he says that light shines into the hall throught the stained glass window installed to commemorate the Queen’s diamond jubilee.