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Fresh blow for Rachel Reeves as Nigel Farage trusted more on economy, LBC poll finds

Polling suggests voters now trust Reform UK leader Nigel Farage more than the Chancellor with the economy. Picture: PA

By Lauren Eales

Chancellor Rachel Reeves has been delivered a fresh blow this evening after an exclusive poll for LBC found that voters now trust Reform UK leader Nigel Farage more than the Chancellor with the economy.

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Over 2,000 voters were asked for their preference between Ms Reeves and Mr Farage on the question of who is best placed to generate economic growth and put more cash in their pockets.

Fifty-four percent of respondents said that they believe they have a greater level of trust in the Reform leader, with Ms Reeves receiving 46%. Voters in the north east displayed the greatest support for Mr Farage’s economic plans – with 70% saying they trusted him more than the Chancellor.

The findings compound a difficult day for Ms Reeves.

The Chancellor was seen crying during Prime Minister’s Questions following a tumultuous few days in which the government’s flagship welfare policy was torn apart by rebellious backbenchers.

Read more: Chancellor Rachel Reeves cries during PMQs as Starmer says ‘she’s going nowhere’ after welfare bill storm

Read more: Rod Stewart says Britain should ‘give Farage a chance’

Reeves was seen crying during PMQs. Picture: Alamy

A spokesperson for Rachel Reeves says the Chancellor has also been dealing with a “personal matter”, whilst MPs witnessed Ms Reeves having an ‘animated exchange’ with Speaker Sir Lindsay Hoyle shortly before PMQs.

The survey, conducted by More in Common, was carried out over the course of the weekend of the 28 and 29 of June, before the scenes in parliament today.

The government has consistently pointed to successive interest rate cuts as a sign that the economy is improving, as well as better-than-expected growth of 0.7% of GDP in the first quarter.

Reform UK’s economic policies, meanwhile, include giving wealthy foreign residents favourable tax status for the price of a £250,000 upfront fee to be paid when they move to the UK.

This cash will then be handed to the bottom 10 per cent of low-income workers. Reform said this could see 2.5 million workers receive between £600 and £1,000 a year, depending on take-up of the ‘Britannia Card’.

The proposal has received criticism from several economists however, with analysis from Tax Policy Associates estimating it would cost more than £34 billion over five years.

Concerns have also been raised over the policy discouraging highly skilled professionals who can’t afford the £250,000 payment from moving to the UK.

Nigel Farage, leader of the Reform Party. Picture: Alamy

Labour Party Chairwoman Ellie Reeves, who is also the Chancellor’s sister, branded the ‘Britannia Card’ a “bonanza for billionaires”, and compared it to Liz Truss’ mini-Budget. She claimed working families will suffer tax hikes due to the £2.5 billion annual cost.

Farage has also said his Reform party would “reindustrialise” Britain by lifting the tax-free allowance on earnings to £20,000. It comes after a petition to raise the threshold from the current £12,750 passed 245,000 signatures.

Questions, though, have been raised about how the policy would be funded. The Institute for Fiscal Studies suggested raising the personal allowance to £20,000 could cost over £60 billion if corresponding increases were made to other income tax thresholds and to those for national insurance.

Critics have also suggested the policy could favour higher-income regions over lower-income areas, with the northeast expected to be hit hardest if funding is drawn from cuts to public services.

However, the exclusive data also comes at a time where Labour’s economic credibility has been called into question, with tax rises becoming increasingly likely in the Autumn Budget after Labour rebels forced the government to concede on welfare reforms this week.

The Treasury has been approached for comment.

MPs have voted to outlaw campaign group Palestine Action as a terrorist group – with 385 voting for and 26 against.

The order will now go to the House of Lords tomorrow, before the ban could be enforced as early as Saturday.

If passed, the move will designate Palestine Actions as a terrorist organisation, meaning membership or support for the group could land people up to 14 years in prison.

The group will sit alongside Isis and Al-Qaeda under British Law.

The possible ban follows two protests in which demonstrators damaged RAF Voyagers at Brize Norton, the UK’s biggest RAF station.

Home Secretary Yvette Cooper pitched the ban to MPs, previously stating: “The right to protest and the right to free speech are the cornerstone of our democracy, and there are countless campaign groups that freely exercise those rights. Violence and serious criminal damage has no place in legitimate protests.”

Former Labour leader Jeremy Corbyn said in the Commons before the vote: “If this order goes through today, it will have chilling effects on protests.”

GB News political editor Christopher Hope admits he has ‘never seen scenes like it’ at PMQs with Rachel Reeves crying GB News political editor Christopher Hope said he has “never seen anything like it” at Prime Ministers Question’s (PMQs) today after an extraordinary emotional display from Chancellor Rachel Reeves. A tear could be seen rolling down Reeves’ cheek as she watched the Prime Minister face questions from Conservative leader Kemi Badenoch. Speaking to GB News, Hope said: “I’ve never seen anything like it, a prominent minister so visibly upset next to the Prime Minister during PMQs.” READ THE FULL STORY HERE AS TO WHY THE CHANCELLOR CRIED IN THE COMMONS TODAY

Starmer tells Reeves that she has his ‘complete support’ Sir Keir Starmer confirmed that he backs Rachel Reeves as Chancellor, stating she has his “complete support”. After failing to rule out her future today, the Prime Minister has made it clear that he is supporting Reeves, with them being described “as close politically”. Sky News understands that the Chancellor remains a key part of Labour’s project, with one senior figure stating: “She is going absolutely nowhere”. Reeves was seen crying in the Commons today, with the Treasury saying her tears were caused by a personal matter.

‘I say this loudly and proudly – We are all Palestine Action’: Suspended Labour MP launches into tirade in Commons Zarah Sultana, the Coventry South MP, launched a tirade in the Commons against so-called “Zionism” and the “Israeli lobby”. Sultana said in the Commons: “I oppose the blood-soaked hands of this Government trying to silence us. “So I say this loudly and proudly on Wednesday, June 2, 2025, we are all Palestine Action,” to which a voice replied: “No, we are not.” Sultana also accused Starmer, Reeves, Rayner and Cooper of “cowardice” for failing to “defend their actions” before the banning.

MPs who voted against banning of Palestine Action A slim 26 MPs voted against the banning of Palestine Action, with an overwhelming majority of 359 in support. These included 10 Labour MPs, including one teller, four Green Party MPs and six Liberal Democrats. MPs who voted against the ban:

Ayoub Khan, Independent

Bell Ribeiro-Addy, Labour

Sian Berry, Green

Ellie Chowns, Green

Carla Denyer, Green

Adrian Ramsay, Green

Shockat Adam, Independent

Aspana Begum, Independent

Jeremy Corbyn, Independent

Adnan Hussain, Independent

John McDonnell, Independent

Zarah Sultana, Independent

Diana Abbott, Labour

Tahir Ali, Labour

Richard Buron, Labour

Ian Byrne, Labour

Imran Hussain, Labour

Kim Johnson, Labour

Clive Lewis, Labour

Grahame Morris, Labour

Nadia Whittome, Labour

Andrew George, Liberal Democrat

Tom Gordon, Liberal Democrat

Tessa Munt, Liberal Democrat

Manuela Perteghella, Liberal Democrat

Dr Al Pinkerton, Liberal Democrat

Luke Taylor, Liberal Democrat

Colum Eastwood, Social Democratic and Labour Party

Hard-left MPs queue up with attempts to derail Security Minister in desperate bid to quash Palestine Action proscription Several hard-left MPs voted against the Government proscribing Palestine Action as a terrorist organisation. Green Party co-leader Carla Denyer and suspended Labour MP Zarah Sultana both raised points of order after the vote, which saw over 14 times the number of MPs vote in favour of proscribing Palestine Action and two other groups than vote against. Notable MPs who voted against the Government’s ban include Jeremy Corbyn, Diane Abbott and Nadia Whittome.

Ex-Tory MP joins Nigel Farage’s Reform UK to head up social care policy Anne Marie Morris, a former Conservative MP Anne Marie Morris, a former Conservative MP, has joined Reform UK, according to a statement from Nigel Farage’s party. Previously representing Newton Abbot from 2010 to 2024, Morris will now lead Reform UK’s social care policy. She expressed her support for the party, stating that Reform provides “the vision and leadership” the country requires. “I’m committed to helping bring that vision to life,” she said.

Value of pound slumps as doubts grow over Rachel Reeves’ future The pound and long-term Government bonds saw a sharp decline after Sir Keir Starmer withheld public support for Chancellor Rachel Reeves. Reeves appeared emotional in the House of Commons due to a “personal matter,” as both her role and the Government’s credibility came under pressure following a reversal on welfare policy. The policy reversal is now expected to cost the Labour Government nearly £5 billion in anticipated savings, complicating efforts to balance public finances. This triggered a negative reaction in financial markets, with the pound and gilts falling significantly during the Prime Minister’s address to Parliament. On Wednesday, the pound dropped 1.14 per cent to 1.358 against the US dollar, after having reached a three-year high just a day earlier. Sterling also weakened 0.8 per cent against the euro, hitting its lowest level since April at 1.155.

Pat McFadden warns Britons of ‘financial consequences’ after Labour’s ‘contentious’ benefits bill passes Pat McFadden has warned Britons of ‘financial consequences’ in wake of the benefits bill row GB News The Chancellor of the Duchy of Lancaster has indicated that tax increases could be necessary after the Government reversed course on disability benefit reforms. Speaking to GB News, Pat McFadden acknowledged the financial impact of abandoning controversial changes to Personal Independence Payment (PIP). “There’s definitely a financial consequence to the decision taken yesterday,” he stated. READ THE FULL STORY

PM deletes tweet which showed Rachel Reeves crying Sir Keir Starmer has deleted a tweet which showed Rachel Reeves visibly upset during Prime Minister’s Questions. The Chancellor was seen wiping a tear during the Prime Minister’s final response to Kemi Badenoch’s at this week’s lunchtime showdown. Starmer shared the clipped up remarks on his official X account, adding: “Promises made. Promises delivered.” He later deleted the post after receiving responses about why it had been uploaded when Reeves clearly looked upset.

Speaker declines to comment about ‘altercation’ with Rachel Reeves ahead of PMQs Sir Lindsay Hoyle has declined to provide any comment on whether or not he had an “altercation” with Rachel Reeves ahead of today’s Prime Minister’s Questions. A minister claimed that the Commons Speaker ended up apologising to the Chancellor. However, a spokesman for the Speaker’s Office simply told GB News: “No comment.”

No10 insists Keir Starmer will ‘plough on with busy agenda’ after PMQs grilling saw Chancellor reduced to tears Downing Street has said that Sir Keir Starmer will “plough on” with his “very busy agenda” when asked if the Prime Minister was planning for a course correction following yesterday’s welfare vote. A No10 spokesman said: “The Prime Minister is fully focused on the job at hand. “You’ve heard… the number of achievements this Government has secured in its first year in office. You can expect him to plough on with the very busy agenda.”

No11 rejects Rachel Reeves’s resignation rumour after Chancellor appeared visibly upset at PMQs Rachel Reeves has not resigned as Chancellor and was upset due to a “personal matter”, No11 has confirmed. A spokesman for Rachel Reeves said: “It’s a personal matter, which – as you would expect – we are not going to get into. “The Chancellor will be working out of Downing Street this afternoon.”

‘You left her humiliated!’ Kemi Badenoch accuses Keir Starmer of using Chancellor as ‘human shield’ after heated PMQs

Ellie Reeves spotted holding Rachel Reeves’s hand but ally insists Chancellor is ‘totally fine’ Labour Party chairwoman Ellie Reeves has been spotted holding her sister Rachel Reeves’s hand after today’s heated exchange at Prime Minister’s Questions. During PMQs, a tear was spotted rolling down the Chancellor’s rather glum face. However, a senior Minister has just told GB News that after Reeves is “totally fine”.

Ex-Tory Minister admits ‘feeling very sorry’ for Rachel Reeves as tear spotted rolling down Chancellor’s face Ex-Tory Minister Sir Simon Clarke has expressed his sympathy with Rachel Reeves after a tear was spotted rolling down the Chancellor’s face during a heated exchange between Sir Keir Starmer and Kemi Badenoch at Prime Minister’s Questions. While Badenoch was grilling Starmer about his Chancellor’s future, Reeves was spotted looking rather glum, prompting the Leader of the Opposition to describe the Prime Minister’s right-hand woman of looking “absolutely miserable”. In a rather sympathetic social media post, Clarke shared his sympathies following his own experiences in Liz Truss’s Cabinet. He said: “Labour have mishandled things terribly – but this is desperate to see from Rachel Reeves and I genuinely feel very sorry for her at this stage. “What I would gently say as we all reflect on this is that Liz and Kwasi also went through utter hell three years ago after their own mistakes. Too many delighted in that.”

WATCH IN FULL: Kemi Badenoch mocks ‘miserable-looking’ Rachel Reeves as PM refuses to rule out sacking Chancellor Sir Keir Starmer has refused to rule out sacking Rachel Reeves shortly after a tear rolled down the Chancellor’s face during a heated Prime Minister’s Questions spat. The Chancellor, who was looking rather glum while Starmer faced his weekly grilling, was mocked by Tory leader Kemi Badenoch for looking “absolutely miserable”. Following a humiliating climbdown over benefits plan, the Chancellor is left needing to find a way to plug a £5billion hole in otherwise anticipated public savings. Badenoch went on the attack at Prime Minister’s Questions, quizzing Starmer about whether Reeves will remain in place. The Leader of the Opposition said: “She [the Chancellor] looks absolutely miserable. She looks absolutely miserable. “Labour MPs are going on the record saying that the Chancellor is toast and the reality is that she is a human shield for his incompetence. “In January he said that she would be in post until the next election. Will she really?” Responding to Badenoch, the Prime Minister refused to categorically reaffirm his position on Reeves remaining in place until 2029. Starmer instead opted to point out that Labour inherited a £22billion black hole from the previous Conservative Government. He added: “She certainly won’t [directed at Badenoch]. I have to say I am always cheered up when she asks me questions or responds to a statement because she always makes a complete mess of it and shows just how unserious and irrelevant they are.” In a put down to the Prime Minister’s evasive answer, Badenoch replied: “How awful for the Chancellor that he couldn’t confirm that she will stay in place.”

‘He didn’t answer my question!’ Lib Dems join attack over PM’s benefits bill U-turn Liberal Democrat leader Sir Ed Davey has continued with attacks against Sir Keir Starmer’s benefits bill U-turn. Following Kemi Badenoch’s fiery exchange with the Prime Minister, Davey said that the Prime Minister needs to bring down benefits costs but added that the Government’s plan was “not a fair way to do it”. The Liberal Democrat leader said: “Yesterday, the government was asking this house to vote for a law that would mean someone with a condition like Parkinson’s or multiple sclerosis would qualify for a personal independence payment (Pip) today, but someone diagnosed with the same condition with very same symptoms in a few months time would not. “We all know that the cost of welfare needs to come down, but that was not a fair way to do it. Until he lost control yesterday, the Prime Minister was arguing for that approach. Has he changed his mind on this or not?” However, the Prime Minister replied: “I thought that he and his party cared about things like that. It’s the right thing to do, and they voted against it. “We rebalanced Universal Credit, long overdue. I think he believes that, but what did he do last night? “He voted against it. We set out a pathway to reform, something he argues for every week, but what did he do when he had the chance? He voted against it.” Davey then quipped: “The House and his backbenches will not that he didn’t answer my question.”

Keir Starmer refuses to rule out tax hikes in autumn budget Sir Keir Starmer has refused to rule out hiking taxes in the autumn. Responding to Kemi Badenoch’s question, the Prime Minister said: “She knows that no prime minister or chancellor ever stands at the despatch box and writes budgets in the future. That isn’t what they did, and it isn’t what we do, and she knows it.” However, Badenoch had accused the Prime Minister of having “some brass neck”, adding: “That bill will achieve nothing.” She also said: “Let me tell the house what’s going to happen: in November, the chancellor [Rachel Reeves] is going to put up our taxes to pay for his incompetence. “We on this side of the house know that you can’t tax your way to growth, but people out there are frightened.”

‘He’s too weak!’ Kemi Badenoch grills PM after ‘humiliating U-turn’ on benefits bill Kemi Badenoch continued her attack against Sir Keir Starmer over the Prime Minister’s “humiliating U-turn” on his benefits bill last night. Badenoch warned the Prime Minister that he cannot control his rebel MPs, with 49 Labour MPs still opting to ignore No10’s concessions by voting against the Government. The Leader of the Opposition said: “He said that he would take the difficult decisions – but isn’t the reality that he is too weak to get anything done.” The Prime Minister responded by blaming the Conservatives for breaking the economy, NHS and welfare state.

Keir Starmer avoids Kemi Badenoch’s demand for answers to Britain’s benefits savings Sir Keir Starmer has avoided Kemi Badenoch’s question about whether the Prime Minister’s revamped welfare bill will claw back any cash for the Treasury. The Tory leader told the Prime Minister: “This is the first Primer Minister in history to propose a bill to save money who ended up with a bill that costs money. “If the Bill doesn’t cut welfare spending, can the Prime Minister tell the House how many people it will get into work?” Starmer, who failed to directly answer the question, instead said that the bill “will help people back into work”.

MPs cheer and jeer Keir Starmer ahead of PMQs showdown Sir Keir Starmer has been welcomed to the House of Commons with an almighty set of cheers from his own MPs ahead of today’s clash with Kemi Badenoch at Prime Minister’s Questions. Despite facing a 49-strong rebellion last night, Labour MPs were keen to show their support for the Prime Minister. However, Commons Speaker Sir Lindsay Hoyle was forced to delay the start of PMQs by just a few seconds after opposition MPs responded with a chorus of jeers. Hoyle quipped that he had never heard so many cheers for a Prime Minister from both sides of the House. The Prime Minister added: “I think they were cheering more, quite right too.”

Keir Starmer faces PMQs grilling just hours after Labour rebels forced benefits bill capitulation Sir Keir Starmer is bracing for a fiery Prime Minister’s Question showdown with Kemi Badenoch just hours after Labour rebels forced an enormous climbdown over Britain’s ballooning benefits bill. The Prime Minister will return to the House of Commons to face questions from the Leader of the Opposition, Liberal Democrat leader Sir Ed Davey and another 14 MPs. Badenoch is expected to grill Starmer over concerns about imminent tax rises this autumn, with the Institute for Fiscal Studies warning about levies increasing as a result of the Prime Minister’s decision to water down his proposed benefits cuts. The Prime Minister stumbled out of the No10 door this morning as he prepared to head to the Houses of Parliament for his showdown.

Ex-Tory MP defects to Reform UK as Nigel Farage’s social care chief unveiled Ex-Tory MP Anne Marie Morris has been unveiled as Reform UK’s new social care chief in a major coup for Nigel Farage. Morris, who served as the MP for Newton Abbot between 2010 and 2024, said: “The country is in a desperate position. I believe now it is Reform UK that offers the vision and leadership Britain so badly needs. I want to play my part in delivering that vision.” Responding to the announcement, Reform UK chairman David Bull added: “We are delighted to welcome Anne Marie to Reform UK. “She brings a wealth of experience with her and will be a crucial part in developing the party’s social care policy as we look to build our policy platform ahead of the next general election. “Anne Marie is just one of many who realise that Reform UK is the only party that can stop this damaging Labour Government in its tracks.”

WATCH NOW: Keir Starmer stumbles as PM prepares for Commons showdown after benefits bill capitulation

Diane Abbott brands IDF ‘Jewish Defence Force’ as Keir Starmer under pressure to remove whip from Labour veteraneditsharetrending_up Labour veteran Diane Abbott has come under fire after claiming the “Jewish Defence Force” is murdering Palestinians in Gaza. The ex-Shadow Home Secretary, who was suspended from Labour in April 2023 after writing that Jews could not be subject to racism ‘all their lives’, sparked yet another antisemitism row which has led to calls for Sir Keir Starmer to suspend her yet again. In a now-deleted social media post, the ex-Shadow Home Secretary said: “Beyond horrific that the Jewish Defence Force is gunning down Palestinians as they queue for food #Gaza Genocide.” Abbott, 71, who is Mother of the House of Commons, had been responding on Tuesday to a quote from journalist Chris Hedges from 2001. Hedges had alleged that soldiers from the Israel Defence Forces “had enticed children like mice into a trap and murdered them for sport”. However, Abbott seemingly opted to replace the word Israel with Jewish. It is also not known if Abbott was aware that Hedges’s report referred to an event from more than two decades ago. A number of campaign groups have condemned Abbott for her comments, putting pressure on the Prime Minister to take decisive action. READ THE FULL STORY HERE

FULL LIST: The MPs preparing to grill Keir Starmer on his benefits U-turn

WATCH NOW: Pat McFadden comes out to bat for Sir Keir Starmer over the benefits bill vote

Angela Rayner played ‘instrumental’ role in seeing off rebellion Deputy Prime Minister Angela Rayner played an “instrumental” role in seeing off yesterday’s backbench rebellion, The Telegraph has claimed. Rayner held crunch talks with Labour MPs shortly before the benefits bill reached the House of Commons. Sir Keir Starmer later buckled to more concessions, abandoning his previous crackdown on Personal Independence Payments.

WATCH NOW: Tory Shadow Minister issues Keir Starmer leadership warning after 49 Labour MPs rebel over Britain’s ballooning benefits bill

Keir Starmer faces ‘crunch’ leadership test as benefits chaos gives Labour MPs taste for rebellion Sir Keir Starmer has been warned he faces a “crunch” second year in No10 after Labour rebels forced the Prime Minister to capitulate over his plans to slash Britain’s ballooning benefits bill. Starmer, who last night won his Commons vote on his welfare bill, made 11th hour concessions to prevent his own MPs handing him a parliamentary defeat. However, Labour rebels now sense an opportunity to force Starmer’s hand on other policies, including the so-called tractor tax and two-child benefit cap. A mutinous mood within the parliamentary Labour Party leaves the Prime Minister, who had already U-turned on Winter Fuel Payments and grooming gangs, bracing for a nightmare second year. A Labour MP described the next 12 months as a “crunch” year for the Prime Minister, adding: “I think this year is going to be bumpy, choppy.” Speaking to Politico, the Labour veteran also warned: “There is now a new core of MPs who are going to be permanently or very often on the naughty step.” Despite the difficult challenge ahead, a top pollster claimed that the Prime Minister could turn his fortunes around by focusing on delivering for the British people. More in Common’s executive director Luke Tryl said: “Year two is the real test of: Come on, can you deliver?”

Katherine Forster: Keir Starmer’s concessions embolden Labour rebels as MPs plot to put more pressure on PM The Government won this vote last night but it doesn’t feel like a victory because that bill was gutted. The £5billion that they were going to save has gone. In fact, it might ultimately cost them money. And the Prime Minister has spent weeks saying that it’s a moral necessity to reform welfare and the Treasury believe it’s an economic necessity, too. Now, it’s just incredible because the Prime Minister will be ‘celebrating’ a year in office on Saturday and here we are, multiple U-turns. There was one on Thursday night last week, they thought that would be enough, but then after 5.30pm yesterday, fearing that they could lose this vote, they had to give even more ground. There’s very little left of this bill and what it’s taught Labour MPs is that if enough of them band together – they can’t take the whip off 50 or 60 MPs – they can basically do what they like, without consequence.

‘Financial consequences!’ Labour Minister hints at autumn tax rises after benefits bill debacle Senior Labour Minister Pat McFadden has hinted at tax rises this autumn after Sir Keir Starmer’s benefits bill concessions appeared to wipe out an expected £5billion worth of savings. The Chancellor of the Duchy of Lancaster told Times Radio: “This is a decision that will have financial consequences. The process of the last couple of weeks does have financial consequences. “They will all be taken together with all the other moving parts that there are in the economy, in the fiscal picture at the Budget, and that will be set out at the time. “But I’m not denying that when you set out on a plan that has a cost attached to it, and then you have to change that or take it forward in slower time, that is a decision with financial consequences.” However, McFadden pledged that Starmer’s Government will “stick to the tax promises we made in the manifesto”, ruling out any increase to National Insurance, income tax or VAT.

‘Deeply concerning!’ Ed Miliband speaks out after Heathrow fire revealed Energy Secretary Ed Miliband said: “Following the North Hyde Substation fire which caused widespread disruption, the Government took rapid action to commission the National Energy System Operator (NESO) to investigate the incident. “The report is deeply concerning, because known risks were not addressed by the National Grid Electricity Transmission, and Ofgem has now opened an official enforcement investigation to consider any possible licence breaches relating to the development and maintenance of its electricity system at North Hyde. “There are wider lessons to be learned from this incident. My department, working across Government, will urgently consider the findings and recommendations set out by NESO and publish a response to the report in due course.” READ THE FULL STORY HERE

Labour’s benefits bill to COST British taxpayers £100m after PIP U-turn Sir Keir Starmer’s decision to U-turn on major reform to Personal Independence Payments (PIP) is set to cost the British economy £100million, wiping out any projected savings. Earlier this evening, MPs voted 335 to 260 to pass the Universal Credit and Personal Independence Payment Bill, which was drawn up to overhaul the Department for Work and Pensions (DWP). However, this legislation was only voted through after Labour ministers agreed to scrap proposed tightening of the eligibility criteria for PIP. Disability rights campaigners and backbench MPs urged the Government to reconsider after an impact assessment determined 150,000 people would be pulled into poverty if the changes were implemented. With this reform now axed, analysts are sounding the alarm that the forecast savings estimated to come from the bill are now non-existent. On X, Institute of Fiscal Studies’ (IFS) associate director Tom Waters said: “What do the changes to the Universal Credit & PIP bill do? “Tighten PIP eligibility – saves £2.6billion in 2029-30. Cut health element of Universal Credit – saves £1.7billion. Raise basic Universal Credit – costs £1.8billion. “If the first goes, the bill costs £0.1billion [£100million] in 2029-30.”

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It was painful to watch. An intrusion into something deeply private. A grief observed. Rachel Reeves breaking down in tears. Her face lined with misery as Keir Starmer failed to guarantee she would still be in her job at the next election. A reminder that politicians are humans too. If you prick us, do we not bleed?

Rachel, a woman alone in the uncaring, public gaze of prime minister’s questions. A mere punchbag for the leader of the opposition. Undefended by Starmer. Keir couldn’t even bring himself to make sure she was OK. Too wrapped up in his own world. Maybe he didn’t even notice. Too busy trying to protect his own reputation.

In the brutal world of Westminster, it’s now every person for themselves. Perhaps it was always that way. Politicians just like to kid themselves otherwise. Only at the end did Reeves’s sister, Ellie, get the chance to comfort her.

It wasn’t meant to be this way. For the past few years, Labour has been the Keir and Rachel show – the rest of the party there to make up the numbers. Keir to be the frontman, Rachel to be the economic brains behind the operation. The woman to reassure the country and the markets that Labour was credible.

In opposition, they were the perfect couple, the antidote to Tory incompetence. Now their joint project is in chaos. On Tuesday night, the Commons was reduced to something like the farce of the Brexit years as last-minute concessions were made. The welfare bill reduced to the status of WINO. Welfare In Name Only. The legislation gutted and £5bn lost in planned government savings. Money that Rachel didn’t have and for which she was being asked to carry the can. Welcome to Labour’s first 2024 election anniversary on Friday. Just the success story they had in mind on election night.

This was never going to be an easy PMQs for Starmer. Or for any of the cabinet, for that matter. Most of them looked as if they had been up for days. Several sleepless, long, dark nights of the soil. Few caught one another’s eyes.

Liz Kendall never made it to the frontbench. She preferred to stay hidden behind the speaker’s chair. Presumably on the advice of her therapist. She had spent enough time getting humiliated the day before. Enough was enough.

Keir himself looked pasty grey. Attempting a grin as the ironic Tory cheers outdid those from his own benches as he took his place at the dispatch box. Trying to normalise things. As if everything that had happened to his government in the past few days was par for the course. And he settled in nicely with a friendly question from Labour’s Paul Waugh. The kind of question that will get you a long way with the whips. Would he agree that Labour had done brilliantly on free school meals? Unsurprisingly, he would.

Over to Kemi Badenoch. Surely even she couldn’t mess this one up. An open goal. All she needed to do was tap the ball over the line. For a while, it looked as if she might not manage even that. But somehow the ball rolled slowly into the net for her first ever win against Starmer. Though Keir could probably thank his lucky stars that he wasn’t facing someone else. Then it could have been an annihilation.

The thing with Kemi is that her manner is so off-putting. That weird sense of superiority when she has so little to be superior about. The arrogance and the condescension. The perpetual sneer. The feeling she is permanently doing the rest of us a favour. All of which makes it hard to like her. Your sympathies are naturally drawn to whoever her opponent happens to be.

Kemi began with a gratuitous swipe at Waugh. Everyone knew he was trying to limit the damage to his party and every MP has been used as toady fodder at some time. The gracious thing to do would have been to ignore it. But Kemi just can’t help herself. She’s never yet passed up the opportunity to kick a man when he’s down. Any backbencher is fair game to her. Then on to the main question. How much money would the welfare bill save?

This prompted a bit of euphoric recall from Keir. Memories of the welfare bill he had wanted it to be. It would be the best bill ever. It was like the day before had never happened. The Tories had broken the system and Labour were mending it. There were millions of people back in work and everyone couldn’t be happier with the way things had gone during the government’s first year.

Now it was Kemi’s turn to indulge her own fantasies. The Tory attacks always look better on paper than they are in reality. Because the Conservatives have got their own record of failure to defend. You can’t go around blaming someone else for not yet fixing what you broke. Except you can if you are Kemi. She must be the only person who thinks the Tories left government having improved the welfare system.

Then we came to the tears. Kemi observed that the chancellor was toast. How long would she be around? This was too much for Rachel. Labour would later try to claim she had something else on her mind but it didn’t look that way at the time. Rachel does care. She has wanted to be chancellor for years. She might yet even turn out to be a good one. Just will she be asked to lay down her life to save Keir’s?

Not everyone in Westminster gets to have a second chance. Not even Kemi. The chances of her still being leader of the opposition come the next election are even worse than Rachel’s.

There was time for one hostile question from his own benches. This from Kim Johnson asking where his much-promised Hillsborough law had got to. Starmer insisted it was on its way. Other Labour MPs chose to keep things constituency related. Desperate not to rock the boat. Wanting to forget WINO. At least for 30 minutes. Keir tried to sound appreciative. Anxious to prove he was a listening man. He could start by hearing Rachel.

Robert Jenrick, the shadow justice secretary, said Starmer ‘threw Reeves under the bus’

Rachel Reeves was filmed crying as she sat beside Sir Keir Starmer in the Commons during PMQs

Keir Starmer questioned in PMQs — with the teary chancellor behind him

No 10 has “absolutely guaranteed” that Rachel Reeves will be chancellor at the next general election, a Cabinet minister has said.

Nick Thomas-Symonds, the paymaster general and minister for the Constitution and European Union Relations, told Sky News: “No 10 has set out this afternoon that absolutely her position is guaranteed until the next general election.”

Sir Keir Starmer will also “absolutely lead the party into the next general election,” he said.

Asked if Reeves is “ok”, Thomas-Symonds said: “She is. She is working hard in Downing Street this afternoon. She is an extraordinarily resilient, highly able woman who has been doing an excellent job as chancellor and will continue to.”

To LBC, he added: “I can’t be any clearer — and No 10 can’t be any clearer than what they’ve said today — about her remaining in post until the next general election.”

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Reeves ‘integral’ to Labour project

Sir Keir Starmer made clear this afternoon that Rachel Reeves “remains integral to the Starmer project”, according to reports.

Sky News’s Beth Rigby said that the prime minister and his chancellor have been described as “as close politically” as any chancellor and prime minister have ever been.

No 10 said earlier that Reeves has Starmer’s “full backing” and “is going nowhere”.

‘Politicians are humans too’, says Wes Streeting

Rachel Reeves has “something going on personally, not professionally”, the health secretary Wes Streeting has said.

Streeting told ITV: “It’s easy to forget but we are all humans as politicians and we have lives like everyone else.”

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On welfare reform, he added: “We were trying to go too fast, we didn’t take people with us.”

Reeves ‘said she was under pressure’ before PMQs

Rachel Reeves said “I’m just under so much pressure” before taking her seat for PMQs, where she was visibly upset throughout, it has been reported.

She had a brief altercation with Sir Lindsay Hoyle, the Speaker of the Commons, but was already said to be in a “difficult place” over a “personal matter”.

A witness told the Guardian that Reeves told him “I’m just under so much pressure” before heading to the front bench.

No 10 said the chancellor has Sir Keir Starmer’s “full backing” and “is going nowhere”. A spokesperson for the Speaker declined to comment.

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Who could replace Reeves if she steps down?

After a dramatic PMQs, speculation is mounting over Rachel Reeves’s future in her role as chancellor. Several Labour ministers have the potential to succeed her writes Geraldine Scott, Assistant Political Editor.

Downing Street said Sir Keir Starmer is behind Reeves, and that she is “going nowhere” — but who could replace her if the job were to come up?

• Read in full here: Will Rachel Reeves resign — and who could replace her as chancellor?

Just 6 per cent of public think Labour is united

Asked by YouGov whether the Labour Party is divided at the moment, 70 per cent said it was. A mere six per cent said the party was united.

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The figure has steadily risen in recent months, from 61 per cent in June and 48 per cent in May.

Among Labour voters, the number of those saying the party was united were a little higher — at 12 per cent compared to 69 per cent.

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Reeves is met with well wishes

Public figures across the political spectrum have been sending their well wishes to Rachel Reeves after she cried during prime minister’s questions.

Sajid Javid, the former chancellor, said: “Whatever your politics, it was hard not to feel for Rachel Reeves today. Wishing her all the very best.”

Stephen Flynn, the SNP Westminster leader, said: “Like almost all MPs I don’t know why the chancellor was upset in the Chamber today, but I do hope she is okay and back to her duties this afternoon.

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“Seeing another person in distress is always very difficult, and we are wishing her well.”

Tom Peck: In a packed room, Reeves was left to struggle alone

From high up in the press gallery, at first the chancellor looked merely exhausted. Her eyes were swollen, she was half turned away, as if slumped over. But then, from her eye came a slow but unignorable droplet writes Tom Peck, Parliamentary Sketch Writer.

Her bottom lip had given way. As the old song doesn’t quite go, the more she tried to smile, the more clearly it could be seen that her heart was breaking.

What was going on? To her right-hand side, the prime minister was in an ebullient mood. He either didn’t know he was fully adjacent to a public show of what should have been private grief, or he was deliberately ignoring it. Soon, it became clear it was very much the latter.

• Read Sketch in full: Amid Rachel Reeves’s violent loneliness, Starmer finds sympathy a step too far

Smiley Starmer ignores questions about Reeves during F1 visit

Sir Keir Starmer smiled and posed for photos outside No 10 as reporters shouted questions at him about Rachel Reeves.

The prime minister chatted with Stefano Domenicali, the F1 president, various drivers and workers as they posed for photos alongside cars to mark the sport’s 75th anniversary.

Journalists asked Starmer why his chancellor was crying in the Commons and whether he had spoken with her about it, the BBC reported.

The prime minister ignored them, which is not unusual. Journalists often shout out questions in Downing Street which go unanswered.

Starmer poses with F1 members outside Downing Street to mark 75 years of the sport EPA/ANDY RAIN

Members play the blame game

The government’s official line is that Rachel Reeves’s tears in the Commons are a strictly “personal matter” and there is nothing more to be said.

But a government source told ITV: “I hope those f***ers on the backbenches are proud of themselves.”

Others say much of the blame lies with Reeves herself, for imposing a savings target and then rubbing backbenchers up the wrong way while trying to win them around.

Before today’s PMQs, one senior Labour source told The Times: “She’s shown very little political acumen.”

Downing Street deletes Twitter post of emotional Reeves

Sir Keir Starmer’s official Twitter account has a deleted a post which showed Rachel Reeves on the verge of tears behind the prime minister.

The post read: “Promises made. Promises delivered. This Labour government is clearing up the mess the Tories left and delivering for working people across Britain.”

No 10 pulled the tweet after it was noticed that Reeves was “visibly upset” in the background — but not before Harry Cole, The Sun’s political editor, spotted the slip-up.

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Starmer ‘threw Reeves under the bus’, says Robert Jenrick

Robert Jenrick, the shadow justice secretary, said Sir Keir Starmer “threw Rachel Reeves under the bus” in Wednesday’s unusual PMQs.

Earlier on today, Jenrick posted a video of himself ripping up the government’s welfare plans, saying: “Rachel Reeves’s benefits bill is dead, and so is her career”.

He has since opted for a different tack, posting later on: “I obviously hope that Rachel Reeves’s personal matter is resolved. It’s never nice to see someone upset. The PM had a chance to support her at PMQs but threw her under the bus.”

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PMQs fallout could provoke a fiscal crisis in the UK, warns financial expert

Bond vigilantes are “circling” and a fiscal crisis could be looming after Sir Keir Starmer failed to back Rachel Reeves at PMQs, a City expert has warned.

The pound has fallen and gilts have dropped after the prime minister declined to guarantee Reeves would stay at the Treasury until the next election.

Kathleen Brooks, research director at XTB, said: “Prime Minister’s Questions has not eased concern that the bond vigilantes are circling. UK bonds are tanking today … This could be the start of another fiscal crisis for the UK.”

Reeves comforted by sister after PMQs

Ellie Reeves, the chancellor’s sister, appeared to hold Reeves’s hand as she left the chamber after crying in the Commons.

It is thought Sir Keir Starmer did not speak to Reeves as PMQs wrapped up.

Downing Street has since said that Reeves has the prime minister’s full backing.

Asked why Sir Keir Starmer did not confirm in the Commons that he still had faith in Reeves, Starmer’s press secretary said: “He has done so repeatedly. The chancellor is going nowhere. She has the prime minister’s full backing.

“He has said it plenty of times, he doesn’t need to repeat it every time the leader of the opposition speculates about Labour politicians.”

Paul Johnson: Reeves is praying for the unlikeliest of fiscal forecasts

The immediate fiscal consequence of this week’s climbdown by the government is that spending, and hence borrowing, will be at least £5 billion more in 2029 than was planned writes Paul Johnson, director of the Institute for Fiscal Studies.

Add another billion and a half or so from the reverse ferret on pensioner fuel payments, and most of the “headroom” against the chancellor’s main fiscal rule is gone.

In the scheme of things, though, these numbers are small. The government raises and spends well over £1 trillion a year. This week the Office for Budget Responsibility reported that its borrowing forecasts five years out were, on average, over-optimistic to the tune of something like £100 billion. Changes of £5 billion or £6 billion four years out are rounding errors. The cost of these policy reversals comes less from the changes themselves than from the broader context and what they tell us about the government’s capacity to make change.

• Read in full: Tax increases may be the only lever left for the chancellor to pull

Reeves ‘did exactly what No 10 told her’

Losing Rachel Reeves could be a fatal blow to Sir Keir Starmer’s authority, the Times columnist Fraser Nelson has said.

Speaking on Times Radio, Nelson said losing the chancellor so early on would be a crippling “admission of failure”.

Nelson said: “If she’d gone rogue, fair enough. But she was doing exactly what No 10 asked of her. The mistake is joint.”

Nelson compared the situation to when Liz Truss fired Kwasi Kwarteng, a decision which hastened the Tory prime minister’s own downfall.

McFadden ‘most likely to calm markets if he became chancellor’

Pat McFadden has been tipped to replace Rachel Reeves if she resigns or is sacked as chancellor.

Reeves was seen wiping away a tear after Sir Keir Starmer refused to guarantee that she would stay on at the Treasury until the next election.

Speaking on Times Radio, Patrick Maguire, The Times’s chief political commentator, said: “There’s only a few people who could do it, realistically. Yvette Cooper, Pat McFadden, Ed Miliband, Jonathan Reynolds, Shabana Mahmood.”

Maguire said McFadden is the figure who would be most likely to calm markets, after the pound fell and bond yields rose this afternoon.

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Tories demand answers over Reeves’s tears

Earlier in PMQs, Sir Keir Starmer failed to back Rachel Reeves to stay in her position as chancellor until the next election PIXEL8000

The Tories have said “we need to know what’s going on” with Rachel Reeves after the chancellor was seen visibly upset during prime minister’s questions, which a spokesman has since said related to a personal matter.

Kemi Badenoch’s spokesman said “personal matter doesn’t really clear it up” and “you normally tell people what the personal matter is”.

Asked whether politicians should disclose all personal matters in their lives regardless of what they are, Starmer said: “That’s an absurd question.”

He added: “I’m not going to speculate … I think we should find out what’s going on.”

PM ‘confident in his own judgment’

Sir Keir Starmer “absolutely” has confidence in his own judgement, No 10 has said when questioned by reporters.

The prime minister’s press secretary said: “This is a prime minister, who in the opposition, picked the Labour Party off the floor, turned it around and secured the mandate that we received last year.

“This is a prime minister who … is taking a phased approach to government. The first phase is fixing the foundations, including the £22 billion black hole the Tories left, investing record amounts in the NHS and delivering double the amount of appointments that we committed to in the election, freezing fuel duty … and now we’re delivering fairness and security through our plan for change.”

‘Constant engagement’ between PM and backbenchers

Downing Street has said there is “constant engagement” between Sir Keir Starmer and Labour MPs after backbenches claimed the prime minister did not pay them enough attention.

The prime minister’s press secretary said: “There is constant engagement with the PLP [Parliamentary Labour Party].

“The prime minister meets regularly with the Parliamentary Labour Party.”

She added: “He meets regularly with the parliamentary committee, which represents backbench MPs. That engagement has been consistent and will continue to happen.”

Borrowing costs soar and pound falls

Sir Keir Starmer’s initial failure to explicitly back Rachel Reeves has sent UK government borrowing costs soaring.

The pound also fell as traders speculated that the chancellor may lose her job, with sterling dropping 1.1 per cent to $1.36.

The yield on 10-year gilts, which reflects the government’s borrowing costs, rose by 0.22 percentage points, on track for the steepest one-day increase since Liz Truss’s premiership.

• UK borrowing costs jump on fears for chancellor — follow live

Reeves had brief altercation with Speaker

Rachel Reeves had a brief altercation with Sir Lindsay Hoyle, the Speaker of the Commons, but was already said to be in a “difficult place” over a “personal matter”.

Hoyle pulled Reeves up on her conduct during Treasury questions on Tuesday, when she was said to have “rolled her eyes” when he told her to give shorter answers.

Hoyle told her shortly before prime minister’s questions: “It doesn’t help me, it doesn’t help you.” Reeves denied that she had answered back and then started crying.

McFadden: Welfare climbdown will have financial consequences

Earlier, Pat McFadden said taxes on “working people” will not rise, but he left the door open to other types of revenue raising.

McFadden, the chancellor of the Duchy of Lancaster, told Times Radio that Labour would stick by its promise not to increase income tax, national insurance or VAT on ”working people”.

He said: “This is a decision that will have financial consequences. The process of the last couple of weeks does have financial consequences. They will all be taken together with all the other moving parts that there are in the economy and the fiscal picture of the budget. And that will be set out at the time.”

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Starmer fails to rule out tax rises

Sir Keir Starmer has failed to rule out further tax rises, after senior ministers had earlier warned there would be “financial consequences” to Tuesday’s U-turn.

Kemi Badenoch said: “Let me tell the House what’s going to happen: in November, the chancellor is going to put up our taxes to pay for his incompetence. We on this side of the House know that you can’t tax your way to growth, but people out there are frightened.”

She later asked: “Can he reassure them by ruling out tax rises in the autumn budget?”

Starmer replied: “She knows that no prime minister or chancellor ever stands at the dispatch box and writes budgets in the future. That isn’t what they did, and it isn’t what we do, and she knows it.”

Chancellor has PM’s ‘full backing’

Kemi Badenoch called Rachel Reeves a “human shield” for Sir Keir Starmer’s “incompetence” HOUSE OF COMMONS/UK PARLIAMENT/PA

At PMQs, Sir Keir Starmer had refused to confirm that Rachel Reeves would stay as chancellor until the next election when questioned by Kemi Badenoch.

Reeves was in tears as the Tory leader, accused her of being a “human shield” for the prime minister’s “incompetence” and questioned if he continued to stand by her. A spokesman for Reeves said it was a personal matter which they were not going to discuss further.

Starmer did not directly answer the question, but Downing Street later said she had his “full backing”.

Rachel Reeves must quit as Chancellor after her tearful appearance at Prime Minister’s Questions, the Conservatives have said.

Ms Reeves was visibly emotional during PMQs and a spokesman for the Chancellor said afterwards that she was dealing with a “personal matter”.

But it has now emerged that Ms Reeves had a “row” with Sir Lindsay Hoyle, the Commons Speaker, when she entered the chamber before the session got underway.

Robert Jenrick, the shadow justice secretary, said this afternoon: “Rachel Reeves’s benefits Bill is dead, and so is her career. She’s been humiliated by her own backbenchers and been forced into her most embarrassing U-turn yet.

“By her own metric she’s crashed the economy, she’s lost the confidence of the markets and now, it seems, she’s lost the confidence of the Prime Minister too. It’s time for Reeves to go.”

The Telegraph understands that Sir Lindsay spoke to Ms Reeves before PMQs about her conduct at Treasury questions in the Commons on Tuesday, where he asked her three times to be more brief in her answers.

On the third time, he interrupted her and she replied: “Oh, alright then.”

The Speaker is understood to have told her that it did not reflect well on either of them to be seen to disagree on the floor of the chamber, and pointed towards a tweet by the political sketch writer Quentin Letts, who reported the altercation at the time.

After Sir Lindsay raised the issue with Ms Reeves today, she is understood to have begun crying.

Her spokesman said that she was already dealing with a “personal matter” before she attended PMQs.

A spokeswoman for Sir Lindsay declined to comment. Ms Reeves’s team has been contacted for comment.

No 10 was later forced to make clear that Sir Keir and Ms Reeves had not talked on Wednesday before they were sitting together at PMQs.

A Downing Street spokesman said Ms Reeves will continue in her post to the next general election after Sir Keir failed to make that same promise at PMQs, saying: “The Chancellor is going nowhere.”

Sir Keir Starmer and Ms Reeves remain under huge political pressure after the Prime Minister watered down his flagship welfare Bill.

The Government’s original welfare reforms were supposed to save £5 billion but the concessions made to win over Labour rebels mean those savings have been wiped out.

That means the Chancellor now needs to find the money from somewhere else, with ministers not ruling out tax rises at the autumn Budget.

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