Labour conference live: Nurses reject 5.5% pay rise as Rachel Reeves stands by winter fuel allowance cut

PoliticsBusiness & Finance
23 Sep 2024 • 9:45 PM MYT
The Independent
The Independent

The world’s most free-thinking newspaper

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Nurses across the country have rejected Rachel Reeves’ offer of a 5.5 per cent pay rise – just as the chancellor was delivering her keynote conference speech.

The announcement by the Royal College of Nursing came as Ms Reeves addressed Labour activists in Liverpool.

Sir Keir Starmer’s government has faced heavy criticism over its winter fuel allowance cut and gifts accepted by ministers.

The chancellor’s message is that there will be “no return” to austerity at her first budget on 30 October in a move to “rebuild Britain”.

She also defended her decision to scrap the winter fuel allowance, blaming the unpopular cut on the economic inheritance left by the last Conservative government.

Minutes into the speech, a protester shouted out and was removed from the hall.

Ahead of Ms Reeves’ speech, boos were heard in the hall as a debate on the winter fuel allowance cut was pushed back from today to Wednesday, the final morning of the conference.

The Independent’s political team will be reporting live throughout the Labour Party conference in Liverpool.

Key Points

  • Nurses reject Rachel Reeves’ 5.5 per cent pay rise during speech
  • The Climate Resistance claims responsibility for pro-Palestine protester
  • Reeves speech interrupted by pro-Palestine protester
  • Reeves announces Covid corruption commissioner to tackle ‘carnival of fraud’
  • Chancellor defends decision to means test winter fuel payment

Haigh: ‘Labour ripping up the very roots of Thatcherism’

14:51

Salma Ouaguira

The transport secretary has said Labour is “ripping up the very roots of Thatcherism” during its time in power.

Louise Haigh told the conference: “Because of what we achieved together, we are not just cleaning up the mess of the last 14 years, we are ripping up the very roots of Thatcherism that have undermined and run down our transport system for decades.

“Privatisation of our transport is not pragmatism. It hasn’t spurred innovation. It hasn’t made things better. It belongs to a past that failed.”

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Downing Street’s decision to allow Ukraine to fire Storm Shadow ‘unchanged’

14:48

Salma Ouaguira

The “position” on whether Ukraine would be given permission to fire Storm Shadow weapons in Russia “remains unchanged”, the prime minister’s deputy official spokeswoman has said.

“We remain in constant contact with the Ukrainians and will always listen to their position,” she said.

“As you can expect at UNGA (UN General Assembly), we will be focused on a number of issues, that includes ongoing support for Ukraine in their defence against Russia’s aggression, but also a ceasefire in Gaza and a de-escalation of tensions in Lebanon amongst others.”

On Storm Shadow, she added: “When it comes to that our position remains unchanged.

“I think as the PM said following his trip to Washington just last week, our ongoing discussions on Ukraine are not about one specific bit of military equipment.

“They are broader discussions about strategy and about how we support Ukraine during what is a crucial period over the next few months and as we enter winter.”

Cleverly: 'Nobody can take this chancellor or this government seriously’

14:43

Salma Ouaguira

James Cleverly has attacked Rachel Reeves following her keynote speech at the Labour Party conference.

He accused the chancellor of setting out the “wrong” priorities and increasing more taxes.

The former home secretary said: “Nobody can take this chancellor or this government seriously.

“Their priorities are all wrong. They talk about taking tough decisions, but capitulate in union negotiations.

“They will tax more and more to spend more and more. Labour aren’t taking the tough decisions, they’re making the wrong decisions.

“We can all see that they cannot be trusted with the public finances, or the economy.”

SKETCH | Reeves smiled through the storms in Liverpool (or was it a grimace?)

14:38

Salma Ouaguira

Austerity? Free frocks and specs? Snatching winter fuel from shivering pensioners? Dismal polls and facing a conference defeat on the latter? The chancellor grinned and bore it, observes Joe Murphy:

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Pictured: Activists project ‘suspend all arms to Israel’ during Labour conference

14:32

Salma Ouaguira

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Ed Miliband pledges to lift millions out of fuel poverty

14:28

Salma Ouaguira

Energy Secretary Ed Miliband has pledged to lift more than a million renters out of fuel poverty as part of the government’s plans to boost energy efficiency standards by 2030.

Labour’s warm homes plan aims to make properties across the country cheaper to run by installing new insulation and rolling out solar panels on rooftops.

Mr Miliband said Labour intends to go “further and faster” than its manifesto pledge by raising standards in the social housing sector, in addition to the private rented sector.

Ahead of his speech at the Labour conference in Liverpool, he said: “We all know that the poorest people in our country often live in cold, draughty homes.

“It is a Tory legacy. It is a Tory scandal. It is a Tory outrage. This government will not tolerate this injustice and we will end it.

“And because being Labour means we raise our sights to tackle injustice, we will go further and faster than promised in our manifesto: ensuring every rented home reaches decent standards of energy efficiency.

“Warmer homes, lower bills, over one million people lifted out of fuel poverty. That’s the difference a Labour government makes.”

The government has committed to consulting tenants on its warm homes plan by the end of this year.

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Pictured: Pensioners and union activists protest cut to winter fuel payment at Labour conference

14:24

Salma Ouaguira

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What is austerity – and why is Rachel Reeves accused of bringing it back?

14:10

Athena Stavrou

Rachel Reeves has promised that there will be “no return to austerity” at the Labour conference in Brighton, responding to critics who have compared her to previous Conservative governments.

Speaking at the party’s first conference in power for 14 years, Ms Reeves said: “Conservative austerity was a destructive choice for our public services – and for investment and growth too.

“We must deal with the Tory legacy and that means tough decisions. But we won’t let that dim our ambition for Britain.”

Last week, critics inside Labour reportedly accused the chancellor of “reheated” 2010 tactics, with one union insider telling The i that a “return to austerity” would not be welcomed.

Read the full article below:

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Analysis: Smiling Reeves signals what change really means for Labour - it’s generational

14:09

David Maddox

The Independent’s political editor David Maddox writes:

Rachel Reeves was all about change in her speech today. The stories of her battles with Winston Churchill’s grade 2 listed urinal in the chancellor’s private toilet mean that nobody has escaped the realisation she is Britain’s first female chancellor. And the recognition in her speech at conference today produced one of the loudest cheers.

But change is not just about breaking glass ceilings for Reeves. Her enormous - maybe slightly forced - smile on stage showed that she at least recognises that after weeks of gloom, talk of spending cuts and tax rises, and a £22 billion black hole, she needed to inject some hope and optimism in the discourse.

But that hope was not forthcoming for the 10 million pensioners who are set to lose their winter fuel allowance.

“I will not duck the tough decisions,” she said in the most unapologetic way imaginable.

But, as she noted, government is about choices and one of her announcements was a timing for free school breakfast clubs, a move aimed at helping working parents and their children.

It is more than a signal. Since the King’s Speech Labour has made it clear it wants a generational shift in government priorities. Ms Reeves confirmed that today.

All eyes will now be on her Budget on 30 October.

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Haigh promises to bring the “age of privatised chaos” in the rail industry to an end

14:07

Athena Stavrou

Louise Haigh has promised to being “the age of privatised chaos” within the railway industry “to an end for good”

The Transport Secretary addressed the Labour Party conference in Liverpool on Monday where she criticised the last 30 years of rail privatisation.

She pledged to bring the railway system back into public ownership “where they have always belonged.”

She said: “30 years of rail privatisation has left us with a system that served no one other than its shareholders. Record delays, record cancellations, crippling strikes holding our country back. passengers an afterthought.

“We are bringing the age of privatised chaos underwritten by public money to an end for good.”

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Transport Secretary begins speech

14:01

Athena Stavrou

Transport Secretary Louise Haigh has begun her conference speech by saying the UK’s transport system had become a symbol of “national decline” under the Conservative government and pledging to “get Britain moving”

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Key points from Rachel Reeves’ speech

13:47

Athena Stavrou

- Rachel Reeves promised to take action on “Covid fraudsters” who used the pandemic “to line their own pockets”.

- She also pledged to “write the work of all women back into our economic story” as the first female Chancellor.

- After a pro-Palestine protester interrupted her speech, Ms Reeves told the party conference that “this is a changed Labour Party, a Labour Party that represents working people, not a party of protest”.

- Ms Reeves denounced “the Liz Truss experiment” as she said “any plan for growth without stability leads to ruin” and pledged to “make the choices necessary to secure our public finances and fix the foundations for lasting growth”

- The chancellor also promised physical and practical solutions to growth and she said there will be “shovels in the ground, cranes in the sky, the sounds and the sights of the future arriving,” under the new Labour government.

- The Government is making “an investment in reducing child poverty” as Ms Reeves announced that hundreds of primary school children will receive free breakfast clubs in April, ahead of the national rollout.

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Watch: Rachel Reeves embraces Keir Starmer after speech at Labour party conference

13:26

Athena Stavrou

Pictured: Chancellor’s speech interrupted by protesters

13:18

Athena Stavrou

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Ask John Rentoul anything about Labour Party conference – from austerity and sleaze to Sue Gray

13:06

Salma Ouaguira

The Labour Party conference comes at a pivotal moment, just months after its sweeping election victory in July, writes John Rentoul.

While this should be a time of celebration for Labour’s return to government after more than a decade, the event risks being overshadowed by sleaze allegations — ironically, the same type of scandal Sir Keir Starmer once used against the Conservatives.

Around 20,000 Labour activists, journalists, lobbyists, and public figures are gathering in Liverpool for the party’s first conference in government since 2009 and first post-victory event since 2005.

The Independent’s chief political commentator John Rentoul will be taking your questions on the Labour Party conference:

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Pictured: Reeves hugged by Starmer and her sister after keynote speech

12:56

Salma Ouaguira

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Rachel Reeves ends her speech

12:48

Salma Ouaguira

The chancellor has concluded her keynote speech declaring that Labour is a “changed party” and vowed to “build Britain”.

Rachel Reeves said: “We changed our party. Let us change our country. This is our moment, our chance to show that politics can make a difference, that Britain’s best days lie ahead.

“Our families, our communities, our country need not look on while the future is built somewhere else.

“That is a Britain we’re building, that is the Britain I believe in. Together, let’s go and build it.”

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Nurses reject Rachel Reeves’ 5.5 per cent pay rise

12:45

Salma Ouaguira

Just as Rachel Reeves wraps up her keynote speech, nurses have announced they reject the government’s pay rise.

The Royal College of Nursing was offered a pay award of a 5.5 per cent increase.

General secretary Nicola Ranger said: “Many will support the new government’s health and care agenda as set out in recent weeks and fully recognise the diagnosis of a failing NHS.

“Working closely with all other professionals, nursing staff are the lifeblood of the service. The government will find our continued support for the reforms key to their success.

“To raise standards and reform the NHS, you need safe numbers of nursing staff and they need to feel valued.

“Nursing staff were asked to consider if, after more than a decade of neglect, they thought the pay award was a fair start.

“This outcome shows their expectations of government are far higher.”

Reeves says ‘bring it on’ as she promises to build ‘a better Britain'

12:43

Salma Ouaguira

Rachel Reeves received a standing ovation after declaring that the Labour Government will make work pay.

She said: “If the Conservative Party want a fight about who can be trusted with Britain’s public services for those who use them, then I say bring it on.

“Public services that we can be proud of once again with a Labour Government. That is the Britain that we’re building, that is the Britain that I believe in.”

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The Climate Resistance claims responsibility for pro-Palestine protester

12:40

Salma Ouaguira

A campaign group called The Climate Resistance has claimed responsibility for the protest which disrupted Chancellor Rachel Reeves’ conference speech.

Sam Simons, a spokesman for the group said: “Labour promised us change – instead we’re getting more of the same. The same pandering to the fossil fuel industry; the same arms licences that are fuelling a genocide in Gaza, and the same austerity that sees the poorest hit hardest.

“It’s time for Labour to start putting the needs of people before the interests of profit. That means immediately stopping arms licences to Israel, blocking new oil and gas, and standing up for the communities already being devastated by the climate crisis.”

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Chancellor promises more building

12:39

Salma Ouaguira

Rachel Reeves has primised more building as she said ‘”the sounds and sights of the future arriving”.

She told the audience: “You will see in your town or your city is a sight that we have not seen often enough in our country.

“Shovels in the ground, cranes in the sky, the sounds and the sight of the future, arriving. We will make that a reality.

“Wealth created and wealth shared in every part of Britain, that is the Britain we’re building, that is the Britain I believe in.”

‘Era of trickle down, trickle out economics is over’

12:37

Salma Ouaguira

Rachel Reeves has declared the era of “trickle down, trickle out economics” is over.

She said: “It is time that the Treasury moved on from just counting the costs of investment to recognising the benefits too.

“So we are calling time on the ideas of the past, calling time on the days when governments stood back, left crucial sectors to fend for themselves, and turned a blind eye to where things are made and who makes them.”

Announcing a new industrial strategy, sha added: “The era of trickle down, trickle out, economics is over, and so I can announce, that next month, alongside our business secretary Jonathan Reynolds, I will publish our plans for a new industrial strategy for Britain.”

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Chancellor defends decision to means test winter fuel payment

12:34

Salma Ouaguira

Rachel Reeves has defended her decision to cut automatic winter fuel payments for pensioners and admitted the move was not backed by everyone.

She said: “We cancelled road and rail projects promised by the Conservatives, which they did not budget for.

“And I made the choice to means test the winter fuel payment so that it’s only targeted to those most in need.

“I know that not everyone in this hall or in the country will agree with every decision that I make. I will not duck those decisions for political expediency, not for personal advantage.”

Reeves slams ‘Liz Truss experiment’ during speech

12:32

Andre Langlois

Rachel Reeves has used her keynote speech to attack former prime minister’s Liz Truss’s disastrous mini-budget.

She told the crowd: “The British capacity for inventiveness, enterprise and old-fashioned hard work has not gone away.

“So believe me when I say my optimism about Britain is brighter than ever.

“My ambition knows no limits because I can see that, provided that we make the right choices now, stability is a crucial foundation on which all of our ambitions will be built, the essential precondition for business to invest with confidence and for families to plan for the future.”

The chancellor added: “The Liz Truss experiment showed us that any plan for growth without stability leads to ruin.”

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‘Britain burns brighter than ever'

12:30

Andre Langlois

The chancellor has said she believes her optimism for Britain ‘burns brighter than ever” with her plan to boost economic growth.

Rachel Reeves told Labour’s conference: “I believe in a better Britain, a Britain of opportunity, fairness and enterprise.

“I know that country has sometimes felt far off in recent years as our growth, our productivity and family finances all behind.

“But it doesn’t have to be that way. The British capacity for inventiveness, enterprise, often hard work, has not gone away.”

VAT on private schools part of ‘Britain I believe in’ - Reeves

12:29

Salma Ouaguira

Rachel Reeves has defended her plan to increase VAT on private schools, hailing the decision as part of the “Britain I believe in”.

She told the conference: “We said we would not increase taxes on working people, which is why we will not increase basic, higher or additional rates of income tax, national insurance or VAT.

“And we will cap corporation tax at its current level for the duration of this parliament.

“Conference, as promised, we will extend the energy profit levy on oil and gas producers to invest in homegrown energy here in Britain.

“We will end the non-dom tax loopholes, and we will crack down on tax avoidance and tax evasion. That is the difference our Labour government will make.”

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Reeves: ‘No return to austerity in October Budget'

12:26

Salma Ouaguira

The chancellor has promised there will be “no austerity” ahead of the first Budget of the Labour government.

Rachel Reeves said: “Next month I will deliver the first Budget of this Labour government.

“And because I know how much damage has been done in those 14 years, let me say one thing straight up. There will be no return to austerity.

“Yes, we must deal with the Tory legacy and that means tough decisions but I won’t let that dim our ambition for Britain.

“So real ambition, a budget to fix the foundations, a budget to deliver the change that we promised a budget to rebuild, Britain, and my budget will keep our manifesto commitment. Every choice we make will be within a framework of economic and fiscal stability. You’d expect nothing less.”

Watch: Protester grabbed by neck and thrown out of Labour party conference in Reeves’ speech

12:25

Salma Ouaguira

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Rachel Reeves doubles down on controversial winter fuel cuts

12:24

Kate Devlin

In her speech Rachel Reeves also doubled down on her controversial winter fuel cuts, Kate Devlin writes from the Labour conference.

She suggested that not everything she did in government would be popular within Labour and in the wider country.

But she added: “I will not duck those decisions”.

Covid corruption commissioner to tackle ‘carnival of fraud'

12:24

Salma Ouaguira

The chancellor has announced Labour will appoint a Covid corruption commissioner to investigate the “carnival of waste and fraud” that took place during the pandemic during the Conservative government.

She told the conference: “Billions of pounds of public money handed out to friends and donors of the Conservative Party. Billions more defrauded from the taxpayer.”

Rachel Reeves added: “We inherited a recommendation from the previous government that any attempt to reclaim that money should be abandoned. The Tories simply did not care. But Labour will not stand for it.”

“I have put a block on any contract being abandoned or waived until it has been independently assessed by that commissioner.

“I won’t turn a blind eye to rip-off artists and fraudsters, who used a national emergency to line their own pockets.”

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Chancellor accuses Tories of promising solutions they could not paid for

12:21

Salma Ouaguira

Rachel Reeves has accused the Conservative party of promising solutions that “could never be paid for, roads that would never be built”.

She added: “Public transport that would never arrive, hospitals that would never treat a single patient.

“They showed no regarding people and they did not care about the consequences.

“It was made clear to me that failure to act swiftly could undermine the UK’s fiscal position, with implications for public debt, mortgages and prices, and so I took action to make the in-year savings necessary.”

Reeves vows to deliver change but ‘it will be tough'

12:20

Salma Ouaguira

Rachel Reeves has promised voters to show an “iron discipline” as chancellor.

She said: “Now I know that you are impatient for change. I am too.”

But she warned: “Because of that legacy left by the Conservatives, the road ahead is steeper and harder than expected.

“You don’t need to take my word for it. Figures released only on Friday showed another month of record borrowing, debt at 100 per cent of GDP. That is the inheritance they left in black and white.”

Reeves says voters trusted Labour ‘with their money'

12:18

Salma Ouaguira

Rachel Reeves said the British public had “looked at us, looked at me, and decided Labour could be trusted with their money” at the general election.

The chancellor told party conference: “Why is it that the British people put their trust in us for the first time in five generations?

“We left no stone unturned to show Labour is the party of economic responsibility and the party of working people.”

She added: “People looked at us, looked at me, and decided Labour could be trusted with their money.”

She said she would not “risk” playing” fast and loose with the public finances”, which she accused the previous Tory government of doing.

“I will not take that risk, I will repay the trust that people put in us,” she told delegates.

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Reeves pokes fun at Tory leadership race

12:17

Salma Ouaguira

Rachel Reeves has poked fun at the Tory leadership contest, sarcastically labelling it a “clash of the titans”.

She told the conference: “Never forget what the Conservatives did years ago today... They cut taxes for the richest, they crushed the economy, sent mortgages spiralling.

“They do not care, and they have learned nothing.”

Reeves: 'I am here today because I worked hard’

12:14

Salma Ouaguira

Rachel Reeves has told the Labour conference she is part of trailblazing women who “worked hard”.

Before being interrupted by a protester, she said: “I am here today because I worked hard. Yes, most of all, I’m here because of the efforts of those who went before me, trailblazing women.

“Jenny Lee, Barbara Castle, our friend and our inspiration. Harriet Harman. And I’m here because of thousands of women, many of you in the hall today, broke down barriers and defeated low expectations to pave the way for the rest of us.

“I am a Labour chancellor because of that collective endeavour. I am the first woman chancellor because of that collective endeavour.

“And that collective endeavour does not stop here. It falls to me and to our generation of Labour women to follow in the footsteps of those who went before us, to write the work of all women back into our economic story.

“To show our daughters and our granddaughters that they need place no ceiling on their ambitions. That is the Britain we’re building. That is the Britain I believe in.”

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Rachel Reeves interrupted by protester

12:10

Salma Ouaguira

The chancellor has been interrupted by a pro-Palestine protester who shouted: “And we are still selling arms to Israel!”

Ms Reeves said in response: “This is a changed Labour Party, a Labour Party that represents working people, and not a party of protest.”

Her comments echo a similar retort from Keir Starmer when he was heckled at Labour conference last year, Kate Devlin writes.

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‘A promise fulfilled'

12:09

Salma Ouaguira

Rachel Reeves has said: “In this hall one year ago I stated my intention that the next time I addressed you, I would do so as the first ever female chancellor of the Exchequer. Today, conference, you can consider that a promise fulfilled.

“800 years, the post of chancellor of the Exchequer has existed, every one a man. On 5 July we made history.

“Every woman watching this will know no matter how high you climb, how hard you work, how qualified you are, there will always be moments when you are reminded some people still do not believe women can get the job done.

“Millions of women in our party, in our trade unions and in every walk of life, beat back those doubts.”

Rachel Reeves: ‘I’m ready to deliver after 14 wasted years’

12:06

Andre Langlois

The chancellor has been received with a standing ovation before thanking the crowd in Liverpool.

She said: “Conference, thank you. This time last year, I stood on this stage and I made a commitment. I promised that we would get Britain building again, repair our NHS and power growth in every part of Britain.

“Today, after 14 wasted years, I stand here as your chancellor of the exchequer, ready to deliver on that commitment.”

She added: “Labour is back in the service of communities we never should have lost in our port, coal, steel and mills towns... And Labour is back in Scotland too.”

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Watch live: Rachel Reeves outlines ‘tough decisions’ Labour face in major party conference speech

12:00

Salma Ouaguira

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Rachel Reeves welcomed with standing ovation ahead of keynote speech

11:56

Salma Ouaguira

Chancellor Rachel Reeves received applause and a standing ovation from Labour Party delegates as she came to the panel ahead of her speech in the main conference hall.

Business secretary Jonathan Reynolds is now delivering his speech.

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Pictured: Starmer visits pupils at Liverpool school during Labour conference

11:54

Salma Ouaguira

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Gary Neville defends Starmer accepting free tickets to Premier League matches

11:50

Salma Ouaguira

Gary Neville has defended Sir Keir Starmer after he accepted free tickets to Premier League matches, saying criticism of the prime minister was “absolutely incredible”.

He told a Labour Party conference fringe event: “I’m struggling with the free football tickets one quite a bit, to be honest with you, when I look at the absolute corruption we’ve seen in the last five, six, seven, eight years with people getting billions of pounds worth of contracts in VIP lanes.”

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He added: “Keir Starmer’s paid for his season ticket to go with his family to watch Arsenal all his life and he’s now being told he can’t go to that same seat, when I’m sure he would – you know he would, everybody knows he would – he’s been told he’s got to go in a hospitality box, a private box.

“To be fair, a lot of the people complaining about him will end up in those types of boxes themselves, including myself at times.”

Mr Neville continued: “I find it absolutely incredible that this level of attention is now being paid to a Labour prime minister when I look at the absolute cronyism we watched for years under that lot.”

Coming up: Rachel Reeves delivers keynote speech on UK economy

11:45

Salma Ouaguira

The chancellor is preparing to address the crowd at the main stage at the Labour conference in Liverpool.

Ms Reeves is expected to promise there will be “no return to austerity” despite warning of “tough spending decisions” ahead.

She has insisted there will be “real terms increases to government spending in this parliament” as part of the 30 October budget.

You can follow live the latest updates from 12pm.

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Pictured: Work and Pensions Secretary Liz Kendall speaks during a fringe event

11:45

Salma Ouaguira

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Starmer vows to rebuild Britain to grow economy ahead of Reeves’ speech

11:40

Salma Ouaguira

Conservatives accuse Labour of hypocrisy over Rayner photographer row

11:40

Salma Ouaguira

The Tories have accused the Labour Party of hypocrisy after it emerged Angela Rayner used taxpayer funds to hire a “vanity” photographer.

Simon Walker was reportedly payed a salary of £68,000 to take photos for Ms Rayner’s Ministry of Housing.

John Glen, the shadow paymaster general, said: “This is just the latest in a long line of Labour ministers saying one thing and then doing another.

“Labour’s promise to cut the size of the government spin bill was nothing more than empty words, they’d rather spend taxpayers’ money on their own vanity projects than on keeping pensioners warm this winter.

“After scrapping Conservative plans to slim down civil service headcount, Labour should s