Keir Starmer humiliated Liz Truss and the Tories as he went head-to-head with Kemi Badenoch during a lively PMQs battle about the economy.
In an animated exchange in the Commons, the Prime Minister gave his wholehearted support for under-fire Chancellor Rachel Reeves, who he said will be in her role for “many, many years”. He maintained that the government’s “focus is on growth” as he hit out at the Tories having “crashed the economy” when in power.
Mr Starmer mocked disgraced ex-PM Ms Truss, who lost her seat at the election to Labour, after she wrote to him last week telling him to stop saying she crashed the economy. In a savage takedown, he remarked: “I got a letter from a Tory voter in a Labour seat.” He said it was not him saying she crashed the economy that was damaging her reputation – but was the fact she crashed the economy that was doing so.
Elsewhere he defended his handling of a row over Tulip Siddiq, who quit as Treasury Minister yesterday amid a row over a Bangladesh corruption investigation into her aunt – former PM Sheikh Hasina. Mr Starmer praised that Ms Siddiq had referred herself to the ethics adviser and had decided to step down despite not being found of wrongdoing..
Follow all the updates from Wednesday’s PMQs below
PMQs has now wrapped up, with Tory leader Kemi Badenoch using her questions to ask about an array of issues – including the economy, the resignation of Tulip Siddiq from the government, the Chagos islands deal, and Gerry Adams.
But perhaps the most memorable bit of the 30-minute exchange came from Keir Starmer as he touched on ex-PM Liz Truss’s cease and desist letter last week – urging the PM not to repeat his claims that she crashed the economy.
The PM made clear he will be ignoring the warning as he mocked his 49-day predecessor in No10.
He doubled down at PMQs as he lashed out at Tory economic incompetence. He quipped: “I got a letter this week from a Tory voter in a Labour seat. I hope they don’t mind me saying who it was, it was Liz Truss. It wasn’t written in green ink but it might as well have been. She was complaining that saying she crashed the economy was damaging her reputation. It was crashing the economy that damaged her reputation.”
Kemi Badenoch told the Government to cancel the proposed deal with Mauritius for the Chagos Islands.
The Tory leader said: “The Prime Minister knows very well the OBR found no such black hole, and he talks about a budget three years ago, the borrowing costs last week are at a 27-year high for 30-year gilts. The Chancellor is apparently promising to be ruthless in reducing spending, let me suggest something he should cut.
“There is no way that we should be giving up British territory in Chagos. He is rushing a deal which will be disastrous and will land taxpayers with a multibillion-pound bill. Why does the Prime Minister think British people should pay to surrender something that is already ours?”
But Mr Starmer said: “We inherited a situation where the long-term operation of a vital military base was under threat because of legal challenge.
“The negotiations were started under the last government. The then foreign secretary came to this house to say why he was starting negotiations and what he wanted to achieve. And he said the aim was, to quote, ensure the continued effective operation of the base. That is precisely what this deal has delivered.”
Just last week the ex-PM – who also lost her seat at the last General Election – urged Keir Starmer to stop making what she claimed were “false and defamatory” claims that she crashed the economy during her chaotic spell in No10.
But the PM ridiculed the letter, saying: “I got a letter from a Tory voter in a Labour seat.”
“I hope they don’t mind me saying who it was, it was Liz Truss. It wasn’t written in green ink but it might as well have been. She was complaining that saying she crashed the economy was damaging her reputation. It was crashing the economy that damaged her reputation.”
Kemi Badenoch says Labour were congratulating themselves on having the first female Chancellor – rather than someone “qualified for the job”.
But Keir Starmer hits back saying the Chancellor will be in place for “many years” – unlike the Tories who ripped through Chancellor’s at an astonishing speed.
Kemi Badenoch has accused the government of risking jobs and higher prices as a result of the Budget – announced back in October.
“As she knows the global economy is experiencing higher volatility and deal with the £22billion blackhole” left by the Tories, he says.
He asks her to welcome the inflation figures falling on Wednesday morning and accuses the Tories of being “economic fantasists”.
The PM says he will stick to the Budget decisions when asked whether there will be anymore tax increases this year.
Keir Starmer kicks off PMQs as he praises Donald Trump ahead of his inauguration next week in Washington DC. The erratic president-elect will formally take over from Joe Biden at the White House on Monday – beginning his new term in office.
Mr Starmer says the special relationship will continue to grow stronger.
A Government minister took a veiled swipe at TV host MPs like Nigel Farage during a probe into second jobs.
Lucy Powell warned that employment agreements with media companies could lead to a perception MPs are making money thanks to their position. The Labour frontbencher also warned second jobs could cause conflicts of interest.
The Tories have been accused of being “all talk” after attending meeting after meeting on child sexual abuse when in power but failing to take any action.
Former Conservative ministers did not implement any of the recommendations from a major inquiry into grooming gangs despite having more than 20 meetings, events or roundtables on child abuse after it was published, research by Labour has revealed. It comes as Tory leader Kemi Badenoch joins calls for another national inquiry into child grooming despite herself not raising the issue while in power.
“If you want to be popular don’t take a job in the Treasury. Rachel Reeves has found this out the hard way”, writes The Mirror’s Jason Beattie.
“The Chancellor has angered pensioners by removing winter fuel payments, enraged Waspi women by refusing to pay compensation for the Tory pensions blunder and riled Britain’s farmers.
“Taxes have gone up but growth remains sluggish. To add to her woes, the markets have smelt blood which has pushed up the cost of government borrowing.”
A top Labour minister has said there is no need for an “emergency budget” as he sought to calm market turbulence.
The Chief Secretary to the Treasury Darren Jones insisted the Labour government would only hold one major fiscal event each year, with the next Budget already pencilled in for the autumn.
It came as the Chancellor Rachel Reeves was given a small boost after days of intense pressure with a surprise fall in inflation. Official figures on Wednesday showed the rate of Consumer Prices Index inflation fell to 2.5% in December – down from 2.6% in November.
Keir Starmer goes head-to-head with Kemi Badenoch today after the resignation of one of his ministers.
The PM will face the Tory leader less than 24 hours after Tulip Siddiq quit amid a row over a Bangladesh corruption investigation into her aunt – former PM Sheikh Hasina. Ms Badenoch is likely to raise the case – the second resignation from the new Labour government in six months – at Prime Minister’s Questions.
In a letter to Keir Starmer, Ms Siddiq wrote on Tuesday that while there is “no evidence” of any wrongdoing, continuing in her role would be a “distraction”.
The Prime Minister has come under pressure to sack Ms Siddiq after Bangladesh’s anti-corruption commission (ACC) filed a case against Ms Hasina and her wider family. Ms Siddiq, who denies wrongdoing, faces questions over reports she lived in properties in London linked to allies of her aunt.
Get UK politics insight with our free daily email briefing straight to your inbox