News

Kwarteng gambles on rush for growth

Published

3 years ago

September 23, 2022

Jon Coles

CHANCELLOR of the Exchequer Kwasi Kwarteng unveiled his and Liz Truss’s economic vision for the UK on Friday morning.

The headlines are straightforward.

There will be £45bn in tax cuts by 2027; however, the largest cuts – national insurance cuts, the abolition of the cap on bonuses and the highest income tax rate- benefit only high earners.

MAIN POLICIES

Cut in the basic rate of income tax to 19% from April 2023;

National Insurance will not rise as scheduled, and the Government will reverse the current year rise as of November 6;

New Health and Social Care Levy to pay for the NHS will not be introduced;

The top rate of income tax was cut from 45% to 40%;

Cancel the rise in corporation tax which was due to increase from 19% to 25% in April 2023;

Rules around universal credit tightened by reducing benefits if people don’t fulfil job search commitments;

VAT-free shopping for overseas visitors;

End of the cap on bankers’ bonuses;

Planned increases in the duties on beer, cider, wine, and spirits cancelled;

Government to discuss setting up investment zones with 38 local areas in England.

Alongside the above, the Chancellor announced plans to remove environmental safeguards for building developments and reduce the regulatory burden on financial institutions.

KWARTENG LEAVES LABOUR AN OPEN GOAL

In an interview with Rishi Sunak during the Conservative leadership contest, Nick Robinson observed that it would be a nasty surprise for the former Chancellor when he found out who’d been in power for the last twelve years.

Kwasi Kwarteng followed Liz Truss’s preferred method of operation: he pretended they hadn’t happened.

The Chancellor comprehensively dumped on the policies pursued over the last dozen years by successive Conservative governments, for a decade of which Liz Truss has been a member.

His statement was, as one ministerial colleague said, “a game changer”, although perhaps not in the way he envisaged.

So complete was the change of economic policy that it leaves an open question about how Mr Kwarteng and his Cabinet colleagues ended up in the same political party as most of their backbench colleagues and served under the last three Conservative leaders.

Shadow Chancellor Rachel Reeves did not miss the open goal. Even as Mr Kwarteng and Ms Truss shook their heads on the government benches, she hammered home that the Chancellor’s statement was an admission the record of Conservative governments since 2010 was one of a failure to deliver growth or a viable economic plan.

THE SUPPLY SIDE FIX

The Chancellor and Prime Minister’s rationale is that cutting taxes for the already well-off will benefit all citizens as they are incentivised to invest and act in entrepreneurial ways. In addition, reducing regulation for businesses will encourage increased commercial enterprise.

They believe the growth stimulated will make up for any loss in tax revenues as increased economic activity, encouraged by lower taxes, leads to increased government revenues.

That approach is called supply-side economics, which focuses on increasing the supply of goods and services through growth.

In every developed nation where the Government’s brand of economics has been tried, two things have happened: a cataclysmic bust has followed a short-term burst of economic activity.

In addition, wealth inequalities – and the UK is already grossly unequal – are embedded and made worse.

Low taxes on the wealthiest do not distinguish between those who generate wealth through their industry or create economic activity through business investment and those who inherit wealth or sit on capital without producing anything.

“THE RICH WILL REJOICE”

Wales’s Finance Minister, Rebecca Evans MS, responded: “Rebecca Evans, Minister for Finance and Local Government, said: “Instead of delivering meaningful, targeted support to those who need help the most, the Chancellor prioritises funding for tax cuts for the rich, unlimited bonuses for bankers, and protecting the profits of big energy companies.

“Instead of increasing funding for public services in line with inflation, we get a Chancellor blithely ignoring stretched budgets as public services find their money is not going as far as it did before.”

Plaid Regional MS Cefin Campbell said: “This Budget will see the rich rejoice as their bonuses rocket and their tax bill sliced, once again it will be the poorest and most vulnerable bearing the brunt of the disastrous cost of living crisis.”

Plaid Cymru’s Treasury spokesperson, Ben Lake MP, added: “Tax cuts for the super-rich will do absolutely nothing to drive growth in the Welsh economy.

“I urge the UK Government to recognise that our Government in Wales must be given the fiscal tools to unlock our economic potential ourselves. That is the only way to improve the lives of people across Wales.”

Welsh Conservative Shadow Minister for Finance, Peter Fox MS, said: “Today shows that the UK Conservative Government has a comprehensive plan to provide a sharp boost to the economy by putting cash back into people’s pockets. Labour in Wales has the power to cut taxes in Wales but chooses not to.

“Mark Drakeford needs to take a leaf out of Liz Truss’ book and take immediate action to support hard-working people and struggling businesses, stimulating the Welsh economy rather than stifling it.”

Scott Corfe, Research Director at Social Market Foundation, said: “The Chancellor is taking a very high-risk gamble with the economy.

“If his package of enormous tax cuts and ‘supply side reforms’ fails to translate into significantly higher economic growth, we risk further falls in the pound and surging gilt yields as investors lose confidence in our ability to pay our way in the world.

“That, in turn, means higher inflation, an unsustainable trajectory for the public finances and steeper interest rate rises – potentially deepening rather than alleviating the cost of living crisis.”

Entertainment

Tenby steams up in spectacular style as crowds flock to festival

Published

6 hours ago

March 21, 2026

Tom Sinclair

Colourful parade, towering creations and Victorian flair bring town centre to life

TENBY was transformed into a vibrant Victorian fantasy on Saturday (Mar 21) as hundreds of visitors descended on the town for the annual Steampunk Festival.

The highlight of the day came with the much-anticipated Peacock Parade, which saw elaborately dressed participants wind their way through Tenby’s narrow streets, drawing large crowds of spectators.

Residents and visitors lined the route, many stopping to take photos as performers in eye-catching costumes passed by. From brass goggles and top hats to military-inspired uniforms and elegant gowns, the outfits on display reflected the creativity and theatrical spirit of the steampunk scene.

Among the most striking sights were the towering pink flamingo creations, which rose high above the crowds and became an instant talking point. Musicians in period costume added to the atmosphere, playing lively tunes as they marched through the town.

Families were out in force, with children and adults alike enjoying the spectacle. Many visitors had travelled from across Wales and beyond to attend the event, which has grown in popularity in recent years and is now firmly established as a key date in Tenby’s events calendar.

The Herald understands that local businesses also benefited from the influx of visitors, with cafés, pubs and shops seeing a steady flow of customers throughout the day.

In addition to the parade, a range of activities were taking place across the town, including markets, performances and themed entertainment centred around the De Valence Pavilion.

Organisers have worked to create an inclusive and welcoming event, with many people choosing to dress up while others simply come along to enjoy the unique atmosphere.

The festival continues on Sunday, with further events planned as Tenby remains firmly in the grip of steampunk fever for the weekend.

Photos: Colourful characters take part in the Peacock Parade through Tenby on Saturday (Pic: Gareth Davies).

News

Accidental deaths in Wales rise by 43% as calls grow for urgent action

Published

6 hours ago

March 21, 2026

Tom Sinclair

More than 1,200 lives lost each year as charity warns of growing public health crisis

ACCIDENTAL deaths in Wales have risen by 43% over the past decade, with more than 1,200 people now dying each year, prompting calls for urgent action from the next Welsh Government.

New figures released by the Royal Society for the Prevention of Accidents (RoSPA) show that Wales now has a death rate 22% higher than the UK average, with preventable harm placing increasing pressure on the NHS and disproportionately affecting poorer communities.

Falls remain the leading cause of accidental death, accounting for nearly half of all fatalities. People in Wales are around 24% more likely to die from a fall than those elsewhere in the UK.

RoSPA has warned that the situation represents a growing public health crisis, as it launches its Stronger, Safer Wales manifesto ahead of the next Senedd election.

The charity is urging ministers to treat accident prevention as a national priority, arguing that many deaths could be avoided through relatively simple and low-cost interventions.

Accidental harm is also linked to a range of other risks, including rural road collisions, accidental poisonings, machinery incidents, and dog-related injuries.

The wider impact is significant, with preventable accidents costing the NHS billions, reducing workforce participation, and deepening inequality across Wales.

RoSPA is calling for a range of measures, including improved home safety standards, compulsory water safety education in schools, and stronger road safety interventions.

Among its proposals are mandatory eyesight tests for drivers every three years, better road markings to protect motorcyclists, and tighter regulation of unsafe or counterfeit products sold online.

The charity also wants to see national home safety programmes introduced to support vulnerable households, along with clearer responsibilities for local authorities in managing water safety risks.

Becky Hickman, Chief Executive of RoSPA, said the figures should act as a wake-up call for policymakers.

She said: “Wales is facing a clear and escalating crisis of accidental deaths, and the evidence shows the situation is worsening year on year.

“Behind every statistic is a life that could have been saved with practical, proven interventions.

“We are calling on the next Welsh Government to make accident prevention a national priority, because coordinated action will save lives, reduce inequalities and relieve pressure on the NHS.”

She added: “Accidents are not inevitable. With strong leadership and consistent standards across Wales, we can significantly reduce preventable harm.”

RoSPA says tackling the issue will require coordinated action across government, emergency services, local authorities and industry, but insists that the solutions are both achievable and cost-effective.

The charity’s manifesto is intended to shape future policy in Wales, with a focus on reducing avoidable deaths while easing pressure on overstretched public services.

Crime

New pilot offers dedicated advocates for trafficking survivors

Published

7 hours ago

March 21, 2026

Tom Sinclair

National scheme aims to support hundreds of victims of modern slavery across the UK

MORE than 600 adult survivors of modern slavery are set to receive dedicated support through a new national pilot scheme providing accredited, independent advocates.

The initiative will see specially trained professionals working directly alongside survivors of human trafficking and exploitation, helping them navigate complex legal, social, and recovery processes.

While survivors of crimes such as domestic and sexual abuse already have access to specialist advocacy, no equivalent provision previously existed for victims of modern slavery—despite the often severe and long-term trauma they experience.

Over the next three years, 24 Independent Modern Slavery Advocates (IMSAs) will be deployed across the UK. Each advocate will complete a postgraduate qualification and receive support from a central hub hosted by anti-trafficking charity Hope for Justice.

Tim Nelson, CEO at Hope for Justice, said the pilot aims to tackle inequalities in support: “We want to end the postcode lottery that adult survivors of modern slavery and human trafficking are experiencing in the UK.

“There are many organisations already doing incredible work, but by working together and setting new standards, we can give survivors the best possible chance of rebuilding their lives.”

The scheme is backed by a £1 million National Lottery grant and involves several organisations, including Unseen UK, Medaille Trust, Bawso, SOHTIS, Hope for Justice, and the Snowdrop Project.

Since the pilot began six months ago, advocates have already supported 121 survivors, helping to secure housing, legal recognition, and access to vital services.

Key outcomes so far include:

Ten survivors provided with safe and secure housing
Seventeen Home Office decisions successfully challenged, granting victims access to support
Humanitarian protection secured for a young adult survivor

Advocates have also helped individuals access healthcare, mental health support, education, employment, and secure immigration status.

One survivor described the support as “life changing” after escaping a trafficker. In a letter to her advocate, she said: “You have fought our corner tirelessly when I did not have the strength. You stood beside us every step of the way.

“You helped me rebuild trust, believe in myself, and slowly find my voice again.”

The IMSA role aligns with international guidance on independent advocacy and has been shaped by experts and those with lived experience.

Louise Mensah, Head of Frontline at Unseen, said: “This pilot is a step towards a world without slavery. We are proud to be part of something that will improve outcomes and change futures.”

Ben Ryan, Deputy CEO at Medaille Trust, added: “We know the value of long-term support in recovery. This partnership allows us to embed best practice and develop new approaches.”

Organisations wishing to join the final phase of the pilot have until May 2026 to apply.

Further information is available at www.hopeforjustice.org/imsa/