United Kingdom

    Interest rates may be up for the first time in a decade, but millions of Brits are about to take a hit elsewhere, as a 'stealth tax' on savers kicks in. And the change is set to cost people saving for their future at least £100 million a year, the Chancellor has said. In his Autumn Budget, Philip Hammond announced plans to freeze the so-called indexation allowance an inflation-linked tax break from January 2018, to raise £525 million for the government by 2023. This means people with money in investment products such as endowments and whole of life insurance policies will be taxed on the full amount added to their pot each year rather than just the amount above the inflation rate. On Wednesday the Chancellor said the move will cost Brits at least £100 million a year - addi...

    Allies of Brexit secretary David Davis think Theresa May could be gone as leader by Christmas as her struggles with European Union negotiations continue, it has been reported. Former chief whip Andrew Mitchell is said to be organising drinks evenings with a new generation of Tory MPs and plotting to replace the prime minister with David Davis. Said to be in the frame for top jobs are Tom Tugendhat, James Cleverly and Gillian Keegan who would support Davis to take over the leadership. Davis would then stand aside ahead of the next election in 2022 for one of the high flyers to take over. One ally of Davis told one of the younger Tory MPs: Theresa has the smell of death around her. She'll be gone by Christmas. It's time to rally around DD, (David Davis) the Sun reported. The...

    Disability charity Scope called on Philip Hammond to withdraw his totally unacceptable and derogatory comments after he said Britain’s sluggish productivity could partly be blamed on more disabled people in the workforce . In Wednesday’s treasury select committee, the chancellor was asked about low economic productivity levels, which he had reported during the autumn Budget last month. At first, he responded saying that high levels of unemployment, particularly youth unemployment, will be felt for many many years to come. He then added: It is almost certainly the case that by increasing participation in the workforce, including far higher levels of participation by marginal groups and very high levels of engagement in the workforce, for example of disabled people something...

    Forecasters are warning of a danger to life as well as major transport disruption as Storm Caroline barrels towards the UK. The third named storm to hit Britain this year is expected to make landfall in Scotland today, bringing 90mph winds. The Met Office has issued an amber be prepared weather warning for northern Scotland, while many train services have already been cancelled. In London, rush-hour commuters are set for heavy rain and strong winds, but the wet start will slowly make way for a brighter, clearer afternoon. Met Office chief meteorologist Steve Ramsdale said the strongest winds from Storm Caroline will reach the northwest of Scotland early on Thursday, extending to northeast Scotland and the Northern Isles in the afternoon. He added: During Thursday winds wil...

    Kate Middleton wowed with Princess Diana's favourite tiara as she arrived at the Queen's Diplomatic Reception in Buckingham Palace with Prince William. Leaving Kensington Palace, the royal couple were all smiles as they set off for the annual event this evening. It's not often the Duchess Of Cambridge dons a tiara, but tonight she pulled out all the stops to dazzle for the occasion as did Camilla, Duchess of Cornwall who also wore what looked like a crown. UK Press Kate appears to be wearing a tiara once owned by Diana, teamed with delicate dangling earrings and a classy necklace tonight. At the same event last year, the Duchess wore Princess Diana's signature tiara for the second time at a glittering reception. UK Press Kate teamed it with a red Jenny Packham gown and a p...

    The cousin of Queen Elizabeth and Romania's former King has died aged 96 after retiring from public life to battle cancer. King Michael I, who played a part in ousting a Nazi-backed leader during World War Two, passed away in Switzerland, the Royal House said. AFP Born in 1921 in the Carpathian mountains, Michael was one of Europe's last surviving wartime heads of state who spent decades in exile during the Cold War, before finally withdrawing from public life in 2016 because of severe illness. A descendant of the German Hohenzollern dynasty and a cousin of Britain's Queen Elizabeth, Michael died at his residence in Aubonne on lake Geneva, though his entourage did not give a cause of death. His Majesty King Michael I ceased life today at 1pm Romanian time at his private re...

    A terror plot to assassinate Prime Minister Theresa May has been foiled, Sky sources have confirmed. Sky's Crime Correspondent Martin Brunt said: It's the latest in a number of terror plots that police and MI5 believe they've foiled this year. I understand that the head of MI5, Andrew Parker, briefed Cabinet ministers today, such is the seriousness of what they believed they have uncovered. Mrs May was given backing by Boris Johnson and Michael Gove to increase the bill offer It is in essence an extreme Islamist suicide plot against Downing Street. Essentially police believe that the plan was to launch some sort of improvised explosive device at Downing Street and in the ensuing chaos attack and kill Theresa May, the Prime Minister. This is something which has been pursued...

    Theresa May seeks to rescue Brexit deal as Dublin says it won't back down. In theory, all it needs is one last heave to get over the line in time for a formal sign-off at next week’s European council summit. Both the commission president, Jean-Claude Juncker, and Theresa May are publicly hopeful of reaching draft consensus again by Friday. They were within minutes of a deal on Monday, before the Democratic Unionist party sounded the alarm and put everything on hold. In practice, the last-minute hitch changes everything for a number of reasons: Cards have been shown The first problem is that all sides have shown their hand. The Dublin government has admitted precisely what form of words is enough to provide assurance on the Irish border and anything less will now be seen by...

    Armed soldier and armed police officer patrol outside Westminster Palace A total of nine terrorist attacks have been prevented in the UK in the past year, MI5 has said. MI5 has previously said that 13 terror attacks were prevented in the past four years. The director general of the UK's domestic security service, Andrew Parker, told the Cabinet of the number of prevented attacks this morning, according to Downing Street. Aftermath Of The London Bridge Terror Attacks Mr Parker told Theresa May that the defeat of Islamic State in Syria did not mean that the terrorist threat was over. He warned that social media was being used to incite terrorist attacks from afar. The numbers have been released ahead of the publication of an investigation into the internal reviews by the sec...

    In Brussels, as in life, there’s no such thing as a free lunch. Theresa May wants the big prize of the EU finally talking about a post-Brexit trade deal. The cost comes in the shape of hard cash, citizens’ rights and a fudge for Northern Ireland. After a strange day of political anti-climax, the big question remains whether hardline Tory Brexiteers and the DUP think the last of those compromises is a price worth paying. With so much riding on the outcome, it wasn’t a surprise that there were competing narratives and expectations ahead of the PM’s working lunch with Commission President Jean-Claude Juncker. The day began with Brussels talking up chances of a breakthrough, with one EU official saying both sides were 90% there. London was much more guarded, insisting the ...