UK is ‘broke and broken,’ new government says as it prepares to tackle shortfall in public finances

Britain's Prime Minister Keir Starmer speaks during his first Prime Minister's Questions (PMQs) in the House of Commons on July 24, 2024. The new government said nation is “broke and broken” after 14 years of Conservative rule, and the Labour Party is working to fix it. (AFP)
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Updated 29 July 2024
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UK is ‘broke and broken,’ new government says as it prepares to tackle shortfall in public finances

  • Three weeks after taking power, PM Keir Starmer’s office professed shock at the situation they inherited after 14 years of Conservative Party rule
  • “We are calling time on the false promises that British people have had to put up with and we will do what it takes to fix Britain,” said senior cabinet official Pat McFadden

LONDON: Britain’s new left-leaning government said Sunday that the nation is “broke and broken,” blaming the situation on its predecessors ahead of a major speech on the state of the public finances that is widely expected to lay the groundwork for higher taxes.
In a sweeping assessment three weeks after taking power, Prime Minister Keir Starmer’s office professed shock at the situation they inherited after 14 years of Conservative Party rule, while releasing a department-by-department analysis of the perceived failures of the previous government.
The critique comes a day before Treasury chief Rachel Reeves is expected to outline a 20-billion-pound ($26 billion) shortfall in public finances during a speech to the House of Commons.
“We will not shy away from being honest with the public about the reality of what we have inherited,’’ Pat McFadden, a senior member of the new Cabinet, said in a statement. “We are calling time on the false promises that British people have had to put up with and we will do what it takes to fix Britain.”
Starmer’s Labour Party won a landslide election victory earlier this month following a campaign in which critics accused both major parties of a “conspiracy of silence” over the scale of the financial challenges facing the next government.
Labour pledged during the campaign that it wouldn’t raise taxes on “working people,” saying its policies would deliver faster economic growth and generate the additional revenue needed by the government. The Conservatives, meanwhile, promised further tax cuts in the autumn if they were returned to office.
As proof that the previous government wasn’t honest about the challenges facing the country, Starmer’s office pointed to recent comments from former Treasury chief Jeremy Hunt confirming that he wouldn’t have been able to cut taxes this year if the Conservatives had been returned to power.
Those comments came in an interview with the BBC in which Hunt also accused Labour of exaggerating the situation to justify raising taxes now that they’ve won the election.
“The reason we’re getting all this spin about this terrible economic inheritance is because Labour wants to raise taxes,” Hunt said on July 21. “If they wanted to raise taxes, all the numbers were crystal clear before the election. … They should have levelled with the British public.”
The government on Sunday released an overview of the spending assessment Reeves commissioned shortly after taking office. She will deliver the complete report to Parliament on Monday.
Those findings led the new government to accuse the Conservatives of making significant funding commitments for this financial year “without knowing where the money would come from.’’
It argued that the military had been “hollowed out’’ at a time of increasing global threats and the National Health Service was “broken,’’ with some 7.6 million people waiting for care.
And despite billions spent to house migrants and combat the criminal gangs ferrying migrants across the English Channel on dangerous inflatable boats, the number of people making the crossing is still rising, Starmer’s office said. Some 15,832 people have crossed the Channel on small boats already this year, 9 percent more than during the same period in 2023.
“The assessment will show that Britain is broke and broken — revealing the mess that populist politics has made of the economy and public services,” Downing Street said in a statement.
The quandary the government finds itself in should be no surprise, said Paul Johnson, the director of the Institute for Fiscal Studies, an independent think tank focused on Britain’s economic policies.
At the start of the election campaign, the institute said that the UK was in a “parlous fiscal position” and the new government would have to either raise taxes, cut spending or relax the rules on public borrowing.
“For a party to enter office and then declare that things are ‘worse than expected’ would be fundamentally dishonest,” the IFS said on May 25. “The next government does not need to enter office to ‘open the books.’ Those books are transparently published and available for all to inspect.”


China says US is ‘playing with fire’ after latest military aid for Taiwan

Updated 35 sec ago
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China says US is ‘playing with fire’ after latest military aid for Taiwan

  • US President Joe Biden authorized Saturday the provision of up to $571 million for Taiwan
  • Separately, the Defense Department said Friday that $295 million in military sales had been approved
BEIJING: The Chinese government protested Sunday the latest American announcements of military sales and assistance to Taiwan, warning the United States that it is “playing with fire.”
US President Joe Biden authorized Saturday the provision of up to $571 million in Defense Department material and services and in military education and training for Taiwan. Separately, the Defense Department said Friday that $295 million in military sales had been approved.
A Chinese Foreign Ministry statement urged the US to stop arming Taiwan and stop what it called “dangerous moves that undermine peace and stability in the Taiwan Strait.”
Taiwan is a democratic island of 23 million people that the Chinese government claims as its territory and says must come under its control. US military sales and assistance aim to help Taiwan defend itself and deter China from launching an attack.
The $571 million in military assistance comes on top of Biden’s authorization of $567 million for the same purposes in late September. The military sales include $265 million for about 300 tactical radio systems and $30 million for 16 gun mounts.
Taiwan’s Foreign Ministry welcomed the approval of the two sales, saying in a social media post on X that it reaffirmed the US government’s “commitment to our defense.”

New hope for flight MH370 families as Malaysia agrees to resume search

Updated 25 min 47 sec ago
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New hope for flight MH370 families as Malaysia agrees to resume search

  • Plane carrying 239 people went missing en route from Kuala Lumpur to Beijing in March 2014
  • Families say they hope new search operation will offer ‘long-awaited answers and closure’

KUALA LUMPUR: The families of Malaysia Airlines flight MH370 passengers have welcomed with renewed hope the announcement of a new search for the aircraft, which disappeared more than 10 years ago in one of the greatest mysteries in aviation history.

Flight MH370, a Boeing 777 with 239 people on board, went missing en route from Kuala Lumpur to Beijing in 2014.

The search became the most expensive operation in aviation history but ended inconclusively in 2018, leaving the families of those on board still haunted by the tragedy.

On Friday, Malaysia’s Transport Minister Anthony Loke announced that he hoped to “give closure to the families” as the government agreed to allow private contractor Ocean Infinity, which was the last to try to locate the plane, to resume search efforts.

He told reporters that the operation would focus on a new area spanning 15,000 sq. km in the southern Indian Ocean — a development raising hope among relatives of passengers and crew aboard flight MH370.

“The significance of this renewed search cannot be overstated. For the families of passengers, the scientific community and global civil aviation safety, it offers renewed hope for long-awaited answers and closure,” Voice 370, the association representing them, said in a statement.

“We, the next of kin, have endured over a decade of uncertainty, and we hope that the terms of the renewed search are finalized at the earliest and the decks are cleared for the search to begin.

“We continue to hope that our wait for answers is met.”

Ocean Infinity, the private underwater exploration firm that will undertake the $70 million search, was briefly involved in the 2018 efforts after a three-year operation covering 120,000 sq. km of the Indian Ocean failed to locate the aircraft and was suspended in 2017.

The new agreement was met on a no-find, no-fee basis, meaning that Ocean Infinity will be paid only when the wreckage is found.

“We are encouraged by Ocean Infinity’s readiness to deploy their advanced fleet, including sophisticated vessels, AUVs and cutting-edge imaging technologies,” Voice 370 said.

“We gather that the company has followed this up with thorough due diligence, analyzing all available data, and alternative scenarios proposed by independent researchers and recommendations on potential search areas.”

Flight MH370 took off from Kuala Lumpur in the early hours of March 8, 2014 and lost communication with air traffic control less than an hour later. Military radar showed the aircraft had deviated from its planned path. It remains unclear why that happened.

Many conspiracy theories have emerged to explain the aircraft’s disappearance, ranging from suspicions of the captain’s suicide to concerns over the 221 kg of lithium-ion batteries in the plane’s cargo, as well as the involvement of passengers, two of whom were found traveling on stolen passports.

When the probe was suspended, Kok Soo Chon, head of the MH370 safety investigation team, told reporters in July 2018 that his team was “unable to determine the real cause for disappearance of MH370” and “the answer can only be conclusive if the wreckage is found.”


Minorities fear targeted attacks in post-revolution Bangladesh

Updated 36 min 46 sec ago
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Minorities fear targeted attacks in post-revolution Bangladesh

  • String of attacks targeting religious minorities since a student-led uprising toppled long-time autocratic leader Sheikh Hasina
  • Hindus make up about eight percent of the mainly Muslim nation of 170 million people in Bangladesh

DHAKA: For generations, the small Hindu temple outside the capital in Muslim-majority Bangladesh was a quiet place to pray – before arsonists ripped open its roof this month in the latest post-revolution unrest.
It is only one of a string of attacks targeting religious minorities since a student-led uprising toppled long-time autocratic leader Sheikh Hasina in August.
“We don’t feel safe,” said Hindu devotee Swapna Ghosh in the village of Dhour, where attackers broke into the 50-year-old family temple to the goddess Lakshmi and set fire to its treasured idols on December 7.
“My son saw the flames and doused them quickly,” said temple custodian Ratan Kumar Ghosh, 55, describing how assailants knew to avoid security cameras, so they tore its tin roof open to enter.
“Otherwise, the temple – and us – would have been reduced to ashes.”
Hindus make up about eight percent of the mainly Muslim nation of 170 million people.
In the chaotic days following Hasina’s August 5 ouster there was a string of attacks on Hindus – seen by some as having backed her rule – as well as attacks on Muslim Sufi shrines by Islamist hard-liners.
“Neither I, my forefathers or the villagers, regardless of their faith, have ever witnessed such communal attacks,” temple guardian Ghosh said.
“These incidents break harmony and trust.”
Hasina, 77, fled by helicopter to India, where she is hosted by old allies in New Delhi’s Hindu-nationalist government, infuriating Bangladeshis determined that she face trial for alleged “mass murder.”
Attacks against Hindu temples are not new in Bangladesh, and rights activist Abu Ahmed Faijul Kabir said the violence cannot be regarded out of context.
Under Hasina, Hindus had sought protection from the authorities. That meant her opponents viewed them as partisan loyalists.
“If you analyze the past decade, there has not been a single year without attacks on minorities,” Kabir said, from the Dhaka-based rights group Ain o Salish Kendra.
This year, from January to November, the organization recorded 118 incidents of communal violence targeting Hindus.
August saw a peak of 63 incidents, including two deaths. In November, there were seven incidents.
While that is significantly more than last year – when the group recorded 22 attacks on minorities and 43 incidents of vandalism – previous years were more violent.
In 2014, one person was killed, two women were raped, 255 injured, and 247 temples attacked. In 2016, seven people were killed.
“The situation has not worsened, but there’s been no progress either,” said businessman and Hindu devotee Chandan Saha, 59.
Political rulers had repeatedly “used minorities as pawns,” Saha added.
The caretaker government has urged calm and promised increased security, and accused Indian media of spreading disinformation about the status of Hindus in Bangladesh.
Dhaka’s interim government this month expressed shock at a call by a leading Indian politician – chief minister of India’s West Bengal state Mamata Banerjee – to deploy UN peacekeepers.
Hefazat-e-Islam, an association of Islamic seminaries, has led public protests against India, accusing New Delhi of a campaign aimed at “propagating hate” against Bangladesh. India rejects the charges.
Religious relations have been turbulent, including widespread unrest in November in clashes between Hindu protesters and security forces.
That was triggered by the killing of a lawyer during protests because bail was denied for an outspoken Hindu monk accused of allegedly disrespecting the Bangladeshi flag during a rally.
Bangladeshi Islamist groups have been emboldened to take to the streets after years of suppression.
Muslim Sufi worshippers as well as members of the Baul mystic sect – branded heretics by some Islamists – have also been threatened.
“There’s been a wave of vandalism,” said Syed Tarik, a devotee documenting such incidents.
Muhammad Yunus, the 84-year-old Nobel Peace Prize winner appointed the country’s “chief adviser,” has called for dialogue between groups.
Critics say it is not enough.
“To establish a peaceful country where all faiths coexist in harmony, the head of state must engage regularly with faith leaders to foster understanding,” said Sukomal Barua, professor of religion at Dhaka University.
Sumon Roy, founder of Bangladesh’s association of Hindu lawyers, said members of the minority were treated as a bloc by political parties.
“They have all used us as tools,” Roy said, explaining that Hindus had been previously threatened both by Hasina’s Awami League and its rival Bangladesh National Party.
“If we didn’t support AL we faced threats, and the BNP blamed us for siding with the AL,” he said. “This cycle needs to end.”


New hope for flight MH370 families as Malaysia agrees to resume search

Updated 25 min 17 sec ago
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New hope for flight MH370 families as Malaysia agrees to resume search

  • Plane carrying 239 people went missing en route from Kuala Lumpur to Beijing in March 2014
  • Families say they hope new search operation will offer ‘long-awaited answers and closure’

KUALA LUMPUR: The families of Malaysia Airlines flight MH370 passengers have welcomed with renewed hope the announcement of a new search for the aircraft, which disappeared more than 10 years ago in one of the greatest mysteries in aviation history.

Flight MH370, a Boeing 777 with 239 people on board, went missing en route from Kuala Lumpur to Beijing in 2014.

The search became the most expensive operation in aviation history but ended inconclusively in 2018, leaving the families of those on board still haunted by the tragedy.

On Friday, Malaysia’s Transport Minister Anthony Loke announced that he hoped to “give closure to the families” as the government agreed to allow private contractor Ocean Infinity, which was the last to try to locate the plane, to resume search efforts.

He told reporters that the operation would focus on a new area spanning 15,000 sq. km in the southern Indian Ocean — a development raising hope among relatives of passengers and crew aboard flight MH370.

“The significance of this renewed search cannot be overstated. For the families of passengers, the scientific community and global civil aviation safety, it offers renewed hope for long-awaited answers and closure,” Voice 370, the association representing them, said in a statement.

“We, the next of kin, have endured over a decade of uncertainty, and we hope that the terms of the renewed search are finalized at the earliest and the decks are cleared for the search to begin.

“We continue to hope that our wait for answers is met.”

Ocean Infinity, the private underwater exploration firm that will undertake the $70 million search, was briefly involved in the 2018 efforts after a three-year operation covering 120,000 sq. km of the Indian Ocean failed to locate the aircraft and was suspended in 2017.

The new agreement was met on a no-find, no-fee basis, meaning that Ocean Infinity will be paid only when the wreckage is found.

“We are encouraged by Ocean Infinity’s readiness to deploy their advanced fleet, including sophisticated vessels, AUVs and cutting-edge imaging technologies,” Voice 370 said.

“We gather that the company has followed this up with thorough due diligence, analyzing all available data, and alternative scenarios proposed by independent researchers and recommendations on potential search areas.”

Flight MH370 took off from Kuala Lumpur in the early hours of March 8, 2014 and lost communication with air traffic control less than an hour later. Military radar showed the aircraft had deviated from its planned path. It remains unclear why that happened.

Many conspiracy theories have emerged to explain the aircraft’s disappearance, ranging from suspicions of the captain’s suicide to concerns over the 221 kg of lithium-ion batteries in the plane’s cargo, as well as the involvement of passengers, two of whom were found traveling on stolen passports.

When the probe was suspended, Kok Soo Chon, head of the MH370 safety investigation team, told reporters in July 2018 that his team was “unable to determine the real cause for disappearance of MH370” and “the answer can only be conclusive if the wreckage is found.”


At least 38 die in bus accident in southeastern Brazil

Updated 21 December 2024
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At least 38 die in bus accident in southeastern Brazil

SAO PAULO: At least 38 people were killed in a bus crash in southeastern Brazil on Saturday, officials said, in what President Luiz Inacio Lula da Silva called a “terrible tragedy.”
The accident in Minas Gerais state, involving a bus that caught fire in the collision, is the worst seen on Brazil’s federal highways since 2007, according to police data cited by local media.
In their latest report, civil police confirmed 38 fatalities with eight people hospitalized.
Conflicting accounts of the accident have emerged: firefighters initially said the bus at around 3:30 am had blown a tire near the town of Lajinha, causing the driver to lose control of the vehicle and hit a truck. Another vehicle also hit the bus from behind, officials said, but its occupants survived.
However, firefighters later cited witnesses as saying that a granite block being transported by the truck fell onto the bus, causing the accident.
After the crash, the bus, which had been making its way from Sao Paulo to Vitoria da Conquista, in the northeastern Bahia state, caught fire.
The death toll has crept upward throughout the day, with a spokeswoman for the local fire department earlier telling AFP that “it was not yet possible to specify the exact number due to the state of the bodies.”
The fire department, upon removing charred remains, said earlier that some of the victims had been trapped inside.
In a video released Saturday morning, Lt. Alonso Vieira Junior, with the Minas Gerais fire department, said a crane would be needed to clear the wreckage, and that “there are still more victims to be removed.”
Among the dead are the bus driver and at least one child.
Lula took to social media to offer his prayers for “the recovery of the survivors of this terrible tragedy.”
“I am deeply sorry,” he said, offering condolences to the families of the victims.
The governor of Minas Gerais said he was working “so that the families of the victims are cared for, to deal with this tragedy in the most humane way possible.”
At the end of November, a bus accident in the state of Alagoas, in the northeast, left 17 dead when it plunged into a ravine while traveling on a remote mountain road.