Kemi Badenoch raises alarm bell for ‘emergency budget’ after Keir Starmer defends Labour’s tax raid

Bev challenges Keir Starmer to send his son to Ukraine
GB NEWS
Jack Walters

By Jack Walters


Published: 19/03/2025

- 16:35

The Leader of the Opposition swiped at Sir Keir Starmer over Rachel Reeves's decision to hike employers' National Insurance contributions from 13.8 per cent to 15 per cent

Tory leader Kemi Badenoch has sounded an alarm bell by repeatedly labelling Rachel Reeves's imminent spring statement an "emergency Budget".

In a fiery exchange in the House of Commons, Badenoch said: “The Chancellor claimed that her Budget was a once in a Parliament reset.


"So why are we having an emergency Budget next week?”

Responding to the Leader of the Opposition, Sir Keir Starmer bluntly replied: “We have delivered record investment into this country, three interest rate cuts in a row and wages are going up faster than prices which is a massive cost of living boost.

\u200bKemi BadenochKemi Badenoch Parliament TV

“That is after only eight months after 14 years of absolute failure.”

However, the Leader of the Opposition doubled-down on the Prime Minister’s economic record.

After accusing the Chancellor of “destroying” business confidence, Badenoch asked: “Does the Prime Minister now regret raising taxes on business?”

The Prime Minister replied: “The OBR will present their numbers, there will be a spring statement next week.

Sir Keir Starmer addressing MPs at PMQsSir Keir Starmer addressing MPs at PMQsPARLIAMENT TV

“But we have got record investment into this country, interest rates have been cut and she talks about National Insurance, we had to fill the £22 billion black hole that they left.”

However, when pushed on whether Labour would exempt hospices from its National Insurance raid, Starmer was unable to provide charities with a much-needed boost.

He said: “We have made provision for hospices, we have made provisions for charities, but we had to secure the economy, we had to fill the £22billion black hole that they disgracefully left.”

Liberal Democrat leader Sir Ed Davey also pressed the Prime Minister on providing an exemption for care providers.

After Starmer rejected the proposal, Davey said: "I think the whole House is disappointed by that reply. I hope that, ahead of the spring statement, the Prime Minister and the Chancellor will think about taking that money from the NHS, and reverse that."

Sir Ed Davey

Following Badenoch's row with Starmer, MPs rejected efforts tabled by members of the House of Lords to limit Labour's National Insurance raid.

The Liberal Democrat led an amendment to exempt health and social care providers.

However, the proposal was defeated by 307 votes to just 182.

Another amendment looking to exempt charities with an annual revenue of less than £1million was also rejected, with 310 MPs voting against and just 183 voting in favour.

Labour's huge majority also prevented efforts to exempt employers providing transport for children with special educational needs and disabilities.