No 10 says Signal leak won’t stop UK sharing secrets with US – but pushes back at Vance/Hegseth ‘freeloading’ claims
Downing Street has rejected suggestions that Britain is a “freeloading” country that expects the US to meet its defence needs.
At the lobby briefing this morning, the PM’s spokesperson spoke at length about the contribution the UK makes to joint military operations with the Americans, following the extraordinary leak of messages showing the contempt President Trump’s most senior allies have for Europe’s record on defence.
But the spokesperson also refused to directly criticise the two figures who were most critical, JD Vance, the vice-president, and Pete Hegseth, the defence secretary.
And the spokesperson insisted that the UK remains happy to share intelligence with teh US despite the leak, which involved detailed planning for a military attack being shared inadvertently on Signal, a commercial chat app, with a journalist.
As Peter Beaumont reports, one striking exchange in the messages shared with Jeffrey Goldberg, editor of the Atlantic magazine, involved Vance and Hegseth making disparaging remarks about Europe. Beaumont reports:
“The account identified as ‘JD Vance’ addressed a message at 8:45 to @Pete Hegseth: ‘if you think we should do it let’s go. I just hate bailing Europe out again,’” Goldberg wrote. (The administration has argued that America’s European allies benefit economically from the US navy’s protection of international shipping lanes.)
Goldberg continues: “The user identified as Hegseth responded three minutes later: “VP: I fully share your loathing of European free-loading. It’s PATHETIC. But Mike is correct, we are the only ones on the planet (on our side of the ledger) who can do this.
“Nobody else even close. Question is timing. I feel like now is as good a time as any, given POTUS directive to reopen shipping lanes. I think we should go; but POTUS still retains 24 hours of decision space.”
At the lobby briefing this morning, asked if Britain was a pathetic freeloader, the PM’s spokesperson replied:
You can see, from the way in which the UK has worked closely with the US, supplying regional security and defence, our commitment to working with the US on matters of regional security.
You’ll know the UK provided air-to-air refuelling support for recent strikes against Houthi key rebel targets [the raid discussed in the messages inadvertently shared with Godlberg].
We also continue to support the US-led coalition against Daesh with routine combat air patrol over Iraq and Syria.
And we’ll continue to work with the US and other allies to ensure stability and security in the Middle East.
Asked again if Britons were freeloaders, the spokesperson repeated the point about the UK working with the US closely in the Middle East.
In a further effort to downplay any diplomatic tension caused by the leaks, the spokesperson said Britain remains confident about sharing intelligence with the US.
Asked if the government was satisfied that any intelligence it shared with the Trump administration would be properly handled, the spokesperson relied:
Yes. The US is our closest ally when it comes to intelligence and defence. We have a longstanding relationship on intelligence and defence cooperation … We will continue and continue to build on the very strong relationship we already have with the US.
The spokesperson would not discuss the leak in detail. But asked if the government was “100% confident” about sharing secret information with the US, the spokesperson replied: “Yes.”
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As at least three people interrupted his speech, Farage, the party leader, described one of them as a “saddo,” and another as a “loser.”
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According to PA Media, it was not immediately clear what was being shouted by those who were escorted out of the conference hall. But Stand Up To Racism, an anti-racist and anti-fascist group, said it organised the protest.
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Later Sabby Dhalu, its co-convenor, said:
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n
Nigel Farage and Reform UK are trying to spread hate and division at a time when we need unity. We are seeing the same old scapegoating of migrants while real issues like NHS underfunding, cost of living, and workers’ rights are ignored.
n
Farage and his rich donors do not stand for working people and stir up racism and division. Reform is a threat to our communities.
n
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ITV’s Charanpreet Khaira has posted video on social media.
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Complete chaos at Reform UK’s rally in Doncaster as protestor after protestor interrupts Nigel Farage.
We’re at a count of seven so far.
Complete pandemonium. pic.twitter.com/C6dugSeBWf
— Charanpreet Khaira (@CharanpreetTV) March 25, 2025
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In his speech, Farage blamed the educational establishment for nuturing views like those held by the protesters. He said:
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n
We know these hard-left organisations are going to do everything … go back to school please, we know what’s going to happen. Boring, boring, boring. They will do everything they can to stop this being a free and fair election. Have a look at that. The anger, the anger, You must be at university.
n
That’s what you get folks, when teaching unions in this country are poisoning the minds of young people, not just against Reform, but against everything this country has ever stood for.
n
I’ll make it clear, when we’re in a position of power, we will go to war with these left-wing teaching unions and make sure our kids are taught properly.
n
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Farage also announced that Alexander Jones, who the party said had worked in property before “founding his own Forex trading business and modelling”, will stand for Reform in the mayoral election in Doncaster. Farage described Jones, who grew up in Donacaster, as “young, energetic and exactly what’s needed to get Doncaster back on track”.
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Farage (left) with Alexander Jones, Reform UK’s mayoral candidate for Doncaster.”,”caption”:”Nigel Farage (left) with Alexander Jones, Reform UK’s mayoral candidate for Doncaster.”,”credit”:”Photograph: Ian Forsyth/Getty Images”}}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1742907738000,”blockCreatedOnDisplay”:”09.02 EDT”,”blockLastUpdated”:1742909038000,”blockLastUpdatedDisplay”:”09.23 EDT”,”blockFirstPublished”:1742909038000,”blockFirstPublishedDisplay”:”09.23 EDT”,”blockFirstPublishedDisplayNoTimezone”:”09.23″,”title”:”Anti-racist campaigners disrupt Reform UK event as Farage unveils party’s Doncaster mayoral candidate”,”contributors”:[],”primaryDateLine”:”Tue 25 Mar 2025 10.22 EDT”,”secondaryDateLine”:”First published on Tue 25 Mar 2025 05.25 EDT”},{“id”:”67e2a6588f080f1289eb5984″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Downing Street has played down the significance of Matthew Pennycook, the housing minister, saying that he does not think it is “appropriate” to accept free tickets for concerts. (See 10.26am.)
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Pennycook’s comment in an interview this morning was widely seen as veiled criticism of Rachel Reeves, the chancellor. But when this was put to the PM’s spokesperson at the morning lobby briefing, the spokesperson replied:
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n
I think he was speaking on his own behalf, as the ministerial code says it is a matter of individual judgment for each minister concerned.
n
What the government has done is strengthen the rules to ensure transparency, to include new principles and to enshrine the seven principles of public life into the code.
n
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According to PA Media, allies of Pennycook later said he had been referring to his own position as MP for Greenwich and Woolwich, the constituency which covers the O2, where the concert was held, and that his comments should not be interpreted as a criticism of anyone else.
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Downing Street has rejected suggestions that Britain is a “freeloading” country that expects the US to meet its defence needs.
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At the lobby briefing this morning, the PM’s spokesperson spoke at length about the contribution the UK makes to joint military operations with the Americans, following the extraordinary leak of messages showing the contempt President Trump’s most senior allies have for Europe’s record on defence.
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But the spokesperson also refused to directly criticise the two figures who were most critical, JD Vance, the vice-president, and Pete Hegseth, the defence secretary.
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And the spokesperson insisted that the UK remains happy to share intelligence with teh US despite the leak, which involved detailed planning for a military attack being shared inadvertently on Signal, a commercial chat app, with a journalist.
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As Peter Beaumont reports, one striking exchange in the messages shared with Jeffrey Goldberg, editor of the Atlantic magazine, involved Vance and Hegseth making disparaging remarks about Europe. Beaumont reports:
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n
“The account identified as ‘JD Vance’ addressed a message at 8:45 to @Pete Hegseth: ‘if you think we should do it let’s go. I just hate bailing Europe out again,’” Goldberg wrote. (The administration has argued that America’s European allies benefit economically from the US navy’s protection of international shipping lanes.)
n
Goldberg continues: “The user identified as Hegseth responded three minutes later: “VP: I fully share your loathing of European free-loading. It’s PATHETIC. But Mike is correct, we are the only ones on the planet (on our side of the ledger) who can do this.
n
“Nobody else even close. Question is timing. I feel like now is as good a time as any, given POTUS directive to reopen shipping lanes. I think we should go; but POTUS still retains 24 hours of decision space.”
n
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At the lobby briefing this morning, asked if Britain was a pathetic freeloader, the PM’s spokesperson replied:
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n
You can see, from the way in which the UK has worked closely with the US, supplying regional security and defence, our commitment to working with the US on matters of regional security.
n
You’ll know the UK provided air-to-air refuelling support for recent strikes against Houthi key rebel targets [the raid discussed in the messages inadvertently shared with Godlberg].
n
We also continue to support the US-led coalition against Daesh with routine combat air patrol over Iraq and Syria.
n
And we’ll continue to work with the US and other allies to ensure stability and security in the Middle East.
n
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Asked again if Britons were freeloaders, the spokesperson repeated the point about the UK working with the US closely in the Middle East.
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In a further effort to downplay any diplomatic tension caused by the leaks, the spokesperson said Britain remains confident about sharing intelligence with the US.
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Asked if the government was satisfied that any intelligence it shared with the Trump administration would be properly handled, the spokesperson relied:
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n
Yes. The US is our closest ally when it comes to intelligence and defence. We have a longstanding relationship on intelligence and defence cooperation … We will continue and continue to build on the very strong relationship we already have with the US.
n
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The spokesperson would not discuss the leak in detail. But asked if the government was “100% confident” about sharing secret information with the US, the spokesperson replied: “Yes.”
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Rachel Reeves has received a backhanded endorsement from Kemi Badenoch, who described the chancellor as “one of the best” of the Labour team – but only, Badenoch said, because the others were even worse.
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In an interview this morning on Talk TV, asked if Reeves should lose her job because of what she had done to the economy, Badenoch replied:
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n
I think in any other field she would have. But she’s actually one of the best that they’ve they’ve got, which is what’s really sad.
n
If she goes, we’re likely to get someone much worse. You listen to labour backbenchers, and a lot of the things that they ask for are crazy, they would bankrupt the country tomorrow.
n
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In a preview of what the Conservative party is likely to say tomorrow in its response to Reeves’ spring statement, Badenoch also claimed that the chancellor would be using the announcement to fix the “mistakes” made in the budget last year. Badenoch said:
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n
The mistakes that she made in that budget are what she’s trying to fix now with the emergency budget that we’re getting tomorrow.
n
This is not something that’s reacting to world events. She made errors, problems have been caused, and now she’s going to try and fix them again tomorrow. That’s wrong, and I think that she should be judged on that basis.
n
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But Reeves, who is not reversing any of the main budget measures, argues the opposite. She says that the global economic situation has changed considerably since the October budget, which is why she is having to respond with spending cuts.
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Badenoch on Talk TV”,”caption”:”Kemi Badenoch on Talk TV”,”credit”:”Photograph: Talk TV”}}],”attributes”:{“pinned”:false,”keyEvent”:true,”summary”:false},”blockCreatedOn”:1742900198000,”blockCreatedOnDisplay”:”06.56 EDT”,”blockLastUpdated”:1742901523000,”blockLastUpdatedDisplay”:”07.18 EDT”,”blockFirstPublished”:1742901523000,”blockFirstPublishedDisplay”:”07.18 EDT”,”blockFirstPublishedDisplayNoTimezone”:”07.18″,”title”:”Badenoch says Reeves should blame her own budget ‘mistakes’, not global events, for cuts needed in spring statement”,”contributors”:[],”primaryDateLine”:”Tue 25 Mar 2025 10.22 EDT”,”secondaryDateLine”:”First published on Tue 25 Mar 2025 05.25 EDT”},{“id”:”67e288058f08ca7566597271″,”elements”:[{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
Ministers have announced that the £10bn Lower Thames Crossing, a road tunnel under the Thames connecting Kent and Essex, has been approved.
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The 14-mile road and tunnel – or two tunnels to be precise, one northbound, one southbound – will be the first new Thames crossing east of London for 60 years.
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Developers have been trying to get approval for it for years, and the project has frequently been cited as an example of why UK planning laws are sclerotic.
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Keir Starmer referenced it recently when he complained about “infrastructure that needs planning documents longer than the works of Shakespeare”. Work on the Lower Thames Crossing has already cost more than £1bn, and the planning documents are said to run to 359,070 pages.
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During his interview round this morning Matthew Pennycook, the housing minister, said he did not believe accepting free concert tickets was “appropriate” – in an apparent criticism of the chancellor, Rachel Reeves, who received tickets to watch Sabrina Carpenter. Jessica Elgot has the story.
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In a response to Pennycook’s comments (which follow a similar response from Heidi Alexander, the transport secretary, to questions about Reeves’ tickets yesterday), the shadow Cabinet Office minister, Mike Wood, said:
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n
This is an extraordinary slap down of the profligate champagne lifestyle Rachel Reeves’ has been enjoying since becoming chancellor.
n
When senior Labour ministers are openly criticising her judgment then it’s no suprise business and investors are as well.
n
The chancellor must kick her addiction to freebies and focus on undoing the damage she’s doing to family finances in her emergency budget tomorrow.
n
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The reference to Reeves enjoying a “profligate champagne lifestyle” may surprise people who know the chancellor. Earlier this year she told the BBC that she brings her own lunch into the office in a tupperware box, and that she collects leftover pastries from meetings to eat later. Wood may be referring to the fact that the O2 tickets were for seats in a corporate box.
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It has also been reported that Reeves accepted free theatre tickets for Oscar Wilde’s The Importance of Being Earnest and an adaptation of Neil Streatfield’s Ballet Shoes at the National Theatre in December.
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But in previous governments other ministers have accepted freebies far more often. And when various Labour ministers were facing criticism for accepting Taylor Swift tickets soon after the election, Reeves did not feature in those stories.
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Consumers are cutting back spending on everyday items amid falling confidence in the UK economy before Rachel Reeves’s spring statement, according to a survey. Richard Partington has the story.
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Ministers have been accused of turning a “blind eye to slavery” by ordering Labour MPs to remove legal protections to stop money being spent by state-owned Great British Energy on solar panels manufactured by forced labour in China, Jessica Elgot reports.
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Good morning. There are many reasons why people object to tens of thousands of asylum seekers being housed for long periods in hotels and other temporary accommodation, but one is the perception that this is enabling a small number of firms to make huge profits at public expense for providing what is often a miserable service. This morning we learned that the Home Office is doing something about this. It has removed the contract for this work from Stay Belvedere Hotels (SBHL), blaming “concerns about its performance and behaviour as a government supplier”.
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In a news release issued just after midnight, it says:
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n
The Home Office has taken action to remove Stay Belvedere Hotels (SBHL) from government operations.
n
SBHL, which is responsible for the running of 51 hotels in England and Wales and Napier Barracks housing people waiting for asylum decisions, is being removed following examination of its contract and contractual arrangements with the Home Office, including concerns about its performance and behaviour as a government supplier.
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The safety and security of people working and staying in temporary accommodation is a government priority, together with ensuring value for money for the taxpayer. The Home Office has been working carefully over the past weeks to put robust plans in place to ensure asylum services continue operating as normal during this transition with as little disruption to asylum seekers and staff as possible.
n
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And Angela Eagle, the minister for border security and asylum, said:
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n
Since July, we have improved contract management and added more oversight of our suppliers of asylum accommodation.
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We have made the decision to remove Stay Belvedere Hotels from the Home Office supply chain and will not hesitate to take further action to ensure Home Office contracts deliver for the UK.
n
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The Home Office confirmed the news after the Times published a report by Matt Dathan about SBHL losing the contract. Dathan says:
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n
Sources said it was one of the worst examples of companies that were exploiting the asylum crisis to make a profit. SBHL’s latest published accounts show it made a record profit of more than £50m …
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[The move] comes after the Treasury ordered the Home Office to find cheaper providers and to prevent private companies “profiteering” from the asylum crisis.
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In a document published by the Treasury’s new Office for Value for Money (OVfM) it says companies that have been contracted to find hotels for migrants have “made record profits in recent years, leading to accusations of profiteering” …
n
With more than 38,000 migrants in hotels, it is costing the Home Office £5.5m per day.
n
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Dathan says one of the companies that will take over these hotel contracts is Corporate Travel Management, the firm that ran the Bibby Stockholm barge when it was used to house asylum seekers.
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The government is more keen to talk about something else – a Treasury announcement about a £2bn investment in social and affordable housing. As Jessica Elgot and Richard Partington report, the announcement comes a day before the spring statement, at a time when Rachel Reeves, the chancellor, is anxious to persuade MPs that there is more to the government’s programme than just spending cuts. They report:
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n
One Whitehall source said the social housing announcement and the £600m in investment on construction skills announced over the weekend were attempts to “sweeten the pill” ahead of Wednesday by bringing forward plans from the spending review.
n
The £2bn will effectively bridge the gap between the current affordable homes spending due to expire in 2026 and the next funding settlement which will come in the spending review in June when a successor programme is expected to be announced.
n
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Here is the agenda for the day.
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11.30am: Downing Street holds a lobby briefing.
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11.30am: Wes Streeting, health secretary, takes questions in the Commons.
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After 12.30pm: MPs consider Lords amendments to three bills, including the GB Energy bill.
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If you want to contact me, please post a message below the line or message me on social media. I can’t read all the messages BTL, but if you put “Andrew” in a message aimed at me, I am more likely to see it because I search for posts containing that word.
“,”elementId”:”2edce0bf-0e24-446a-9e8c-f3bb5ce2c70a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
If you want to flag something up urgently, it is best to use social media. You can reach me on Bluesky at @andrewsparrowgdn. The Guardian has given up posting from its official accounts on X but individual Guardian journalists are there, I still have my account, and if you message me there at @AndrewSparrow, I will see it and respond if necessary.
“,”elementId”:”3e811f26-2dac-4c3a-ae7a-da20217cc69a”},{“_type”:”model.dotcomrendering.pageElements.TextBlockElement”,”html”:”
I find it very helpful when readers point out mistakes, even minor typos. No error is too small to correct. And I find your questions very interesting too. I can’t promise to reply to them all, but I will try to reply to as many as I can, either BTL or sometimes in the blog.
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Key events
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Anti-racist campaigners disrupt Reform UK event as Farage unveils party’s Doncaster mayoral candidate
Protesters have disrupted a Reform UK event where Nigel Farage has been announcing the party’s candidate for the mayoral election in Doncaster.
As at least three people interrupted his speech, Farage, the party leader, described one of them as a “saddo,” and another as a “loser.”
According to PA Media, it was not immediately clear what was being shouted by those who were escorted out of the conference hall. But Stand Up To Racism, an anti-racist and anti-fascist group, said it organised the protest.
Later Sabby Dhalu, its co-convenor, said:
Nigel Farage and Reform UK are trying to spread hate and division at a time when we need unity. We are seeing the same old scapegoating of migrants while real issues like NHS underfunding, cost of living, and workers’ rights are ignored.
Farage and his rich donors do not stand for working people and stir up racism and division. Reform is a threat to our communities.
ITV’s Charanpreet Khaira has posted video on social media.
Complete chaos at Reform UK’s rally in Doncaster as protestor after protestor interrupts Nigel Farage.
We’re at a count of seven so far.
Complete pandemonium. pic.twitter.com/C6dugSeBWf
— Charanpreet Khaira (@CharanpreetTV) March 25, 2025
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Complete chaos at Reform UK’s rally in Doncaster as protestor after protestor interrupts Nigel Farage.
We’re at a count of seven so far.
Complete pandemonium. pic.twitter.com/C6dugSeBWf
— Charanpreet Khaira (@CharanpreetTV) March 25, 2025
In his speech, Farage blamed the educational establishment for nuturing views like those held by the protesters. He said:
We know these hard-left organisations are going to do everything … go back to school please, we know what’s going to happen. Boring, boring, boring. They will do everything they can to stop this being a free and fair election. Have a look at that. The anger, the anger, You must be at university.
That’s what you get folks, when teaching unions in this country are poisoning the minds of young people, not just against Reform, but against everything this country has ever stood for.
I’ll make it clear, when we’re in a position of power, we will go to war with these left-wing teaching unions and make sure our kids are taught properly.
Farage also announced that Alexander Jones, who the party said had worked in property before “founding his own Forex trading business and modelling”, will stand for Reform in the mayoral election in Doncaster. Farage described Jones, who grew up in Donacaster, as “young, energetic and exactly what’s needed to get Doncaster back on track”.
No 10 says Pennycook ‘speaking on his own behalf’ about free tickets, as code says it’s matter for individual judgment
Downing Street has played down the significance of Matthew Pennycook, the housing minister, saying that he does not think it is “appropriate” to accept free tickets for concerts. (See 10.26am.)
Pennycook’s comment in an interview this morning was widely seen as veiled criticism of Rachel Reeves, the chancellor. But when this was put to the PM’s spokesperson at the morning lobby briefing, the spokesperson replied:
I think he was speaking on his own behalf, as the ministerial code says it is a matter of individual judgment for each minister concerned.
What the government has done is strengthen the rules to ensure transparency, to include new principles and to enshrine the seven principles of public life into the code.
According to PA Media, allies of Pennycook later said he had been referring to his own position as MP for Greenwich and Woolwich, the constituency which covers the O2, where the concert was held, and that his comments should not be interpreted as a criticism of anyone else.
No 10 says Signal leak won’t stop UK sharing secrets with US – but pushes back at Vance/Hegseth ‘freeloading’ claims
Downing Street has rejected suggestions that Britain is a “freeloading” country that expects the US to meet its defence needs.
At the lobby briefing this morning, the PM’s spokesperson spoke at length about the contribution the UK makes to joint military operations with the Americans, following the extraordinary leak of messages showing the contempt President Trump’s most senior allies have for Europe’s record on defence.
But the spokesperson also refused to directly criticise the two figures who were most critical, JD Vance, the vice-president, and Pete Hegseth, the defence secretary.
And the spokesperson insisted that the UK remains happy to share intelligence with teh US despite the leak, which involved detailed planning for a military attack being shared inadvertently on Signal, a commercial chat app, with a journalist.
As Peter Beaumont reports, one striking exchange in the messages shared with Jeffrey Goldberg, editor of the Atlantic magazine, involved Vance and Hegseth making disparaging remarks about Europe. Beaumont reports:
“The account identified as ‘JD Vance’ addressed a message at 8:45 to @Pete Hegseth: ‘if you think we should do it let’s go. I just hate bailing Europe out again,’” Goldberg wrote. (The administration has argued that America’s European allies benefit economically from the US navy’s protection of international shipping lanes.)
Goldberg continues: “The user identified as Hegseth responded three minutes later: “VP: I fully share your loathing of European free-loading. It’s PATHETIC. But Mike is correct, we are the only ones on the planet (on our side of the ledger) who can do this.
“Nobody else even close. Question is timing. I feel like now is as good a time as any, given POTUS directive to reopen shipping lanes. I think we should go; but POTUS still retains 24 hours of decision space.”
At the lobby briefing this morning, asked if Britain was a pathetic freeloader, the PM’s spokesperson replied:
You can see, from the way in which the UK has worked closely with the US, supplying regional security and defence, our commitment to working with the US on matters of regional security.
You’ll know the UK provided air-to-air refuelling support for recent strikes against Houthi key rebel targets [the raid discussed in the messages inadvertently shared with Godlberg].
We also continue to support the US-led coalition against Daesh with routine combat air patrol over Iraq and Syria.
And we’ll continue to work with the US and other allies to ensure stability and security in the Middle East.
Asked again if Britons were freeloaders, the spokesperson repeated the point about the UK working with the US closely in the Middle East.
In a further effort to downplay any diplomatic tension caused by the leaks, the spokesperson said Britain remains confident about sharing intelligence with the US.
Asked if the government was satisfied that any intelligence it shared with the Trump administration would be properly handled, the spokesperson relied:
Yes. The US is our closest ally when it comes to intelligence and defence. We have a longstanding relationship on intelligence and defence cooperation … We will continue and continue to build on the very strong relationship we already have with the US.
The spokesperson would not discuss the leak in detail. But asked if the government was “100% confident” about sharing secret information with the US, the spokesperson replied: “Yes.”
At 12.30pm a Home Office minister will answer an urgent question tabled by Chris Philp, the shadow home secretary, about the cancellation of the Stay Belvedere Hotels contract for housing asylum seekers in hotels. (See 9.25am.)
Badenoch says Reeves should blame her own budget ‘mistakes’, not global events, for cuts needed in spring statement
Rachel Reeves has received a backhanded endorsement from Kemi Badenoch, who described the chancellor as “one of the best” of the Labour team – but only, Badenoch said, because the others were even worse.
In an interview this morning on Talk TV, asked if Reeves should lose her job because of what she had done to the economy, Badenoch replied:
I think in any other field she would have. But she’s actually one of the best that they’ve they’ve got, which is what’s really sad.
If she goes, we’re likely to get someone much worse. You listen to labour backbenchers, and a lot of the things that they ask for are crazy, they would bankrupt the country tomorrow.
In a preview of what the Conservative party is likely to say tomorrow in its response to Reeves’ spring statement, Badenoch also claimed that the chancellor would be using the announcement to fix the “mistakes” made in the budget last year. Badenoch said:
The mistakes that she made in that budget are what she’s trying to fix now with the emergency budget that we’re getting tomorrow.
This is not something that’s reacting to world events. She made errors, problems have been caused, and now she’s going to try and fix them again tomorrow. That’s wrong, and I think that she should be judged on that basis.
But Reeves, who is not reversing any of the main budget measures, argues the opposite. She says that the global economic situation has changed considerably since the October budget, which is why she is having to respond with spending cuts.
Ministers approve £9bn Lower Thames Crossing, road tunnel linking Kent and Essex
Ministers have announced that the £10bn Lower Thames Crossing, a road tunnel under the Thames connecting Kent and Essex, has been approved.
The 14-mile road and tunnel – or two tunnels to be precise, one northbound, one southbound – will be the first new Thames crossing east of London for 60 years.
Developers have been trying to get approval for it for years, and the project has frequently been cited as an example of why UK planning laws are sclerotic.
Keir Starmer referenced it recently when he complained about “infrastructure that needs planning documents longer than the works of Shakespeare”. Work on the Lower Thames Crossing has already cost more than £1bn, and the planning documents are said to run to 359,070 pages.
Minister says accepting free concert tickets not ‘appropriate’, in what Tories claim is ‘extraordinary slap down’ to Reeves
During his interview round this morning Matthew Pennycook, the housing minister, said he did not believe accepting free concert tickets was “appropriate” – in an apparent criticism of the chancellor, Rachel Reeves, who received tickets to watch Sabrina Carpenter. Jessica Elgot has the story.
In a response to Pennycook’s comments (which follow a similar response from Heidi Alexander, the transport secretary, to questions about Reeves’ tickets yesterday), the shadow Cabinet Office minister, Mike Wood, said:
This is an extraordinary slap down of the profligate champagne lifestyle Rachel Reeves’ has been enjoying since becoming chancellor.
When senior Labour ministers are openly criticising her judgment then it’s no suprise business and investors are as well.
The chancellor must kick her addiction to freebies and focus on undoing the damage she’s doing to family finances in her emergency budget tomorrow.
The reference to Reeves enjoying a “profligate champagne lifestyle” may surprise people who know the chancellor. Earlier this year she told the BBC that she brings her own lunch into the office in a tupperware box, and that she collects leftover pastries from meetings to eat later. Wood may be referring to the fact that the O2 tickets were for seats in a corporate box.
It has also been reported that Reeves accepted free theatre tickets for Oscar Wilde’s The Importance of Being Earnest and an adaptation of Neil Streatfield’s Ballet Shoes at the National Theatre in December.
But in previous governments other ministers have accepted freebies far more often. And when various Labour ministers were facing criticism for accepting Taylor Swift tickets soon after the election, Reeves did not feature in those stories.
Britons cutting back on spending as confidence in economy falls, survey shows
Consumers are cutting back spending on everyday items amid falling confidence in the UK economy before Rachel Reeves’s spring statement, according to a survey. Richard Partington has the story.
Labour accused of turning ‘blind eye to slavery’ over solar panels made in China
Ministers have been accused of turning a “blind eye to slavery” by ordering Labour MPs to remove legal protections to stop money being spent by state-owned Great British Energy on solar panels manufactured by forced labour in China, Jessica Elgot reports.
Matthew Pennycook, the housing minister, has been giving interviews this morning. Asked if the Home Office would recover money from Stay Belvedere Hotels over the failed contract for housing asylum seekers in hotels (see 9.25am), he replied:
The whole purpose of reviewing asylum contracts is to improve the management of them to guarantee value for money for the taxpayer … the operational details are being worked out.
I’ll leave it to Home Office ministers to come back with the finer points of detail on the decision they’ve made, but work is underway to ensure the asylum services continue to operate as normal, to deal with the management problems.
He went on:
We did need to review these disastrous contracts on asylum accommodation we inherited. We’re doing so to improve management and guarantee value for money for the taxpayer.
We will be opening comments on the blog at about 10am.
Firm paid to house migrants in hotels loses Home Office contract over ‘performance and behaviour’
Good morning. There are many reasons why people object to tens of thousands of asylum seekers being housed for long periods in hotels and other temporary accommodation, but one is the perception that this is enabling a small number of firms to make huge profits at public expense for providing what is often a miserable service. This morning we learned that the Home Office is doing something about this. It has removed the contract for this work from Stay Belvedere Hotels (SBHL), blaming “concerns about its performance and behaviour as a government supplier”.
In a news release issued just after midnight, it says:
The Home Office has taken action to remove Stay Belvedere Hotels (SBHL) from government operations.
SBHL, which is responsible for the running of 51 hotels in England and Wales and Napier Barracks housing people waiting for asylum decisions, is being removed following examination of its contract and contractual arrangements with the Home Office, including concerns about its performance and behaviour as a government supplier.
The safety and security of people working and staying in temporary accommodation is a government priority, together with ensuring value for money for the taxpayer. The Home Office has been working carefully over the past weeks to put robust plans in place to ensure asylum services continue operating as normal during this transition with as little disruption to asylum seekers and staff as possible.
And Angela Eagle, the minister for border security and asylum, said:
Since July, we have improved contract management and added more oversight of our suppliers of asylum accommodation.
We have made the decision to remove Stay Belvedere Hotels from the Home Office supply chain and will not hesitate to take further action to ensure Home Office contracts deliver for the UK.
The Home Office confirmed the news after the Times published a report by Matt Dathan about SBHL losing the contract. Dathan says:
Sources said it was one of the worst examples of companies that were exploiting the asylum crisis to make a profit. SBHL’s latest published accounts show it made a record profit of more than £50m …
[The move] comes after the Treasury ordered the Home Office to find cheaper providers and to prevent private companies “profiteering” from the asylum crisis.
In a document published by the Treasury’s new Office for Value for Money (OVfM) it says companies that have been contracted to find hotels for migrants have “made record profits in recent years, leading to accusations of profiteering” …
With more than 38,000 migrants in hotels, it is costing the Home Office £5.5m per day.
Dathan says one of the companies that will take over these hotel contracts is Corporate Travel Management, the firm that ran the Bibby Stockholm barge when it was used to house asylum seekers.
The government is more keen to talk about something else – a Treasury announcement about a £2bn investment in social and affordable housing. As Jessica Elgot and Richard Partington report, the announcement comes a day before the spring statement, at a time when Rachel Reeves, the chancellor, is anxious to persuade MPs that there is more to the government’s programme than just spending cuts. They report:
One Whitehall source said the social housing announcement and the £600m in investment on construction skills announced over the weekend were attempts to “sweeten the pill” ahead of Wednesday by bringing forward plans from the spending review.
The £2bn will effectively bridge the gap between the current affordable homes spending due to expire in 2026 and the next funding settlement which will come in the spending review in June when a successor programme is expected to be announced.
Here is the agenda for the day.
11.30am: Downing Street holds a lobby briefing.
11.30am: Wes Streeting, health secretary, takes questions in the Commons.
After 12.30pm: MPs consider Lords amendments to three bills, including the GB Energy bill.
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Source: www.theguardian.com