Summary

  • Rachel Reeves has defended her handling of the economy in front of MPs on the Treasury select committee

  • Conservative Harriett Baldwin said forecasts for the economy have worsened in many areas, and referenced "awful April" after a series of household bills went up

  • Asked about the impact on businesses of tax rises in October's Budget, the chancellor said they were necessary to put the public finances on a stable footing

  • Reeves also said the government would not jeopardise a future possible economic deal with the US by "posturing" in response to Trump's upcoming tariffs

  1. Tariffs, Chagos and 'Awful April' - what we might hear todaypublished at 12:03 British Summer Time 2 April

    Helen Catt
    Political correspondent

    Thoughts are likely to be very much across the Atlantic at this PMQs as we wait for President Trump to announce his tariffs and we might seem some of that reflected in the questions asked.

    The Liberal Democrats have said they want to see retaliatory tariffs so we could see them challenge the Prime Minister on why he’s signalled so far he’s not keen to do that as a first response.

    The Conservatives quite often raise the issue of the Chagos islands at PMQs. With Downing Street confirming it’s finalising its deal with Mauritius, we could see questions on that.

    Or perhaps Kemi Badenoch will choose to raise the price rises people saw in many bills from yesterday. She’s likely to want to pin so-called “Awful April” on the government’s choices in the budget but it would allow Keir Starmer to use his regular attack lines about the Tories’ legacy.

  2. And we're off!published at 12:00 British Summer Time 2 April

    Prime Minister Keir Starmer is on his feet at the dispatch box in the Commons, ready to be quizzed by Conservative Party leader Kemi Badenoch.

    Stick with us for the cut and thrust of their exchanges, as well as the questions put to him afterwards by opposition and Labour Party backbenchers.

    • Press watch live above to follow along
  3. The House is packed and we're moments from kick-offpublished at 11:58 British Summer Time 2 April

    Brian Wheeler
    Reporting from the House of Commons

    The leaders are in their seats on the front benches. The House is packed as usual at this time on a Wednesday. Here we go...

  4. Money on the mind but what else has been going on in politics this week?published at 11:54 British Summer Time 2 April

    Rachel Reeves in a hard hatImage source, Getty Images
    Image caption,

    The government won't reach its housebuilding target in spite of Rachel Reeves' plans, the OBR suggests

    Money is no doubt on the mind this morning as headlines focus on Trump's long-awaited tariffs, and the UK 's rising household bills.

    Here's a quick rundown of some other political talking points that might sneak their way onto the the floor:

    Remember, for more on all the biggest political headlines, you can always head to the BBC News Politics site for the latest.

  5. Household bills set to risepublished at 11:49 British Summer Time 2 April

    Turning away from prospective tariffs, another topic of interest to our politicians this week is the rise in a series of essential household bills.

    Here are some of the rises to expect from this month:

    • Water bills: For households in England and Wales, these are going up by £10 per month on average
    • Energy bills: The annual energy bill for a household in England, Wales and Scotland using a typical amount of gas and electricity will go up by £111 to £1,849 a year
    • Council tax: In England, council tax could go up by as much as 4.99%, but in some areas, the government has allowed bills to rise even higher
    • Car tax: If your car was registered after April 2017 the standard rate of tax will rise by £5 to £195 a year
    • Broadband, phone and TV: The rise depends on your provider and contract start date, but for example, most EE mobile Sim-only customers will see a 6.4% rise, while most Virgin Media broadband customers will see a 7.5% rise

    The Citizens Advice charity has said that households in the lowest 10% for income are already spending around two fifths (41%) of their earnings - after housing - on water, energy, broadband and car insurance bills.

    It also highlighted that many single parents in particular would struggle because a greater proportion of their money was taken up by essential spending.

  6. What would the impact of tariffs be on the UK?published at 11:40 British Summer Time 2 April

    Economists have warned that any major tariffs could knock the UK’s economy off course.

    The independent Office for Budget Responsibility (OBR) - which monitors the UK government's spending - has warned a reciprocal trade war would wipe billions off UK economic growth.

    It has also said the tariffs could impact Chancellor Rachel Reeves’s ability to adhere to her self-imposed rules on spending and borrowing, which could in turn lead to further tax rises or spending cuts.

    The OBR's latest economic forecast, published last Wednesday, said GDP would be 0.6% lower than forecast this year and 1% lower next year in the most "severe" scenario, in which the UK and other nations retaliated to Trump's tariffs.

    In an alternative scenario where the UK does not retaliate, the OBR has forecast a smaller reduction in growth, with GDP 0.4% lower than expected this year and 0.6% lower next year.

  7. Starmer is on his way to the Commonspublished at 11:37 British Summer Time 2 April
    Breaking

    Keir Starmer leaving Number 10 Downing Street, he is holding two foldersImage source, PA Media

    The prime minister has left Downing Street to make the short trip to the House of Commons for today's PMQs.

    We'll be bringing you all the key lines, as always, from 12:00 in this feed - or you can stream it by pressing watch live at the top of the page.

  8. Badenoch says tariff retaliation would ‘make everyone poorer’published at 11:32 British Summer Time 2 April

    Kemi Badenoch wearing a white shirt and black jacket and looking away from the cameraImage source, PA Media

    Donald Trump's looming tariff announcement is casting a shadow over today's PMQs, and it's a topic that Conservative leader Kemi Badenoch has already made her position clear on.

    In an interview with LBC yesterday, she said a trade deal would be the “best way” to avoid tariffs and that retaliation would “make everyone poorer”.

    In a later press conference, the conservative leader said she was “not cutting across” government by asking Republicans in the US to spare the UK from tariffs.

    She urged against any retaliatory tariffs, saying they would raise costs for UK consumers.

    "Making life more expensive for British consumers so that we can thumb our nose at Donald Trump is not the right way. We need to make sure that we keep the cost of living as low as possible for the British public,” she said.

  9. UK 'preparing for worst' ahead of US tariff announcementpublished at 11:31 British Summer Time 2 April

    Image showing lots of cranes in a shipping portImage source, Getty Images

    The UK, among other countries, is awaiting today's tariff announcement, with Foreign Secretary David Lammy saying yesterday that it must "prepare for the worst".

    Economists have been warning that any major tariffs could knock the UK’s economy off course and make it harder for the government to hit its self-imposed borrowing rules.

    Although he previously raised the possibility that some countries could receive "breaks" from tariffs, over the weekend Trump suggested the tariffs would hit “all countries”, not just those with the biggest trade imbalances with the US.

    Trump already announced a series of tariffs on steel, aluminium and vehicles coming into the US last month - and unlike other countries, the UK decided to not to set out plans to retaliate with tariffs of its own.

  10. Starmer to face PMQs ahead of US tariff announcementpublished at 11:29 British Summer Time 2 April

    Asya Robins
    Live reporter

    Good morning and welcome to our weekly live coverage of Prime Minister's Questions.

    It’s undoubtedly a big day. The UK, along with other countries, is anticipating a new raft of tariffs – or import taxes - in what President Donald Trump has described as “liberation day” for the US. We’ll bring you more on this in a moment.

    Meanwhile, household bills and taxes - such as council tax, and energy and water bills - will be going up in the coming days and weeks as the new financial year begins.

    This week also saw new rules on sentencing criminals from ethnic minorities abandoned following a weeks-long standoff between senior judges and the government.

    As usual, Conservative leader Kemi Badenoch will be asking the PM six questions before the floor opens to other MPs.

    We’ll be covering the session live from our London newsroom, and via our correspondents in the House of Commons. You’ll also be able to follow along by clicking watch live at the top of this page. Stay with us.