Sir Keir Starmer and Tory leader Kemi Badenoch have clashed over the Budget and business at Prime Minister's Questions (PMQs)
Badenoch, at her third PMQs, pressed the PM to rule out further tax rises - Starmer said he was not going to write the next five years of budgets from the dispatch box
The Tory leader and PM clashed again over the Budget, with Starmer questioned on business confidence, job losses and the ban on petrol cars by 2030
Starmer said Labour was supporting businesses while Badenoch is "shouting from the side lines", adding that his government will make "hard decisions" and take the country forward
This week's PMQs was a clash of character and politics, writes our political correspondent from the Commons
Image source, UK ParliamentStarmer goes on to say the Conservatives live in a "fantasy world" thinking everything was fine for 14 years.
The country is fed up with those fantasies, he says, adding that "we're going to take the hard decisions" and take the country forward.
Badenoch says the Budget was an attack on farmers, workers, pensioners, young people and thousands of businesses across the country.
The whole system is broken, she says, and Starmer is making things worse - adding that Chancellor Rachel Reeves is "an expert at customer complaints".
Starmer says Reeves has just "read out the charge sheet of the last government", adding "everything is broken". He replies that the opposition come to PMQs every week with "nothing to offer except complaints".
Badenoch says "the bottom line" is that Starmer "doesn't seem to care about the young people" who she says will lose their jobs due to his Budget - and references Vauxhall's plant in Luton, that yesterday announced its closure.
She asks if he stands by his promise to ban the sale of petrol cars by 2030 - even if more jobs will be lost.
Starmer replies, saying Luton is in a "serious" position, but they are engaged with the staff who he acknowledges are worried.
He says the electric vehicle mandate was introduced by the last government and Badenoch was the business secretary that did this.
Labour is supporting businesses while Badenoch is "shouting from the side lines," Starmer says. There's a lot of jeers at this.
Image source, UK ParliamentReferring to Starmer's last answer, Badenoch calls it a "load of nonsense" to cheers from the chamber.
She says the Conservatives had a Budget in March which didn't lead to tractors blockading the streets in Whitehall.
She gives another example of biscuit company McVities - citing the head as saying it's harder to "understand what the case for investment is" after the Budget - and businesses have been struggling to digest it.
Starmer responds saying there has been "record investment from overseas".
Image source, UK ParliamentBadenoch is up again with her third question, which is continuing on the theme of business.
She says businesses are saying the government's Employment Rights Bill will stop businesses hiring, and the CBI says the "dots of the government's policy don't join up".
Starmer responds that the Conservatives couldn't decide what their position is.
"We had a massive petition on the 4th of July in this country," he says.
Badenoch asks Starmer why business confidence has crashed since the Budget.
Starmer replies that Badenoch wants all the benefits of the Budget but doesn't know how to pay for it.
He adds that Badenoch keeps criticising Labour plans but hasn't said she'll reverse the increase in national insurance for employers'.
"She wanted all the investment but doesn't know how to get it", he says.
Answering his first question from the opposition leader, Keir Starmer says his government set out their position at the Budget.
"We're fixing the foundations, we're dealing with the £22bn black hole," that the Conservatives left, Starmer says.
"I'm not going to write the next five years of budgets here at this despatch box but we said we wouldn't hit the payslips of working people.
"We've passed the Budget. We've invested in the future, and we've kept that promise."
Image source, UK ParliamentThis week's Prime Minister's Questions has begun with a question on trust.
Leader of the Opposition Kemi Badenoch cites Chancellor Rachel Reeves' comment on Monday at a CBI conference that she was clear she wouldn't be coming back with "more borrowing" or "more taxes" and that she knows telling the truth is important.
Badenoch asks Starmer to repeat the pledge.
More here on what Badenoch said at the Confederation of British Industry conference.
Image source, UK ParliamentIt began a few minutes late, but we're off - Prime Minister's Questions is starting. Sir Keir Starmer has taken his position at the dispatch box and MPs have filed into the benches.
Stay with us for the latest updates and analysis, and follow along by clicking Watch live at the top of this page.
Damian Grammaticas
Political correspondent
It’s almost time for Starmer v Badenoch round three.
It was only at the start of this month that the new Conservative leader had her first outing at Prime Minister’s Questions.
She seemed pretty nervous. The occasion though was overshadowed in the news cycle by Donald Trump’s election victory.
Because Sir Keir Starmer was away, since then she’s had one other outing, when she attacked on the subjects of tax and the budget. He parried those looking relatively unflustered.
So all eyes today will be on the PM but also his opposite number to get a sense of how she’s settling into the role.
Chas Geiger
Politics reporter
Image source, Getty ImagesThe row between the government and the car industry over electric vehicle (EV) sales targets which some companies say are too high for current consumer demand could well feature when Badenoch takes on Starmer in the Commons today.
Yesterday, Vauxhall's owner Stellantis said it was closing a plant in Luton, partly because of the EV targets. The business secretary will give a statement in the Commons on the closure after PMQs.
The government has promised to consult on those, but said it will stick to a deadline to phase out sales of new petrol and diesel cars by 2030.
The current targets were introduced by the previous Conservative government, so there is a lot of interest on where Badenoch's Tories end up on the issue.
The new party leader has backed the UK's net zero target, external - reducing greenhouse gas emissions by 100% from 1990 levels by 2050 - but has strongly criticised this and past governments' green policies to get there.
Image source, ReutersThe prime minister has just left Downing Street on his way to the Commons, so we're expecting this week's Prime Minister's Questions to begin shortly.
Image source, UK ParliamentEarlier this week Starmer said he was "not that surprised" his policies have been met with criticism as a petition demanding a new election could crop up as a topic of discussion in PMQs.
The appeal, which attracted over 2.7m signatures, as of this morning, says Labour have "gone back" on pledges made before July's vote.
Starmer has insisted "big calls" have to be made to improve the NHS and education in the UK.
But today, West Midlands publican Michael Westwood - the man behind the petition - tells the BBC Starmer's plans are a threat to small businesses.
Image source, ReutersKeir Starmer has joined other world leaders in welcoming the ceasefire deal between Israel and Hezbollah, which puts an end to 13 months of fighting.
The deal came into effect at 04:00 local time (02:00 GMT) this morning, as thousands of Lebanese civilians have started returning to their homes in the south, but Israel warns it is not yet safe to return to certain areas.
In a statement shared on X, Starmer says the ceasefire is "long overdue" and hopes it will provide "some level of relief" to civilians in both Lebanon and northern Israel.
"The UK and its allies will continue to be at the forefront of efforts to break the ongoing cycle of violence in pursuit of a long-term, sustainable peace in the Middle East," he says.
But he warns progress must also be made to ensure a ceasefire is agreed in Gaza.
Matt Spivey
Live page editor
Good morning, it's almost time for Prime Minister's Questions. We'll be bringing you the latest from within the House of Commons as Leader of the Opposition Kemi Badenoch questions Sir Keir Starmer.
The prime minister could provide comment on the ceasefire deal between Israel and Hezbollah, which came into effect at 02:00 GMT this morning - an agreement he says is "long overdue".
The assisted dying bill has also been high up on the agenda recently, as MPs are set to get a free vote on the bill on Friday, meaning they can follow their conscience rather than party orders.
This week, MPs have backed plans to make it illegal for anyone currently aged 15 or younger to ever buy cigarettes in the UK - the bill is expected to face further scrutiny from MPs, and may crop up at PMQs.
We'll be bringing you the latest updates and analysis, and you can follow along with PMQs by clicking Watch live at the top of this page from 12:00 GMT.
