Labour conference: Andy McDonald resigns from shadow cabinet, saying party ‘more divided’ under Starmer – as it happened

At the end of the morning session of conference, delegates passed by a show of hands a composite on Israel and Palestine, despite Steve McCabe MP, the chair of Labour Friends of Israel, urging them not to on the grounds that the motion was “too shouty, too angry, too one-sided and not at all focused on the search for peace”.

McCabe claimed the composite was “completely hostile to the people of Israel” and ignored the actions of the new coalition government in Israel. “If Labour had adopted this approach in Northern Ireland, we would never have got to the Good Friday agreement,” he claimed.

Here is an extract from the motion:

Conference condemns the ongoing Nakba in Palestine, Israel’s militarised violence attacking the Al Aqsa mosque, the forced displacements from Sheikh Jarrah and the deadly assault on Gaza.

Together with the de facto annexation of Palestinian land by accelerated settlement building and statements of Israel’s intention to proceed with annexation, it is ever clearer that Israel is intent on eliminating any prospects of Palestinian self-determination.

Conference notes the TUC 2020 Congress motion describing such settlement building and annexation as ‘another significant step’ towards the UN crime of apartheid, and calling on the European and international trade union movement to join the international campaign to stop annexation and end apartheid ...

Conference resolves to support “effective measures” including sanctions, as called for by Palestinian civil society, against actions by the Israeli government that are illegal according to international law; in particular to ensure that Israel stops the building of settlements, reverses any annexation, ends the occupation of the West Bank, the blockade of Gaza, brings down the wall and respects the right of Palestinian people, as enshrined in international law, to return to their homes.

Conference resolves that the Labour party must stand on the right side of history and abide by these resolutions in its policy, communications and political strategy.

In his speech to the conference earlier Jonathan Reynolds, the shadow work and pensions secretary, confirmed that Labour would replace universal credit with a “better system”. He did not say much about what the replacement might be like, but he said the focus would be on reducing the taper rate (the rate at which people lose benefit for every extra £1 they earn). He said:

For many people, work simply doesn’t pay enough. It won’t take them two hours to make up the £20 cut – it will take five times that. That’s because up to 75% of the extra money they earn is taken away from them through the taper rate, even before travel costs or childcare come into it. Britons on the lowest incomes effectively pay a higher marginal rate of tax than their prime minister because of that taper rate. It’s perverse. So the next Labour government will change that and make sure people keep more of the money they earn. And it’s just part of our plan. Higher wages, increased sick pay, the right to join a union, flexible working for all, protection from unfair dismissal, a real safety net, and real security and prosperity.

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Here is my colleague Jessica Elgot’s story on the £28bn per year climate investment pledge.

Here is more from Labour on what it is describing as its climate investment pledge.

The party are pledging an additional £28bn of green capital investment per year until 2030, saying that without investing now, the costs could spiral out of control.

The OBR Fiscal Risks Report (2021) argues that delay by even a decade doubles the cost of transition, and inaction could see debt spiral to 289% of GDP.

Reeves gets an enthusiastic standing ovation at the end of her speech – and a hug from Keir Starmer.

Reeves says as chancellor she would invest in green jobs.

Value for money means knowing when and where not to spend.

But it also means knowing when and where to invest – to prevent far greater costs further down the line.

There is no better example of this than in the case of climate breakdown.

As chancellor I will not shirk our responsibility to future generations and to workers and businesses in Britain.

No dither, no delay. Labour will meet the challenge head on and seize the opportunities of the green transition.

We will provide certainty and show leadership in this decisive decade.

Let me tell you today what I would do as your chancellor.

I will invest in this country’s green transition: gigafactories to build batteries for electric vehicles, thriving hydrogen industry, offshore wind with turbines made in Britain, more green places and safe cycle paths, planting trees and building flood defences, keeping homes warm and getting energy bills down, good new jobs in communities throughout Britain.

In other words, protecting and strengthening our everyday economy. And to make this a reality.

She says she would spend £28bn a year on capital investment for the green transition.

Reeves says Labour would create a new Office for Value for Money to check how public money is spent. And it will have “meaningful powers”, she says.

She says no government should be allowed to mark its own homework.

Reeves cites examples of personal protective equipment (PPE) contracts going to people with links to the Tories.

And she says where those contacts have not delivered, “we want our money back”.

Labour will set up a team to review these contractors. Where suppliers have not delivered, the government will seek to get its money back, she says.

UPDATE: Reeves said:

So I say today: To those who have secured Covid contracts and have not delivered. I give you notice.

We expect that money back.

We will set up a team to go through every line of every failed contract where value was not delivered, and clawback every penny of taxpayers’ money we possibly can.

Because that money belongs in our police. It belongs in our schools and it belongs in our NHS.

Reeves says there will be no return to austerity under Labour.

But Labour will not waste money either, she says. She promises “the biggest wave of insourcing of public services in a generation”.