Starmer says Reeves doing ‘fantastic job’ and has his full confidence
Max Kendix from the Times has another try at the Rachel Reeves question. (See 12.11am.) Will Reeves still be chancellor at the end of this parliament?
Starmer replies:
Rachel Reeves is doing a fantastic job. She has my full confidence. She has the full confidence of the entire party.
He says Reeves had “an incredibly challenging” task in the budget. There was a £20bn black hole in the accounts, he says.
She’s right to take the tough decisions because, as anybody who’s turned around a business or organization will know, if you’re going to turn something around, you’ve got to take the tough decisions.
Starmer does not commit to keeping Reeves as chancellor until the end of this parliament. But it would probably be a mistake to read much into that, because the end of this parliament could be more than four years away and prime ministers almost never commit to keeping people in post that far ahead, for fairly obvious reasons.
(At a post-PMQs lobby briefing in November, after Kemi Badenoch attacked David Lammy, the PM’s spokesperson implied Lammy would stay in post for the rest of this parliament in response to a question about this. The briefing was written up in some quarters as Starmer promising to keep Lammy at the Foreign Office for up to five years. But the spokesperson just said “Yes, he’s the foreign secretary”, and it is more likely he just meant that Starmer would not be getting rid of him because of the anti-Trump remarks raised by Badenoch.)
Along with the Department for Education, the science department has also announced a £1m investment “to create AI tools to help with marking and generating detailed, tailored feedback for individual students in a fraction of the time, so teachers can focus on delivering brilliant lessons”.
The Conservatives claims that Keir Starmer’s refusal to say Rachel Reeves will still be chancellor at the time of the next election shows she is being lined up as a “scapegoat”. In a statement issued by CCHQ, Gareth Davies, the shadow financial secretary, said:
Labour are trying to insist that everything is fine, but the fact that Keir Starmer has repeatedly refused to say whether Rachel Reeves will remain as chancellor speaks volumes.
The prime minister is looking for a scapegoat but this crisis was made in Downing Street by Rachel Reeves.
The markets and businesses are watching, Labour promised stability and confidence but they have lost control. They must take action to reverse before this gets worse for families.
For reasons explained earlier (see 12.26pm), this is probably an over-interpretation of a routine refusal to say that someone will stay in post for another four and a half years. If anyone were to ask Kemi Badenoch if Mel Stride will still be shadow chancellor at the time of the next election, she would probably refuse to say too.
But opposition parties are expected to criticise the government, and so this line of attack is not surprising. Reform UK are at it too. In a statement Richard Tice, the Reform UK deputy leader, said:
Keir Starmer may now try and distance himself from Rachel Reeves but the reality is, this is his economic agenda and this his choice for chancellor.
The fact is that Labour have no plan for growth, no plan for jobs and simply no plan at all for the economy.
Only Reform UK know how to cut waste properly, cut burdensome regulations seriously and cut taxes effectively to get the economy firing once again.
Starmer stresses ‘incredible advantage’ of AI when asked about how it might make some jobs redundant
Q: Won’t AI always try to increase its power. If it is running the MoD, couldn’t it declare war?
Starmer ignores the alarmist element of this question, and just defaults to a general answer about how AI is operating here already. He wants Britain to be a leader in this field, he says.
Q: We have had an email from a translator who has said his work has now completely dried up. Will some sorts of jobs disappear? A voice artist doing voice overs has said the same thing. Will you compensate people affected?
Starmer says:
All technology, all work changes …
I think about what I did before politics, which was being a lawyer. The way that was done 20, 30, years ago is very different to the way it’s done now. So jobs always change on this. I would push back.
I do understand people’s concerns. I think they’re completely understandable. But just think of the incredible advantage.
As an example, he says AI can be used to reduce waiting lists in the NHS, because it can predict who is likely to miss an appointment, and then intervene to prevent that.
Starmer interviewed by Jeremy Vine on Radio 2
Keir Starmer is being interviewed by Jeremy Vine on Radio 2.
Vine starts by asking about the risk of hacking. If the country is run by AI, won’t that put the country at risk of being hacked?
Starmer starts by repeating the anecdote he told at the start of his speech. (See 11.44am.)
Q: AI could put radiologists out of work. But isn’t it comforting for patients to see a doctor?
Starmer accepts that. He says AI can do “the notes bit” for doctors. That will give them more time to spend on face-to-face contact with patients. He repeats the line about how this will allow more time for the human bit. (See 9.19am.)
Starmer says Reeves doing ‘fantastic job’ and has his full confidence
Max Kendix from the Times has another try at the Rachel Reeves question. (See 12.11am.) Will Reeves still be chancellor at the end of this parliament?
Starmer replies:
Rachel Reeves is doing a fantastic job. She has my full confidence. She has the full confidence of the entire party.
He says Reeves had “an incredibly challenging” task in the budget. There was a £20bn black hole in the accounts, he says.
She’s right to take the tough decisions because, as anybody who’s turned around a business or organization will know, if you’re going to turn something around, you’ve got to take the tough decisions.
Starmer does not commit to keeping Reeves as chancellor until the end of this parliament. But it would probably be a mistake to read much into that, because the end of this parliament could be more than four years away and prime ministers almost never commit to keeping people in post that far ahead, for fairly obvious reasons.
(At a post-PMQs lobby briefing in November, after Kemi Badenoch attacked David Lammy, the PM’s spokesperson implied Lammy would stay in post for the rest of this parliament in response to a question about this. The briefing was written up in some quarters as Starmer promising to keep Lammy at the Foreign Office for up to five years. But the spokesperson just said “Yes, he’s the foreign secretary”, and it is more likely he just meant that Starmer would not be getting rid of him because of the anti-Trump remarks raised by Badenoch.)
Q: [From Christopher Hope from GB News] Some people are blaming the budget for the problems with the economy. What is your solution? Will you cut benefits? And will Rachel Reeves still be chancellor at the time of the next election?
Starmer repeats the point about sticking to his fiscal rules
We set out those fiscal rules very early on in the day, because we knew that the missing ingredient in recent years has been economic stability.
We’re determined to bring about that economic stability, and that’s why the fiscal rules are absolutely central to what we do.
He says he never pretended that he would be able to turn things around immediately. “It is going to take time,” he says. But he says what matters is creating the right conditions. The government is doing that, “underpinned by our fiscal rules”.
Starmer does not mention Rachel Reeves, or answer the question about whether she will still be in post at the time of the next election. But it was a multi-pronged question, and so it is not clear whether or not this was a deliberate evasion, or whether he just did not get round to it.
Starmer says he is ‘absolutely’ sticking to government’s fiscal rules
Q: [From ITV’s Robert Peston] All industrial revolutions involve shocks to the labour market. What will you do to protect people, even if AI leads to growth, which might not help individuals? And government interest rates are rising. The government has run out of money. What will you do to fill that hole?
Starmer repeats the point about how he thinks the nature of work will change.
And AI is bringing in new jobs, he says. He points out that Kyndryl – an IT infrastructure services provider – has announced plans today to create up to 1,000 AI-related jobs in Liverpool over the next three years.
On the economy, Starmer says stability is vital. And he says that is why the government will be sticking to its fiscal rules.
All of these measures are there to ensure we’ve got the economic growth that we need, but the stability, the rock, the foundation, is those fiscal rules, which we will absolutely be keeping to.
Q: [From Beth Rigby from Sky News] You based your plans on growth. How will AI impact on that? And do you accept cuts will be needed?
Starmer says there is more to his growth strategy than just AI. For example, the government is changing policy on planning, energy and infrastructure.
He says AI can help, and it will change things “very, very fast”, he says.
The UK is really well placed for this, he says.
For the second time, he ignores a question – or part of a question – about possible spending cuts.
Starmer is now taking questions.
Chris Mason from the BBC goes first.
Q: What would you say to people worried about AI? And, given that the economy seems to be in a hole, how quickly can this make a difference? And will further cuts be needed?
Starmer says he thinks this is more about jobs changing than being lost. That could lead to more time for the human element, he says. (See 9.19am.)
On the economy, he says he inherited “a real mess”. AI will help the government turn things round, because it will increase productivity.
Starmer sets out how he wants to make UK best place to start and scale up AI businesses
Starmer says he wants the UK to be a country that sells AI technology, not just buying it from elsewhere.
This is the global race of our lives. Now, some countries are going to make AI breakthroughs and export them. Others will end up buying those breakthroughs and importing them.
The question is, which of those will Britain be – AI maker or AI taker?
Starmer says, with its record on science, the UK can “one of the great AI superpowers”.
Now that’s not some sort of boosterism or wishful thinking. This can be done and it will be done.
He says the UK is already the leader in Europe for AI investment. But the govenrment needs to do more, he says.
I’m determined the UK becomes the best place to start and scale an AI business that will be the centerpiece of our industrial strategy. There’s never been a better moment for entrepreneurs with big ideas to grow a small company fast.
So we’re going to create AI growth zones, breathing new life into sites like Culham in Oxford. We’re going to remove the blockages that hold you back. This is a government that backs the builders.
So if you’re looking at where to build your data centers, we’ll speed up planning permission. If you need better access to power – and we all know how big a challenge that is – we’ll get you those grid connections at speed.
You’ve asked for a gold standard data access regime. So we’ll develop a national data library, a clear and trusted copyright regime and safe access to the unique resource of our NHS for research.
And then, of course, the engine of AI progress, what’s called compute – we will increase our public sector compute not by a factor of two or three or even 10, but by 20. Now, that’s like upgrading from my dad’s old Ford portina to a Formula One McLaren in one go.
Starmer says he disagrees with the approach taken to AI by the last government.
The last government was right to establish the world’s leading AI safety institute, and we will build on that. Indeed, later this month, the UK will lead the first ever global AI safety test, working alongside our international partners.
So be in absolutely no doubt we will make sure that this technology is safe.
But I don’t think that’s the limit of what the state should do, and that’s where I disagree with the last government. We shouldn’t just focus on safety and leave the rest to the market. Government has a responsibility to make it work for working people.
Starmer says AI will transform working people’s lives for better
Keir Starmer starts his speech with a story about a prison officer who collapses one morning when she had a stroke. She was rushed to hospital where AI identified exactly where the blood clot was.
[The doctors] successfully removed it. Now, as you know, with strokes, it’s always a race against the clock – too slow, but the patient may die. Every second of delay, it increases the risk of paralysis. But in Deb’s case, with AI, the whole procedure took less than three minutes. It saved her life.
He says this makes the point that AI is with us already. And it can have a positive impact on everyone’s lives, he argues.
AI isn’t something locked away behind the walls of blue chip companies. It’s a force for change that will transform the lives of working people for the better.
So if you’re sitting around the kitchen table tonight worried about the opportunities at your children’s school, AI can help teachers plan lessons tailored to your children’s specific needs.
If you’re worried about waiting times – aren’t we all? – AI could save hundreds of thousands of hours lost to missed appointments, because it can identify those on the list most likely not to turn up and helps get them the support that they need, maybe change for a more convenient appointment.
It can spot potholes quicker, speed up planning applications [and job centre form filling], help in the fight against tax avoidance and almost halve the time that social workers spend on paperwork.
Keir Starmer delivers speech on AI
Matt Clifford, chair of the Advanced Research and Invention Agency (Aria) and author of the AI opportunities action plan, speaks briefly at the launch. He introduced Peter Kyle, the science secretary.
Kyle says the plan is “bold and challenging”, but he says “it is incredible to be working for a bold and challenging prime minister”.
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