Rachel Reeves signalled readiness for deeper cooperation with the EU, saying she is “up for” closer economic ties, potentially via sectoral deals on trade, security and energy. The shift unsettled Brexit supporters as Labour’s Left pressures the PM to move further on alignment.

Tesco’s boss warned the PM that Britain is sleepwalking into a worklessness crisis that threatens growth. He urged welfare and skills reforms, quicker planning decisions and fewer burdens on employers to boost hiring and productivity, saying long‑term economic inactivity is holding the economy back.

Wes Streeting is accused of plotting to replace the PM after leaked messages with Lord Mandelson criticised the government’s growth strategy. He denies it. No 10 says the PM remains in charge amid Labour infighting and renewed speculation over leadership manoeuvres.

Morgan McSweeney has left No 10 after criticism of his role in the move to appoint Lord Mandelson as UK ambassador to the US. The exit, amid claims of a ‘boys’ club’ and concern over patronage, increases pressure on the PM’s judgement and process, with Labour now set to choose a successor.