Key facts
- Kemi Badenoch is urging Labour to collaborate on reducing welfare spending.
- She proposes using savings to increase defence expenditure.
- Badenoch offers Conservative support for welfare cuts to avoid tax rises.
- Labour has dismissed the offer as a "gimmick."
- The Conservative party intends to maintain the two-child benefit cap.
- Badenoch criticizes Labour's fiscal approach as a "tax doom loop."
Kemi Badenoch, a prominent Conservative figure, is set to propose a cross-party effort with Labour to reduce the UK's welfare spending. In a speech, she will argue that such measures are crucial to address the rising budget deficit and to fund an increase in defence spending, thereby avoiding further tax hikes that could harm business confidence and inflation.
