The Labour Party went quiet on a planned increase to the digital service tax after Jonathan Reynolds enjoyed a free pass to Glastonbury courtesy of YouTube, according to Novara Media reports.
A dark cloud is hanging over the party’s conference this week as freebies and donations taken by the prime minister, deputy prime minister and chancellor come under scrutiny.
Questions have been raised over Lord Alli – the business executive who has donated some £700,000 to the party over the past two decades – being handed a Downing Street pass.
The row, dubbed “passes for glasses”, emerged after it was revealed that Lord Alli had gifted the Sir Keir eyewear and work clothing worth £18,000, clothes for his wife Lady Victoria Starmer, and a £10,000 donation to the PM’s chief of staff Sue Gray’s son Liam Conlon’s campaign to become a Labour MP.
According to Novara Media reports, the issue could be more endemic than initially believed.
In June 2023, the then-shadow business secretary, Jonathan Reynolds, accepted Glastonbury hospitality tickets and accommodation from YouTube for himself and two senior staff.
The music streaming site, which is owned by Google, forked out thousands of pounds to accommodate the senior Labour MP, and seemed to get a good return on their money after Labour shelved a proposed hike in the digital service tax from 2 per cent to 10 per cent, which would bring billions in from giants like Google and Facebook.
Adam Ramsay, who is currently working on his forthcoming book Abolish Westminster, said: “Literally the day after the festival, it emerged that Reynolds had ditched the policy.”
He added that news reporters should be more diligent in asking the right questions when it comes to freebies.
“What reporters should be asking government ministers isn’t: “Why did you accept the gift?”. It’s: “Why did they give it to you? What do they think they are getting out of it?” Because the answer isn’t “nothing””, the Scottish journalist said.
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