LONDON: London’s mayor announced Wednesday he will take a 10 percent pay cut due to a budget crisis caused by the coronavirus outbreak, as he urged the government to help Britain’s stretched local authorities.
Sadiq Khan said the capital faces a budget shortfall of nearly $628 million over the next two years because of an “unprecedented” income loss from the crisis.
The Labour mayor warned he could make cuts to police, fire and transport services without additional funding from the government, which he accused of risking “a new era of austerity.”
“COVID-19 has had a devastating impact on London’s public finances,” he said in a statement, warning many local authorities across the country were in a similar position.
“I will do everything in my power to persuade ministers not to force another era of austerity on local and regional government.
“It’s only right that I should volunteer for an immediate pay cut in these extremely difficult circumstances.”
As well as taking a cut on his £152,734-a-year salary, Khan said he would freeze the wages of his 15 direct appointments given the £493-million budget shortfall forecast.
Like most local authorities, the directly elected London mayor — created in 2000 as part of local governance reforms — is funded through government grants and income from sources such as transport fares.
Funding for them from the British government has fallen dramatically over the last decade under the so-called austerity policies of the ruling Conservatives brought in after the 2008 global financial crash.
Prime Minister Boris Johnson’s government says it has boosted their finances during the pandemic, but is facing its own mounting bill for various emergency virus response policies for workers.
Meanwhile, the government is facing unprecedented falls in revenues due to the nationwide lockdown introduced in late March and now being gradually eased.
Britain’s economy has crashed spectacularly, shrinking by one-fifth in size during April as unemployment has surged and it heads into recession.
The Organization for Economic Cooperation and Development last week predicted the UK economy was on course to shrink by more than 11 percent in 2020 because of COVID-19.
Amid the grim economic picture, other regional and local leaders have echoed Khan’s call for extra funding to cope.
The devolved government in Scotland, which was given tax-raising powers when it was created in the late 1990s, warned this month of a possible “return to austerity.”
It wants increased borrowing powers, allowing it to take on debt, to fund its COVID-19 response.
London mayor Sadiq Khan takes pay cut over coronavirus funding cut fears
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London mayor Sadiq Khan takes pay cut over coronavirus funding cut fears
- ‘COVID-19 has had a devastating impact on London’s public finances’
- Britain’s economy has crashed spectacularly, shrinking by one-fifth in size during April
Iran hacking group claims attack on US medical company
- It issued an open warning to what it described as “Zionist leaders and their lobbies,” adding: “This is only the beginning of a new chapter in cyber warfare.”
WASHINGTON: An Iran-linked hacking group claimed responsibility on Wednesday for a sweeping cyberattack on US medical technology giant Stryker, saying it had wiped more than 200,000 systems and extracted 50 terabytes of data in retaliation for military strikes on Iran.
“Our major cyber operation has been executed with complete success,” Handala said in a statement, describing the attack as retaliation for what it called “the brutal attack on the Minab school” and for “ongoing cyber assaults against the infrastructure of the Axis of Resistance.”
The group said it had shut down Stryker offices in 79 countries and that all extracted data was “now in the hands of the free people of the world.”
It issued an open warning to what it described as “Zionist leaders and their lobbies,” adding: “This is only the beginning of a new chapter in cyber warfare.”
Founded in Kalamazoo, Michigan, Stryker is a global medical device giant with some 56,000 employees and $25.12 billion in 2025 revenues, making everything from orthopedic implants and surgical instruments to hospital beds and robotic surgery systems.
The Handala group later posted that it had also carried out an attack on Verifone, which specializes in electronic and point-of-sale payments.
The outages began shortly after 0400 GMT on Wednesday, the Wall Street Journal reported, citing people familiar with the matter. Windows devices — including laptops and mobile phones connected to Stryker’s networks — were remotely wiped.
