One of Labour’s former donors has called on Sir Keir Starmer to resign, demanding a Cabinet revamp with a new Chancellor and Prime Minister.

Speaking on GB News to Nigel Farage, Sacha Lord laid into his old party for performing a series of U-turns and backtracking on policy following backlash from their own backbenchers.

Most recently, Rachel Reeves has faced an avalanche of criticism after a Treasury watchdog accused the Labour Chancellor of misleading the public over her tax raid on British pubs.

The UK Statistics Authority (UKSA) said Ms Reeves “should have been clearer” about the real impact of her business hikes slapped on the boozers.

Previously, she claimed Labour would cut business rates to a 35-year-low when pubs faced devastation as a result of her budgetary plans.

Speaking on the People’s Channel, Mr Lord, who was a close adviser to leadership rival and Manchester mayor Andy Burnham, insisted Sir Keir must resign.

He said: “I was at the Labour Party manifesto launch in Manchester and she told the audience there was made up of her now-Cabinet and the world’s press that she was going to be the Chancellor of business and growth, and she couldn’t be further from the truth.

“The first thing she did was introduced a hike in national insurance, which was catastrophic.”

Fuming, the British entrepeneur raged against the detrimental effects of Ms Reeves’ taxes on the watering holes, even after she U-turned on the business rates hike.

He exclaimed: “It’s nonsense. And why not give it to the whole of the hospitality sector, not just pubs?

“Today, Nigel, I’ve spoken at the Nighttime Industry Association conference in Liverpool, 2000 delegates. And not one person had a good thing to say about Rachel Reeves and the Prime Minister.

“They asked me at the end if there was one thing I could wish for this year, what would it be?

“And I said, a new Prime Minister and a new Chancellor, and I got the biggest round of applause.”

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Claiming the impact was “worse than Covid”, Mr Lord cited a conversation he had with a Coventry pub landlord ahead of Christmas.

He gave up the pub in January, including his home above the pub, where his children grew up.

The ex-donor added: “So not only his finances, but his mental health is in tatters. He’s lost his dream. And this is what the Government, quite simply do not understand.

“A pub is more than just a pint.”

After Scottish Labour leader called for Sir Keir to resign on Monday, Mr Lord expressed hoped the PM would quit which “sadly” did not happen after his Cabinet came out in support of their No10 boss.

Once he heard Downing Street was aware ex-aide Lord Matthew Doyle had campaigned for councillor Sean Morton charged with child sex offences, he said “something has to break”.

“We are talking about paedophilia and sex trafficking right in the heart of the British Government. Never in my lifetime have I ever seen anything like this before,” Mr Lord reeled.

“I know a lot of very, very hard working Labour councillors in Greater Manchester who are going to lose their seats on May 7 – the likelihood is to you party, Nigel – through no fault of their own.

“As I said, the fish rots from the head. I pray to God there’s a leadership contest after May 7.”

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