Prime Minister Sir Keir Starmer has defended his attendance at the G20 summit in Brazil, insisting that his work on the global stage has a direct impact on the UK economy.

Speaking to Good Morning Britain, Starmer stressed the importance of securing international investment, arguing that discussions at the summit could help stimulate economic growth at home.

“There is a direct link between what I do internationally and the impact on people’s lives back in the UK,” he said. “The focus of my discussions here is on the economy and bringing investment into our country. These talks are crucial in ensuring higher living standards, improving job opportunities, and making people feel better off.”

His comments come as concerns grow over the domestic fallout from recent Budget decisions, including changes to winter fuel payments, farming policies, and business taxation.

Fuel Payment Cuts Could Push 100,000 Pensioners Into Poverty

Government estimates released on Tuesday indicate that planned reductions in winter fuel payments could force 100,000 pensioners into poverty by 2026.

Work and Pensions Secretary Liz Kendall, in a letter to MPs, acknowledged the government’s internal assessment but emphasized that efforts to expand pension credit eligibility could mitigate some of the impact.

“The latest modelling suggests that, compared to the number of pensioners who would have been in poverty without this policy, an additional 50,000 pensioners will be in relative poverty after housing costs in the years 2024-25, 2025-26, and 2027-28,” she wrote.

She further revealed that in 2026-27, 2028-29, and 2029-30, the estimated number of pensioners in relative poverty would rise by 100,000.

Business Leaders Warn of Job Losses and Rising Prices

Meanwhile, the economic impact of the Budget continues to be a major concern for businesses. Bank of England Governor Andrew Bailey has acknowledged warnings from retailers, saying they are justified in fearing potential job losses due to tax hikes and other policy changes.

More than 70 major businesses—including Tesco, Asda, Sainsbury’s, Amazon, Aldi, Boots, and Marks & Spencer—have signed an open letter to Chancellor Rachel Reeves, warning that recent tax increases will inevitably lead to higher prices for consumers.

Organized by the British Retail Consortium, the letter expresses concern over the speed and scale of the changes.

“We appreciate the government’s focus on strengthening public finances and investing in public services, and we recognize the role businesses must play,” the letter states. “However, the sheer scale of these new costs and the speed of their implementation create a cumulative burden that will lead to job losses and make price increases unavoidable.”

Starmer Links Ukraine Support to Domestic Energy Bills

In addition to economic discussions, Starmer also defended the UK’s financial support for Ukraine, arguing that backing Ukraine is directly tied to domestic energy costs.

“Rising energy bills are a very real concern at home, and that is a key reason why we must remain steadfast in our support for Ukraine,” he said. “I fully understand how much people have struggled with energy prices over the past three years, and I am committed to doing everything possible to bring those costs down.”

With growing criticism over the government’s economic policies, Starmer continues to face pressure from both the business sector and opposition parties. However, he maintains that international engagement and tough financial decisions are necessary to stabilize the economy and drive long-term growth.