After finally apologizing for the terrible mini-Budget, Liz Truss faces her Cabinet today as she battles to cling to her position.
In the wake of Jeremy Hunt’s spectacular dismantling of her key economic policies, the Prime Minister is in for another harsh day as MPs discuss whether and how to remove her.
Ms. Truss belatedly apologized for the incident in a BBC interview yesterday night, admitting that she had made’mistakes’ and acted ‘too quickly’ after failing to do so when she fired Kwasi Kwarteng on Friday. A premier who appeared apprehensive swore to lead the party into the next election.
Last night, she conveyed a similar message to the One Nation MPs. However, attending Tories compared it to a corpse delivering its own eulogy.
Simon Hoare, a senior backbencher, warned this morning that the party may need to focus on ‘avoiding a landslide defeat’, given that Labour is 36 points ahead in the polls.
James Heappey, the minister of defence, argued that Ms. Truss had apologized faster than Boris Johnson, but he also foreshadowed future difficulties by advising against cutting military expenditure.
Ms. Truss will speak before the right-wing ERG group this evening, many of whom are upset that tax cuts have been scrapped, after having attempted to pacify her moderate MPs.
Graham Brady, a key 1922 leader, spoke with Ms. Truss yesterday, and his attitude will be crucial. There are rumors that he intends to delay any action until the Budget on All Hallows’ Eve, when the Chancellor is anticipated to propose £40 billion in spending cuts.
With the tax burden poised to reach its highest level since 1950 and homes facing £5,000 energy bills as a result of the government’s announcement that its two-year ‘guarantee’ will end in April, MPs are becoming increasingly anxious about the upcoming vote.
Cabinet supporters worry Liz Truss might be driven out if she fails to make a strong case for why she should continue in the coming days.
Penny Mordaunt responded to the session of Urgent Questions (UQ).
More Tories clamor for Truss to resign as she is labeled a “PINO” – a prime minister in name only.
As the mini-Budget was burnt today, more enraged Tories pushed Liz Truss to resign and called for the 1922 chair to take over.
Charles Walker became the sixth member of parliament to demand for the resignation of the leader, amid heated maneuvering behind the scenes.
Sir Graham Brady, a backbench shop steward, is returning from vacation to a tumultuous situation in which 100 politicians reportedly advocate amending party rules so that Ms. Truss can face an immediate vote of confidence.
Critics mocked the leader as “PINO” (Prime Minister in Name Only) when Jeremy Hunt tore up her plans in an unusual series of U-turns intended to calm markets.
Downing Street reiterated, however, that the prime minister will not resign, stating that she provides “stability.”
Ms. Truss, who is scheduled to accompany Mr. Hunt when he addresses the House of Commons later, tweeted that the government was “charting a new course.”
Ms. Richardson, a representative of Guildford, stated that Ms. Truss was “100%” to blame for the pandemonium.
We witnessed the unfunded tax cuts. If this had not occurred, the markets would not have reacted as they did, and we would not be in the position of needing to find an extra £10 billion to plug a hole.
She said, ‘I’m afraid that’s all the fault of the Prime Minister, so I don’t see how she can continue in her post, and it makes me unhappy to say so.’
Liz Truss recognized she had gone “too far and too fast” after incoming Chancellor Jeremy Hunt shredded her tax-cutting growth plans, stating that she had gone “too far and too fast.”
She told the BBC, “I want to assume responsibility and apologize for the errors that have been committed.” I expected it to be difficult, and it has been difficult, I believe it is fair to say.
In an unusual five-minute broadcast announcement, Mr. Hunt eliminated “virtually all” of the Prime Minister’s signature tax cuts in an effort to reassure the financial markets that the government was serious about balancing the budget.
He stated that the nation’s primary job was to “do what is essential for economic stability” and added, “We are a nation that keeps its commitments and pays its debts.”
“When this is called into question, as it has been, the government will take the painful steps necessary to restore trust and confidence in our national finances,” the statement reads.
A source from Downing Street recognized that the Prime Minister had a “critical 24/48 hours” to retain her position.
Mr. Hunt pleaded with rebels last night not to risk additional instability by removing the Prime Minister, urging MPs to “give her an opportunity.”
Allies in the Cabinet believe she could be forced out if she fails to present a compelling case for why she should continue in the coming days.
One senior Tory stated, ‘She needs to demonstrate she has the ability to get out of the mess she’s created, but she’s a long way off from doing so.’
Mr. Hunt, who was dubbed “the de facto PM” by some Conservative MPs, warned that extra “eye-poppingly difficult” tax increases and budget cuts totaling up to £40 billion would be required by the end of the month.
And, in a significant shock to millions of households and businesses, he announced that the two-year ‘guarantee’ on energy prices would now only continue for six months.
Penny Mordaunt, leader of the House of Commons, denied that the Prime Minister was the victim of a “coup” when the Chancellor tore up her plans.
And she elicited chuckles in the chamber when she asserted that Miss Truss was not hiding ‘under a desk’ to avoid inspection by members of parliament.
Sir Graham, a Tory shop steward, reportedly warned the prime minister in a secret meeting that many of her fellow lawmakers wanted her to resign. It is believed, though, that he is resisting pressure from backbenchers to alter party rules that prohibit a formal challenge for a year.
Former minister Mark Garnier stated that Ms. Truss was “in office but not in control,” adding, “The question is whether we should give her a chance or take off the bandage.”
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Sir Edward Leigh, who backed Miss Truss for the leadership, warned that the UK might “slip into a second-rate economy” if her tax-cutting programme is abandoned.
Speculation persists that the Prime Minister may quit or be forced out after just over a month in office.
Some have suggested that Rishi Sunak and Penny Mordaunt could strike a deal to gain power from their erstwhile enemy.
Mr. Sunak, who finished second to Ms. Truss in the Conservative leadership campaign this summer, reportedly discussed a ‘tacit’ offer that he could serve as her Chancellor with a senior Mordaunt supporter. Mr. Sunak refuted the allegations.
A source stated, ‘Like everyone else, Rishi wanted the party to unite, and he is completely devoted to his constituency work.’
What changes has the Chancellor made?
GOING
REVENUE TAX
Jeremy Hunt abandoned his idea to reduce the basic rate by 1p beginning in April.
When Rishi Sunak occupied the No. 11 position, he pledged to drop the level in April 2024. This was included in Kwasi Kwarteng’s disastrous mini-Budget proposal.
In an effort to raise $5 billion extra for the Treasury, the project has been halted “indefinitely.”
ENERGY BILLS
For the next two years, the average home energy bill has been restricted at £2,500.
It was estimated that the “guarantee” proposal would cost the government over £100 billion.
After April, though, this could be revised, with assistance redirected to the poorest individuals.
DUTY-FREE SHOPPING FOR TOURISTS
EASING IR35 RULES FOR SELF-EMPLOYED
TAX CUTS ON DIVIDENDS
STAYING
STAMP DUTY
At the mini-Budget, stamp duty was eliminated for purchases under £250,000, and first-time buyers were exempt for purchases up to £425,000.
This has already taken effect, and Mr. Hunt has stated that it will continue.
PUBLIC INSURANCE
The administration pledged to reverse the National Insurance rise.
A bill has nearly cleared Congress, and Labor supports it.
It is the only other section of the mini-Budget that Mr. Hunt did not eliminate.