Michael Gove’s Tory conference speaking spree a headache for Liz Truss

The following day, the former levelling up secretary will take part in a Bright Blue debate on “greater and greener” homes and join a Tony Blair Institute panel. He is then booked to appear at four fringe events on Tuesday – a second panel hosted by Onward about healthcare and the economy, a live event … Read more

Tory rebels threaten to block scrapping of 45p tax rate

But this did little to quell a growing Tory revolt, spearheaded by backers of Rishi Sunak who believe their warnings about the economy have been ignored. On Thursday night Julian Smith, a the former chief whip, became the latest MP to publicly call for the 45p tax rate cut to be shelved, saying the Government … Read more

Benefits hit as Liz Truss tries to stem the mini-Budget bleeding

Ms Truss repeatedly defended last Friday’s announcements during her local media round, telling BBC Radio Norfolk: “This is the right plan that we have set out.”  She pointed to turmoil on financial markets across the world and gave no indication that any element of the mini-Budget would be reversed despite the financial fallout. On Thursday … Read more

Ministers told to make savings as Tory anger over markets chaos grows

Mr Philp’s letter will insist that departments find savings where possible and live within existing budgets. The aim is to reduce the level of government borrowing needed in a bid to calm the markets. Whitehall budgets were already under pressure because of high inflation, but the new instruction from the Treasury will make things worse. … Read more

Liz Truss must hold her nerve as the world tips into a calamitous recession

For the past 25 years, and especially since the financial crisis, the global economy has taken a disastrous wrong turn for which we are about to pay a hideous price. In one of the gravest intellectual errors since communism, many of the world’s cleverest people thought they had discovered the secret to perpetual prosperity. Forget … Read more

There is no sterling crisis, except in the minds of idiots

It seems any stick will do to beat up on the Government’s new fiscal package. Seeing that there is no logic in attacking fiscal solvency, because the Chancellor has explicitly committed himself to it, the mob of critics have fastened on the fall in sterling as the “canary in the coal mine” that denounces the … Read more

Immigration must fall even as Britain pushes for growth, Liz Truss told

Ms Truss’s immigration review will consider whether changes need to be made to the shortage occupations list, which will allow key sectors to recruit more overseas staff. It could also endorse a loosening of the requirement to speak English in some sectors to enable more foreign workers into the country. Downing Street sources said the … Read more

Tories to rebel against Liz Truss if pound falls below the dollar

“This Budget will live or die not on what the electorate think, not on what Opposition politicians think, not even what Conservative politicians think,” they said. “It is the global markets’ response to what looks like very risky behaviour from our Government.” They added: “The Bank of England is being backed into a corner. “If … Read more

Liz Truss plans to cut taxes further in the new year

Those familiar with discussions say the Treasury believes lifting the lifetime allowance on pension pots could encourage doctors, police officers and highly paid nurses to remain in work. Under the current system, savers are forced into paying 55 per cent tax on pension pots valued at more than £1 million, prompting many to retire instead in … Read more

Kwasi Kwarteng announces tax cuts worth £45bn

Simon Clarke, the Levelling Up Secretary, is on the morning media round for the Government as he sets the scene ahead of Kwasi Kwarteng’s “mini-Budget”.  Mr Clarke was told during an interview on Sky News that the Institute for Fiscal Studies think tank had described Liz Truss’s strategy for achieving economic growth as “a gamble … Read more