Liz Truss got off to a rocky start as prime minister. Failed economic and tax plans are causing market turmoil. She has a growing resistance within his own party. There were rumors that it might end soon.
According to reviews, Liz Truss has already failed. The barely-in office British prime minister has split his own Conservative Party on its economic plans, thrown financial markets into turmoil and sparked international outrage. “How Not to Run a Country” was a headline in the London business magazine The Economist, which showed Truss and her Chancellor of the Exchequer, Kwasi Kwarten, in a sinking rowboat.
A few days before the Tory meeting, which was actually meant to be the first highlight of her young term, Truss was already well counted. If so, Truss will fight for his political survival,” says political scientist Mark Garnett. Conservatives have lost their reputation for economic strength because of the “bold” economic plan, according to the government’s self-congratulations. Polls confirm it.
Some in London complain that the biggest tax reform announced in 50 years is ‘Trussian roulette’. Because the plan is not counterfinance. The government believes the measures will greatly stimulate the economy and boost government revenues. .
Last Wednesday, the central bank had to step in and announce the purchase of long-maturity government bonds. Its cost is around £65 billion (€72.7 billion). The pound has crashed earlier, and interest rates on long-term UK government bonds have risen significantly.
I knew the first few days would be tough for Truss. High inflation with rapidly rising energy and food costs, a deteriorating healthcare system, the war between Russia and Ukraine – these were just some of the major problems Boris Johnson’s successor faced from day one. . But with her tax announcement, Truss created another problem of her own – while also giving the opposition much cause for ridicule.
“The clown who ran away from the circus”
The new government is a “talentless cabinet”, said Labour’s deputy leader Angela Rayner, and is more likely than ever to win the 2024 election. Instead of continuing, the head of government disappeared for days. “Liz Truss turned out to be the biggest coward ever to be Prime Minister,” columnist Nick Cohen wrote in The Spectator magazine.
When Truss called out again Thursday morning, she couldn’t free herself. He stressed the measures, but they were decided before the tax cuts that threw the financial markets into turmoil. Also, the fact that she claimed her family would pay up to £2,500 a year for electricity and gas is totally false. The interview was a “complete disaster,” tweeted Daily Mail journalist Dan Hodges.
It is becoming increasingly clear to many analysts that the Truss’ growth-on-credit policy is largely ideological. Critics of the plan will be attacked by supporters for being “awakened,” a conservative right slogan. For close friends like former Brexit minister David Frost, this also includes the IMF.
No support in his own faction
But not all conservatives follow this course. Conservative MP Julian Smith put his dismay at the view more succinctly than anyone else. Gap within the party will widen, says expert Garnett. An author who has written several books on the Tories pointed out that Truss was never supported within the party.
The Sunday Times’ Hannah Al-Othman, citing a Tory MP, said Truss would be gone by Christmas. Less than four weeks into his term, the prime minister no longer has many options. “No further discussion,” Hodges of the Daily Mail tweeted. “She either changes her course or gets politically swept away.”