LONDON (HPD) — British Prime Minister Liz Truss is facing a real grilling in the House of Commons from a hostile opposition — and her own furious Conservative Party — calling for her resignation over her failed economic plan. .
Truss is set to attend the weekly Prime Minister’s Questions session two days after new Treasury Secretary Jeremy Hunt ripped apart the government’s tax cut package less than a month ago.
The package of unfunded tax cuts announced on September 23 rattled financial markets, sent the pound plummeting and increased the cost of government borrowing. The Bank of England was forced to intervene to prevent the crisis from spreading and affecting pensions.
Under intense political and economic pressure, Truss fired his ally Kwasi Kwarteng last week and replaced him with veteran Hunt as head of the estate. On Monday, Hunt jettisoned almost all of the tax cuts, energy policy and Truss’s promise not to cut government spending. He said the government needs to save billions of pounds and “many tough decisions” will have to be made before it presents a medium-term fiscal plan on October 31.
Foreign Secretary James Cleverly called on the Conservatives to give Truss another chance, because “mistakes happen.”
“What you have to do is recognize them when they happen and proceed with humility to make changes when you see that things are not going well,” he said.
According to official figures released on Wednesday, inflation rose to 10.1% in September, as it did in July, and food prices went through the roof. While inflation is high around the world — fueled by Russia’s invasion of Ukraine and how it has hit energy supplies — polls show most Britons attribute their economic woes to the government’s plan.
Opinion polls show that the Labor Party has a large and growing lead, and many Conservatives are convinced that the only way to avoid an electoral disaster is to replace Truss. But she insists she won’t resign, and lawmakers are divided on how to get rid of her.