Liz Truss and Kwasi Kwarteng “libertarian anarchists”, says RMT’s Mick Lynch
Liz Truss admitted she should have “laid the ground” better on the government’s mini-budget which caused major market turmoil.
He told the BBC’s Sunday with Laura Kuenssberg: “I’m afraid there is a problem that interest rates are going up all over the world and we have to deal with that.”
“But I want to tell people that I understand their concerns about what happened this week.”
He added that it is “on the side of the pack” as well as how quickly it was announced, saying “we had to act”.
Acknowledging his mistakes, he said: “But I accept that we should have prepared the ground better… I’ve learned from it and I’ll make sure we do a better job of preparing the ground in the future.”
The Prime Minister also refused to commit to increasing welfare benefits in line with inflation, but said she was “absolutely committed” to going ahead with scrapping the top rate of income tax for those rich
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Truss blames Kwarteng for the 45p top tax rate
Liz Truss pointed the blame at her chancellor Kwasi Kwarteng when asked about the 45p top tax rate, saying it was a “decision the chancellor made”.
Pippa Crerar, the Guardian’s political editor, later commented that the awkward shifting of blame to Mr Kwarteng raised questions about the relationship between the prime minister and the chancellor.
Maryam Zakir-Hussain October 2, 2022 10:15 am
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Labour’s shadow chancellor says PM doesn’t understand ‘anxiety and fear’ people are suffering
Shadow chancellor Rachel Reeves has said the Prime Minister failed to understand the “anxiety and fear” felt by people facing big rises in their mortgage payments as a result of the mini-budget of the government
Ms Reeves rejected claims the growth plan would deliver the 2.5% annual trend rate of growth that Chancellor Kwasi Kwarteng is aiming for.
“The Prime Minister doesn’t seem to understand anxiety and fear. This is a Downing Street-made crisis, but it’s ordinary working people who are paying the price,” he told the BBC’s Sunday With Laura Kuenssberg programme.
“The idea that the trickle down economy will somehow deliver the 2.5% growth we all want to see is for the birds.
“The prime minister and the chancellor are doing some kind of crazy experiment with the UK economy and they are trickling the economy down. It has failed before and it will fail again.”
Maryam Zakir-Hussain October 2, 2022 09:55
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Truss must ‘correct’ mini-budget mistakes, says Michael Gove
Former cabinet minister Michael Gove told the BBC on Sunday that Mrs Truss must “fix” the mistakes made in the mini-budget, saying the public is desperate for “confidence” in the government.
Mr Gove said he was “deeply” concerned about the huge amount of borrowing to pay for the tax cuts, arguing he was “not a Conservative”. He also said the abolition of the 45p tax rate was “a sign of the wrong values”.
The former Truss colleague, who did not say whether he is rebelling over the tax cuts in the Commons, added: “A number of mistakes have been made… but there is room and time to address them and correct them.”
(REUTERS)
Maryam Zakir-Hussain October 2, 2022 09:35
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Truss says pensions will rise in line with inflation but refuses to say the same for benefits
Liz Truss said she would ensure pensions rose in line with inflation, but refused to make the same commitment to government department benefits and spending.
Not ruling out real-term departmental cuts, the Prime Minister told BBC One’s Laura Kuenssberg on Sunday: “I’m not going to write future budgets on your show.
“I believe in results rather than inputs, so I believe in what people see and what people feel.”
Not ruling out rehashing Boris Johnson’s promise to increase benefit payments in line with inflation, he said: “That is something that the secretary of the Department for Work and Pensions is looking at at the moment. She will take a determination on that and we will announce it this morning.”
But he was clear that pensions would rise in line with inflation, saying: “I’m committed to the triple lock. Yes.”
Maryam Zakir-Hussain October 2, 2022 09:18
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Liz Truss refuses to commit to increased benefits but keeps tax cuts for the rich
Prime Minister Liz Truss has refused to commit to increasing welfare benefits in line with inflation, but said she is “absolutely committed” to pushing ahead with the abolition of the top rate of income tax for the rich
Keep up with this breaking news here:
Liz Truss refuses to commit to increased benefits but keeps tax cuts for the rich
Prime Minister Liz Truss has refused to commit to increasing welfare benefits in line with inflation, but said she is “absolutely committed” to pushing ahead with the abolition of the top rate of income tax for the rich
Maryam Zakir-Hussain October 2, 2022 9:05 am
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Truss admits he did not check his mini-budget with his entire cabinet
Liz Truss said the removal of the top rate of income tax for the country’s highest earners was a decision made by Kwasi Kwarteng rather than accepted by the wider Cabinet.
Asked if she discussed the controversial move with the whole cabinet, the prime minister told BBC One’s Laura Kuenssberg on Sunday: “No, no, we didn’t. It was a decision the chancellor took.”
Maryam Zakir-Hussain October 2, 2022 9:04 am
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Liz Truss blames miscommunication for market chaos after mini-budget
Liz Truss has blamed poor communication for the market chaos that followed her Chancellor Kwasi Kwarteng’s mini-budget.
But the Prime Minister vowed to stick to his £45bn tax cut plan, insisting he had made “the right decision” to extend the government’s borrowing.
“I understand your concerns about what happened this week, but I stand by the package that we announced and I stand by the fact that we announced it quickly,” he told the BBC’s Laura Kuenssberg on Sunday.
The Prime Minister said: “But I accept that we should have prepared the ground better. I have learned from this and will make sure that we do a better job of preparing the ground in the future.”
Liz Truss blames miscommunication for market chaos after mini-budget
“We should have prepared the ground better,” says the prime minister
Maryam Zakir-Hussain October 2, 2022 08:59
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Truss dodges repeated question about cuts to public spending
Liz Truss has avoided the question posed many times by the BBC’s Laura Kuenssberg about whether she will cut spending on public services.
She deflected the question and said: “I’m going to make sure we get value for money for the taxpayer. I’m going to make sure we have excellent front-line services.
“My approach is to help people get through a very difficult winter.”
Maryam Zakir-Hussain October 2, 2022 08:50
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Truss continues to defend his financial strategy
The Prime Minister continued to defend her tax actions, as she told the BBC: “The alternative was for people to pay up to £6,500 in energy bills.
“We are not living in a perfect world.
“Of course, we need to reduce debt as a proportion of GDP in a long-term plan.
“What would have gone wrong is that we had not acted.
“I have been honest that we should have laid the groundwork better, but we have been living in an extreme set of circumstances here in the UK.”
(PA)
Maryam Zakir-Hussain 2 October 2022 08:48
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Truss says he agrees they “should have prepared the ground better” on a mini-budget
Speaking about interest rates and her mini-budget on the BBC this morning, the Prime Minister said: “We’ve had to act on taxes to make sure the economy doesn’t slow down further, and that’s important
“We’re trying to avoid a serious economic slowdown.
“I want to say to people, I understand their concerns about what happened this week, I’m with the package that we announced, I’m with the fact that we announced it quickly, but I agree that we should have put the best base, and I’ll learn from this.”
Maryam Zakir-Hussain October 2, 2022 08:44