Liz Truss grilled on mortgage prices and borrowing
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Liz Truss has been warned that she could be “gone by Christmas” unless she can turn around the financial crisis caused by last week’s so-called “mini Budget.” A leading Tory donor, who until recently was backing Tory MPs in marginal seats as new exclusive polling for Express.co.uk reveals that the public has turned against Ms Truss’ tax-cutting policy.
According to the findings from Techne UK, 50 percent think the government cut taxes too much while just eight percent thought it was too little and 16 percent thought the mini Budget got the balance right.
In another damning finding, 55 percent thought Ms Truss was not on the side of working people despite reversing the National Insurance rise on their pay and lowering the basic rate to 19p.
It comes after a week where she and her ministers were accused of producing a budget for the rich removing the top rate of 45p for those earning £150,000 or more and ending the cap on bankers’ bonuses.
The poll of 1,629 voters on 28 and 29 September also revealed that Labour now has a poll lead of 20 points in a week where the pond crashed.
In a mini Budget made to get the benefits of Brexit even 51 percent of Leave voters and 30 percent of Tory supporters thought it had cut taxes too much.
Speaking to Express.co.uk the donor said: “This may be the shortest termed Premiership in history unless Liz Truss can turn it around.”
The party donor was clear that he believed Ms Truss and her Chancellor had “done the right thing” in slashing taxes.
“Something new needed to be attempted, we could not keep going on as before.
“There were only three basic options – cut taxes, raise taxes or stay the same. They were right to cut taxes but did it in a bad way.”
The donor added: “It’s basic management to not spook the markets, a child could have told them that.
“It would have been much better to have made the changes slowly or trailed them properly before.”
The intervention adds to the Prime Minister’s woes amid reports that she and Chancellor Kwasi Kwarteng are to hold an almost unprecedented emergency meeting with the independent Office of Budgetary Responsibility (OBR).
It is a sign that the Conservatives could be losing financial backing even from those who were pushing for tax cuts.
Ms Truss has come under pressure from her US allies with Commerce Secretary Gina Raimondo publicly attacking her policy.
But a much bigger problem appears to be a collapse in public confidence with a Techne UK tracker poll for Express.co.uk giving Labour an enormous 20 point lead over the Tories.
The picture is even worse in the Yougov poll which gives Labour a 33 point lead which if replicated in a general election would leave the Conservatives with just three seats.
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Tory MPs who supported Ms Truss’ rival Rishi Sunak are already circling her and criticising the growth strategy mini Budget which saw £105 billion worth of tax cuts combined with a £155 billion energy bill rescue package largely funded by borrowing.
But Ms Truss and her Chancellor have refused to back down on their economic strategy which is aimed at producing at least 2.5 percent of annual growth and avoiding a recession.
She said: “”I understand that families are struggling with their fuel bills, and we had to take urgent action to get our economy growing, get Britain moving, and also deal with inflation.
“And of course, that means taking controversial and difficult decisions. But I’m prepared to do that as prime minister, because what’s important to me is that we get our economy moving.”
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