Q: Do we have an obligation to apologize to the members of Congress who were threatened with the possible removal of the stick if they refused to vote to repeal the 45% top tax rate?
quarteng This is not just an issue for members of parliament. The government is also listening to the voice of the people.
Q: Can I apologize to them too?
quarteng no apologies But he said the government is not pushing forward with the move. And he continues:
There is humility and repentance in it, and I am happy to own it.
that’s all. Today’s interview is finished.
In general, it is the opposition that argues that a general election should have been held after Liz Truss took over as prime minister instead of Boris Johnson.However Nadine Dries, a former cultural secretary, even came to the point of demanding one. Dries believes Johnson should have stayed in office and is unhappy that some of his decisions as Secretary of Culture are being reviewed.
Truss claims to be doing what people voted for in 2019.
Kwasi Kwarteng’s decision to cut income taxes for the wealthiest and subsequent U-turns was downplayed by senior Tories. Ben Hochenhe also called for the cap on bankers’ bonuses to be reinstated.
The mayor of Tees Valley said at a special event that the prime minister was “naive” and that abolishing the top tax rate would bring in more revenue for the treasury but would not be well received by voters.
“Regardless of the economic situation, it’s a little naive,” Houchen said. He argued that the controversy overshadowing the Conservative conference was “very avoidable”.
We’ve already countered that the damage has been done, but there are all downsides to announcing that policy without actually enforcing it.
He said that despite the U-turn, the first announcement would shape the public’s first impression of the new government, adding that it would be a “pretty difficult” few weeks.
Houchen also urged Kwarteng to perform a second U-turn. Asked whether the cap on bankers’ bonuses should be abolished, he said:
yes, I will. It’s simply unnecessary, doesn’t raise much money, and doesn’t save much money.
The economic debate is natural, but it is premature now and is in the wrong position given where most of the country is now. So, the clear answer: yes, we will.
Mark LittlewoodThe head of the Institute of Economic Affairs think tank (which called for abolishing the top rate of 45% on income taxes before the mini-budget — see 10:28 a.m.) said on Today’s show this morning that the tax U-turn said it will make it happen.It will be difficult for people to trust the government to stick to its decisions in the future. He said:
In principle, I wanted to get rid of this tax rate, but I think this is a complexity of tax law and effectively no money is generated.
We could have even raised more money by scrapping it.
However, this became a political controversy. They decided this wasn’t the hill they were going to die in. It would cost them around £2 billion in taxes.
And they hope this will calm the market.
Of course, the next time Kwasi Kwarten makes an announcement that Grant Shaps and Michael Gove don’t like, the question will be whether the announcement will last.
Paul JohnsonThe head of the Institute for Fiscal Research, a think tank, released a longer statement in response to the tax U-turn, substantiating points he had previously made on Twitter. (See 11:11 am.) He said:
The direct impact of a government U-turn on eliminating the additional 45 pence income tax rate would be of limited fiscal significance. At medium-term costs of around £2 billion a year, it was only a small part of the Prime Minister’s mini-budget announcement. His £45bn tax relief package is now his £43bn package. This is a rounding error in the financial context.
Much work remains to be done for the Prime Minister to demonstrate a credible commitment to fiscal sustainability. Unless he makes a U-turn on some of the other bigger tax announcements, we have no choice but to consider cutting public spending such as social security, investment projects or public services. – indicated that the cash expenditure plan of the sector, which runs until 2025, will remain unchanged. [see 8.28am], which would effectively cut their generosity in the face of rising inflation. This will squeeze public services, but it won’t be enough to fill the fiscal hole the prime minister has created for himself.
Downing Street said Liz Truss trusted Prime Minister Kwasi Kwarten. Asked at a lobby briefing in London whether Truss trusted him, a spokesperson for the prime minister told reporters: “Yes.”
yesterday Liz Truss We conducted a series of interviews with local ITV stations. They were recorded for tonight’s broadcast, but the 45-pence tax U-turn means some of the material is now very outdated, like this clip. Emma Hutchinson Reveal on ITV Anglia.
The government’s 45p tax U-turn has overshadowed today’s attempt by Scottish leader Tory. Douglas Ross To promote the Scottish Conservative Party as a ‘real alternative to the SNP’.
Ross, whose leadership has been questioned and who recently defended the abolition of the 45p tax rate, said at a fringe event at the Tory convention in Birmingham:
This morning, the Prime Minister confirmed the budget changes presented 10 days ago. i think he made the right decision. The best parts of the government’s growth plan remain and the areas of greatest concern are gone.
Politicians must listen and respond – and that’s exactly what the prime minister has done
Asked about allegations that his leadership is now under threat, Ross said, “We continue to work to hold the SNP accountable.” He continued:
I read the story, and if I make it to Hogmanay and I’m still the leader, obviously I’ve exceeded the expectations of the Scottish media.
yesterday Michael Govethe former level-up secretary refused to commit to voting for a mini-budget. He said it would be wrong to proceed with tax cuts for a lack of funds of this magnitude.
Today, he told Times Radio that he is willing to vote on the mini-budget.
When asked if he would vote for the tax measure, he said:
Yeah, based on all I know, I think so…
there were a lot of good things [in the mini-budget] And some potentially interesting stuff… The debate over the 45p tax increase has overshadowed it. Last time I checked, I’ll check with the Chief of Staff later – so I’d like to upvote. Where I can enthusiastically root for, based on everything I’ve heard.
But Gove also said it would take “a lot of persuasion” to approve not raising benefits to match inflation.
I don’t want to prejudge the arguments that have been put before me before they have been made, because in a crisis you may have to do things and adopt policies that would otherwise be very unattractive .But my basic position, my starting point, yes Boris was right [to promise to uprate benefits in line with inflation for the 2023-24 financial year].
At the blue and red wall fringe event, Damien Green He said fracking would not happen in the UK.
Noting that the government said the proposal would only be considered by communities that support it, Green continued:
The chances of the local community agreeing to fracking are near zero. it won’t happen. It’s the wrong solution to the energy crisis.