As expected, Liz Truss and her ministers have turned up in a flinty, fighty mood, determined not to back down on her mini-maxi budget.
The prime minister delivered her Thatcher-tribute no-surrender turn on the 45p top rate of tax, pointing to global factors for domestic interest rate rises which are raising mortgages and business costs for millions.
Conservative Party Chairman Jake Berry went further, suggesting markets can overreact. The only contrition so far has been an acknowledgement that the communications around the growth plan weren’t up to scratch. So far so expected.
But a number of unexpected things have already happened today.
Liz Truss stands by mini-budget – Politics latest
First is the public scale of the opposition the PM is already experiencing.
Michael Gove, the talismanic Tory love-hate figure, crowned himself leader of the internal opposition on TV this morning, and suggested he’d vote against the 45p top rate when it comes to Parliament probably in March.
Conservative Party chairman tells MPs they will lose whip if they vote against Kwarteng’s tax-cutting mini-budget
Kwasi Kwarteng faces calls for inquiry after attending champagne party with hedge fund managers hours after delivering mini-budget
Liz Truss sticks by plan but admits mistakes – and says top-rate tax cut was chancellor’s idea
Mel Stride, chair of the Treasury Select Committee, wants to bring forward the Office for Budget Responsibility forecasts. Others are planning to speak publicly.
Secondly is the huge disquiet from dozens of Tories not in Birmingham who are contemplating how to stop – in their view – Truss wrecking the reputation for financial probity of the Conservative party.
One Tory MP even suggested they would contemplate voting for a general election soon arguing it could be in the national interest, even if that meant expulsion from the party and being ostracised everyone who they have worked with in the last decade.
Thirdly, confusingly, Liz Truss has knocked her relationship with her Chancellor Kwasi Kwarteng.
Read more:
Truss sticks by plan but admits mistakes, and says top-rate tax cut was chancellor’s idea
Kwarteng faces calls for inquiry after attending champagne party with hedge fund managers
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She appeared to blame him for the 45p tax row, saying it was his decision as she admitted it wasn’t put to cabinet.
This prompted even Truss loyalist Nadine Dorries to raise an eyebrow, saying “there is a balance and throwing your Chancellor under a bus on the first day of conference really isn’t it. Fingers crossed things improve and settle down from now.”
Last week, Sky News outlined how Truss needed convincing by Kwarteng to acknowledge the Bank of England’s concerns.
This creates a toxic impression the two are not getting along.
This isn’t a straightforward start to Liz Truss’s first conference.
