{"id":419,"date":"2022-10-14T16:32:00","date_gmt":"2022-10-14T15:32:00","guid":{"rendered":"https:\/\/centreforjournalismprojects.co.uk\/kentbuzz\/?p=419"},"modified":"2022-10-14T16:51:12","modified_gmt":"2022-10-14T15:51:12","slug":"chancellor-kwasi-kwarteng-sacked-and-replaced-with-jeremy-hunt","status":"publish","type":"post","link":"https:\/\/centreforjournalismprojects.co.uk\/kentbuzz\/2022\/10\/14\/chancellor-kwasi-kwarteng-sacked-and-replaced-with-jeremy-hunt\/","title":{"rendered":"Liz Truss: Prime Minister’s new Tax U-turn and new Chancellor"},"content":{"rendered":"\n
Liz Truss confirmed corporation tax was to rise in a new U-turn decision, resembling the original plan of the previous government.<\/p>\n\n\n\n
When questioned about her strength in the leadership position, the Prime Minister said: \u201cI’m absolutely determined to see through what I have promised.<\/p>\n\n\n\n
\u201cWhat i have done today is made sure we have economic stability in this country.<\/p>\n\n\n\n
\u201cWe need to have a high growth economy, but we need to recognise we are facing difficult issues as a country\u201d.<\/p>\n\n\n\nPrime Minister Liz Truss vowed to see through her low-tax agenda as she announced a major U-turn after sacking Kwasi Kwarteng as Chancellor. (PA Wire\/PA Images)<\/figcaption><\/figure>\n\n\n\n
The Prime Minister spoke only briefly on her dramatic U-turn decision, whilst also only answering four questions before leaving her podium.<\/p>\n\n\n\n
Earlier that afternoon Kwasi Kwarteng was dismissed from his role as chancellor making him the second shortest-serving UK chancellor on record. This comes after the backlash from the public due to the mini budget.<\/p>\n\n\n\n
The Prime Minister paid tribute to her former Chancellor in a letter, thanking him for his \u201chuge friendship and support\u201d.<\/p>\n\n\n\n
She wrote: “I deeply respect the decision you have taken today. You have put the national interest first.”<\/p>\n\n\n\n
She adds: “We share the same vision for our country and the same firm conviction to go for growth.<\/p>\n\n\n\n
“I know that you will continue to support the mission that we share to deliver a low tax, high wage, high growth economy.”<\/p>\n\n\n\n
Kwarteng promised during last month’s mini-budget to keep corporation tax at 19% instead of increasing it to 25% causing chaos to the financial market. Pressure from the public was mounting on Prime Minister Liz Truss.<\/p>\n\n\n\n
Kwarteng\u2019s apparent lack of strong conviction in decision making, alongside PM Liz Truss, has caused an overwhelming lack of faith in the Government and the Conservative Party.<\/p>\n\n\n\n
Truss and Kwarteng, who have been close friends for years, insisted that the turbulence in their leadership and handling of the UK economy was part of a global problem aggravated by the war in Ukraine and post-pandemic recovery.<\/p>\n\n\n\n
Kwarteng was travelling back to the UK from his trip to the International Monetary Fund in Washington and was sacked two hours before he arrived in London.<\/p>\n\n\n\nKwasi<\/em>\u00a0Kwarteng<\/em>\u00a0said he has accepted Prime Minister Liz Truss’ request he “stand aside” as Chancellor. <\/figcaption><\/figure>\n\n\n\n
In a letter, posted to Twitter, Mr Kwarteng said: \u201cYou have asked me to stand aside as your Chancellor. I have accepted\u201d<\/p>\n\n\n\n
\u201cWhen you asked me to serve as your Chancellor, I did so in full knowledge that the situation we faced was incredibly difficult.\u201d<\/p>\n\n\n\n
The Conservatives have quickly scrambled to appoint Jeremy Hunt as their new Chancellor.<\/p>\n\n\n\n
The former foreign minister is a huge name in the Conservative Party, having crucially put himself forward in the contest for leadership this summer, but after not gaining enough support became a backer of Rishi Sunak for leader instead of Liz Truss.<\/p>\n\n\n\n
“Jeremy Hunt is someone who shares my desire for low tax and high growth.”<\/p>Prime Minister Liz Truss<\/cite><\/blockquote>\n\n\n\n
Though Kwarteng being sacked as Chancellor is not an unforeseen event, it is noteworthy that this announcement makes Hunt the fourth Chancellor this year.<\/p>\n\n\n\n
In July, Hunt told Sky News cutting corporation tax was “not sexy, but necessary” as he backed plans to reverse the planned rises.<\/p>\n\n\n\n
“I’m someone who doesn’t just think that we stop the corporation tax rises, I think we should cut them so that they’re the lowest in Europe and North America,” Hunt said.<\/p>\n\n\n\nJeremy Hunt arrives at his home in London after he was appointed Chancellor of the Exchequer following the resignation of Kwasi Kwarteng (PA Wire\/PA Images)<\/figcaption><\/figure>\n\n\n\n
Chris Philp is also no longer Chief Secretary to the Treasury after Whitehall sources claim he was rung by the prime minister and asked to move to the Cabinet Office and appointed a junior minister and paymaster general, which he agreed to.<\/p>\n\n\n\n
The Government are acting with their second major u-turn in just three weeks after plans were scrapped for the 45% top rate of income tax promised which was announced in the previous mini budget on September 23.<\/p>\n\n\n\n
Rachel Reeves, Labours\u2019 shadow councillor said: \u201cA humiliating U-turn is necessary – but the real damage has already been done to millions of ordinary people now paying much higher mortgages and struggling to make ends meet.”<\/p>\n","protected":false},"excerpt":{"rendered":"
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