London Daily

Focus on the big picture.
Saturday, Feb 07, 2026

British PM Truss vows to carry on as her party support dwindles

British PM Truss vows to carry on as her party support dwindles

British Prime Minister Liz Truss warned of tough times ahead after she scrapped her vast tax-cutting plan and said she would carry on to try to put the economy on a stronger footing, defying calls for her resignation.

After weeks of blaming "global headwinds" for investors dumping the pound and government bonds, Truss on Monday said she was sorry for going "too far and too fast" with her radical economic plan to snap Britain out of years of tepid growth.

It was not clear whether the apology would quell a growing rebellion in her Conservative Party, with a handful of lawmakers urging Truss to quit just six weeks after she became prime minister.

Truss has said she will fight on and told her top ministers she wanted to level with the public that there were tough times ahead.

A new YouGov opinion poll showed that even among Conservative Party members who backed her for prime minister, more than half of those polled said she should resign. A third wanted her predecessor, Boris Johnson, to return.

Markets, which plunged after Truss's Sept. 23 "mini-budget", are still under strain even after her finance minister Jeremy Hunt tore up her plans on Monday.

"I do want to accept responsibility and say sorry for the mistakes that have been made," Truss told the BBC late on Monday.

"I wanted to act to help people with their energy bills, to deal with the issue of high taxes, but we went too far and too fast." Truss said she was "sticking around" and that she would lead the Conservatives into the next election due in about two years time, although the statement was accompanied by a laugh.

Earlier on Monday, Truss watched silently in parliament as Hunt ripped up the plan she proposed less than a month ago, and which triggered a bond market rout so deep that the Bank of England had to act to prevent pension funds from collapsing.

'HONEST'


For some in the party, the sight of a prime minister humbled in parliament provided little confidence she could fight on.

James Heappey, a minister for the armed forces, said Truss, his boss, could not afford to make any more mistakes.

Truss spoke to her Brexit-supporting lawmakers on Tuesday, promising to resolve the contentious rules that govern trade with Northern Ireland and said she was still a low-tax conservative who would pursue such goals more slowly. One of those present said she was received warmly in contrast to more hostile receptions from other wings of the party.

Members of parliament have been urged by government to hold off from any move to oust her before it presents its medium-term fiscal plan on Oct. 31.

Truss was elected by Conservative party members, not the broader electorate, on a promise to slash taxes and regulation to fire up the economy in a policy dubbed by critics as a return to 1980s Thatcherite-style "trickle-down" economics.

But markets reacted so dramatically that borrowing costs surged, lenders pulled mortgage offers and pension funds fell into a tailspin.

Ryanair (RYA.I) boss Michael O'Leary described Britain's economic situation as a "car crash" which he blamed on the country's decision to vote to leave the European Union in 2016.

SPENDING SQUEEZE


With Britain's economic reputation shattered, Hunt may now have to go further in finding public spending cuts than the government would have done had Truss not unleashed her economic plan at a time of surging inflation.

Truss's spokesperson said the government could not yet make commitments in individual policy areas, despite previous pledges, but it was focused on protecting the most vulnerable. He said Truss stood by her pledge to increase defence spending by 2030.

Torsten Bell, the head of the Resolution Foundation, a think tank, said the government may need to cut public spending by around 30 billion pounds ($34 billion) - a politically very difficult task after successive Conservative governments cut departmental budgets over the last 10 years.

One area of spending already to go is Truss's vast two-year energy support package that was expected to cost well over 100 billion pounds, which Hunt said would now last until April before it is reviewed.

($1 = 0.8807 pounds)

Newsletter

Related Articles

0:00
0:00
Close
UK Confirms Imminent Increase in ETA Fee to £20 as Entry Rules Tighten
UK Signals Possible Seizure of Russia-Linked ‘Shadow Fleet’ Tanker in Escalation of Sanctions Enforcement
Epstein Scandal Piles Unprecedented Pressure on UK Prime Minister Keir Starmer’s Leadership
UK’s ‘Most Romantic Village’ Celebrates Valentine’s Day and Explores the Festival’s Rich History
The Implications of Expanding Voting Rights to Non-EU Foreign Residents in France
Ghislaine Maxwell to Testify Before US Congress on February 9
Al.com Acquired by Crypto.com Founder for $70 Million
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
US and Iran to Begin Nuclear Talks in Oman
Winklevoss-Led Gemini to Slash a Quarter of Jobs and Exit European and Australian Markets
Canada Opens First Consulate in Greenland Amid Rising Geopolitical Tensions
China unveils plans for a 'Death Star' capable of launching missile strikes from space
NASA allows astronauts to take smartphones on upcoming missions to capture special moments.
Trump administration to launch TrumpRx.gov for direct drug purchases
Investigation Launched at Winter Olympics Over Ski Jumpers Injecting Hyaluronic Acid
U.S. State Department Issues Urgent Travel Warning for Citizens to Leave Iran Immediately
Wall Street Erases All Gains of 2026; Bitcoin Plummets 14% to $63,000
Epstein Case Documents Reignite Global Scrutiny of Political and Business Elites
Eighty-one-year-old man in the United States fatally shoots Uber driver after scam threat
UK Royal Family Faces Intensifying Strain as Epstein-Linked Revelations Rock the Institution
Political Censorship: French Prosecutors Raid Musk’s X Offices in Paris
AI Invented “Hot Springs” — Tourists Arrived and Were Shocked
Tech Mega-Donors Power Trump-Aligned Fundraising Surge to $429 Million Ahead of 2026 Midterms
UK Pharma Watchdog Rules Sanofi Breached Industry Code With RSV Vaccine Claims Against Pfizer
Melania Documentary Opens Modestly in UK with Mixed Global Box Office Performance
Starmer Arrives in Shanghai to Promote British Trade and Investment
Harry Styles, Anthony Joshua and Premier League Stars Among UK’s Top Taxpayers
New Epstein Files Include Images of Former Prince Andrew Kneeling Over Unidentified Woman
Starmer Urges Former Prince Andrew to Testify Before US Congress About Epstein Ties
Starmer Extends Invitation to Japan’s Prime Minister After Strategic Tokyo Talks
Skupski and Harrison Clinch Australian Open Men’s Doubles Title in Melbourne
DOJ Unveils Millions of Epstein Files, Fueling Global Scrutiny of Elite Networks
France Begins Phasing Out Zoom and Microsoft Teams to Advance Digital Sovereignty
China Lifts Sanctions on British MPs and Peers After Starmer Xi Talks in Beijing
Trump Nominates Kevin Warsh as Fed Chair to Reorient U.S. Monetary Policy Toward Pro-Growth Interest Rates
AstraZeneca Announces £11bn China Investment After Scaling Back UK Expansion Plans
Starmer and Xi Forge Warming UK-China Ties in Beijing Amid Strategic Reset
Tech Market Shifts and AI Investment Surge Drive Global Innovation and Layoffs
Markets Jolt as AI Spending, US Policy Shifts, and Global Security Moves Drive New Volatility
U.S. Signals Potential Decertification of Canadian Aircraft as Bilateral Tensions Escalate
Former South Korean First Lady Kim Keon Hee Sentenced to 20 Months for Bribery
Tesla Ends Model S and X Production and Sends $2 Billion to xAI as 2025 Revenue Declines
China Executes 11 Members of the Ming Clan in Cross-Border Scam Case Linked to Myanmar’s Lawkai
Trump Administration Officials Held Talks With Group Advocating Alberta’s Independence
Starmer Signals UK Push for a More ‘Sophisticated’ Relationship With China in Talks With Xi
Shopping Chatbots Move From Advice to Checkout as Walmart Pushes Faster Than Amazon
Starmer Seeks Economic Gains From China Visit While Navigating US Diplomatic Sensitivities
Starmer Says China Visit Will Deliver Economic Benefits as He Prepares to Meet Xi Jinping
×