London Daily

Focus on the big picture.
Saturday, Jul 11, 2026

Coming crisis could soon undo any Tory truce on Trussonomics

Coming crisis could soon undo any Tory truce on Trussonomics

Analysis: there are deep divisions among the party’s MPs about the leadership frontrunner’s spending promises
Liz Truss as prime minister will have to appeal to three very different constituencies. The first is Conservative members, a target audience that has been enthused by talk of tax cuts for both individuals and businesses, as well as cuts to Whitehall waste and a war against “woke”.

When she turns to face the wider electorate, that message will need to change considerably but – in between now and then – there is another constituency that will be crucial: agitated and sceptical Conservative MPs.

If she wins, Truss will enter Downing Street with support from fewer MPs than her rival Rishi Sunak, though she has racked up high-profile endorsements from ambitious ministers since it became clear she was the frontrunner.

There are deep divisions among Tory MPs about “Trussonomics”, the plans to spend billions more, risk inflationary tax cuts, and cancel the rise in national insurance that had been earmarked to tackle the NHS backlog and ultimately go towards fixing social care.

Few Tory MPs are against the principle of tax cuts; Boris Johnson was lobbied hard to reduce taxes, which are at their highest in 70 years. Ultimately that was the reason cited for Sunak’s split with the prime minister.

But there is also an influential wing of the party, including some of its newer MPs and those in marginal constituencies, that will find it hard to stomach a prime minister who has announced plans to cancel corporation tax rises but will not commit to direct help with people’s fuel bills when they rise again by almost £1,400.

Those MPs in red wall seats such as Jacob Young and Ric Holden, as well as longer-serving MPs such as Rob Halfon who is one of the party’s best at articulating on behalf of working-class voters, are likely to be concerned in the autumn if Truss is not prepared to intervene to help the most vulnerable in particular, whether via universal credit or further council tax deductions.

There are also those in the One Nation wing of the party likely to be disconcerted by the spending promises on tax cuts when all the Treasury’s fiscal headroom may be wiped out. Those MPs are particularly concerned that Labour is polling better on the economy than the Conservatives, a surefire signal among the noise that the Tories are putting perhaps their most important asset in a general election at risk.

Truss may well be able to survive party divisions on the issue until next year, particularly as the Conservatives are likely to get a healthy poll bounce, which could spook Labour and give her some breathing space.

But the seriousness of this crisis and its predicted longevity means those fundamental divisions within the party are unlikely to be kept at bay for long. Quiet doubts many in the party have about Truss’s vision and capabilities, which led so few to back her in the early stages of the leadership contest, could then grow louder.
Newsletter

Related Articles

0:00
0:00
Close
The AI Invoice Shock: Layoffs Didn't Save Managers Money — They Cost Them More
Concern: Sexually Transmitted Bacterium Among Men Develops Antibiotic Resistance
Following Massive Investor Demand: SK Hynix Raises 26.5 Billion Dollars on Nasdaq
Passenger Partially Pulled Out of Ryanair Jet After Cabin Window Fails Mid-Flight
After Four Years, and Under a Heavy Veil of Secrecy: King Charles Meets His Grandchildren, Harry and Meghan's Children
Cross-Party MPs Call for National Climate Emergency Broadcast
Bayeux Tapestry Arrives in the United Kingdom for Landmark Exhibition
United Kingdom Launches Modern Slavery Prevention Programme in Vietnam
Police Warn Against Misinformation Following Disorder in Glasgow
Pension Reform Takes Effect to Consolidate Workplace Savings Industry
Treasury and Bank of England Monitor Economy as Energy Price Pressures Ease
Government Orders Treasury Reform of Disciplinary Procedures Following Civil Servant's Death
Ofcom to Require Major Technology Platforms to Block Scam Advertisements
Labour Apologizes Over Gaza Position in Bid to Rebuild Support
High Court Rules UK-France Asylum Agreement Protection Cuts Were Unlawful
Metropolitan Police Open Murder Investigation Into Death of Former MP Ann Widdecombe
University College London Report Proposes Replacing Council Tax and Stamp Duty With National Property Tax
Treasury Places Amazon, Google, Microsoft and Oracle Under New UK Financial System Oversight Rules
Severe Heatwave Drives Dangerous Ground-Level Ozone Pollution Across Two Thirds of European Union
Westminster in Freefall as Farage's By-Election Gamble Triggers Broader Systemic Crises
Institutional Fractures and Political Volatility Reshape Britain's Domestic Landscape
Deadly Fire, Health Emergencies and Political Upheaval Shape a Volatile Global News Cycle
UK Energy Strategy Focuses on Storage and Offshore Wind to Support Renewable Transition
Regional Governments Gain Greater Role in Britain’s Infrastructure and Economic Strategy
Britain Strengthens Technology Sovereignty Through Tougher Artificial Intelligence Competition Rules
UK Government Expands Artificial Intelligence Use Across Public Services Despite Privacy Debate
UK Universities Warn of Financial Pressure After Sharp Fall in International Student Enrolment
Welsh Government Completes Rail Nationalisation With One Point Five Billion Pound Modernisation Plan
Northern Ireland Records Export Growth as Companies Benefit From Dual UK and EU Market Access
Greater Manchester Launches Two Billion Pound Plan to Convert Empty Commercial Sites Into Housing
National Grid Connects Europe’s Largest Battery Storage Facility in Yorkshire
UK Defence Ministry Plans Royal Navy Autonomous Fleet Deployment to Indo-Pacific
Scotland Approves Europe’s Largest Floating Offshore Wind Project Near Aberdeen
Competition and Markets Authority Blocks Forty Billion Pound Technology Deal Over AI Security Concerns
UK Launches Five Hundred Million Pound Artificial Intelligence Network for National Health Service Diagnostics
Bank of England Signals Possible Interest Rate Cuts After Inflation Falls Below Target
UK Government Unveils Major Wealth Tax Reform to Fund National Health Service Infrastructure Expansion
Flight Instructor Jumped to His Death — Student Landed the Plane: "You Know What You Need to Do"
The Physical and Electronic Barriers Disrupting Domestic Wireless Networks
France and Morocco Open World Cup Quarter-Finals as Collina Defends Refereeing
Prince Harry Suffers Major Court Defeat in Legal Battle Against Daily Mail Publisher
Bonnie Tyler, Welsh Singer Behind Total Eclipse of the Heart, Dies at 75
Barclays and PwC Report Examines Economic Opportunities from Financial Asset Tokenisation
Pound Sterling Strengthens as Investors Anticipate Further Bank of England Rate Increases
British Business Bank Invests Twenty-Seven Million Pounds in Kraken Technology Defence Expansion
UK Business Secretary Peter Kyle Backs State Investment Strategy Inspired by US Approach
UK Electricity System Issues Margin Notice as Heatwave Tightens Evening Supply Outlook
Labour Leadership Contest Opens as Andy Burnham Emerges as Expected Sole Candidate
Tech Pulse: The Future of AI and Screen Culture
Global News Briefing: Escalating Geopolitical Tensions and Corporate Shakeups
×