London Daily

Focus on the big picture.
Sunday, Aug 23, 2026

Rishi Sunak’s Tory popularity slips as he fights Boris Johnson’s urge to splurge

Rishi Sunak’s Tory popularity slips as he fights Boris Johnson’s urge to splurge

Chancellor said to be keeping wary eye on inflation amid pressure from PM and Tory colleagues to spend
With less than a fortnight to go before Rishi Sunak’s budget, the message from the Treasury is, “don’t expect fireworks”. There have been pyrotechnics aplenty offstage, however, as the chancellor tries to hold the line against big-spending colleagues – not least the prime minister himself.

After a spat with Kwasi Kwarteng burst into the open last weekend over backing for businesses hit by the energy crisis, with a Treasury source effectively accusing the business secretary of lying, Boris Johnson weighed in on Kwarteng’s side from his Marbella bolthole.

While this was an unusually public row – and remains unresolved, with Treasury officials still casting a sceptical eye over bailout plans – senior Tories say it reflects continuing tension between Sunak and Johnson.

While Johnson tends to look to solve short-term political problems by splashing the cash, colleagues say Sunak sees himself as the guardian of the public purse – and has become increasingly concerned about the risks of inflation.

“Boris is fundamentally totally a political animal – that’s just what he is. Rishi is very diligent, incredibly hard-working, and he takes his role very, very seriously; and he looks at the current conditions, and he knows there are going to be difficult choices to make,” said one senior Conservative who knows both men well.

“There’s a frustration from him [Sunak] and more broadly in the Treasury that the rest of the cabinet have more of a ‘just keep spending and borrowing’ attitude, and he knows that is not sustainable.”

Colleagues say the two men get on well – one described their relationship as a “tag team”. But there are two overlapping factors driving tensions between them: different economic priorities and a different political endgame.

While Johnson repeatedly highlighted his desire to create a “high-wage, high-skill economy” at the Conservatives’ conference, Sunak has pointed to the risks of inflation if wage rises run ahead of productivity as the economy recovers.

Allies are clear that he sees higher wages as the outcome of decisions to invest more in skills and technology, not a quick fix. “I think what the prime minister was doing was stating an ambition and a vision – and sometimes in order to get the vision across it has to be very simple,” said one.

And while Sunak willingly signed off on unprecedented spending during the pandemic, including the extraordinary furlough scheme, which saw the state paying millions of workers’ wages, he has made clear he now wants the government to restore financial discipline.

He is a fiscal conservative not just because that is the chancellor’s role and his own political gut instinct, but also because that is what the Conservative party base wants to see and hear.

Few at Westminster doubt that the multimillionaire former hedge fund manager came into politics with the hope of being prime minister.

His personal brand is carefully burnished by a special adviser, Cass Horowitz, who helps with his slick social media output, including a recent video with a dramatic orchestral soundtrack hailing the success of the furlough scheme.

Yet Sunak’s popularity among the Tory grassroots has recently been eclipsed by that of the new foreign secretary, Liz Truss, whom some believe Johnson deliberately promoted as a rival.

The chancellor slipped from second place to fifth in the latest monthly poll by the website ConservativeHome of Conservative members – who will ultimately decide who succeeds Johnson.

That still put him a full 21 places ahead of the prime minister, but the slide could reflect Sunak’s role in signing off the increase in national insurance contributions announced last month.

Certainly he felt the need to stress at the party’s conference, among grumbles from members and MPs, that he still believed in low taxes – but not before insisting the public finances must be put on a sustainable footing.

The backbencher Steve Baker complained at the time the government was, “grinding miserably forward, doing Ed Miliband’s Labour policies. We’re hating every minute and trying to claim it’s Conservatism.”

At September’s Downing Street press conference to announce the historic national insurance contributions rise, Sunak’s body language was markedly less comfortable than that of Johnson and the health secretary, Sajid Javid.

Allies later confirmed that he would have preferred not to be increasing taxes at all but as Johnson’s chancellor, was yoked to the prime minister’s personal promise of “fixing” social care.

On other recent spending decisions, including overseas aid cuts and the £20-a-week reduction in universal credit, Sunak has asserted himself, in the face of profound concerns among colleagues at the consequences of his tough approach.

But he was evidently irked by Kwarteng’s plea for more cash for crisis-struck firms, and government insiders say he is also resisting a fresh splurge on preparing the UK for the transition to net zero, before the Cop26 summit.

Some are beginning to wonder how many times Sunak will be able to stomach being hauled towards more spending by Johnson, who is overwhelmingly focused on winning re-election, whatever the fiscal cost.

The prime minister reportedly mused about moving Sunak aside after the pair clashed back in the summer. But he would be a formidable backbench critic – and Johnson has already lost one chancellor, when Javid resigned last year rather than accept sharing his advisers with No 10.

An ally of Johnson said of the chancellor: “He’s very supportive of the prime minister and he’s a team player, but I think they both have very very frank conversations in private. Rishi’s no shrinking violet; he says his piece.”

Stewart Wood, a veteran of the Tony Blair-Gordon Brown governments says the tensions between Johnson and Sunak are familiar, but the chancellor will have to decide what he stands for. “The classic Treasury-No 10 dynamic is, No 10 have lots of things that they want to do that cost money, the Treasury says we can’t afford it.”

With Blair and Brown it was different, he says, because Brown not only saw himself as guardian of the purse-strings, but had a vision about how the money should be spent that clashed with the prime minister’s.

“He had other priorities. He said no in the name of some sort of agenda,” Lord Wood said. If Sunak saw himself as a future Tory leader, he suggested, he would need more to say than no. “He’s got to have an alternative. What does Rishi Sunak bring to the party?”
Newsletter

Related Articles

0:00
0:00
Close
UK Opens National Artificial Intelligence Safety Testing Facility
UK Government Finalizes Plans to Bring Remaining Regional Rail Services Into Public Ownership
Environment Agency Imposes Record Penalties on Water Companies Over Illegal Sewage Discharges
Great British Energy Announces Offshore Wind Partnership in North Sea
UK Government Tightens Planning Rules to Accelerate Housing Development
NHS Launches Digital Overhaul to Cut Elective Care Waiting Lists
Bank of England Signals Interest Rates May Stay Higher for Longer as Inflation Pressures Persist
The rise and fall of Hui Ka Yan, China’s richest man
Woke: Britain Considers Plain Packaging for Cigars as Specialist Shops Warn of Industry Collapse
Britain's Public-Service Productivity Remains Below 2019 as £80 Billion Output Gap Fuels WFH Debate
Mandelson Epstein Case in Jeopardy as U.S. Files Stay Out of Reach
Prince Harry and Six Others Ordered to Pay £9.5 Million After High Court Defeat
Bank of England Holds Interest Rate at 3.75% as Inflation and Energy Risks Persist
UK AI Security Tests Find Autonomous Agent Attempting Malicious Code Injection
UK Economy Grows 0.4% in Second Quarter Amid Global Pressures
UK Joins European Allies in Condemning Israeli Settlement Plans in West Bank E1 Area
Multiple People Killed in A66 Collision Near Middlesbrough Involving Police Vehicle
UK Government Holds First National Day for Victims and Survivors of Terrorism
UK Met Office Warns of Severe Autumn Storms as Strong El Niño Follows Historic Drought
Petrol Bombs Set Luxury Cars Alight Outside Birmingham Wedding as Police Hunt Three Men
Bitcoin Surges Toward $80,000 as Short Squeeze and ETF Inflows Ignite Crypto Rally
Prince Harry and Co-Claimants Ordered to Pay £9.5 Million Toward Daily Mail Publisher’s Legal Costs
Prince Harry and Meghan Markle Reportedly Plan Return to Britain With Their Children
UK Court Ruling Threatens Deportation Plans for Potential Trafficking Victims to Albania
Kemi Badenoch Presses UK Government for Decisions on Rosebank and Jackdaw Oil Fields
UK Foreign Affairs Committee Chair Calls for Ban on Goods from Occupied West Bank
Andy Burnham Government to Place Civil Servants Directly in English Mayoral Offices
Met Office Warns Major El Niño Could Bring Stormier, Wetter Autumn to UK
UK Economy Gains Unexpected Momentum Ahead of Andy Burnham Government’s First Budget
Twenty-Nine US States Take Meta to Trial Over Alleged Child Addiction on Instagram and Facebook
Former Scottish National Party Executive Peter Murrell Jailed for Five Years Over £400,000 Embezzlement
Moderna and Merck's Personalized Cancer Vaccine Succeeds in Historic Late-Stage Melanoma Trial
Prince Harry and Meghan to Move Back to Britain With Their Children
England and Wales Have Fewer Than 1,800 Prison Places Left for Men
Royal Navy to Accelerate DragonFire Laser Deployment Against Growing Drone Threat
Northern Ireland Approves Five Hundred Million Pound Belfast Harbour Expansion
Great British Railways Takes Full Control of Avanti West Coast as Rail Nationalisation Reaches Final Stage
UK AI Safety Institute Calls for Mandatory Security Audits of Advanced AI Models
Scotland Secures Three Billion Pounds for Floating Offshore Wind Hub in Aberdeen
Government Overrides Local Councils to Approve Green Belt Housing Across Southern England
UK and EU Move Toward Mutual Recognition of Food Standards to Ease Cross-Channel Trade
Government Plans Multibillion-Pound Private Healthcare Expansion to Cut NHS Surgical Backlogs
Bank of England Signals Faster Rate Cuts as Inflation Falls Below the Two Percent Target
Suspected People Smuggler Arrested After Investigation Identified Him
Children's Doctors Warn That Vaping Can Lead Young People to Smoking
Hundreds of Thousands of Students Receive GCSE and Vocational Results Across England, Wales and Northern Ireland
Here Is What Can Never Happen in Your Country: Taiwan Is Giving Money to All Its People Because It Collected Too Much Tax
UK Inflation Rises to 2.9% as Energy Bills Jump
UK Issues New Conduct Guide for Asylum Seekers on Consent and Respect
Moderna Shares Surge After Positive Personalized Skin Cancer Trial Results
×