London Daily

Focus on the big picture.
Monday, Sep 28, 2026

Tory conference: Liz Truss will lose 45p tax rate vote, says Shapps

Tory conference: Liz Truss will lose 45p tax rate vote, says Shapps

Liz Truss would lose a Commons vote on cutting the top rate of income tax, former cabinet minister Grant Shapps has told.

Scrapping the 45% top rate was a key part of last Friday's mini-budget aimed at boosting growth.

But it has faced a growing backlash from Conservative MPs after market turmoil and a big slide in the polls.

Michael Gove earlier hinted that he would vote against it - but Mr Shapps has now gone further.

The former transport secretary warned Ms Truss not to have a "tin ear" to voters' concerns about rising living costs and to do a U-turn as soon as possible.

"Let's not muddy the water with... tax cuts for wealthy people right now, when the priority needs to be on everyday households," he said.

MPs are not likely to get a chance to vote on the tax changes until next spring, but Mr Shapps suggested enough Tory MPs would join forces with Labour and other opposition parties to defeat it.

"I don't think the House is in a place where it's likely to support that," he told the BBC on the first day of the Conservative conference in Birmingham.

Like others who supported Rishi Sunak in the Tory leadership contest, Mr Shapps was fired from the cabinet by Ms Truss when she became prime minister.

But Mr Shapps insisted he was not being unhelpful to the new PM. "Sometimes budgets go wrong when they're announced," he said.

He cited former Chancellor George Osborne's 2012 Budget - dubbed the "omnishambles" - as an example of when economic policies have been "quickly reversed".

"And you know what? We went on to win the next election. So I mean this to be entirely helpful. There is a way through this. But the way through isn't to put fingers in the ear."

Instead of just "pushing on" with the 45p top rate cut, he said the government "needed to actually recognise that we're trying to do something here, which really isn't possible at this moment".

Later on Monday, Chancellor Kwasi Kwarteng will use his Conservative conference speech to insist the government will "stay the course" on his tax-cutting growth plan, arguing that without tax reform the country is heading for "slow decline".

Earlier, Conservative Party chairman Jake Berry warned that Tory MPs who voted against the prime minister's tax measures would be kicked out of the parliamentary party - known as losing the whip.

Talking to Sky News, Mr Berry urged Conservatives to back the prime minister, adding: "I'm sure that if we do that it will lead ultimately to long-term electoral success."

But former Levelling-Up Secretary Michael Gove - who also backed Mr Sunak in the leadership contest - said there were "two major" problems with the prime minister's plans.

"The first is the sheer risk of using borrowed money to fund tax cuts - that's not Conservative," he said.

The second, he argued, was to cut the top rate of income tax and scrap the cap on bankers' bonuses "at a time when people are suffering".

Asked if Ms Truss would be prime minister this time next year, he said she would but added: "There needs to be a course correction."

And asked on the Telegraph's Chopper's Politics Live podcast if the prime minister had a mandate for her tax changes, Mr Gove argued she did for changes to National Insurance and corporation tax - because she had campaigned for them during the leadership contest.

But he added: "What was not discussed was the prospect of income tax cuts, particularly income tax cuts for the very wealthiest."


Watch Grant Shapps: "Let's not muddy the water with... tax cuts for wealthy people right now"


Newsletter

Related Articles

0:00
0:00
Close
Transport for Wales and Network Rail Complete Electrification of South Wales Metro
Defra Expands Incentives for Sustainable Farming and Biodiversity in England
Northern Ireland Executive Approves Funding Package to Resolve Public Sector Pay Disputes
Universities UK Warns of Financial Insolvency Risks for Higher Education Institutions
UK Prisons Activate Emergency Protocols to Manage Capacity Pressures
UK Government Establishes New Safety Standards for Frontier AI Models
Home Office Tightens Skilled Worker Visa Requirements and Dependent Rules
Ministry of Defence Restructures Royal Navy Frigate Procurement to Prevent Overruns
UK Government Mandates New Housing Targets to Address National Shortage
UK and Scottish Governments Reach Agreement on North Sea Energy Transition
NHS Launches Digital Overhaul to Reduce Surgical Backlogs in England
Bank of England Holds Interest Rates as Service Sector Inflation Persists
UK Chancellor Announces Fiscal Consolidation Measures to Stabilize National Debt
RNLI Chief Executive Condemns Misinformation and Abuse Targeting Volunteer Crews
Metropolitan Police Charge Swindon Man with Assisting Foreign Intelligence Services
British Intelligence Report Warns Environmental Collapse Threatens Global Defense Infrastructure
Conservative Party Rejects New Taxes to Fund UK Social Care Reforms
Labour Government Signals Intent to Ease Residency Restrictions for Foreign Care Workers
Prime Minister Andy Burnham and Norwegian Prime Minister Jonas Støre Meet to Strengthen North Atlantic Defense
UK Government Plans to Revive Equity Loan Scheme to Assist First-Time Home Buyers
Prime Minister Andy Burnham Pledges Radical Reform for UK Utilities and Social Care
UK Treasury Prepares Difficult Autumn Budget Amid High Debt and Energy Volatility
Civil Aviation Authority Launches Review of Air Traffic Systems Following Digital Failure
X Reports First Increase in UK Revenues Following Advertiser Boycott
Shetland Islands Council Approves £400 Million Inter-Island Tunnel Project
Foreign Secretary Ed Miliband Warns Iran Against Hostile Activities on British Soil
UK Ministers Concede Chagos Islands Sovereignty Agreement Terminated After US Opposition
More in Common Poll Projects Hung Parliament with Labour Leading and Reform UK Gains
Prime Minister Andy Burnham Defends Economic Strategy as Public Finances Face Headwinds
Tony Blair Urges Government to Set Long-Term Goal of Rejoining the European Union
Prime Minister Andy Burnham Pledges Universal Free Social Care Funded Through General Taxation
UK Diesel and Petrol Prices Surge Near All-Time Highs Amid Middle East Energy Volatility
Analysis of Reform UK conference highlights deep political divisions over welfare and immigration
Bangladesh garment exports to the United Kingdom reach $915 million in early fiscal year
Royal Navy begins sea trials for new HMS Agamemnon hunter-killer submarine
New report suggests UK data centre expansion will create far fewer jobs than predicted
Major weekend closures announced for London Underground Piccadilly and Central lines
NHS leaders call for emergency winter funding to combat staffing shortages and rising illness
Far-right activist Daniel Thomas charged following alleged slashing of migrant dinghy
Home Secretary orders urgent review of border security following rise in small boat crossings
Prime Minister Andy Burnham to address Labour Party conference amid calls for long-term infrastructure plan
UK Treasury and Bank of England warn of rising inflation risks amid Middle East tensions
Royal Navy Diving Squadron Honoured for Global Bomb Disposal Efforts
UK State Pension Set to Approach £13,000 Per Year Under Triple-Lock
Rolls-Royce Wins Multi-Million-Pound Engine Contract with Philippine Airlines
TfL Questions Future of Heathrow Express Amid Proposed £33 Billion Expansion
Ed Miliband Warns Iran Against Hostile Operations on British Soil
S&P Global Manufacturing Index Signals Stabilization Amid Rising Fuel Costs
Prime Minister Andy Burnham Launches National Centre for Information Defence
UK Food and Drink Trade Deficit Surges to £21.1 Billion
×