‘We will reward your trust’: Liz Truss sticks with tax-cutting plan as PM pledges growth

In a personal message to Express readers, the admitted it has not been an “easy” week but promised to reward their trust in her. Ms Truss told Chancellor Kwasi Kwarteng the row was overshadowing the rest of their work to reinvigorate the economy and she did not want to still be talking about it at Christmas.

She is sticking with the rest of the tax-cutting growth package and is adamant it is the only way to turn the country around.

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But details of how the government will cut debt are now expected to be produced earlier than previously expected.

Ms Truss said: “Express readers can rest assured: we will reward your trust.

“It has not been an easy week, but we have shown that we listen to people’s concerns and we are determined to deliver on our core plan for economic success and security.

“Our plan for growth is essential to get the British economy moving. Growth is the only way to create jobs, boost wages and fund our vital public services like the NHS. 

“With our Energy Price Guarantee, we are supporting families and businesses with their energy bills. 

“With our tax cuts, we will put money back in the pockets of hard-working people and grow our economy. 

“With our investment plans, we will unleash the potential of the whole country and get Britain moving. 

“This is the best country in the world and I will do what it takes to put us on the path to a more secure, prosperous future.”

Ms Truss will deliver a “short, sharp, optimistic” speech of about 30 minutes to the conference tomorrow (WED) but will tackle the realities of the challenges the country is facing.

Liz Truss sticks with tax-cutting plan as PM pledges growth

The PM is intent on unleashing a vast building and infrastructure programme (Image: Getty)

The Prime Minister is expected to strike a similar tone to the Chancellor, who opened his speech with “what a day!” before urging the party to move forward.

She is resolute in her belief that the only strategy that will give Britain a more successful future is going full pelt for growth.

The PM is intent on unleashing a vast building and infrastructure programme across the country that will be delivered as soon as possible.

Friends of the Prime Minister have been left frustrated by the “fear of change” the party has developed.

They say there are great rewards to be reaped from Brexit but a risk-averse mindset is stopping them from being capitalised on.

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Allies say she has shown she will take decisions that go against her small state instincts to protect people, such as through the multi-billion pound intervention to keep down the country’s energy bills.

But she is expected to use her speech to the party’s grassroots in Birmingham to vow that her plan will generate growth across the country.

The Prime Minister will stress she wants the government to “get out of the way” of businesses trying to grow but also by leaving individuals to make their own decisions about their lives.

One Cabinet minister said the move was a “sensible retreat” and wars are won from the flank rather than head-on assault.

Veteran Conservatives believe the party must stop wild talk of leadership challenges.

But the 2019 intake of younger MPs have been sharing messages about the Prime Minister’s future.

Allies of the PM believe they are too easily blown about by the wind and need to hold firm.

Ex-Brexit negotiator Lord Frost advised the PM to “err away from things we know are going to be highly controversial and the losers are going to be extremely visible”.

He recommended relaxing trade tariffs and reducing regulation of small businesses as policies that would not “obviously create a coalition of losers more quickly than they would create a coalition of winners”.

Lord Frost said: “You can’t simply throw out a load of free market reform ideas and assume everyone will just get with the programme.

“There needs to be much more explanation, much more effort to persuade, to make the arguments, to bring people along with you, to understand why the arteries have kind of furred up over the last decade or two and need to be cleaned out again.”

Economist Gerard Lyons, who has been an informal adviser to Ms Truss, said the economy would “probably be on the way up” by 2024 and the Government had plenty of time to demonstrate the impact of its policies.

He said: “The policies need to be registered by the end of the next year.

“You still have two and a quarter years, probably, until the next election.

“January 2025 is when the election needs to be held by and I wouldn’t be surprised if we actually went the full distance and we basically therefore have a year of economic growth in 2024.”

Nadine Dorries, who backed Ms Truss for the Conservative Party leadership, said Ms Truss should call a general election if she wants to break away from the policies put in place under Boris Johnson.

She said there was “widespread dismay at the fact that three years of work has effectively been put on hold”.

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“If Liz wants a whole new mandate, she must take to the country.”

But Business Secretary Jacob Rees-Mogg said while they agreed on “almost everything” with Ms Dorries he did not think “there’s going to be an immediate election and I don’t think there’s a requirement for one.”

Analysis by Sam Lister – Daily Express Political Editor

Liz Truss dropped her plans to axe the 45p tax out of pragmatism rather than a change in belief.

The Prime Minister thinks the income tax top rate is virtue-signalling by taxation as it raises relatively little for the Treasury.

But she looked at the political reality and decided to spend two days of the party’s conference and the next two months in Parliament discussing it was a waste of time and energy.

The PM had spent 20 minutes on television defending the decision and newspapers were shown in advance of the Chancellor’s speech where he planned to double down on the policy.

Late on Sunday night Cabinet ministers were still defending the move to journalists only to find out later that the PM had decided to ditch it at 10pm.

Despite being kept in the dark about the reversal, one of her top team described it as a “sensible retreat” that would help to calm the party.

Many Tories feel cutting tax to levels imposed throughout the New Labour era should not be controversial.

They believe the policy costs a relatively small amount compared with the rest of the growth package and getting rid of it would have helped to simplify the tax code.

But they believe the way it has been communicated has been disastrous.

Cool heads want the PM to make it clear to the public that she is on their side.

They say Ms Truss should learn from the mistakes made over the last week, apologise and work hard to move on.

Her leadership should not be threatened but the PM must ditch the Chancellor if necessary, senior MPs say.

The 2019 intake of Tories, many from red-wall seats and young by traditional standards, however, are discussing Ms Truss’s future and suggesting they want her to go.

It is a powerful group made up of more than 100 MPs who already have a “taste for flesh” after agitating against Boris Johnson.

But they should realise that another painful ousting followed by a leadership contest where the party tears itself apart would be more disastrous than rallying around the PM and making the plans to turn around the country’s economic fortunes work.

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