Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
The Popular Resistance Committees: We call on all international institutions to take urgent action and uphold their responsibilities by restoring and immediately enforcing effective mechanisms for the distribution of humanitarian aid.
The Popular Resistance Committees: The latest Zio-American crime against Gaza’s starving civilians constitutes a war crime, for which the US administration bears full and direct responsibility.
Gaza Media Office: Bloody spectacle shows that these zones have become collective death traps rather than aid distribution zones.
Gaza Media Office: Dozens of citizens are still surrounded under constant fire in the vicinity of the "aid station."
Gaza Media Office: As soon as citizens arrived, occupation and Americans opened direct fire on them.
Gaza Media Office: Occupation, in complicity with the US company, called on citizens to move toward Wadi Gaza Bridge, claiming that aid would be distributed.
Gaza Government Media Office: Occupation set a bloody trap at bridge of Wadi Gaza, luring thousands of starved civilians, and opened fire on them.
Al Mayadeen's correspondent in South Lebanon: Israeli drone drops sonic grenade in town of Ramiyah.
Al Mayadeen's correspondent in South Lebanon: Israeli drone strike targets vehicle in town of Beit Lif.
The Government Media Office in Gaza: The occupation’s latest crime is further evidence of its ongoing implementation of genocide through starvation.

Sajid Javid endorses Liz Truss in fresh blow to Rishi Sunak’s campaign

  • By Al Mayadeen English
  • Source: Agencies
  • 4 Aug 2022 11:18
4 Min Read

UK Prime Minister candidate faces a setback after former Chancellor of the Exchequer Sajid Javid endorses Liz Truss.

  • x
  • Sajid Javid endorses Liz Truss in fresh blow to Rishi Sunak’s campaign.
    Sajid Javid endorses Liz Truss in fresh blow to Rishi Sunak’s campaign.

In a setback for Rishi Sunak's campaign, former Chancellor of the Exchequer Sajid Javid has endorsed Liz Truss, stating that Sunak's economic plan would entail "sleepwalking into a high-tax, low-growth" economy.

Sunak had a terrible day as the leadership contender increased his inflation warnings and renewed his criticism of Truss's proposed quick tax cuts, claiming that any prime minister who encouraged inflation would be handing Labour the next election.

A day following identical results from YouGov, Truss' campaign received a lift from a conservative poll that put her 32 points in front of party members.

On the eve of the Bank of England's interest rate announcement, the support for Javid once more highlighted the stark differences between the two camps' positions on economic growth.

Read next: Tory race to claim PM title: Truss leads ahead of Sunak

Javid, who collaborated with Sunak in the Treasury and quit on the same day that Johnson was ousted, said Truss was most suited to "reunite the party" and that Sunak needed to take a different approach to the economy.

“I fought for strong fiscal rules in our last manifesto,” Javid wrote in an article for the Times. “But the circumstances we are in require a new approach. Over the long term, we are more likely to be fiscally sustainable by improving trend growth.

“Only by getting growth back to pre-financial crisis levels can we hope to support the high-quality public services people rightly expect.”

Formerly thought of as close allies, Sunak and Javid fell out over health spending when Javid rejoined the cabinet.

Sunak: inflation would eat tax cuts

Related News

How 'Israel' lobby got Hezbollah banned in Britain: Declassified UK

UK's Johnson rushes to appoint Steve Barclay Health Secretary

In remarks made public on Wednesday night, Sunak cautioned that immediate tax cuts will be offset by rising inflation.

He said he would “make gripping inflation my number one economic priority” rather than tax cuts. “If we rush through premature tax cuts before we have gripped inflation, all we are doing is giving with one hand and then taking away with the other,” Sunak said.

“That would stoke inflation and drive up interest rates, adding to people’s mortgage payments. And it would mean every pound people get back in their pockets is nothing more than a down payment on rising prices."

“A policy prospectus devoid of hard choices might create a warm feeling in the short term, but it will be cold comfort when it lets Labour into No 10 and consigns the Conservative party to the wilderness of opposition.”

Truss: tax cuts would deliver “immediate help” 

Truss insisted that her plan for tax cuts would offer people "immediate help" during the coming season. 

“We cannot tax our way to growth. My economic plan will get our economy moving by reforming the supply side, getting EU regulation off our statute books, and cutting taxes.

“Modest tax cuts - including scrapping a potentially ruinous corporation tax rise that hasn’t even come into force – are not inflationary.”

By the beginning of 2023, experts have warned, the cost of living in the UK might increase by as much as 15% annually due to substantial increases in energy prices. The Resolution Foundation think tank predicted that earlier predictions were likely off and that price pressures would endure longer and be stronger.

Read next: Truss could be winning the bid to become next British PM

Javid’s article directly challenged Sunak’s claim that tax cuts would be inflationary. “Some claim that tax cuts can only come once we have growth. I believe the exact opposite – tax cuts are a prerequisite for growth,” he said.

“Tax cuts now are essential. There are no risk-free options in government. However, in my view, not cutting taxes carries an even greater risk.”

He said the government was “sleepwalking into a big-state, high-tax, low-growth, social democratic style model which risks us becoming a middle-income economy by the 2030s with the loss of global influence and power”.

  • Sajid Javid
  • Liz Truss
  • United Kingdom
  • Rishi Sunak
  • Boris Johnson

Most Read

President Donald Trump and Israeli Prime Minister Benjamin Netanyahu arrive to a news conference in the East Room of the White House, Tuesday, Feb. 4, 2025, in Washington (AP)

Rift widens: Trump, Netanyahu clash in heated phone call over Iran

  • Politics
  • 26 May 2025
US judges quietly consider private security amid Trump tensions

US judges quietly consider private security amid Trump pressures

  • US & Canada
  • 25 May 2025
An Israeli army vehicle moves in the Gaza Strip as seen from southern occupied Palestine, Thursday, May 29, 2025 (AP)

Hamas rejects Witkoff ceasefire plan, says alters terms

  • Politics
  • 29 May 2025
Spokesperson for the Yemeni Armed Forces, Brigadier General Yahya Saree, announces a new operation against Ben Gurion Airport on May 29, 2025 (Yemeni Military Media)

Yemen announces successful hypersonic missile strike on Ben Gurion

  • Politics
  • 30 May 2025

Coverage

All
War on Gaza

Read Next

All
MIT bans class president who gave pro-Palestine speech
US & Canada

MIT bans class president over pro-Palestine speech

Arab ministers condemn Israel 'ban' on planned West Bank visit
Politics

Arab ministers condemn Israeli ban on planned West Bank visit

Major General Hu Gangfeng, Vice President, National Defense University, People's Liberation Army, China, leaves after a panel discussion during the 22nd Shangri-La Dialogue summit in Singapore, Saturday, May 31, 2025. (AP Photo/Anupam Nath)
Politics

China blasts Hegseth, calls US top 'troublemaker' in Asia-Pacific

US activists demand shutdown of Musk's 'dirty' supercomputer: Reports
Technology

US activists demand shutdown of Musk's 'dirty' supercomputer: NBC News

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS