Rishi Sunak has suggested that he would not agree to serve in Liz Truss’s cabinet because they would not see eye to eye on major policy issues. The foreign secretary, who is more than 20 points ahead of Mr Sunak in polls of Conservative Party members, has indicated that she would offer him a ministerial post.
But in an interview with the BBC on Monday, the former chancellor of the exchequer said he was not thinking about any options other than becoming prime minister himself.
“I’m focused on just getting out and about, trying to win this race at the moment. I’m not thinking about jobs for me or for anyone else,” he said.
“And one thing I have reflected on a bit is, being in the government, in cabinet, over the last couple of years, you really need to agree with the big things, because it’s tough, as I found, when you don’t. And I wouldn’t want to end up in a situation like that again.”
The contest to succeed Boris Johnson, which ends on September 5th, has seen the two candidates disagree most sharply on how to manage the economy in the face of soaring inflation. Financial services group Citi said on Monday it expected the consumer price index in Britain to rise by 18 per cent year on year in the first quarter of 2023, with retail prices rising 21 per cent.
Ms Truss wants to borrow tens of billions of pounds to cut taxes in an effort to boost economic growth and to give consumers more cash to deal with the rising cost of living. But Mr Sunak claims that her plan will wreck the public finances and fuel inflation.
“Liz’s plans are promising the earth to everybody. I don’t think you can have your cake and eat it. I don’t think life’s that simple, and I think her plan risks making the situation worse when you’re borrowing that much money for tax cuts at a time when inflation’s already going up,” he said.
Emergency budget
Ms Truss faced further criticism on Monday when it emerged that she was considering introducing an emergency budget next month without asking the Office for Budget Responsibility (OBR) to assess its impact on the public finances. The independent body, which scrutinises government plans for taxes and spending, has already warned that Britain’s public debt is on an unsustainable path.
Ms Truss’s team say the emergency action to help people deal with surging energy prices will not be a full budget and that she cannot wait for the OBR to make its assessment.
“The cost-of-living crisis means immediate action is required,” a spokeswoman said.
“A Truss government would seek to act as soon as possible to help people across the UK, by cutting taxes and introducing a temporary moratorium on energy levies.”
Labour leader Keir Starmer, who has called for a freeze on energy bills, said it was essential that the OBR should examine Ms Truss’s plans.
“We need an emergency budget. We should have had that months ago, to deal with the cost-of-living crisis. But the OBR is there to make sure that money is spent wisely and properly. So of course you need the OBR in place for that,” he said.
