so what have we got for you today well The Mirror Has flashed on claims last night that
Tory MPS are already plotting to get rid of Liz trust by Christmas for the sake of both
their party and the nation's mental health but this morning events have rather overtaken us
indeed most newspapers with an announcement by Chancellor quasiquote that he is going to scrap
his tax cut for the wealthiest people in society and bring back the 45 rate this is what he says
um from supporting British Princess and blah blah at the beginning Let's ignore that however
it's clear the abolition of the 45p tax rate has become a distraction from our overriding
mission to tackle the challenges facing our country as a result I'm announcing we are not
proceeding with the abolition of the 45p tax rate we get it and we have listened this will allow us
to focus on delivering the major parts of our growth package first our energy price guarantee
which will support households and businesses energy Bills second cutting taxes to put money
back in the pockets of 30 million hard-working people and grow our economy and third driving
supply side reforms including accelerating major infrastructure projects to get Britain moving
um now this has been widely seen Ben indeed trailed by trust and quartering there is them
listening and responding to the widespread public anger among pretty much everybody
and it's probably got a lot to do keeping their jobs as well but is it going to work do you think
I think the damage has already been done and now they've got the problem of they showed their true
colors in wanting to cut this uh the additional higher rate of tax 45p rates so they took the
hit for announcing that and showing whose side they were on and what their priorities were but
then stung by the backlash they've done this U-turn this morning so now they're open to
accusations of well I've got the courage of their convictions it's a lose-lose situation
um for the for the Prime Minister and the chance though and I was talking to a senior
conservative this morning who basically said it's better to take the hit now
um and get it over and done with because they basically accepted that they wouldn't be able
to have got it through the commons anyway are you they would lose a vote on this in Parliament and
you'd have weeks and weeks of uh of people like us writing you know you're on the side of people
earning 150 Grand a year plus the millionaires um when you're preparing to cut benefits in real term
so they've just said they've taken the decision this morning that get it out of the way do it
now um nine or ten days I think since since the emergency budget and that's the lesser of an evil
this is the easiest thing to do perhaps and they're trying to you know get through
conference without being murdered by their own activists and they're also trying to sort of
get to Christmas pretty much just think and try and get through this crisis we've got
in Sterling at the moment now get into the questions what do you think do you think
this is going to work does this change your mind entirely about Liz trust and quasi-quarting do
you were you anti them before and now suddenly you're Pro let us know now when quasi made his
announcement trading in the pound actually Rose by ginormous whopping earth-shattering one percent
um then it's slumped down again when straight afterwards presumably when the Traders worked out
that uh Bankers bonuses are still being asked stamp Duty corporation tax National Insurance
and the 20p rate of income tax all still being cut funded by borrowing 70 billion pounds worth
of it is this going to settle the markets Ben because the argument all along wasn't
it was at the 45p tax cut was the politically most damaging thing but financially this is
the smallest part of the whole package it was the least important thing to do
um while the rest of it is this massive chunk of unfunded borrowing that they still haven't
accounted for that's going to be the real problem isn't it as far as the markets are concerned yeah
so in the mini budget um last or Friday before last it was 45 billion pounds worth of tax cuts
and 72.4 billion pounds worth of borrowing now the the 45p rate only actually accounted for 2
billion pounds so in the overall scheme of things it wasn't a lot of money but politically a huge
amount of capital was spent by Liz trust and by quasiquating on saying they wanted to cut
it and it in the end it just wasn't worth it because it was you know it was a surprise move
a lot the measures that were announced in that emergency budget mini budget have been trailed
in advance and we knew what was coming up and I was actually sitting in the um in the chamber in
a press Gallery when it was announced and it was a genuine surprise you know it was mouths dropped
over and everyone looked around at each other thinking wow well we weren't expecting that and
then minutes later when we were being briefed by the treasury we got pointed to the figures
showing how much that particular measure was worth and you I remember thinking the time well that's
not a lot of money and this is going people are really going to hate this and it just seems so
not pointless but a bit why are they doing this it was an odd Hill to die on and now
that they've done the U2 which was inevitable because they wouldn't have been able to get
it through the houses of Parliament anyway and they've made you know they've created all this
chaos and what you can't forget is all right they've put the you know they're not going to
go ahead with the 45 feet cut but because of the chaos that it Unleashed on the markets anyway well
people's mortgages have gone up now you know the people literally thousands of pounds a year worse
off because they have to make more in interest payments on their mortgages as a direct result
of what happened so even though you know they've gone back on it well it still cost all of us
um in hundreds of pounds extra a month in in what we have to repay on our mortgages they won't come
down as quickly as they went up well they're guaranteed now Mike says good morning Mike what
else from the mini budget could be scrapped before conference is done Bankers bonuses corporation tax
um does it have they actually it's like right have they weakened themselves here because
they've you've turned on something they were I mean Liz trust just yesterday was saying I
am absolutely committed to this 24 hours later he's gone has this weakened them in terms of
everything else they want to do because their MPS and the labor party will all see well look
they can be undermined they can change they can just be they can be made to change their mind on
all of it if we want to the corporation tax um it's not a tax cut it's not going ahead with a
rise that was due to come in which I know is a bit technical but um that'll still that'll
still go ahead that rise won't happen now um but you know if it's got cross-party support really
um not to go ahead with that and the argument could be because well business is going to be
they're facing enough problems as it is with energy bills um so by not pushing ahead with
a rise in corporation tax and you know so many conservatives were behind not going ahead with
that rise you know and it was first announced they objected to it because obviously the party
is deemed as a party of business so I don't think I'll be a u-turn on that Bankers bonuses had it
not been for the 45p additional rate there would have been a lot more anger about the scrapping
of the cap on Bankers bonuses but the only reason the government is able to scrap the Capital Bank
is bonuses because we've left the EU suppose brexit uh benefit if you like for for bankers
and because it's one of the tangible things that the government can do now we've left the European
Union I think that will also stay um in terms of what to look for that they might end up you
turning on well it had been announced previously that benefits would rise in line with inflation
and in the past few days the government various ministers the Prime Minister the chancellor and
the chief secretary to the treasury Chris phelp have all failed to commit to that
um which is obviously raised fears that the benefits won't rise in line with inflation
which what that means is it's a real terms cut for people on welfare now that is the
one to watch because the government you know be hugely expensive if they did rise benefits
and live inflation but if they don't you can make the argument that they're hitting the poorest and
you know all right they're not going ahead with this 45 fee tax tax rate cut but they wanted to
um so that shows whose side they're on so I think that's the key one to watch because there's a lot
of uh Centrist conservatives who are deep and happy and worried about how about how that will
play for their constituents who are on welfare and I will hey you know how it will cost conservatives
in the long run because it's the sort of thing that does help you lose elections exactly and that
will still be you know compared to Bankers bonuses won't it and you're asking benefits but you're
you're giving Bankers their you know extra bonuses then that's still going to be politically very
very toxic for them now Mike says good morning Mike another Mike beautiful one are they going
to compensate those families who now have higher mortgages because of their incompetence uh Mike
I'd love to see that class action being taken against quasi-coating for saying silly things
um and who knows it should probably happen but I think Ben we've got the same situation haven't
we in conference this week when quasiquating stands up and makes a speech if he gives any
kind of public statement and I've never known this happen before at a party conference but
Sterling could go up or down interest rates could go up or down depending on on the
questions he's asked and the answer he gives at what is just a party Jamboree couldn't it
yeah the problem is like MPS particularly less trust and Quasar Tang they're used to going around
confident fringes and thinking out loud and saying mad stuff in the company of like people who are
their political allies the problem is once you're the most senior Minister and second most senior
minister in the country you can't just think out loud and say mad stuff because it has real
real world consequences as you see for mortgages and as you see with Sterling you know it's quite
commonplace during a budget where a Chancellor is delivering economic forecasts economic measures to
to watch Sterling you know the Geeks in the city they do that and they watch the charts of the rise
and fall on a particular announcement minute well second by second yeah the parts of conference you
shouldn't really be doing that but the problem is you know when he says stuff on the radio it's not
just political Geeks Who are listening to him on the radio watching him on the television it's it's
actual people who who decide what the mortgage rates are that sort of thing it has real world
consequences and impact on real people and I think that's something that quasi-karting
and literature are going to have to get used to you can't just think out loud a right-wing think
tank at Party Conference with a glass of warm white wine in your hands it's real stuff now
yeah well thinking out loud that's um that's a that's an absolute uh damned there perfect praise
now basics of Islam perhaps not the real name says I'm not sure why Omni shambles is not being used
to describe this budget is it because we've had 12 of these so the description is meaningless Omni
shambles is no longer uh enough of a portmanteau to really cover what's happening the one of the
words that's being used inside number 10 according to December Sunday times yesterday was truster
um as it used to call it a cluster and now it's a truster so that pretty much covers it
but we can't discuss that here uh Ben have you heard any better portmantos for what's happening
uh none that are repeatable no um that Omni chambles thing out originally that came from
I think it was the thick of it of course and then Ed miliband used it um quite liberally
to describe I think it was the 2012 budget um with a past attacks uh you know heavy days of
the past and the church the church roof tax and the past attacks and other things that seemed
quite terrible at the time I think Guilford passy tax now um now Gail says isn't she just keeping
Boris a seat warm for him I assumed that was the plan there's also some suggestion yesterday and
Sunday papers that Boris is just sitting quietly it was very supportive of her bid for leadership
because he knew she would fail quite badly um and that he's just waiting to be invited back in again
for the end of the term uh do you think that's likely I don't I mean you know even the dogs in
the street were predicting that she wouldn't do particularly well as prime minister so the fact
that Boris was sort of sitting back waiting for it to unfold into the chaos it happens
yeah that's not that's not some sort of evil not by Boris that was just common sense
um I think I always thought that the conservative party would regret getting rid of Boris Johnson
you know he's a proven election winner um LED them to the biggest majority since 1987.
um for all his faults which were a legion uh he did win elections and it sort of shows the
arrogance of the party that they think they could stay in power whoever was their leader
um you know leaders trust doesn't have that political appeal that Boris did Boris does
um I remember going around during the herstings campaign uh during the hustling's leadership uh
election and we were talking to people in the street and these were not conservative party
members they were ordinary people so we were in in the towns rather than Fox popping people in
the queues so these are Ordinary People and at least a third of the people I was speaking to
said well they shouldn't have got rid of Boris it's not fair what they've done to him oh party
cake yeah everyone has a drink everyone broke the rules I mean obviously true but that's the
sort of there was a lot of affection and still sympathy for what happened to Boris Johnson
um you know in my view a lot of it that was misplaced but it's it's a it shows a sort
of wider affection out there for the you know the floor genius Prime Ministers it shows the
benefit of whatever the first impression is does tend to stick so if the first impression of Boris
Johnson was have I got news for you and he's quite entertaining and witty that seems to have
been what embedded whereas the first impression of Liz truss is what so that's the one that's
kind of embedded a bit but very quickly before we go on to the next story if you've got any
questions about Liz Russell and how you think Troy Commerce is going get into the comments
and let us know but very quickly Ben you're up there this week with the um Angry Red trouser
Brigade what is the feeling uh on the ground are they rebellious are they plotting against her
yeah I mean a lot of people are going this can't go on um you know it's you've got to
remember this is less than a month into her being prime minister because of the queen dying and The
Rao about the emergency budget it seems like it's gone on for a lot longer but it was only I believe
it was July the 6th uh sorry the September the 6th that she she became prime minister
um and we're only on October the 3rd so there's a lot that has happened in that month
um and people have formed their views but already people are talking about or what do the rules say
and when we can get rid of a leader um we knew this would happen didn't realize it would happen
so quickly uh so people are trying to to work out how they might be able to get rid of it now
we talk about A lot's happened in a month well of course we're still more than two years out
from a general election the next general election by law has to be held on I think it's January the
25th 2025 so that's two years and three months away so if if everyone calms down
um you know she can she could still recover this to the point where it's not a huge Landslide for
labor whether she can win a general election I'm not sure now um but you know events Dear
Boy events a lot can happen in those two years and three months so um if possible she can recover it
it's it's just as possible that the conservatives will find a way to get her out so that somebody
else fights the next German election as leader yeah just I think someone to indicate perhaps
they want the job and at the moment I did want to take over that we'll have to see won't we