Since taking over from Boris Johnson at 10 Downing Street, liz truss sought to create a reputation of “Iron lady“, in a collage of Margaret Thatcher. However, with her government backtracking on the most controversial point of the “mini-budget” -which was the end of the highest tax bracket, which taxes the 45% of citizens with the highest incomes-, the The British prime minister has shown that she will be a bit more malleable after all than the industrial metal that inspired Thatcher’s nickname. This brings a certain serenity to investors, but they remain suspicious.
It was at the end of this Sunday night that, according to The Telegraph, Liz Truss realized that I had to do the “reverse” however “humiliating” it was (as the Financial Times wrote). The decision was made during a hotel room meeting between Truss and his finance minister, Kwasi Kwarteng, to take stock of the feedback each had received from Conservative Party MPs they had spoken to.
The comments in question were about the so-called “mini-budget”, in general, but above all about the intention to eliminate the “45p”, as the last level of income tax in the United Kingdom is known (income above 150 thousand pounds per year taxed at 45%). Between the tickets the one made, publicly, by a conservative deputy who considered the plan “crazy” and “crazy”, because it is lowering taxes for the wealthiest at the same time that cuts are planned in public services -in a context in which the economy and energy prices are worrying citizens as winter approaches.
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Source: Observadora
