Liz Truss warned Conservatives not to plunge the UK into a recession, just a day after the Bank of England predicted that the economy would soon experience a recession in the fifth quarter.
Speaking at a Conservative leadership meeting in Eastbourne, Truss suggested an immediate tax cut plan could prevent a recession if she becomes prime minister.
She said: I know there are difficult predictions, but predictions are not fate. And what we shouldn’t do is put ourselves in recession. We need to keep taxes low.
She added: We could create a UK version of Silicon Valley. We can create real opportunities.
During a double halted appearance by climate activists, Truss also expressed support for fracking and caution against the government’s net-zero targets and crackdowns on extinction revolt protests.
To the cheers of the audience, she said: We hope to crush some of the countries that have local support so we can get the energy security we need.
At the request of her audience, she urged a review of scientific groupthinking. Truss replied: We need to transition to net zero, but we want to transition in a way that doesn’t disrupt our homes and not disrupt our business. That’s why Id finds a better way to stop the green energy levy immediately and use private sector innovation and technology to deliver net zero.
After being ridiculed by climate activists, Truss said: “I will make sure that militant activists like Extinction Rebellion cannot interfere with hard-working ordinary people.
Conservative leader Rishi Sunak has warned the Conservatives could say goodbye to winning the next election if inflation is not controlled. Photo: Andy Rain/EPA
Rishi Sunak was more eager to achieve net zero by 2050, but he was also cautious. He reiterated that the only political question his two young daughters asked him was the environment. The former prime minister said: Above all, I do not want to disappoint them. You hear me talk passionately about public finances, debt, and the debt we leave behind for our children and grandchildren. Being a conservative, I am equally passionate about the environment in which we live.
He added: I believe in our net zero goal. Hopefully we get there in a measured way because it doesn’t matter that we race harder and faster than any other country.
Speaking of the economy, the former prime minister said he could say goodbye to winning the next election as long as inflation remains under control.
When asked by host and former Downing Street advisor Jimmy McLoughlin, Sunak said his number one priority was inflation.
He said: As the Bank of England said, they are concerned about the inherent inflation and there is no hope of winning the next election. Absolutely none.
He added. If we don’t figure this out and we figure it out quickly, we can say goodbye to winning the next election. So, the first thing to be in a winning position is to beat inflation, get over it quickly, and don’t make the situation worse.
As a leader in the race, Truss was asked to identify Sunak’s key strengths. She replied: He is a very intelligent person. He is a very capable minister. And if I succeed, he will be very happy to join our team with me.
Sunak, who was asked the same question about Truss, said: Liz is good at explaining conservative values.
Truss explained that her LDP membership was the unfortunate thing of a teenager, adding: Sex, drugs, rock and roll. I belonged to the Liberal Democrats.
And praising the outgoing Prime Minister, she said: Boris Johnson is highly respected in Ukraine. He has a street and a croissant named after him, and I don’t think many international leaders have achieved it.
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