Just the night prior Truss emphasized that she would not be stepping down amidst a whirlwind of criticism and backlash, calling herself a “fighter” and “not a quitter.”
However a lot of people were not buying and were already counting down the days she had left in office. Last Friday The Daily Star dressed up a head of lettuce – which has approximately 10-day shelf life – with a wig, googly-eyes, a mouth, and feed, and tracked the time to see if Truss’ tenure would outlast the lettuce.
The WinePress had reported on some of the backlash Truss had already received and her economic proposals that ultimately flopped and made the situation in the U.K. even worse.
SEE: British Prime Minister Liz Truss Proposes Energy Caps And New Stimulus Payments To Prevent Recession
The Trends Journal, which had accurately forecast on Tuesday that Truss would be expelled for office, gave a synopsis of the economic debacle Truss and her administration created:
After barely five weeks on the job, U.K. finance minister Kwasi Kwarteng got the boot from prime minister Liz Truss last Friday and was replaced by Jeremy Hunt, a veteran Conservative party politician and former foreign minister who immediately set about righting his predecessor’s wrongs.
On becoming prime minister on 6 September, Truss announced a sweeping array of tax cuts, the most drastic since 1972, but neglected to show any offsetting reductions in government spending.
At the same time, she pledged subsidies averaging more than £1,000 to each British household for two years to help cover the cost of soaring utility bills.
She proposed to borrow an initial £72 billion to pay for the subsidies.
Truss’s announcement threw the bond market into a panic, crashed the U.K. stock market, and sank the pound to a record low against the dollar of $1.0350.
The pound has lost about 17 percent of its value against the dollar this year.
The Bank of England (BoE) then suspended its plan—announced just a week earlier—to begin to sell off its bond portfolio and said it now would buy as much as £65 billion more in bonds to stabilize bond prices and yields.
The bank’s move was necessary to rescue pension funds, many of which were trying to sell bonds to cover their payment obligations amid double-digit inflation.
On assuming his new role, Hunt said in a press briefing “it was wrong to fly blind and to announce those plans without reassuring people…that we actually can afford to pay for them.”
“We have to show the world we have a plan that adds up financially,” he added.
Hunt also warned that some taxes could increase, “some taxes will not be cut as quickly as people want,” and “spending will not rise by as much as people would like and all government departments are going to have to find more efficiencies than they were planning to.”
On Monday, 17 October, Hunt announced the government was abandoning “almost all” of Truss’s proposed tax cuts, a move that will return £32 billion to the treasury.
The planned cut to basic income tax rates has been “postponed indefinitely…until economic conditions allow for it to be cut,” reducing red ink by another £6 billion a year.
Truss’s plans to slash taxes on dividends and introduce a new tax-free shopping program for foreign tourists also have been dumped, as has a move to abolish a special tax on workers making more than £145,000 a year.
Household energy subsidies will continue for six months to get Brits through the winter; beyond that, Hunt made no commitment.
Truss and Hunt “have agreed that it would be irresponsible for the government to continue exposing the public finances to unlimited volatility in international gas prices,” the treasury office said in a statement.
Treasury officials will mull options for aiding households with energy costs after the current subsidies expire, the department said.
No government can control markets, but every government can give certainty about the sustainability of public finances. The United Kingdom will always pay its way.
Hunt said
The sudden, dramatic policy reversals calmed British markets on Monday. The FTSE 100 stock index stabilized. Prices of government bonds rose and the pound edged up to close at $1.14 on Monday.
The yield on a 30-year U.K. bond flipped to 4.37 percent after surpassing 5 percent earlier this month. Yields on 10-year bonds dropped below 4 percent. Yields fall as bond prices rise.
With Hunt’s appointment, the BoE issued a statement saying it would not need to extend its emergency bond purchases past Friday.
The bank will have bought about £20 billion worth of bonds, not the £65 billion it was bracing for.
Now with Truss gone a new leader is to be elected relatively soon.
The BBC has reported on a handful of candidates that could fill Truss’ shoes, with Rishi Sunak being touted as an option.
Sunak is also a member of the Conservative Party like Truss, but lost to her this past election to replace Boris Johnson.
However, as The WP has pointed out before, just like Truss, Sunak is also a member of the WEF’s Young Global Leaders.
AUTHOR COMMENTARY
When the righteous are in authority, the people rejoice: but when the wicked beareth rule, the people mourn.
Proverbs 29:2
A muddy hog could be Selected to be the PM and it would not make much of a difference. Truss did her job in only sending the U.K. economy into an even worser state than it already was.
Will the new leader be Sunak? God only knows and time will tell, but whoever it is, will not fix any the problems with the country. The United Kingdom, like the U.S., is on a one-way collusion course to destruction and devastation.
[7] Who goeth a warfare any time at his own charges? who planteth a vineyard, and eateth not of the fruit thereof? or who feedeth a flock, and eateth not of the milk of the flock? [8] Say I these things as a man? or saith not the law the same also? [9] For it is written in the law of Moses, Thou shalt not muzzle the mouth of the ox that treadeth out the corn. Doth God take care for oxen? [10] Or saith he it altogether for our sakes? For our sakes, no doubt, this is written: that he that ploweth should plow in hope; and that he that thresheth in hope should be partaker of his hope. (1 Corinthians 9:7-10).
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I wonder what the KJV says about Indian people in the end times? It seems to me they’re everywhere in the world and many of them are holding very influential positions in the UN, WHO, to say the least. Are they gonna be one of those Vatican minions that will pave the way for the Antichrist and mark of the beast system? Just a thought how they creep in unawares?