Sink and Truss tear each other apart over the economy in latest leadership aspirations.


iz Truss and Rishi Singh continue to attack each other’s economic plans in a fourth Tory leadership, with the former chancellor saying that unless inflation is brought under control, “we can kiss goodbye to winning the next election.” “.

The two prime ministerial candidates were once again put to the test by party members at the Tory hustings in Eastbourne, Sussex, on Friday.

The nearly two-hour program opened with a rousing ovation for Ms Truss, who was supported by Nuss Ghani, a former Conservative minister and vice-chairman of the 1922 Committee.

The MP for Weldon in East Sussex introduced the “fair and honest” Foreign Secretary on stage.

Despite an outcry from climate activists at Ms Truss’s opening speech, who were quickly ushered out of the studio, Hastings carried on with business as usual.

The economy and the cost of living were again central to the debate, especially in light of the Bank of England’s stark warning on Thursday that the UK was facing a deep recession and 13 per cent inflation.

Mr Sink, the former chancellor, said there was “no hope” the Tories would win the next election until inflation was under control, while Ms Truss said Britain should not push itself into recession.

In a thinly veiled take on his opponent, Mr Sink told Tory MPs he was “particularly concerned about policies that risk making it (inflation) worse and longer”.

His comments came after he was asked by host and former Downing Street adviser Jimmy McLoughlin what his pitch was going to be to win a fifth term.

Mr Sink said: “Well, the first thing we need to do is to make sure that we can win the election, by then we will have gone through this inflation problem.

Liz Truss on the hunt in Eastbourne (Gareth Fuller/PA) / PA Wire

“And that’s why I’m especially worried about policies that risk making it worse and longer.

“Because it’s a problem that’s not just for this winter. It’s a problem for next winter and beyond.

“Because as the Bank of England said, they’re worried about inflation being embedded, then there’s no hope we’re going to win the next election.

“Absolutely none. It’s as simple as that.

“We all heard what he said yesterday, you all saw the numbers.

“And if we don’t get a grip on this thing and get a grip on it fast, we can kiss goodbye to winning the next election.

“So the first thing to put yourself in a position to win is to get through inflation and get out of it quickly and not make things worse.”

I know there are difficult predictions, but predictions are not destiny.

Ms Truss said “predictions are not destiny” and said the UK could create a “British Silicon Valley”.

The Foreign Secretary said: “Fundamentally, what we need to do is we need to show people that there is hope, and that we have a hopeful future ahead of us.

“And as I’ve said, we’re great at startups, but we need to get better at funding scale-ups.

“So one of the things I will do is invest more in our economy, also through reforms.

“I met with some investors in the city this morning. They told me that if we go ahead and do this, we can release tens of billions.

He added: “We can create a British version of Silicon Valley, we can create real opportunities.

“We have a talented generation of young people ready to take advantage of these opportunities, but we need to grow.

“I know there are tough predictions, but predictions are not destiny. And what we shouldn’t do is put ourselves into a recession. We should keep taxes low.”

Rishi Singh during the hustings event (Gareth Fuller/PA) / PA Wire

Another stark contrast in his economic policies came when Mr Sink said what he would do to help businesses grow.

The former chancellor said corporation tax was not “the right tax” to focus on, and instead spoke of the need to reform business taxes to “focus on things that make a difference”.

The Foreign Secretary has pledged to withdraw Mr Sink’s plans to raise corporation tax from 19% to 25%.

The former chancellor said: “We’ve had this debate on corporation tax. I don’t want to stick to the failed policies of the past. That’s what people are proposing. It hasn’t worked.”

He added: “Investment in this economy today is no better than it was a decade ago, despite all these things we do on corporation tax.

“Because it’s not the right tax to focus on. And that’s where my experience in business, my time as chancellor, my conversations with business has led me to the conclusion that we need to be much more radical.

I do not want to stick to the failed policies of the past. This is what some people are suggesting. It didn’t work.

“We need to reform business taxes to reduce the things that make a difference.”

In an interview with the Financial Times, Ms Truss said of corporation tax: “I think raising corporation tax is completely counterproductive.

“I think it will stifle growth and make it harder to pay off the debt.”

The Foreign Secretary also told the publication that the Bank of England’s mandate should be reviewed, saying: “The issues I want to look at are the control of the money supply and in particular the policy of quantitative easing and its effects. “

In the same interview, Ms Truss also criticized the culture of the Treasury, which Mr Sink ran until he resigned last month.

He said the Treasury was absorbed by “the abacus of economics to ensure tax and spending increases”.