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UK: Liz Truss sacks Treasury Secretary – News

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British Conservative Prime Minister Liz Truss fired Kwasi Kwarteng. Information provided BBC, was confirmed by himself through a tweet posted on his official account, where there is his official statement.

“He asked me to resign and I agreed,” the letter says, although he continues to insist that the British economy needs reforms to grow.

Knowing that the situation in the country has been “incredibly difficult” due to rising interest rates and energy prices, Kwarteng says he believes Truss’s “optimism, growth and change.”

Despite the resignation, Kwarteng promises to support Trouss from the parliamentary bench, stressing that they have been “colleagues and friends for many years.”

The Trass office announced a press conference around 2:00 pm without explaining why.

Kwarteng’s imminent resignation was taking shape as the now former minister cut short his visit to the United States and returned to London today.

Trass’s decision is linked to a series of financial measures announced by Kwarteng on Sept. 23, which included a package to freeze energy prices, as well as other tax cuts, notably the removal of the 45 percent income tax cap on the wealthiest taxpayers. .

Such proposals had a very negative impact, causing a devaluation of the pound sterling and an increase in interest rates on UK sovereign debt. Long-term volatility in the bond market led to an emergency intervention by the Bank of England to prevent the collapse of some pension funds with large investments in Treasury bonds.

Pressure is mounting on Truss – prime minister for just over a month – to sack Kwarteng, especially from her own party. Earlier this month, the head of government admitted in an interview with the BBC that Kwarteng did not present the measure to her before the presentation in Parliament, a sign that they do not agree with each other.

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The treasury secretary’s departure comes at a time when criticism of the British prime minister is growing in her parliamentary majority, where some Conservative MPs have already begun calling for her replacement just a month after she took office.

Liz Truss has been Prime Minister since October 6, after winning the internal election within the Conservative Party, which replaced Boris Johnson at Downing Street. Truss, Johnson’s former Foreign Secretary, defeated Rishi Sunak, the former Treasury Secretary, in the same executive.

Seen as more necessary than desirable, his mandate was never agreed upon as it came from a heavily divided party. The convention of the Conservative Party in early October was marked by tension and dissent. Calls for unity, rather than in the interests of the Labor opposition, have little effect, and calls to replace Truss are getting louder.

“Mini-budget” has become a “maxi-problem”

The September 23 “Mini Budget” was primarily intended to finance an energy price freeze for households and businesses, which would cost £60bn (€69bn) and be supported by additional public debt.

However, in addition to the expected repeal of the increase in social security contributions that has been in place since April and the cancellation of the planned increase in corporate taxes, Kwarteng unexpectedly announced the abolition of the top 45% tax scale in 2023. on personal income, a reduction from 20% to 19% at the lowest level, and an immediate rebate on home purchase tax.

The cost of the biggest fiscal intervention in decades, estimated at around £45bn (€51bn), was met with suspicion by financial markets, leading to a devaluation of the pound, higher interest on British debt and uncertainty in real estate. sector.

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The Bank of England was forced to intervene in the bond market, which helped stabilize the pound and the debt, but the British government’s plan was criticized by the IMF due to the risk of worsening inflation, and Standard and Poor’s reduced it from stable to stable. negative “rating” of the United Kingdom.

The chaos undermined the popularity of the Tories: a poll published in The Times newspaper gave the Labor Party a 33 percentage point lead.

The Financial Times reported this morning that Truss is on the verge of backing off some measures “in a desperate attempt to restore market confidence” and ensure she survives in the position she took 40 days ago.

The Times and the Daily Mail are making headlines about conspiracies within the Tories to overthrow Truss if she fails to control the economic and financial instability recorded in recent weeks.

Even before Kwarteng’s resignation, Conservative MP and chairman of the parliamentary finance committee, Mel Stride, who was one of the plan’s most outspoken critics, admitted that the return of the former US secretary “might very well mean we’re about to do a U-turn.”

“I believe this should happen,” he repeated, calling for an announcement as soon as possible “within the next 48 hours” ahead of the October 31 fiscal plan to calm markets.

One of the main possibilities that has been talked about is an increase in income tax from the current 19%, which Kwarteng has decided to freeze instead of increasing to 25% in 2023 as planned.

“We have reached a point where we need a strong signal to markets that confidence in fiscal policy has returned,” Stride said.

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Order for only 38 days

Confirming his departure, Quareng became the second shortest-term minister in the British executive – surpassed only by Ian McLeod, who died of a heart attack 30 days after taking office in 1970.

Kwarteng, 47, the son of immigrants from Ghana who came to the United Kingdom in the 1960s, was introduced by Truss to the portfolio of the finance department, which had the difficult mission of leading the country out of a crisis caused by rising costs of living and rising energy prices.

Considered one of the key figures in the most ethnically diverse leadership, Kvarteng nonetheless followed a path very similar to his peers. Born in London to an economist and lawyer, Kwarteng received a scholarship to study at a private college at Eton. He then studied at Cambridge and Harvard in the USA.

An ultra-liberal, he worked as a financial analyst before being elected as a Conservative MP in 2010. Since 2021, under Boris Johnson, he has been secretary of business, industry and energy and, like his longtime friend Truss, has been driven by being a tax-cut liberal.

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Zelensky considers the ceiling set by the EU for Russian oil insufficient

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President of Ukraine Volodymyr Zelensky this Saturday considered limiting the price of a barrel of Russian oil to $60 insufficient, as he does not consider it a “serious decision”, and Kyiv offered a price two times lower.

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Spain: it is already known where the trap envelopes were sent

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The Spanish police claim that six trap parcels that arrived at diplomatic missions and ministries were sent from the city of Valladolid.

Despite the established origin, the authorities still don’t know who’s to blamesince the letters will be placed in regular mailboxes.

The first evidence of the investigation is related to only one of the six packages was able to be deactivated without damage🇧🇷 These are homemade devices with powder charges. The police managed to carry out controlled explosions in four devices.

In the period from November 24 to December 2, parcels with pyrotechnic materials arrived at the diplomatic missions of Ukraine and the United States, the Ministry of Defense and in the office of Prime Minister Pedro Sanchez.

Meanwhile, the security of public buildings, government and embassies strengthens🇧🇷 Despite the written bombs sent out, the authorities decided that it was not worth raising the level of terrorist threat.

On Friday, Spain’s interior minister recommended to the European Commission and partner countries take action if they received such trap letters with the recognition of their possible attitude towards the war in Ukraine.

The advice was accepted by Portuguese diplomacy, and the Ministry of Foreign Affairs sent Portuguese embassies to increase caution when receiving mail.

The MNE of Portugal acknowledged that a circular with recommendations was sent to the Portuguese missions and embassies, but chose not to give further details about the proceduresciting security concerns.

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Qatar treats Santos Silva better than Marcelo

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Joao Sena

In Doha, Augusto Santos Silva guaranteed that there would be no problems between Portugal and Qatar. “The two countries have tense diplomatic relations. Qatar is one of the Gulf states where we have a permanent ambassador and it is a strategic region for us,” said the second representative of the Portuguese state. And he also mentioned that there are several points that “should not be forgotten” in order to maintain good bilateral relations. Referring to his experience as Minister of Foreign Affairs, he recalled two facts: “First, it is that, unfortunately, the former Portuguese Ambassador to Qatar, Ricardo Prachana, died in office and the support provided by the Qatari authorities was unsurpassed. (…) Second fact [foi] when we had to remove dozens of people from Afghanistan, namely Afghans who collaborated with the Portuguese armed forces, in a very difficult operation. We did this because we had Pakistan’s support on the ground route and Qatar’s support on the air route.” Santos Silva’s agreement with the Qatari authorities goes even further when he praises “the very clear position that Qatar has taken in the United Nations General Assembly condemning the war against Ukraine and the importance of the geopolitical and geo-economic perspective that this region has in the world today.”

moderate speech pleases

Santos Silva’s statements clearly show more cordiality compared to the speeches of Marcelo Rebelo de Sousa and António Costa (the so-called “hostile”), as well as the subsequent human rights narrative that has rattled the Qatari government to, as reported by Nascer do SOL in its latest issue, admitting that he blacklisted the country as soon as the World Cup is over, the same is happening with Germany, Denmark and France, which have followed the same type of discourse.

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Diplomatic efforts by Santos Silva appear to have helped mitigate the damage caused by the statements of Marcelo Rebelo de Souza, who at the Doha conference refocused on human rights violations, knowing that previous statements were considered “hostile”. ‘ by the Government of Qatar. The diplomatic corps immediately took action at the Palacio das Necessidades and in Doha to prevent the situation from escalating. A Portuguese delegation was sent to Qatar to ensure that Santos Silva’s trip would not bring more problems to Portugal and that the diplomatic calculation would have no repercussions.

In addition to his presence at the stadium to watch Portugal play, the President of the Assembly of the Republic met with the Qatari authorities, where “all matters of interest to both Portugal and Qatar” were considered. Homework was done well and Santos Silva was awarded state awards. He was met at the airport by Deputy Prime Minister Mohammed bin Abdulrahman Al Thani and stayed at a hotel reserved exclusively for heads of state (instead of the Banyan Tree Hotel reserved for vice presidents and chairmen of parliaments). an attitude very different from that given to the President of the Republic during his visit to Qatar, as he was received by the daughter of the Sheikh of the Emirate, who was at the stadium in her private box without receiving the Portuguese head. The Qataris seem to know how to forgive but not forget.

Western hypocrisy

On the subject of human rights in Qatar, Angelo Correia, a former interior minister (de Cavaco Silva), believes this is “hypocrisy and a Western superiority complex.” Speaking to Nascer do SOL, the analyst and political commentator added that the West is “punishing itself for its past mistakes regarding the barbaric colonization of some countries in this region, while at the same time assuming the supremacy of the present as if nothing had happened in the past. In Europe there is a contradiction between sinning excess in this matter and showing superiority over those who are not yet on their way. This is an ambiguous, pompous and contradictory attitude.” But the political class is also responsible: “Portugal’s position towards Qatar left much to be desired in some circumstances, and some people and some parties showed a certain opportunism. There are currently two problems that elude the Portuguese democratic reality: the lack of memory and then the strong agitation for political correctness.”

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Relations between Portugal and Qatar have entered a less tense phase and the presence of Ana Catarina Méndez, Deputy Minister for Parliamentary Affairs who replaced the Prime Minister, who canceled her trip for health reasons, in yesterday’s game in which Portugal lost to South Korea (1-2) an example of this. “This is the day we should all unite with the colors of Portugal, the colors of an open, modern and inclusive society that I am proud to represent,” he told Lusa.

António Costa is expected to go to the Round of 16 game on Tuesday and if the national team continues to compete, with Santos Silva reaching the quarter-finals and Marcelo Rebelo de Souza reaching the semi-finals, then… But one thing is for sure: an agreement is needed. official discourse so that the country is not blacklisted by the emirate.



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