Former UK PM Liz Truss says mini-budget was not to blame for her downfall
The gist
Former UK prime minister Liz Truss said "It wasn't the mini budget that went wrong."
She blames a gilt market spike, keeping her 49-day tenure disputed.
How it unfolded
- 2022Truss's premiership collapsed after a mini-budget of £45 billion in unfunded tax cuts spooked the markets and sent mortgage rates soaring; she resigned after 49 days, the shortest tenure in British history.
- Jul 2024Voters wiped out Truss's 26,195 majority in South West Norfolk; Labour's Terry Jermy won by 630 votes, ending 60 years of Conservative control of the seat.
- Oct 23, 2026The South West Norfolk Conservative Association's candidate application window closed; Truss did not put her name forward.
Key terms
- mini-budget
- An informal name for a UK government economic statement setting out tax and spending plans outside the usual annual budget.
- gilt market
- The market for UK government bonds, which are sterling-denominated debt securities with very low credit risk.
- liability driven investment pension funds
- Pension schemes using an asset-liability approach that builds portfolios around the size, timing and risk of known obligations.
Source: Wikipedia