Truss Stands Firm: No Apology for Mortgage Turmoil
In a recent turn of events, Liz Truss, the former Prime Minister, has adamantly refused to issue an apology for the chaos that ensued in the mortgage market during her brief tenure. The aftermath of the mini-Budget presented by her Chancellor, Kwasi Kwarteng, in September 2022, left a trail of financial turbulence across the UK.
Truss’s stance on the matter has sparked controversy, with many questioning her responsibility for the spike in mortgage rates and the subsequent withdrawal of numerous home loan products by lenders. Despite mounting pressure to express regret to those affected, Truss stood her ground, citing global trends in mortgage rate increases.
The former Prime Minister’s remarks during an interview with Sky News shed light on her perspective. She emphasized the challenges faced during her time in office, attributing the financial upheaval to systemic resistance rather than her policies. Truss dismissed claims of direct accountability for the surge in mortgage costs, pointing to broader economic factors at play.
Truss’s resignation after less than two months in office marked a tumultuous period in UK politics. Her subsequent appearance in Washington DC, promoting her new book titled ‘Ten Years To Save the West,’ further fueled public debate on her legacy.
Current Chancellor Jeremy Hunt’s subsequent interventions sought to rectify the repercussions of the mini-Budget, including the reversal of key fiscal measures. The adjustments aimed to stabilize the mortgage market and address the concerns raised by industry stakeholders.
Notable changes introduced post-Truss era included temporary stamp duty cuts and adjustments to first-time buyer thresholds. These modifications aimed to alleviate financial burdens on prospective homeowners and stimulate the property market.
Inheritance tax thresholds also underwent revisions, reflecting the government’s efforts to balance fiscal policies amidst economic uncertainties. The strategic recalibration of tax parameters underscored the evolving landscape of UK financial regulations.
