Liz Truss is not the captain of a sinking ship, says Mark Dolan

Just one ploughing through choppy economic waters. Britain is far from sunk.

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Our brand-new prime minister, and her exciting new chancellor, are being punished for daring to turn Britain into a low tax, high growth economy.

Yes the timings of the announcements, might have been tweaked here and there, and I'm not sure that the new government’s message machine, is quite up and running yet.

But with the Tory party conference looming, and the spotlight on Liz Truss, it's the perfect opportunity, to reiterate her vision for this country. And what a vision it is.

I'll take Truss's plans over the vague, expensive shopping list of ideas we heard from Keir Starmer on Tuesday. Now I'm well aware that last week’s mini budget was about as well received, as Holly and Phil, at a queuing convention, but I see the fallout as a failure, of communication, not policy.

The higher rate of tax being scrapped, sends out a message of aspiration, not just to hard-working Brits, but wealthy individuals from around the world, who will know, their money is safe here.

I want their cash, don’t you? As more people go into that higher tax band, without fear of being clobbered by HMRC, it's just possible, that scrapping it will cost nothing, or could even bring in more revenue.

British Prime Minister Liz Truss looks on as she speaks to the media at the Empire State building in New York, U.S., September 20, 2022. REUTERS/Toby Melville/Pool
British Prime Minister Liz Truss looks on as she speaks to the media at the Empire State building in New York, U.S., September 20, 2022. REUTERS/Toby Melville/Pool

That’s certainly the view, of top, former government minister Ann Widdecombe who told me as much, on last night's show.

Lower taxes, raising, Treasury income? Who knew? It also makes perfect sense, to reverse the hike in national insurance, as that is a tax on jobs and on the poorest members of our society.

And are you telling me that making life easier for businesses, by delivering a cut to corporation tax, won't boost the economy?

So they can hire, invest and pay their workers more?

It's exactly the lift for business, that I believe will pay dividends, and far in advance of the next general election.

The decision not to clear the numbers, with the office for budget responsibility, is another reason, why this storm has worsened, but due diligence is on its way.

It's clear that the government must lay out a plan, for how all of this, is going to be paid for. And they will.

Trussenomics is not a sinking ship, says Mark Dolan
Trussenomics is not a sinking ship, says Mark Dolan

But be clear, the media have overreacted, because ever since Covid, and as we've seen with climate change, doomsday scenarios, have become the norm, and fear sells.

And let’s be honest, most of the media want Truss to fail.

Sterling has roared back to life, recovering massively and a pound will now buy you a dollar and 11 cents.

But why let the facts, get in the way of a good story? Yes Liz Truss and her Chancellor have had a tricky start, to say the least, and people are rightly worried about skyrocketing household bills and mortgage repayments.

But I believe these are short term headwinds, in relation to a potentially great and undoubtedly misunderstood budget. And with these headwinds, we are not alone.

The European Systemic Risk Board have issued a warning about risks to EU financial stability and called for resilience in the financial sector to be preserved or enhanced.

This as Germany hits 10% inflation and faces a Winter energy crisis.

And the European Central Bank have said interventions will be required. But I thought it was the UK that was in trouble? I'm so confused.

In the long run this will be a good news story. For the first time in decades, we've got a government serious about rebooting the economy, serious about change.

Liz Truss is not the captain of a sinking ship, far from it. Just one ploughing through choppy economic waters.

The map is clear, the route is set and our course is charted. A few people are getting queasy, but still waters await us. Full steam ahead. Britain is far from sunk.