New PM Rishi Sunak (Beresford Hodge/PA)
(Picture: PA Wire)Rishi Sunak is set to become the UK’s next Prime Minister. His focus will no doubt be on balancing the books and, while he is right to restore the public finances to good health, he should not do so at the expense of the most vulnerable and should still go for economic growth.
Sunak’s first challenge will be restoring confidence in the UK’s economy. The very fact that he is set to become Prime Minister should reassure the markets and he can build on this by immediately announcing that he intends to keep Jeremy Hunt as Chancellor. Going forward he should confirm that there will be a full statement on the nation’s finances on October 31st accompanied by a forecast from the independent OBR where he will commit to reversing the fiscal policies set forward in the so-called mini-budget. He should also look again at the support package to deal with high energy costs and instead think about introducing a more targeted scheme which focuses on helping low income households.
