PM Truss resigns – government stability now needed to rebuild economy, trade institute chief says

Thu 20 Oct 2022
Posted by: William Barns-Graham, Phillip Adnett
IOE News

No 10 Downing Street - Liz Truss resigns as PM

Liz Truss has today (20 October) announced her resignation as prime minister of the UK.

Truss took over from Boris Johnson on the 6 September, after winning the Conservative Party leadership election over former chancellor Rishi Sunak.

She will remain in office as caretaker until her successor has been selected, saying that the leadership election will be completed within the week.

After only 44 days in office, the former international trade secretary is likely to be the shortest tenured PM, significantly behind George Canning – who died in office – at 119 days.

Stability needed

Director general of the Institute of Export & International Trade, Marco Forgione, said:

“We welcome the clarity that Prime Minister Truss has given in her statement today regarding the future. We particularly welcome that, following her resignation today, there will be a new Prime Minister in place within the next week, given the business certainty that our over 7000 members and the wider trading community require.”

“The IOE&IT is calling for a resilient, stable and focused government, which will support businesses and is desperately required at a time of a 40-year record high inflation and with imports and exports in a concerning state of decline. Certainty and coherence are essential if there is to be any chance of minimizing the impact of a recession.”

Resignation speech

Speaking outside 10 Downing Street, Truss said:

“I came into office at a time of great economic and international instability. Families and businesses were worried about how to pay their bills. Putin’s illegal war in Ukraine threatens the whole security of our continent. And our country has been held back for too long by low economic growth.

“I was elected by the Conservative Party with a mandate to change this. We delivered on energy bills and cutting National Insurance.

“And we set out a vision for a low tax high growth economy that would take advantage of the freedoms of Brexit.

“I recognise though, that given the situation I cannot deliver the mandate on which I was elected by the Conservative Party.

“I therefore spoke with HM King to notify him that I am resigning as leader of the Conservative Party.

“This morning I met the chairman of the 1922 Committee Sir Graham Brady. We have agreed that there will be a leadership election to be completed within the next week

“This will ensure we can remain on a path to deliver our fiscal plans and maintain our country’s economic stability and national security.

“I will remain as prime minister until a successor has been chosen. Thank you."