Even though she won a big majority of the Conservative members plus the largest number of MPs declaring, there was a feeling from the very outset that she would not be allowed to govern in the way she wanted.
It quashes the housing market, reduces labour mobility and inescapably reduces the number of transactions. This is not contested: the Treasury accepts the point in its modelling.
One way in which the Government could help would be through a temporary increase in the Gift Aid rate. Conservatives introduced Gift Aid in 1990, and now have the chance to enhance it.
The public sector has just swallowed another semi-autonomous set of institutions with little protest or controversy.
The moral of this story is that these models provide interesting context – a little like horoscopes. But when it comes to decision-making, give me an economic historian in preference to a model any day.
Hunt faces the conflicting objectives of reassuring the markets at the same time as continuing with as much of her agenda as possible.
The tough inflation requirement which will constrain public spending and borrowing should be complemented by a growth target.
Some Tory members would see such a development as nothing less than an establishment coup: as a conspiracy of bad actors working together to win revenge for Brexit.
At a macro-level, it reinforces prudence and affordability. But at a micro-level, it can be an obstacle to speed, efficiency and innovation.
The risks of an adverse market reaction were obvious in advance of Kwarteng’s statement, and a wise Chancellor would have taken heed of it. Unfortunately, the Permanent Secretary had been dismissed and he ploughed on apparently oblivious to the risks.
The Government should be more worried about the balance of payments deficit than about the government deficit. We cannot rely on the goodwill of foreigners. We need to start to close the gap and reduce our demands on foreign currency markets.
“‘Rift’ claims as Treasury Chief retires,” the Independent reported in 1998, after Brown eased out Terry Burns.
Unlike the ex-Chancellor, Truss will speed more people on their personal journeys as training, education, self-employment, and opportunity come to touch many more.