Liz Truss has beaten Rishi Sunak to become the new Conservative Party leader and Prime Minister, seeing organisations react.
The Mayor of West Yorkshire, Tracy Brabin, said: “My door is open for the new Prime Minister who will urgently have to grapple with the cost-of-living crisis.
“Here in West Yorkshire, one in three households will have no disposable income left after paying their energy bills as things currently stand, and I’m calling on Liz Truss to urgently freeze the energy price cap to provide them a lifeline.
“Her new Government must also deliver on her pledge to deliver Northern Powerhouse Rail in full, with that vital new station in Bradford, as well as come good on long-promised investment to help make ‘levelling up’ a reality and not just a soundbite.”
National chair of the Federation of Small Businesses (FSB), Martin McTague, said: “I congratulate Liz Truss and her team on a campaign that included small businesses, the self-employed and unleashing enterprise at its centre.
“The challenge now is to deliver action that is big and bold enough to match the scale of the crisis threatening the existence of many small firms, and the jobs, livelihoods and communities which depend upon them.
“Small firms, not protected by an energy price cap, are seeing bills soaring out of control. This is at a time of sky-high taxes, rampant inflation and supply chain disruption, creating a toxic mix which must be addressed urgently.
“Small businesses are crying out for a comprehensive response which cuts taxes, limits spiralling bills, and provides direct cash support for the smallest businesses.
“During the leadership campaign we were pleased that Liz Truss listened to our calls to reverse the recent hike in National Insurance and to look at lifting more small firms out of business rates.
“As she prepares her full package of emergency plans, we are ready and willing to work with the new Prime Minister and her team to protect the UK’s 5.5 million small businesses and the 16 million jobs within them, in communities in all parts of the UK.”
Tony Danker, CBI director-general, said: “Congratulations to the new Prime Minister. This is an extraordinarily difficult time to be leading the country, and she has businesses’ full support in meeting shared challenges together, head on.
“Most immediately, support for struggling households and firms in jeopardy is top of the in-tray. This may not be the pandemic, but the exceptional circumstances we now face mean Government must play a central role in supporting our economy.
“And if we’re serious about getting the UK growing again, ensuring any slowdown is short and shallow, we need a serious plan for growth. It needs to be bold, unconventional and rooted in the very real opportunities that still exist for the UK to thrive.”
Stephen Phipson, CEO of Make UK, the manufacturers’ organisation, said: “We congratulate Liz Truss on her appointment and look forward to discussing the critical importance of manufacturing, a sector that delivers millions of well-paid, highly skilled jobs across the whole of the UK. Britain’s manufacturers are an excellent example of a growing success story, contributing billions of pounds to GDP every year and vital in implementing the Government’s levelling up agenda, creating jobs where they are most needed.
“But industry at this time needs decisive action from the new Government to help it through a prolonged period of unprecedented hikes in energy bills, rising cost of raw materials and critical labour shortages in order to keep Britain’s place as a leader of innovation on the world stage.”
Sarah Howard, chair of the BCC, said: “We would like to congratulate Liz Truss on running a successful campaign to become the UK’s new Prime Minister.
“She must now take immediate steps to support the economy. The last few months have been difficult for everyone, time is running out and urgent action is needed to deal with the costs’ crisis.
“We believe the country has already entered a recession and that inflation will hit at least 14% in the months ahead.
“Like households, firms have been telling us of unsustainable rises in their energy bills and how difficult it is to find new fixed term contracts to buffer against further price hikes.
“Unless the new Prime Minister addresses these problems head-on then the economy will drift further into dangerous waters and the outlook for both businesses and consumers will be bleak indeed.
“The BCC set out a five-point action plan to support businesses at the end of August and sent it to the Treasury and Liz Truss’s team. It is now imperative that we see movement on our proposals.
“The plan is not just about ensuring support for businesses. It is also about protecting jobs, securing livelihoods, and creating a vibrant and prosperous society.”
