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A little under four weeks as prime minister and it couldn’t really have gone worse for Liz Truss.

A mini-budget that precipitated a run on the pound (it has rallied a bit since), a £65bn emergency intervention by the Bank of England to prop up pension funds, and the withdrawal of nearly 1,000 mortgage deals from the market in anticipation of a big hike in interest rates later this year.

The Conservatives are experiencing their worst polling since the late 1990s and dozens of Tories are contemplating losing their seats at the next election.

The question for me in Birmingham this week is simple: Has Liz Truss’s disastrous mini-budget already sealed her fate?

British Prime Minister Liz Truss and Chancellor of the Exchequer Kwasi Kwarteng (not pictured) visit Berkeley Modular, in Northfleet, Kent, Britain, September 23, 2022. REUTERS/Dylan Martinez/Pool

Ask Conservative MPs, and there is already a movement to try to oust her. Her insistence that she will not reverse any elements of her budget, regardless of the political toxicity or the clear economic risks, has led some MPs to say privately they want her to go.

“There needs to be policy change and personnel change,” said one senior Conservative.

“There are MPs saying she simply cannot lead us through a general election and MPs are putting forward suggestions to Sir Graham Brady about rule changes.

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“One scenario is that MPs decide a new PM and it’s not put to members.

“People are very anxious.”

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When I asked the MP if Ms Truss could survive until Christmas, they told me: “I think it’s probable that she will be gone by Easter.”

‘This plan is not going to work’

A former cabinet member also confirmed that colleagues were working up options to try to remove Ms Truss, as they whispered to me that they might now stand down at the next election in the face of almost certain defeat.

“This plan is not going to work,” they said.

For a new prime minister, who in typical times might expect a honeymoon period rather than the mutterings of divorce papers, such remarks are totally damning and speak to the extremely difficult predicament she now faces.

For, just as I’d never been to a more positive Labour Party conference than the one last week, I’ve never been to a Conservative one so shrouded not just in gloom about the electoral prospects of the party, but palpable anxiety about the Truss administration.

And this is about more than even the existential threat her policies could pose to the Conservative Party.

There is genuine fear too that she might “tank the economy”. As one former senior minister told me after the mini-budget: “It’s madness and I’m scared.”

Already MPs mutter that she will have to change – the policies and the personnel, or face a showdown with her party.

One MP told me there are easily 100 MPs who could rebel against her budget. The political toxicity of abolishing the top rate of tax for those earning over £150,000 a year, while mulling a real terms benefits cut for the four million at the bottom end of the income scale relying on universal credit, is plain to see for many MPs – even if Ms Truss wants to turn a blind eye.

Read more:
A lesson from ‘Reaganomics’: Collision of theory and reality could prove fatal for PM and Tory party
Devolved nations demand meeting with chancellor as Tory top team double down

But it’s not just the politics of her mini-budget, it’s the economics of it.

“We can’t ignore the cost of borrowing line item,” is how one former minister puts it. “What are the fiscal rules?”

If the prime minister can’t prove to the country, the markets, the Office of Budget Responsibility, and her backbenches that her government can achieve 2.5% growth, then the tax measures will have to be funded through debt.

And that has an obvious knock-on effect for families, with those on average mortgages having to potentially pay more in higher mortgage costs than in tax cut gains.

All of it is causing acute anxiety for MPs as they look at the polls and the prospects of their own re-election.

Plenty of those in the Sunak camp are keeping quiet for now, telling me that they want to let this play out and don’t want to take aim at Truss publicly – yet. But two outriders – former cabinet ministers Michael Gove and Julian Smith – are saying publicly what many are saying privately.

This is Mr Gove on Sunday: “I think there are two specific concerns that I have about the unfunded nature of tax cuts and about the 45p tax cuts, which we now have an opportunity to reflect on.”

“And I think it would be wise for us to recognise that they are neither the right economic nor the right political response to the situation that we face at the moment,” he told journalist Christopher Hope at a Daily Telegraph event.

When he was asked whether the policy should be reversed, he didn’t blink: “Yes”.

‘We cannot clap for carers one month and cut tax for millionaires months later’

And this was former chief whip Julian Smith in response to chairman Jake Berry’s warning on Sky News’ Sophy Ridge on Sunday show that Tories who voted against the mini-budget would lose the whip: “The first job of an MP is to act in the interest of their constituents and in the national interest.

“We cannot clap for carers one month and cut tax for millionaires months later.”

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All of it appears to be falling on deaf ears, with the PM and her team adamant that her plan is the right one and the mistakes over the past week were about the communications strategy not the policies.

As one of her key allies put it to me: “The PM gets this past week has been disruptive,” but “she firmly believes her plan for the economy is the right one.

“We’ve been stuck in a world of high taxes, cheap credit, and low growth for too long, with too much focus on tax and spend at the expense of growth.

“That status quo isn’t working, so we have to change course, otherwise we’re consigning the economy and country to long-term decline.

“We’ll do that and manage the public finances responsibly.”

Pro-growth, pro-investment, low-tax. That’s the mantra.

‘There is still so much wastage across various parts of the system’

The PM’s cabinet and top team are also supporting her.

One senior minister pointed out to me on the eve of the conference that such a big change in approach – the biggest shift in economic approach for a generation or more – was “always going to shock the markets” but the principles of leaving more money with individuals and businesses was the right one, as were the efforts – and we’re going to see what this looks like in practice later this year – to cut back on government costs (read: spending).

“There is still so much wastage across various parts of the system,” they said.

But will this government even get that far?

Ms Truss has four days in Birmingham to try and sell her plan not just to her members and MPs, but to the country.

The problem she has is that so many people seem to have stopped listening already.

A PM not for turning and a parliament in which many MPs now think they have nothing more to lose. Strap in.

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Frontline with Russia is ‘everywhere’ – even ‘in the minds of our citizens’, MI6 chief says

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Frontline with Russia is 'everywhere' - even 'in the minds of our citizens', MI6 chief says

Russia is trying to “bully, fearmonger and manipulate” the UK and its allies with attacks under the threshold of all-out war, the new head of MI6 has said.

Blaise Metreweli, the first female chief of the Secret Intelligence Service (SIS), said Britain was “operating in a space between peace and war” and that everyone has a responsibility to understand the dangers because “the frontline is everywhere”.

In her first big speech on Monday, she also focused on Vladimir Putin’s devastating war in Ukraine, accusing him of “dragging out negotiations” on a peace deal and warning that Kyiv’s fate is “fundamental not just to European sovereignty and security but to global security”.

Offering her view on the evolution of global security threats, Ms Metreweli underlined the transformative role of technology, from artificial intelligence to quantum computing.

She said control over such advanced technologies is shifting from states to corporations and even individuals, making the balance of global power more “diffuse, more unpredictable”.

The spymaster did not name anyone.

Head of MI6 says Russia is trying to 'bully, fearmonger, and manipulate'. Pic: Reuters
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Head of MI6 says Russia is trying to ‘bully, fearmonger, and manipulate’. Pic: Reuters

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Is time running out for peace plan?

However, innovators such as Elon Musk are becoming increasingly influential, with their technologies such as his Starlink satellites and his social media site X.

The boss of MI6 was speaking at her agency’s headquarters in London, though she said that the main work of her spies was carried “many miles away from this place – out of sight, hidden from the world, undercover, recruiting and running agents who choose to place their trust in us, sharing secrets to make the UK and the world safer”.

She warned the world was “more dangerous and contested now than it has been for decades”.

Read more from Sky News:
Who were the suspected gunmen in Bondi Beach terror attack?
Jimmy Lai found guilty of national security offences in Hong Kong

The spy chief said: “Conflict is evolving and trust eroding, just as new technologies spur both competition and dependence.

“We are being contested from sea to space – from the battlefield to the boardroom. And even our brains as disinformation manipulates our understanding of each other and ourselves… We are now operating in a space between peace and war.

“This is not a temporary state or a gradual evolution. Our world is being actively remade with profound implications for national and international security.”

Breaking with a tradition by previous chiefs of offering a view on a range of threats when speaking publicly, Ms Metreweli said she was choosing to focus on Russia.

“We all continue to face the menace of an aggressive, expansionist and revisionist Russia, seeking to subjugate Ukraine and harass NATO,” she said.

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Ukrainian MP: Who will stop Putin?

On the conflict, she said Putin was “dragging out negotiations and shifting the cost of war on to his own population”.

Her comments come as Donald Trump is attempting to broker a peace deal between Moscow and Kyiv.

General Oleksandr Syrskyi, the head of Ukraine’s armed forces, told Sky News in an interview earlier this month that he believed Putin was using the US push for negotiations as “cover” while Russian troops attempted to seize more land by force.

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The Wargame returns with new episodes

The MI6 boss said the UK’s support for Ukraine would endure regardless of Moscow’s stalling actions.

She also flagged a growing wave of “grey zone” hostilities – deliberately carried out under the threshold of conventional armed conflict – that she attributed to Moscow.

“It’s important to understand their [Russia’s] attempts to bully, fearmonger and manipulate because it affects us all,” she said.

“I am talking about cyber attacks on critical infrastructure. Drones buzzing airports and bases. Aggressive activity in our seas, above and below the waves. State-sponsored arson and sabotage. Propaganda and influence operations that crack open and exploit fractures within societies.”

Germany's President Steinmeier with President Zelenskyy in Berlin on Monday. Pic: Reuters
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Germany’s President Steinmeier with President Zelenskyy in Berlin on Monday. Pic: Reuters

While she did not specify any particular incidents, there have been a spate of mysterious drone sightings in Denmark, Germany and Sweden; while a Russian spy ship was spotted off the coast of Scotland and acts of arson and sabotage have been carried out in the UK, such as a blaze at a warehouse in east London that was providing aid to Ukraine.

Drawing attention to another method to attack a country and its people, Ms Metreweli underlined how information is being weaponised, with falsehoods spread online that are designed to erode trust in a society and amplify divisions.

“The export of chaos is a feature not a bug in this Russian approach to international engagement and we should be ready for this to continue until Putin is forced to change his calculus,” she said.

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NATO boss: ‘Conflict is at our door’

MI6, she said, is adapting to respond to the evolving threats.

But unusually Ms Metroweli also said the wider British public had a role to play, such as with schools helping to educate children to spot disinformation on social media and to check sources of news “and be alive to those algorithms that trigger intense reactions like fear”.

She added: “It also means everyone in society really understanding the world we are in – a world where… the frontline is everywhere. Online, on our streets, in our supply chains, in the minds and on the screens of our citizens.”


Building on the success of the highly acclaimed podcast The Wargame, Sky News presents The Wargame: Decoded – a one-off live event that takes you deep inside the minds of the wargame’s participants. Discover how they tackled the toughest challenges, the decisions they made under intense pressure, and even experience key moments of the game for yourself.

Click here to get tickets.

Sky News’ Deborah Haynes will guide the conversation with Sir Ben Wallace, Robert Johnson, Jack Straw, Amber Rudd, Keir Giles and General Sir Richard Barrons – real-life military chiefs, former government officials and leading experts. Together, they will unpack their experiences inside The Wargame, revealing the uncertainty, moral dilemmas and real-world pressures faced by those who must make decisions when the nation is under threat.

Join us for this unique event exploring how the UK might respond in a moment of national crisis and get a rare, unfiltered glimpse into how prepared the country truly is for war.

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Who were the suspected gunmen in Bondi Beach terror attack?

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Who were the suspected gunmen in Bondi Beach terror attack?

A father and son have been identified as the suspected gunmen in the terror attack on a Jewish event in Bondi Beach which killed at least 15 people.

More than 1,000 people were celebrating the Jewish festival of Hanukkah on the beach on Sunday evening when two people opened fire on them.

Those killed in the attack range from 10 years of age to 87, including a rabbi and a Holocaust survivor, while 38 others have been injured.

One of the alleged gunmen has been named by New South Wales (NSW) police as 24-year-old Naveed Akram, while the other has been identified as his 50-year-old father Sajid Akram.

How did they carry out the attack?

Footage shows the gunmen start firing into the crowd from a footbridge that leads over a car park to the beach.

Sky News has identified from the footage that the younger gunman was using a rifle, while the older one was using a semi-automatic shotgun.

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What’s been said about the gunmen

Police commissioner Mal Lanyon said officers searched two properties in connection with the suspects and found that the father had six firearms licenced to him.

Follow live: 15 people and gunman killed in shooting

He said they were confident that those firearms were the six found at the scene of the shooting.

More footage from the scene showed that a man, later identified as 43-year-old fruit shop owner Ahmed al Ahmed, tackled and disarmed one of the gunmen, believed to be the father Sajid, before pointing his own weapon at him, which was empty.

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Moment ‘hero’ disarmed gunman

The footage then showed the disarmed gunman running towards where the other gunman was located. Mr Ahmed was shot twice in the incident and required surgery, his family said.

The shooting is estimated to have gone on for roughly 10 minutes from 6.47pm. Eventually, the police took down the gunmen 75 seconds apart on the bridge.

Read more:
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Eyewitness accounts of ‘utter panic and chaos’

The father was killed at the scene by police, while the son was shot and wounded.

He is being treated at a hospital, according to police. Mr Lanyon said he “may well” face criminal charges.

In an update on Monday, Prime Minister Anthony Albanese told ABC that the suspect was in a coma.

He also said there were a range of IEDs and “explosive devices” in their car that they intended to use to “cause further damage”.

What do we know about their backgrounds?

Sajid Akram arrived in Australia in 1998 on a student visa and transferred to a partner visa three years later, before becoming a permanent resident, according to Home Affairs Minister Tony Burke. Officials have not disclosed what country he migrated from.

He had his gun licence for approximately a decade and held a gun club membership, Mr Lanyon said.

The younger suspect was an Australian-born citizen who first came to the attention of the Australian Security Intelligence Organisation (ASIO) in October 2019, Mr Albanese told reporters.

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Younger gunman was part of 2019 ‘investigation’

“He was examined on the basis of being associated with others and the assessment was made that there was no indication of any ongoing threat or threat of him engaging in violence,” Mr Albanese said.

Mr Albanese said the suspect was investigated for six months over his connections to two people who later went to jail, one man for planning terror attacks.

He said he was not put on a watch list because the investigation uncovered no evidence that he was planning or considering any act of antisemitic violence.

Neither the father nor son have been on the ASIO’s radar since the 7 October Hamas attacks, he added.

What do we know about the motives?

New South Wales Police designated the attack a terrorist incident, and Mr Lanyon said a “significant investigation” would be led by counterterrorism and that “no stone will be left unturned”.

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Community mourns after attack

“When I asked for calm, that is really important,” he said. “This is not a time for retribution. This is a time to allow the police to do their duty. So police are responding to make sure that all of the community is safe.”

Mr Albanese called the massacre an act of antisemitic terrorism that struck at the heart of the nation.

On Monday, he said the attackers were “two evil people… driven by ideology” whose actions were the result of an “extreme perversion of Islam”.

NSW Premier Chris Minns said after the attack: “This attack was designed to target Sydney’s Jewish community on the first day of Hanukkah. What should have been a night of peace and joy celebrated in that community with families and supporters has been shattered by this horrifying, evil attack.”

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Briton Jimmy Lai found guilty of national security offences in Hong Kong

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Briton Jimmy Lai found guilty of national security offences in Hong Kong

Pro-democracy campaigner Jimmy Lai has been found guilty of national security offences in Hong Kong.

The media tycoon and British citizen, 78, was arrested in August 2020 after China imposed a national security law following massive anti-government protests in Hong Kong.

Sky News’ Asia correspondent Helen-Ann Smith, who is at West Kowloon Law Courts Building, said Mr Lai looked “drawn and thin” as he listened to the verdict being delivered.

He had previously been sentenced for several lesser offences during his five years in prison.

Mr Lai, who founded the now-defunct pro-democracy newspaper Apple Daily, was charged with two counts of conspiracy to commit collusion with foreign forces to endanger national security, as well as one count of conspiracy to distribute seditious publications.

He has been found guilty of all three charges.

His trial, heard by three judges approved by the government without a jury present, has been closely monitored by the UK, the US, the European Union and political observers as a barometer of media freedom and judicial independence in the former British colony, which returned to Chinese rule in 1997.

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Mr Lai has spent more than 1,800 days in solitary confinement. His family say his health has worsened as a result and that he suffers from diabetes, high blood pressure and heart palpitations.

In August, Mr Lai’s son, Sebastien, told Sky News that unless the British government (of which Mr Lai is a citizen) intervenes, his father “is most likely going to die in jail”.

Lai arriving at court in 2020. Pic: AP
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Lai arriving at court in 2020. Pic: AP


Sebastien said his father’s death would not just be a personal tragedy, but a huge problem for both the Hong Kong authorities and Beijing’s government.

“You can’t tell the world you have the rule of law, the free press and all these values that are instrumental to a financial centre and still have my father in jail,” he told Sky News.

“And if he dies, that’s it, that’s a comma on Hong Kong as a financial centre.”

This breaking news story is being updated and more details will be published shortly.

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