Jeremy Hunt's tax u-turn does little to calm Tories as Liz Truss teeters on the edge

The Chancellor's dramatic changes to Liz Truss' tax-cutting plans has done little to calm Conservatives, with Welsh Tories disbelieving that they find themselves in such chase so soon after convincingly winning the 2019 UK General Election. 

It means that there's a short period of time where MPs and others will see what the reaction is to Jeremy Hunt's unprecedented statement, but that the Prime Minister is still very close to being forced to leave office just over a month after winning the top job. 

Activists are watching on horrified, their anger directed either at Liz Truss or at those MPs who are now actively trying to replace her as leader and Prime Minister.

One told me that grassroots Tories are “livid” at what they see is a “coup” by MPs who never supported Liz Truss. 

But another said that the party has a “window” of time for some “tough medicine” which could establish order and avoid catastrophic scenarios of either swapping leader or forcing another election. 

While many are fearful of making the situation worse by speaking publicly, some have gone on the record. 

Bridgend MP Jamie Wallis has published an open letter to Liz Truss, saying: “I ask you to stand down as Prime Minister as I believe you no longer hold the confidence of the country or the parliamentary party.”

However, the Welsh Conservative leader Andrew RT Davies urged for calm, telling the BBC that “the Conservative party now needs to come to its senses, cease this internal civil war that's going on, and rise to the challenge and the privilege that this country has given it of being in government in Westminster and delivering for people across this country."

Another senior Welsh Tory told me that the appointment of Jeremy Hunt as Chancellor of the Exchequer allows the party and the UK Government chance to reassess what it is doing.  

“He is a tough nut,” they told me, “even though he speaks quietly and and reasonably.”  He has, they believe, “a window” of time during which he can deliver “tough medicine.”

However one MP thinks that, while Hunt’s appointment has “calmed things down” when it comes to the financial markets, it has also highlighted that there is now no point in Liz Truss continuing as Prime Minister. 

They acknowledged that switching leaders again will be hugely controversial but said that it’s not the worst possible scenario which is, in fact, the position the party and government is in right now. 

The opposite view has also been expressed to me. “There is obviously a coup going on,” said another senior figure, adding that the “grassroots are livid” and warned that that anger could lead to deselections in the coming months. 

The membership, they said, wants Liz Truss to be given a chance. “They never wanted Boris to go and now they see MPs undermining their choice for his successor. They are extremely unhappy.”

That was echoed by a leading Welsh Conservative activist who told me that “the parliamentary party is being arrogant and self indulgent. They’ve totally forgotten about how it impacts the grassroots.”

Another senior figure had a similar message to Tory MPs but said that they need to act quickly one way or another. 

“If they can’t unite around Liz Truss then they should find someone they can unite around, but do it quickly. To think that the party has its biggest majority since the 80s and all that political capital is being wasted is so shameful.”

Every day in this extraordinary crisis brings unprecedented developments and it’s clear that it’s all far from over.