# UK leadership favourite Truss U-turns on pay plan in first big misstep Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-08-02 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Liz Truss Backtracks on Controversial Public Sector Pay Plan Meta Description: Britain's foreign minister Liz Truss faces criticism and backlash after announcing controversial plans to save money by potentially cutting pay for public URL: https://financedigest.com/uk-leadership-favourite-truss-u-turns-on-pay-plan-in-first-big-misstephtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-08-02t113049z1lynxmpei710g9rtroptp4britain-politics-leadership-1736815512816-compressed.jpg) By Andrew MacAskill and Kylie MacLellan LONDON (Reuters) -Britain’s foreign minister Liz Truss, the frontrunner to replace Boris Johnson as prime minister, was forced to backtrack on one of her most striking pledges a day after announcing it following a backlash from fellow Conservatives and opposition parties. In the first big misstep of her campaign, Truss set out plans to save billions of pounds a year in government spending in a pledge opponents said would require cutting the pay of public sector workers, including nurses and teachers, outside of the wealthy southeast of England. Truss had said late on Monday she would introduce regional pay boards rather than having a national pay agreement, tailoring pay to the [cost of living](https://www.financedigest.com/indefensible-uks-sunak-under-fire-over-response-to-cost-of-living-crisis.html "‘Indefensible’: UK’s Sunak under fire over response to cost of living crisis") where people actually work. But after criticism on Tuesday, Truss said: “I never had any intention of changing the terms and conditions of teachers and nurses. But what I want to be clear about is I will not be going [ahead with the regional pay](https://www.financedigest.com/experts-warn-of-buy-now-pay-later-ahead-of-black-friday.html "Experts Warn of Buy Now, Pay Later Ahead of Black Friday") boards. The U-turn came as a poll showed Truss with a smaller lead over her rival [Rishi Sunak](https://www.financedigest.com/british-pm-rishi-sunak-pledges-further-action-on-strikes-to-protect-lives.html "British PM Rishi Sunak pledges further action on strikes to ‘protect lives’") than previously thought. A survey of 807 Conservative Party members by Italian data company Techne carried out July 19-27 found Truss was backed by 48%, compared with 43% for former [finance minister](https://www.financedigest.com/scottish-finance-minister-kate-forbes-to-run-for-countrys-leadership.html "Scottish finance minister Kate Forbes to run for country’s leadership") Sunak. The result suggests a much tighter race than a previous poll of Conservative members carried out by YouGov on July 20-21, which gave Truss a 24-point [lead over Sunak](https://www.financedigest.com/new-pm-rishi-sunak-pledges-to-lead-britain-out-of-economic-crisis.html "New PM Rishi Sunak pledges to lead Britain out of economic crisis"). ‘SPEECHLESS’ Truss’s public sector [pay plan](https://www.financedigest.com/uk-firms-plan-biggest-pay-rises-since-2012-to-fill-staff-gaps.html "UK firms plan biggest pay rises since 2012 to fill staff gaps") had faced criticism from the main opposition Labour Party and some Conservative lawmakers. The Conservatives [won the biggest majority in three decades at the 2019 national](https://www.financedigest.com/swiss-national-bank-says-inflation-battle-not-yet-won.html "Swiss National Bank says inflation battle not yet won") election by upending conventional British politics and winning in more industrial areas in central and northern England with a pledge to reduce regional inequalities. One Truss-supporting Conservative lawmaker said the miscalculation would damage the rest of the campaign. This was a completely avoidable error, but I don’t [think in the end it will stop](https://www.financedigest.com/new-uk-pm-must-be-radical-to-stop-power-bill-catastrophe-think-tank.html "New UK PM must be radical to stop power bill catastrophe – think tank") her being prime minister,” he said. [Sunak supporter](https://www.financedigest.com/uks-sunak-to-halve-support-that-helps-businesses-pay-fuel-bills-the-times.html "UK’s Sunak to halve support that helps businesses pay fuel bills -The Times") Ben Houchen, the Conservative mayor of Tees Valley, said he was “speechless” at the proposal. Millions of nurses, police officers and soldiers would have had their [pay cut by 1,500 pounds](https://www.financedigest.com/beat-the-exchange-rate-and-buy-that-dream-holiday-home-by-paying-in-pounds.html "Beat the exchange rate and buy that dream holiday home – by paying in pounds! ") ($1,828) a year, Sunak’s campaign said. Rachel Reeves, Labour’s finance spokesperson, said Truss’s [plan would have sucked money out of local communities](https://www.financedigest.com/a-ccm-platform-is-crucial-to-your-customer-communication-plans-heres-why.html "A CCM platform is crucial to your customer communication plans: here’s why"). This latest mess has exposed exactly what Liz Truss thinks of public sector [workers across Britain,”](https://www.financedigest.com/why-technology-will-free-britains-young-workers-from-presenteeism-in-the-workplace.html "WHY TECHNOLOGY WILL FREE BRITAIN’S YOUNG WORKERS FROM PRESENTEEISM IN THE WORKPLACE") she said. Sunak and Truss are competing for the votes of about 200,000 Conservative members who will select the next [prime minister](https://www.financedigest.com/factbox-who-will-replace-uk-prime-minister-boris-johnson.html "Factbox-Who will replace UK Prime Minister Boris Johnson?"), with the winner announced Sept. 5. [Taxes have dominated](https://www.financedigest.com/tax-credits-for-eu-electric-vehicles-to-dominate-mondays-trade-talks-with-u-s.html "Tax credits for EU electric vehicles to dominate Monday’s trade talks with U.S") the campaign race so far. Sunak has accused Truss of being “dishonest” with voters over her promises of immediate [tax cuts](https://www.financedigest.com/instant-view-british-pound-up-as-govt-makes-u-turn-on-tax-cut-plan.html "Instant View: British pound up as govt makes U-turn on tax cut plan"), saying he would wait until inflation is under control before cutting taxes. Truss [says that would push the country into recession](https://www.financedigest.com/uk-to-avoid-recession-this-year-but-outlook-still-weak-bcc-says.html "UK to avoid recession this year but outlook still weak, BCC says"). Over 60% of Conservatives in the Techne [poll said Truss had better ideas on tax and inflation](https://www.financedigest.com/euro-zone-inflation-seen-just-above-ecbs-target-in-2025-poll-shows.html "Euro zone inflation seen just above ECB’s target in 2025, poll shows") than Sunak. They also favoured her immigration plans. However, [respondents said Sunak had better policies](https://www.financedigest.com/dutch-responds-to-us-china-policy-with-a-plan-to-curb-semiconductor-tech-exports.html "Dutch responds to US China policy with a plan to curb semiconductor tech exports") on Brexit and energy. John Curtice, a professor of politics at the University of Strathclyde and one of [Britain’s leading](https://www.financedigest.com/britain-says-it-is-committed-to-leading-a-nato-task-force-in-2024.html "Britain says it is committed to leading a NATO task force in 2024") polling experts, said with so little polling it was hard to be certain the race was yet over for Sunak. We perhaps don’t [know quite as much as everybody is confidently asserting,” he told GB News](https://www.financedigest.com/fingerprint-on-the-pulse-the-biometric-payment-news-you-need-to-know.html "Fingerprint on the Pulse: The Biometric Payment News You Need to Know") on Monday. In a [race which certainly had seen some fairly radical and bold proposals made by both candidates](https://www.financedigest.com/moderate-bosniak-candidate-leads-in-race-for-presidency-seat.html "Moderate Bosniak candidate leads in race for presidency seat") … we certainly don’t know what impact if any it (has) had on the Tory membership as a whole.” ($1 = 0.8205 pounds) (Reporting by Andrew MacAskill and Kylie MacLellan; Editing by Tomasz Janowski, Christina Fincher and Mike Harrison) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---