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Tory MPs fuming at mini budget fall out – but allies say Liz Truss’ plan for growth WILL work and give it time

RAGING Tory MPs have demanded Kwasi Kwarteng RESIGNS over the plummeting pound – but believers in Liz Truss' economic plan are urging colleagues to hold tight.

This afternoon the Conservative Party splintered in response to the economic turmoil triggered by last week's mini budget bonanza.

Kwasi Kwarteng has faced calls to RESIGN over the fall out from the mini budget
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Kwasi Kwarteng has faced calls to RESIGN over the fall out from the mini budgetCredit: HM Treasury / BEEM

The £45bn tax slashing event caused the pound to drop to an all-time low of 1.03 against the dollar on Monday.

Yesterday lenders pulled 900 mortgage deals in one day.

Families were warned that mortgage bills could rise by 1,000s and house prices could fall by 15 per cent.

Today, the Bank of England dramatically stepped in to calm markets by buying government debt.

The bank feared several pension funds faced collapse without an intervention.

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This afternoon Tory MPs publicly and privately slammed the government over its handling of the economy.

Some even demanded the Chancellor quit over the chaos.

One MP told The Sun: “In essence, the mini-Budget has to be deleted from the record and the Chancellor has to go."

A former cabinet minister described the fall out as “terrible".

They blasted: "Lunatics are truly running the asylum like a university debating club. Humiliating. Not sure what else we expected."

One current minister admitted to thinking it's “inevitable” Labour will bag the next election.

A new MPR poll out today showed the Tories are on track to badly lose the next election, with Labour on course to gain a 100 seat majority.

But despite the doom and gloom, swathes of ministers and MPs kept optimistic about Liz Truss's plan for growth.

One cabinet minister urged Tory MPs to calm down, saying: “People need to hold their nerve.  Markets move, especially with big change.

"But change was and is needed. Fundamentally a lower tax economy to support growth is good for UK."

Another said: "Hold tight. It's inevitable that some will push back."

One MP added: "Everyone needs to calm the f***k down and stop s****ing the bed - and I've not got a huge majority.

"These people saying all this stuff just don't get politics. They're all overexcited, losing their heads."

Another urged any Tory MP calling for a change of leader to leave the party. They added “Any colleagues talking about letters or changing leader do not deserve to be in power. They should defect and f**k off."

Government insiders insisted that next month's reforms would do far more to unleash huge growth in the UK than the tax cuts already announced.

Major plans are coming on childcare, planning, energy and immigration to radically shake up the economy.

One source said: "The Budget set the scene, but this is not it. All this stuff has been long planned, but we need to get the next bit right."

One Red Wall MP added: "Did we really expect the economy to be fixed within one week of the mini-budget?

"There should be no more u-turns - something had to change. We needed something radical, but as usual our messaging was s**t."

Yesterday Mr Kwarteng began daily crisis meetings with the Bank of England amid fears of crippling mortgage rate hikes. 

The Chancellor begged City bosses to trust his plan - insisting his tax bonfire will fire up the economy.

He told investors he is “confident” growth will come through tax cuts and urged them to wait for his strategy to wrestle down debt. 

Mr Kwarteng said Cabinet Ministers will be setting out reforms in the coming weeks, that are expected to focus on immigration and planning reforms.

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The Chancellor is due to give a major keynote speech at Tory conference in Birmingham on Monday.

All eyes will be focused on him, as he tries to keep his party united and convince markets the economy is in safe hands.

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