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Can Liz Truss survive as UK Prime Minister?
Andrew Wilson in London
Europe;UK
01:35

The question being asked, a lot, these days is, can the Prime Minister keep her job?

Well at the moment she has every intention of doing so. The view from 10 Downing St is that the old Chancellor has been replaced, that the Prime Minister has listened, and that the international markets are sanguine again about the UK economy and its fortunes.

But the speculation says differently. The media coverage has already priced in a departure. Too many MPs have spoken privately to too many journalists and the energy to remove Liz Truss is very real.

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Jeremy Hunt's reversal of the tax cutting proposals has made a difference.

"The markets are reacting positively," says Michael Hewson, Chief markets analyst at CMC markets.

"I think it was the signs of stability that markets were craving."

But reversing almost all the policies in Kwasi Kwarteng's notorious mini budget has left Liz Truss and her reputation in a ditch.

 

 

02:22

No leadership election

Even so, the prospect of a new election campaign is so remote that it can be ruled out. No one wants a repeat of the drawn-out summer of leadership debates we've just had.

Anointing a new leadership team would demand real organisation and leadership within a party that is riven with division.

Liz Truss's allies - and there are some - will attack any moves to have her removed.

A coup of any sort would need a cast iron guarantee of smooth success before it stood any chance of happening.

Candidates

And would Chancellor Jeremy Hunt take over when he's already failed at the leadership twice himself?

Rishi Sunak, one of those former finance ministers, still has bridges to build after his fallout with Boris Johnson.

Penny Mordaunt, now leader of the Commons, is a possible candidate but running the UK at the moment has all the signs of being a losing game.

So without the right support within that divided party, none of these candidates is likely to make a move.

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