FORMER Tory leader Iain Duncan Smith said Liz Truss will be working to avoid a recession if she is voted into office.
He told GB News: “Liz Truss has made it clear that she needs to make sure that we don’t add to the burden of cost of living by having an economy go into a recession, which would be a deep one.
“We need to make sure the burden of taxation is lower. That’s our priority….whoever wins.
“In terms of what the Government’s doing, it’s quite important for them to understand the scope of their capabilities here.
“The most important thing is to understand who needs the money most and to ensure that we have the mechanisms ready.
“Systems like Universal Credit to target those most in need. We’ve already got a £15 billion payment on the back of a previous £7 billion payment going to people.”
Commenting in an interview during Breakfast with Eamonn Holmes and Isabel Webster, he added: “This £15 billion payment actually stretches right up the income [ladder], which means that had we targeted a little bit better, the Treasury been a bit better at this, we could have got more money to those most in need in this particular case, and the money is still going out.
“Lots of people won’t receive their money until October. We need to balance all of that against the need that we have and the new forecasts that are taking place.
“The peak for this is going to be around about December-January so getting this sorted early will be a decision for Liz Truss, if she makes it.
“But it’ll be on the basis of what the Government’s done and they’ve been working on this for a few weeks, I understand.”
Mr Duncan Smith said: “There the key thing is to make sure with the resources that we may need to have, first of all, finding out whether it was coming from general taxation or is it coming via companies.
“That’s a matter for the Government to figure out what the options are.
“The second thing most importantly, is we understand this time who the most at risk groups are to make sure therefore our effort is targeted straight towards them to get them through this period as and when we have to make that decision.
“Liz has already said that when the moment comes when that advice arrives, looking at that she will make those decisions as in what is required.
“The key thing is twofold, though. One, we need to help people through the cost of living crisis for those who need it and that’s through support for them to get through and she’s made it clear for that.
“But the other bit, we do need to see the burden of taxation lowered because at the moment, the predictions if nothing changes, is we’re going to end up in recession.
“We have to do everything we can to avoid recession, because that will double down on the problems that people have particularly lower income groups that will find themselves losing jobs, losing livelihoods, and that’s really, really important.
“So we need to have two things going on at the same time.”
