‘Get rid of the Bank of England Act’ urges Liz Truss - as Britain’s shortest-serving PM warns upcoming Budget will continue British ‘doom loop’
Liz Truss said the Bank of England had become too powerful and accused it of being “unaccountable and unsackable”
Former Prime Minister Liz Truss has called for the Bank of England Act to be scrapped, claiming Britain will remain trapped in a “doom loop” of rising taxes, failing businesses and wealthy people leaving the country.
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Britain's shortest-serving PM told Nick Ferrari at Breakfast that the Chancellor’s upcoming Budget would mean further tax rises, arguing the government was unable to break the cycle.
Ms Truss said the Bank of England had become too powerful and accused it of being “unaccountable and unsackable”.
Insisting the country needs to "get rid of Blairite institutions" and review the Bank of England Act 1998, she went on to insist the institution led to her downfall as PM, adding it was "ideologically against what I was trying to do".
“What needs to happen, because I didn’t have time, is primary legislation needs to be passed,” she said.
She claimed the Bank of England had “deliberately” made government borrowing more expensive during her time in power, insisting the institution's stance aligns with that of the current PM, adding: "Andy Burnham is on the same page as these bureaucrats".
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“The Bank of England bailed them out, or Bailey’d them out, as I call it,” Truss continued.
The former Prime Minister also defended her September 2022 mini-Budget, rejecting claims it had damaged the economy.
“It was my budget, and I was proud of what was in it,” she said.
“The day before the mini-budget, the Bank of England, that had been printing money for 10 years, announced quantitative tightening.”
Ms Truss said reform was needed to tackle what she called a “bloated state”, high welfare spending and illegal migration.
“Nothing has changed,” she said. “The country continues on its path of managed decline.”
Asked whether she could return to frontline politics, Ms Truss said neither the Conservatives nor Reform had gone far enough in proposing changes to Britain’s system of government.
It comes as the former PM announced her appointment to Roundtable's board of directors and plans to focus on forming a European Press Coalition.
The company claimed the PM was ideally positioned to help curate and expand the "highest quality journalism" in the ongoing battle against AI slop.
She insisted her aim was to get fair pay for publishers and independent journalists alike, in an age in which social media has harnessed written copy for its benefit.