Sunak: Challenges of being chancellor
‘HOW HE HANDLES BRITAIN’S ECONOMIC CRISIS MAY DETERMINE HIS PARTY’S ELECTORAL FATE’
LIKE all politicians, Rishi Sunak needs a bit of luck if he is to progress further.
Since Boris Johnson appointed him chancellor of the exchequer in February 2020 following Sajid Javid’s decision to step down after a clash with Dominic Cummings, he has had to deal with a once-in-a-lifetime pandemic, and now he is grappling with a costof-living crisis.
Last week, he chatted with members of the Indian Journalists’ Association (IJA), which he would be well advised to do more often. As chancellor, his time may be limited, but no British Indian politician can survive in the Westminster jungle without the support of Indian journalists.
What happens to this government at the next election depends on how Britain emerges from the current economic crisis. So, it’s up to Rishi.
He offered an explanation: “The UK is not immune in experiencing the same global shocks that many other countries are. So inflation in the US is almost at nine per cent, inflation in the euro zone is just over eight per cent. The inflationary shock that we’re seeing is global in nature, but we are taking steps to help ease the burden. And we’re taking steps longer term to bring down prices and inflation.”
Rishi hadn’t been a hard Brexiteer, but he had supported the UK leaving the EU. It’s fair to say that it hasn’t been an unmixed blessing.
However, he was right to point out: “Brexit provides the opportunity for the trade deal we’re now talking about with India. Brexit provides the opportunity for us to change our immigration policy, which means we are not discriminating on the basis of nationality, (which) by definition, the single market did. So that’s enormously to India’s benefit in those types of areas.”
Meanwhile, India is negotiating a separate trade deal with the EU, which was held up for many years partly because of opposition from the UK.
What voters want the chancellor to do is to take the country through the economic crisis as quickly as possible. Britain – especially the prime minister – is committed to helping Ukraine, but that will come with a high cost. Personally, I don’t understand why the UK should be the worst performer in the G7.
There are conflicting pressures on the chancellor even from within his own party. Basically, it will be he who will determine whether the Tories remain in power after the next election. That is why I say Rishi needs a bit of luck.