Sadiq Khan: Kwasi Kwarteng not the only problem with Liz Truss’ Government

The London Mayor was speaking as the Chancellor flew back to the US, just before he was sacked.

Mayor of London, Sadiq Khan (Kirsty O’Connor/PA) (PA Wire)

Sadiq Khan has said the problems affecting the current Tory Government do not just lie with the former chancellor – but also with Liz Truss.

The Mayor of London said the responsibility for Kwasi Kwarteng’s mini-budget which has brought turmoil to the financial market also lies with the Prime Minister.

Speaking before the chancellor was sacked, Mr Khan told the PA news agency this morning: “I’ve never known a more incompetent Government. I’ve never known a Government with such a bad start than Liz Truss’ Government.

“I’ve never known a budget as bad as (the) kamikaze mini-budget from Kwasi Kwarteng. I think it’s really important that Liz Truss and Kwasi Kwarteng undo the damage done by the mini-budget.

“It’s quite clear it’s the mini-budget that led to the markets essentially crashing and the pound going through the floor.

“They’ve got to do a U-turn on all the bad stuff in the mini-budget. They’ve got to be supporting families, not just by borrowing, but having a windfall (tax) on these (energy companies).”

“If it needs to happen, certain members of her Cabinet should be sacked. What Liz Truss should do is give the British public the opportunity for voting for a fresh start and have a general election.”

Labour politician Mr Khan also said he had an “oh my God” reaction when he learned that the then-chancellor had gone to the annual International Monetary Fund (IMF) meeting in Washington.

He added: “This is not just at Kwasi Kwarteng’s door, this is Liz Truss’s mini-budget.

“Some of the things announced in the mini-budget were the things she promised during the Conservative leadership contest.

“She made promises to a small number of Conservative members and donors and now those chicks have come home to roost.

“The irony is the Conservatives worship the market, but it’s quite clear the market doesn’t worship the Tories.”

Mr Khan was at Battersea Power Station on Friday for the official opening of the development.

The 10-year project has transformed the derelict building into a retail, housing and entertainment location.

But the Battersea Power Station Development Company (BPSDC) has received criticism from the local Labour-run council Wandsworth, which refused to attend the opening.

The councillors claim that a small fraction, 9%, of the 4,000 new homes planned, will be affordable. BPSDC has stated 20% of the homes built will be affordable.

When Mr Khan, a Labour mayor, was asked why he decided to attend, he told PA: “I’m disappointed, there is not enough affordable housing, 9% is not enough, but that’s a legacy from the old Conservative council and the former mayor.”

He said “it’s important to learn the lessons” of the development, adding that it is an “exciting destination” for leisure, retail and work, and cited the new jobs created in the 42-acre space.

Mr Khan was also asked about the Metropolitan Police, who are under special measures following a series of scandals.

They are investigating more than 600 of their own officers over sexual and domestic abuse allegations.

Mr Khan clashed with the former Met Police commissioner Dame Cressida Dick, who resigned earlier this year and was replaced by Sir Mark Rowley.

Mr Khan said: “I was the guy that lost confidence in the former commissioner’s ability to address the issues that concern me and Londoners.

“I’ve got confidence in Sir Mark Rowley, he’s a reforming commissioner. He understands the scale of the challenge.

“He’s not defensive. He’s not arrogant. He’s got the humility to realise there are big issues in the police service that need to be addressed.

“It doesn’t detract from the thousands of brave officers there are but there are big issues raised by women and girls, by members of the black community, by minority communities, by the LGBT community that must be addressed.

“Sir Mark has my full confidence and support.”

Mr Khan also pointed out that Baroness Louise Casey of Blackstock has been appointed to conduct a review of Met culture and standards, which she will publish on Monday, and the Met’s work with His Majesty’s Inspectorate of Constabulary and Fire and Rescue Services.

“It’s really important there is no defensiveness,” he added.

“We have to give Sir Mark the time. We have to give Sir Mark our support.”

On the question of Wandsworth council not attending due to the affordability of homes in the development, a BPSDC spokesperson told PA: “A mechanism has been agreed with (the council) that provides the possibility for more affordable homes to be delivered in the future.

“We have invested very significantly to create a place for people – a community – with shops, restaurants, health centre, theatre, cinema, playground and parks for everyone to enjoy, as well as a new Tube station, towards which Battersea Power Station has contributed over £300 million.

“The project has also created over 6,000 jobs to date, including 340 apprenticeships, and attracted flagship tenants who will significantly boost Wandsworth’s local economy.”

They also said “386 affordable homes have been delivered ahead of schedule”.