Next up is austerity! Inflation looks like being here to stay for a while, so mortgages will become more expensive. The fuel crisis also seems to have no end in sight. So the Exchequer will be even shorter of funds. So it is cuts and/or tax increases. To appease his party again he will have to show cuts to public services (when they have little to give). NHS and Education – are the big 2 spending departments, and cuts here will. be very difficult. Cuts to social services and benefits will be. popular with the members but risky if unemployment goes up. Further borrowing will put up the cost of interest repayment which are already in the billions (paid mainly to banks I believe!).
And a general election is only 2 years away. So he can go for broke like Truss and accept a wipe out, or alienate large swathes of the public.
There is one solution that might help, which is to rejoin the Customs Union and develop closer ties with Europe. The Brexit fanatics still talk about the Brexit Premium, but agree it will be years or even decades in the future.
Comparissons with the rest of the world are not particularly helpful. Yes all countries have inflation, debt problems, Guilts problems. But we stand out by avoiding obviously practical partial solutions.
So Rishi Sunak has blown the sympathy and hope that I and many others had that he would cope with the economy in an adult way. Williamson, Jenrick. and Zahawi have also slipped back in.