Liz Truss has refused to apologise for the spike in mortgage rates sparked during her short-lived period as Prime Minister.  

The mini-Budget, delivered by her Chancellor Kwasi Kwarteng in September 2022, set out £45bn of unfunded tax cuts.     

The effect of this fiscal statement sparked a meltdown across UK financial markets that led to hikes in mortgage rates and saw thousands of home loan products withdrawn as lenders were unable to securely price deals.  

It also led to a fall in the value of the pound, the danger of widespread failure across the pensions industry and rises in the cost of UK government borrowing.     

But asked whether she would say sorry to those paying higher mortgages, Truss told Sky News: “I question the premise of what you’re asking me, because mortgage rates have gone up across the world.  

“The issues that I faced in office, were issues of not being able to deliver the agenda because of a deep resistance within the establishment.”  

The former Prime Minister added: “I think it’s wrong to suggest that I’m responsible for British people paying higher mortgages. That is something that has happened in every country in the free world.  

“There was a global rise in mortgage rates. And I think it’s disingenuous to say that was as a result of the policies I pursued. Now we had a specific issue with the gilt market, but that issue was driven by the actions of the Bank of England.”  

Truss resigned as Prime Minister after 49 days in office. 

She was speaking over the weekend in Washington DC on the US leg of her publicity tour for her new book, Ten Years To Save the West.  

Current Chancellor Jeremy Hunt reversed the majority of the mini-Budget in an intervention in October and at the Autumn Statement in November 2022.    

In the mortgage market, permanent stamp duty cuts introduced in September 2022 saw the nil-rate band being doubled to £250,000 and the first-time buyer threshold increasing to £425,000, as well as the value of a property on which FTBs can claim relief was upped to £625,000.    

This was made temporary until March 2025 by Hunt in November.    

Also, in November 2022, inheritance tax thresholds were frozen for two more years at the current nil rate band of £325,000, while the current residence nil rate band stands at £175,000.