View source for Chancellorship of Rishi Sunak

{{Short description|Rishi Sunak's tenure at HM Treasury (2020–2022)}}
{{Use dmy dates|date=August 2024}}
{{EngvarB|date=August 2024}}
{{Infobox administration
| image = Rishi Sunak Official Cabinet Portrait, September 2021 (cropped).jpg
| image_size =
| caption =  Sunak's Official Cabinet Portrait, September 2021
| name = Chancellorship of Rishi Sunak
| term_start = 13 February 2020
| term_end = 5 July 2022
| chancellor = [[Rishi Sunak]]
| chancellor_link = Chancellor of the Exchequer
| party = [[Conservative Party (UK)|Conservative]]
| election =
| appointer = [[Elizabeth II]]
| nominator = [[Boris Johnson]]
| seat = [[11 Downing Street]]
| predecessor = [[Sajid Javid#Chancellor of the Exchequer|Sajid Javid]]
| successor = [[Nadhim Zahawi#Chancellor of the Exchequer|Nadhim Zahawi]]
| official_url =
|seal=Coat of arms of the United Kingdom (2022, lesser arms).svg
}}
[[Rishi Sunak]] served as [[Chancellor of the Exchequer]] of the [[United Kingdom]] from his appointment on 13 February 2020 to his resignation on 5 July 2022. His tenure was dominated by the [[COVID-19 pandemic in the United Kingdom]], with Sunak becoming a prominent figure in the government's response to the pandemic, giving economic support to struggling businesses through various schemes. He was also involved in the government's response to the [[2021–present United Kingdom cost-of-living crisis|cost of living crisis]], [[2021 United Kingdom natural gas supplier crisis|UK energy supply crisis]], and [[Global energy crisis (2021–2023)|global energy crisis]].
Sunak was appointed chancellor by prime minister [[Boris Johnson]] in the [[2020 British cabinet reshuffle|2020 cabinet reshuffle]], succeeding [[Sajid Javid]], who had resigned as chancellor after refusing a demand from Johnson and his chief adviser [[Dominic Cummings]] that he dismiss his advisers. Sunak was prominent in the [[British government response to the COVID-19 pandemic|government's financial response]] to the COVID-19 pandemic and its [[Economic impact of the COVID-19 pandemic in the United Kingdom|economic impact]], including the [[Coronavirus Job Retention Scheme|Coronavirus Job Retention]] [[furlough]] scheme for employees, and the [[Eat Out to Help Out]] scheme, although the latter of which contributed to a rise in COVID-19 infections. [[Controversies regarding COVID-19 contracts in the United Kingdom|Controversies regarding COVID-19 contracts]] occurred during Sunak's chancellorship. In the [[Partygate]] scandal it was found that multiple parties had been held at [[10 Downing Street]] during [[COVID-19 lockdown in the United Kingdom|national COVID-19 lockdowns]], and COVID-19 social distancing laws were breached by 83 individuals, including Sunak, who in April 2022 was issued with a [[fixed penalty notice]].
In May 2022, as the rising cost of living became an increasingly serious and worrying issue for the country, Sunak intensified the government's efforts to respond to the crisis, with a £5 billion [[Windfall tax (United Kingdom)|windfall tax]] on energy companies to help fund a £15 billion support package for the public. Following the [[Chris Pincher scandal]], Sunak resigned as chancellor on 5 July 2022, almost simultaneously with Javid's resignation as [[Secretary of State for Health and Social Care|health secretary]], and was the second of 62 Conservative MPs to resign during the [[July 2022 United Kingdom government crisis|government crisis]] which culminated in Johnson's own resignation. He was succeeded by [[Nadhim Zahawi]]. Three months after the end of his chancellorship, Sunak became prime minister following the resignation of [[Liz Truss]] in October 2022 amid [[October 2022 United Kingdom government crisis|another government crisis]], having spent the duration of Truss's premiership on the backbenches.  {{Rishi Sunak sidebar}}
== Appointment ==
=== Background ===
[[Rishi Sunak]] was appointed [[Chief Secretary to the Treasury]] by [[Prime Minister of the United Kingdom|Prime Minister]] [[Boris Johnson]] on 24 July 2019, and [[Sajid Javid]] was appointed [[Chancellor of the Exchequer]]. Tensions between [[10 Downing Street]] and [[HM Treasury|the Treasury]] had come to a head in August 2019, when Johnson's Chief Special Adviser [[Dominic Cummings]] dismissed one of Javid's aides, Sonia Khan, without Javid's permission and without informing him. It was alleged that, during her dismissal, Cummings "went outside No 10 and asked an armed officer to enter the building and escort Khan off the premises."<ref>{{cite news |author1=Helm, Toby |author2=Townsend,Mark |date=1 September 2019 |title=PM 'must launch urgent inquiry into Dominic Cummings's reign of terror' |newspaper=The Guardian |url=https://www.theguardian.com/politics/2019/aug/31/boris-johnson-must-launch-inquiry-dominic-cummings-reign-of-terror}}</ref> In November 2019, following questions of a rift between the two men, Johnson gave his assurance that he would retain Javid as chancellor after the [[2019 United Kingdom general election|2019 general election]].<ref>{{cite news |author1=Parker, George |author2=Payne, Sebastian |date=18 November 2019 |title=Boris Johnson vows to retain Sajid Javid as chancellor |newspaper=Financial Times |url=https://www.ft.com/content/507d7144-0a13-11ea-b2d6-9bf4d1957a67}}</ref> After the [[Conservative Party (UK)|Conservative Party]]'s landslide victory at the 2019 general election, Javid remained as chancellor and Sunak remained as Chief Secretary to the Treasury.
=== Appointment as Chancellor ===
[[File:Rishi Sunak Official Cabinet Portrait, September 2021.jpg|thumb|Sunak's official cabinet portrait, September 2021|left]]
In the weeks leading up to [[2020 British cabinet reshuffle|Johnson's first cabinet reshuffle]] in February 2020, a number of briefings in the press had suggested that a new economic ministry led by Sunak might be established, to reduce the power and political influence of the Treasury. Sunak was considered to be a Johnson loyalist, seen as the "rising star" minister who had ably represented Johnson during the 2019 general election debates.<ref>{{cite news |author=Parker, George |date=25 December 2019 |title=Johnson's 'favourite minister' tipped to run super-ministry |newspaper=Financial Times |url=https://www.ft.com/content/35e7bf74-1521-11ea-9ee4-11f260415385}}</ref><ref>{{cite news |author=Balls, Katy |date=13 February 2020 |title=Is Sajid Javid at war with No. 10? |newspaper=The Spectator |url=https://blogs.spectator.co.uk/2020/02/is-sajid-javid-at-war-with-no-10/ |access-date=25 October 2022 |archive-date=13 February 2020 |archive-url=https://web.archive.org/web/20200213123641/https://blogs.spectator.co.uk/2020/02/is-sajid-javid-at-war-with-no-10/ |url-status=dead }}</ref> By February 2020, it was reported that Javid would remain in his role as Chancellor and that Sunak would stay on as Chief Secretary to the Treasury, in order to "keep an eye" on Javid.<ref>{{cite news |author=Mason, Rowena |date=5 February 2020 |title=Ministers jostle as Johnson plans long-awaited reshuffle |newspaper=The Guardian |url=https://www.theguardian.com/politics/2020/feb/05/johnson-loyalists-to-be-rewarded-in-long-awaited-reshuffle}}</ref>
On 13 February 2020, the day of the reshuffle, Javid resigned as Chancellor of the Exchequer, following a meeting with Johnson. During the meeting, Johnson had offered to allow Javid to keep his position on the condition that he dismiss all his advisers at the Treasury and replace them with ones selected by 10 Downing Street.<ref name="JavResign">{{cite news |date=13 February 2020 |title=Cabinet reshuffle: Sajid Javid resigns as chancellor |website=BBC News |url=https://www.bbc.co.uk/news/uk-politics-51491662}}</ref> Upon resigning, Javid told the [[PA Media|Press Association]] that "no self-respecting minister would accept those terms".<ref>{{cite news |author=Mason, Rowena |date=13 February 2020 |title=Sajid Javid resigns as chancellor amid Johnson reshuffle |newspaper=The Guardian |url=https://www.theguardian.com/politics/2020/feb/13/sajid-javid-resigns-as-chancellor-amid-boris-johnson-reshuffle}}</ref><ref>{{cite news |date=13 February 2020 |title=Sajid Javid quits as British Chancellor |website=RTÉ |url=https://www.rte.ie/news/business/2020/0213/1115043-sajid-javid-quits-as-british-chancellor/}}</ref> Javid's resignation had been unexpected, given Johnson's commitment to keep him in the Cabinet and recent reports that a rival finance ministry would not be created.
Sunak was promoted to chancellor to replace Javid as part of Johnson's first cabinet reshuffle later that day.<ref>{{cite web |date=13 February 2020 |title=Cabinet reshuffle: Sajid Javid resigns as chancellor |url=https://www.bbc.co.uk/news/uk-politics-51491662 |url-status=live |archive-url=https://web.archive.org/web/20200213120158/https://www.bbc.co.uk/news/uk-politics-51491662 |archive-date=13 February 2020 |access-date=13 February 2020 |work=BBC News}}</ref><ref name="javidguardian">{{cite news |last1=Mason |first1=Rowena |last2=Stewart |first2=Heather |last3=Walker |first3=Peter |date=13 February 2020 |title=Sajid Javid resigns as chancellor amid Johnson reshuffle |work=The Guardian |url=https://www.theguardian.com/politics/2020/feb/13/sajid-javid-resigns-as-chancellor-amid-boris-johnson-reshuffle |url-status=live |access-date=13 February 2020 |archive-url=https://web.archive.org/web/20200213121054/https://www.theguardian.com/politics/2020/feb/13/sajid-javid-resigns-as-chancellor-amid-boris-johnson-reshuffle |archive-date=13 February 2020}}</ref> Some political commentators saw Sunak's appointment as signalling the end of the Treasury's independence from Downing Street, which began during [[Gordon Brown]]'s [[Chancellorship of Gordon Brown|chancellorship]] under [[Tony Blair]], with Robert Shrimsley, chief political commentator of the ''[[Financial Times]]'', arguing that "good government often depends on senior ministers – and the Chancellor in particular – being able to fight bad ideas".<ref>{{cite news |last=Shrimsley |first=Robert |date=13 February 2020 |title=Johnson has backed Cummings over his chancellor — and there will be a cost |work=Financial Times |url=https://www.ft.com/content/f1e8b996-4e59-11ea-95a0-43d18ec715f5 |url-status=live |url-access=subscription |access-date=28 May 2020 |archive-url=https://web.archive.org/web/20200531232147/https://www.ft.com/content/f1e8b996-4e59-11ea-95a0-43d18ec715f5 |archive-date=31 May 2020}}</ref>
== Major acts as Chancellor ==
===COVID-19 pandemic===
{{Further|British government response to the COVID-19 pandemic#Financial response}}
In response to the first confirmed [[COVID-19]] cases in January 2020, Sunak and the government introduced advice for travellers coming from affected countries in late January and February 2020, and began [[contact tracing]], although this was later abandoned.<ref name="Kobie">{{Cite magazine |last=Kobie |first=Nicole |date=15 February 2020 |title=This is how the UK is strengthening its coronavirus defences |url=https://www.wired.co.uk/article/coronavirus-uk-response |url-status=live |magazine=Wired UK |issn=1357-0978 |archive-url=https://web.archive.org/web/20200302194615/https://www.wired.co.uk/article/coronavirus-uk-response |archive-date=2 March 2020 |access-date=2 March 2020}}</ref> The government incrementally introduced further societal restrictions on the public as the virus spread across the country in the following weeks, initially resisting more stringent measures introduced elsewhere in [[COVID-19 pandemic in Europe|Europe]] and [[COVID-19 pandemic in Asia|Asia]].<ref name=":9">{{Cite journal |last1=Alwan |first1=Nisreen A |last2=Bhopal |first2=Raj |last3=Burgess |first3=Rochelle A |last4=Colburn |first4=Tim |last5=Cuevas |first5=Luis E |last6=Smith |first6=George Davey |last7=Egger |first7=Matthias |last8=Eldridge |first8=Sandra |last9=Gallo |first9=Valentina |last10=Gilthorpe |first10=Mark S |last11=Greenhalgh |first11=Trish |date=17 March 2020 |title=Evidence informing the UK's COVID-19 public health response must be transparent |journal=The Lancet |volume=395 |issue=10229 |pages=1036–1037 |doi=10.1016/s0140-6736(20)30667-x |issn=0140-6736 |pmc=7270644 |pmid=32197104 |doi-access=free}}</ref> On 23 March 2020, as [[COVID-19 pandemic|COVID-19 had become a pandemic]] and began rapidly spreading across the country, Johnson announced the first national [[COVID-19 lockdown in the United Kingdom|lockdown]] and Parliament introduced the [[Coronavirus Act 2020]], which granted the devolved governments emergency powers and empowered the police to enforce public health measures.<ref name="x31">{{Cite news |last1=Calvert |first1=Jonathan |last2=Arbuthnott |first2=George |last3=Leake |first3=Jonathan |last4=Gadher |first4=Dipesh |date=23 May 2020 |title=22 days of dither and delay on coronavirus that cost thousands of British lives |work=The Sunday Times |url=https://www.thetimes.co.uk/article/three-weeks-of-dither-and-delay-on-coronavirus-that-cost-thousands-of-british-lives-05sjvwv7g |url-status=live |url-access=subscription |access-date=12 October 2020 |archive-url=https://web.archive.org/web/20201221125448/https://www.thetimes.co.uk/article/three-weeks-of-dither-and-delay-on-coronavirus-that-cost-thousands-of-british-lives-05sjvwv7g |archive-date=21 December 2020}}</ref> Sunak was part of a committee of Cabinet ministers that made decisions on the pandemic.<ref name="Tominey">{{cite news |last=Tominey |first=Camilla |date=2 November 2020 |title=After the lockdown leak, what does the future hold for Boris Johnson's 'quad' committee? |work=The Telegraph |url=https://www.telegraph.co.uk/politics/2020/11/02/lockdown-leak-does-future-hold-boris-johnsons-quad-committee/ |url-status=live |url-access=subscription |access-date=3 November 2020 |archive-url=https://ghostarchive.org/archive/20220111/https://www.telegraph.co.uk/politics/2020/11/02/lockdown-leak-does-future-hold-boris-johnsons-quad-committee/ |archive-date=11 January 2022}}{{cbignore}}</ref>
On 20 March 2020, Sunak gave a statement on COVID-19, saying:<ref>{{Cite web |last=Pagano |first=Maggie |date=2020-03-20 |title=The Chancellor: "We will be judged by our capacity for compassion" |url=https://reaction.life/the-chancellor-we-will-be-judged-by-our-capacity-for-compassion/ |access-date=2022-11-23 |website=Reaction |language=en-GB}}</ref>
{{Blockquote|text=Now, more than any time in our history, we will be judged by our capacity for compassion. Our ability to come through this, won’t just be down to what government or businesses do, but by the individual acts of kindness that we show each other. The small business who does everything they can not to lay off their staff. The student who does a shop for their elderly neighbour. The retired nurse who volunteers to cover some shifts in their local hospital. When this is over, and it will be over, we want to look back on this moment and remember the many small acts of kindness done by us and to us. We want to look back on this time and remember how we thought first of others and acted with decency. We want to look back on this time and remember how, in the face of a generation-defining moment, we undertook a collective national effort - and we stood together. It’s on all of us.}}[[File:Boris Johnson Covid-19 Presser (50462222663).jpg|thumb|Sunak at a press conference on [[COVID-19]] on 12 October 2020|234x234px]]
As the governments began lifting the nationwide stay-at-home order, policies and approaches diverged between the four nations. The [[COVID-19 pandemic in Scotland|Scottish government]] uniquely pursued an [[Zero-COVID|elimination strategy]]. Across the country, localised lockdowns, [[Social distancing measures related to the COVID-19 pandemic|social distancing measures]], [[Isolation (health care)|self-isolation]] laws for those exposed to the virus and rules on [[Face masks during the COVID-19 pandemic|face masks]] were introduced, as well as efforts to expand [[COVID-19 testing in the United Kingdom|COVID-19 testing]] and tracing. In autumn and winter 2020, further nationwide lockdowns were introduced in response to a surge in COVID-19 cases and the [[SARS-CoV-2 Alpha variant|Alpha variant]]. A [[COVID-19 vaccination in the United Kingdom|COVID-19 vaccination programme]] began in December 2020. In mid-2021, the government lifted most restrictions during the third wave driven by the [[SARS-CoV-2 Delta variant|Delta variant]], until the "winter plan" reintroduced some rules in response to the [[SARS-CoV-2 Omicron variant|Omicron variant]] in December that year. Remaining restrictions were lifted in England from 24 February 2022 under a "[[Living with COVID-19|living with COVID]]" plan announced by the government on that date. Economic support was provided to struggling businesses and to [[furlough]] employees to mitigate the [[Economic impact of the COVID-19 pandemic in the United Kingdom|severe economic impact]]. It also [[COVID-19 contracts in the United Kingdom|forwent the procurement process in contracts]] in response to [[Shortages related to the COVID-19 pandemic|shortages of PPE and medical equipment]], major issues in the early months of the outbreak, and for developing a [[NHS COVID-19|contact tracing app]].
As the pandemic generated financial consequences, Sunak's measures as chancellor received criticism as some workers were unable to qualify for the Treasury's income support measures.<ref>{{cite web |url=https://www.personneltoday.com/hr/treasury-looks-again-at-coronavirus-scheme-loophole/ |title=Treasury urged to look again at coronavirus scheme loophole |work=Personnel Today |publisher=[[DVV Media Group]] |last=McCulloch |first=Adam |date=3 April 2020 |access-date=5 April 2020 |archive-date=5 April 2020 |archive-url=https://web.archive.org/web/20200405182940/https://www.personneltoday.com/hr/treasury-looks-again-at-coronavirus-scheme-loophole/ |url-status=live }}</ref> The [[Institute for Employment Studies]] estimated that 100,000 people could not be eligible for any type of government help as they started a new job too late to be included on the job retention scheme, while the [[British Hospitality Association]] informed the [[Treasury Select Committee]] that between 350,000 and 500,000 workers in its sector were not eligible.<ref>{{cite web |url=https://www.employment-studies.co.uk/news/%E2%80%98falling-through-cracks%E2%80%99-or-%E2%80%98left-limbo%E2%80%99-%E2%80%93-fixing-holes-our-safety-net |title='Falling through cracks' or 'left in limbo' – fixing the holes in our safety net |publisher=Institute for Employment Studies |date=27 April 2020 |first=Tony |last=Wilson |access-date=4 February 2021 |archive-date=24 May 2020 |archive-url=https://web.archive.org/web/20200524073802/https://www.employment-studies.co.uk/news/%E2%80%98falling-through-cracks%E2%80%99-or-%E2%80%98left-limbo%E2%80%99-%E2%80%93-fixing-holes-our-safety-net |url-status=live }}</ref><ref>{{cite news|url = https://www.bbc.co.uk/news/uk-england-52551618|title = Furlough boost 'makes no difference' to thousands|work = BBC News|date = 15 May 2020|last1 = Homer|first1 = Alex|access-date = 4 February 2021|archive-date = 17 May 2020|archive-url = https://web.archive.org/web/20200517171333/https://www.bbc.co.uk/news/uk-england-52551618|url-status = live}}</ref> On 26 September 2020, Sunak was said to have opposed a second lockdown with the threat of his resignation, due to what he saw as the dire economic consequences it would have and the responsibility he would have to suffer for that.<ref>{{cite news |last=Casalicchio |first=Emilio |date=23 September 2020 |title=Boris Johnson adopts cautious approach to second UK coronavirus lockdown |work=Politico |url=https://www.politico.eu/article/boris-johnson-cautious-approach-second-uk-coronavirus-lockdown/ |url-status=live |access-date=12 October 2020 |archive-url=https://web.archive.org/web/20201005200905/https://www.politico.eu/article/boris-johnson-cautious-approach-second-uk-coronavirus-lockdown/ |archive-date=5 October 2020}}</ref><ref>{{cite news |last=Jimenez |first=Darcy |date=27 September 2020 |title=Boris Johnson scrapped second UK lockdown 'over fears Rishi Sunak would quit' |work=Metro |url=https://metro.co.uk/2020/09/27/boris-johnson-scrapped-second-uk-lockdown-over-fears-rishi-sunak-would-quit-13333901/ |url-status=live |access-date=30 September 2020 |archive-url=https://web.archive.org/web/20201011065409/https://metro.co.uk/2020/09/27/boris-johnson-scrapped-second-uk-lockdown-over-fears-rishi-sunak-would-quit-13333901/ |archive-date=11 October 2020}}</ref> The UK government's response to the pandemic, in particular the timeliness of public health measures being introduced and lifted, has faced criticism from academic medical sources, media outlets, relatives of COVID-19 patients and various political figures. A [[UK COVID-19 Inquiry|public inquiry]] into the response began in 2022.<ref name="GuardMarch16">{{cite news |date=16 March 2021 |title=Pressure mounts on Boris Johnson to launch coronavirus inquiry |language=en |work=the Guardian |url=https://www.theguardian.com/uk-news/2021/mar/16/pressure-mounts-on-boris-johnson-to-launch-coronavirus-inquiry |access-date=29 April 2021}}</ref>
Sunak said he had opposed recommendations by government medical advisers for a second "circuit-breaker" lockdown in September 2020 due to the potential impact on jobs and the economy.<ref name="ITV2">{{cite news |date=31 March 2021 |title=Rishi Sunak confirms he opposed September circuit breaker Covid lockdown but 'ultimate' decision was Boris Johnson's |url=https://www.itv.com/news/2021-03-31/rishi-sunak-admits-he-opposed-september-circuit-breaker-covid-lockdown-but-ultimate-decision-was-boris-johnsons |url-status=live |archive-url=https://web.archive.org/web/20231113091952/https://www.itv.com/news/2021-03-31/rishi-sunak-admits-he-opposed-september-circuit-breaker-covid-lockdown-but-ultimate-decision-was-boris-johnsons |archive-date=13 November 2023 |access-date=5 December 2023 |work=ITV News}}</ref> Then–health secretary [[Matt Hancock]] said that Sunak had put Johnson under "enormous pressure" not to introduce further restrictions during this time<ref>{{cite news |last=Quinn |first=Ben |date=1 December 2023 |title=Hancock messages claimed Sunak 'would have pressured Johnson' to avoid lockdown |url=https://www.theguardian.com/uk-news/2023/dec/01/covid-inquiry-hancock-messages-claimed-sunak-would-have-pressured-johnson-to-avoid-lockdown |url-status=live |archive-url=https://web.archive.org/web/20231205065138/https://www.theguardian.com/uk-news/2023/dec/01/covid-inquiry-hancock-messages-claimed-sunak-would-have-pressured-johnson-to-avoid-lockdown |archive-date=5 December 2023 |access-date=5 December 2023 |work=The Guardian}}</ref> although Sunak maintained he had only advised the Prime Minister on economic matters in order to help him reach a decision.<ref name="ITV2" /> According to the diary of Vallance, he was told by [[Dominic Cummings]], Johnson's chief political adviser, that Sunak had argued to "just let people die" during an argument over imposing a second lockdown in October 2020.<ref>{{cite news |date=20 November 2023 |title=Sunak thought Government should 'just let people die', Covid Inquiry hears |url=https://www.telegraph.co.uk/news/2023/11/20/uk-covid-inquiry-latest-patrick-vallance-live/ |url-status=live |archive-url=https://web.archive.org/web/20231205135323/https://www.telegraph.co.uk/news/2023/11/20/uk-covid-inquiry-latest-patrick-vallance-live/ |archive-date=5 December 2023 |access-date=5 December 2023 |work=The Daily Telegraph}}</ref> Sunak denied the "let people die" claim, pointing to the fact that Vallance did not hear the phrase but merely claimed to have been told about it by Cummings.<ref>{{cite news |date=30 November 2023 |title=Sunak denies 'just let people die' Covid claim |url=https://www.bbc.co.uk/news/av/uk-politics-67566941 |url-status=live |archive-url=https://web.archive.org/web/20231205130644/https://www.bbc.co.uk/news/av/uk-politics-67566941 |archive-date=5 December 2023 |access-date=5 December 2023 |publisher=BBC News}}</ref>
==== COVID-19 schemes ====
===== Coronavirus Job Retention Scheme =====
{{Main|Coronavirus Job Retention Scheme}}
[[File:Chancellor announces additional support to protect businesses.jpg|thumb|Sunak and Prime Minister [[Boris Johnson]] in [[10 Downing Street]], March 2020]]
On 17 March 2020, Sunak introduced a programme providing £330 billion in emergency support for businesses,<ref>{{cite web |date=17 March 2020 |title=Coronavirus: Chancellor unveils £350bn lifeline for economy |url=https://www.bbc.co.uk/news/business-51935467 |access-date=18 March 2020 |work=BBC News |archive-date=17 March 2020 |archive-url=https://web.archive.org/web/20200317174307/https://www.bbc.co.uk/news/business-51935467 |url-status=live }}</ref> as well as a [[furlough]] scheme for employees. This was the first time a British government had created such an employee retention scheme.<ref>{{cite web |date=20 March 2020 |title=Coronavirus: Government to pay up to 80% of workers' wages |url=https://www.bbc.co.uk/news/business-51982005 |access-date=20 March 2020 |work=BBC News |archive-date=6 May 2020 |archive-url=https://web.archive.org/web/20200506114627/https://www.bbc.co.uk/news/business-51982005 |url-status=live }}</ref><ref name="partington">{{cite news |last=Partington |first=Richard |date=20 March 2020 |title=UK government to pay 80% of wages for those not working in coronavirus crisis |work=The Guardian |url=https://www.theguardian.com/uk-news/2020/mar/20/government-pay-wages-jobs-coronavirus-rishi-sunak |access-date=20 March 2020 |archive-date=20 March 2020 |archive-url=https://web.archive.org/web/20200320180824/https://www.theguardian.com/uk-news/2020/mar/20/government-pay-wages-jobs-coronavirus-rishi-sunak |url-status=live }}</ref> The scheme was introduced on 20 March 2020 as providing grants to employers to pay 80% of a staff wage and employment costs each month, up to a total of £2,500 per person per month.<ref name="partington" /> The cost has been estimated at £14&nbsp;billion a month to run.<ref>{{cite news|url = https://www.theguardian.com/business/2020/may/12/uk-furlough-scheme-extended-rishi-sunak-coronavirus|title = UK furlough scheme extended until end of October|newspaper = The Guardian|date = 12 May 2020|last1 = Partington|first1 = Richard|access-date = 4 February 2021|archive-date = 26 May 2020|archive-url = https://web.archive.org/web/20200526083910/https://www.theguardian.com/business/2020/may/12/uk-furlough-scheme-extended-rishi-sunak-coronavirus|url-status = live}}</ref> The [[Coronavirus Job Retention Scheme]] initially ran for three months and was backdated to 1 March. Following a three-week extension of the countrywide lockdown the scheme was extended by Sunak until the end of June 2020.<ref>{{cite news|url=https://www.bbc.com/news/business-52323918|title=Government extends furlough scheme to pay staff|date=17 April 2020|work=BBC News|access-date=4 February 2021|archive-date=21 May 2020|archive-url=https://web.archive.org/web/20200521031219/https://www.bbc.com/news/business-52323918|url-status=live}}</ref><ref>{{cite news |last=Elliott |first=Larry |url=https://www.theguardian.com/world/2020/apr/17/uk-government-extends-coronavirus-furlough-scheme-until-end-of-june |title=UK government extends furlough scheme until end of June |date=17 April 2020 |work=The Guardian |access-date=20 April 2020 |archive-date=20 April 2020 |archive-url=https://web.archive.org/web/20200420040528/https://www.theguardian.com/world/2020/apr/17/uk-government-extends-coronavirus-furlough-scheme-until-end-of-june |url-status=live }}</ref> At the end of May, Sunak extended the scheme until the end of October 2020. The decision to extend the job retention scheme was made to avoid or defer mass redundancies, company bankruptcies and potential unemployment levels not seen since the 1930s.<ref>{{cite news|url = https://www.theguardian.com/business/2020/may/02/business-leaders-extend-furlough-to-avoid-millions-of-job-losses|title = Business leaders: Extend furlough to avoid millions of job losses|newspaper = The Guardian|date = 2 May 2020|last1 = Helm|first1 = Toby|last2 = Inman|first2 = Phillip|access-date = 4 February 2021|archive-date = 26 May 2020|archive-url = https://web.archive.org/web/20200526192838/https://www.theguardian.com/business/2020/may/02/business-leaders-extend-furlough-to-avoid-millions-of-job-losses|url-status = live}}</ref> After a [[The Health Protection (Coronavirus, Restrictions) (England) (No. 4) Regulations 2020|second lockdown in England]] on 31 October 2020, the programme was further extended until 2 December 2020,<ref>{{cite web|title=Furlough Scheme Extended and Further Economic Support announced|url=https://www.gov.uk/government/news/furlough-scheme-extended-and-further-economic-support-announced|access-date=31 October 2020|website=GOV.UK|archive-date=1 November 2020|archive-url=https://web.archive.org/web/20201101015324/https://www.gov.uk/government/news/furlough-scheme-extended-and-further-economic-support-announced|url-status=live}}</ref> this was followed on 5 November 2020 by a lengthy extension until 31 March 2021.<ref>{{cite web|title=Extension to the Coronavirus Job Retention Scheme|url=https://www.gov.uk/government/publications/extension-to-the-coronavirus-job-retention-scheme|access-date=5 November 2020|website=GOV.UK|archive-date=5 November 2020|archive-url=https://web.archive.org/web/20201105124543/https://www.gov.uk/government/publications/extension-to-the-coronavirus-job-retention-scheme|url-status=live}}</ref> On 17 December 2020, the programme was further extended until 30 April 2021.<ref>{{cite news|date=17 December 2020|title=Rishi Sunak extends furlough scheme for another month|work=BBC News|url=https://www.bbc.com/news/business-55345392|access-date=17 December 2020|archive-date=13 July 2021|archive-url=https://web.archive.org/web/20210713003355/https://www.bbc.com/news/business-55345392|url-status=live}}</ref> In the [[March 2021 United Kingdom budget|2021 budget]] held on 3 March 2021, Sunak confirmed that the scheme had been extended once more until 30 September 2021.<ref>{{cite news|date=2 March 2021|title=Furlough support scheme to be extended until September|work=BBC News|url=https://www.bbc.com/news/business-56259094|access-date=2 March 2021|archive-date=2 March 2021|archive-url=https://web.archive.org/web/20210302222210/https://www.bbc.com/news/business-56259094|url-status=live}}</ref>[[File:Chancellor strengthens support on offer for business as first government-backed loans reach firms in need.jpg|left|thumb|Sunak announcing a new scheme for larger companies in April 2020]]Following changes to the scheme at the end of May, the director of the Northern Ireland Retail Consortium said that being asked to pay wages when businesses had not been trading was an added pressure, while the [[Federation of Small Businesses]] was surprised that the Chancellor was tapering the scheme when ending it.<ref>{{cite news|url = https://www.bbc.co.uk/news/uk-northern-ireland-52853499|title = Furlough pay ask 'another pressure on retailers'|work = BBC News|date = 29 May 2020|access-date = 4 February 2021|archive-date = 30 May 2020|archive-url = https://web.archive.org/web/20200530210559/https://www.bbc.co.uk/news/uk-northern-ireland-52853499|url-status = live}}</ref> Northern Ireland's economy minister [[Diane Dodds]] said that changes to the scheme could be very difficult for some sectors uncertain about when they can reopen, particularly in the hospitality and retail sector, whilst finance minister [[Conor Murphy]] said that it was too early in the economic recovery.<ref>{{cite news|url = https://www.bbc.co.uk/news/uk-northern-ireland-52851132|title = Furlough changes could be 'difficult' for NI firms|work = BBC News|date = 29 May 2020|access-date = 4 February 2021|archive-date = 16 June 2020|archive-url = https://web.archive.org/web/20200616055340/https://www.bbc.co.uk/news/uk-northern-ireland-52851132|url-status = live}}</ref> By 15 August 80,433 firms had returned £215,756,121 that had been claimed under the scheme. Other companies had claimed smaller amounts of grant cash on the next instalment to compensate for any overpayment. [[HM Revenue and Customs]] officials believed that £3.5 billion may have been paid out in error or to fraudsters.<ref>{{cite news|url=https://www.bbc.co.uk/news/business-54228890|title=Coronavirus: UK firms voluntarily return £215m in furlough cash|work=BBC News|date=20 September 2020|access-date=4 February 2021|archive-date=22 September 2020|archive-url=https://web.archive.org/web/20200922170306/https://www.bbc.co.uk/news/business-54228890|url-status=live}}</ref>
===== Eat Out to Help Out =====
{{main|Eat Out to Help Out}}
[[File:Boris Johnson Covid-19 Presser (50516975857).jpg|thumb|Sunak and Johnson at a COVID-19 press conference in October 2020]]In July, Sunak unveiled a plan for a further £30&nbsp;billion of spending which included a [[Stamp duty in the United Kingdom|stamp duty]] holiday, a cut to [[Value-added tax in the United Kingdom|value-added tax]] (VAT) for the hospitality sector, a job retention bonus for employers and the [[Eat Out to Help Out]] scheme,<ref>{{cite news |last1=Inman |first1=Phillip |last2=Proctor |first2=Kate |date=8 July 2020 |title=Rishi Sunak unveils stamp duty holiday and hospitality VAT cut |work=The Guardian |url=https://www.theguardian.com/uk-news/2020/jul/08/rishi-sunak-unveils-stamp-duty-holiday-and-hospitality-vat-cut-furloughed-coronavirus |access-date=23 July 2020 |archive-date=23 July 2020 |archive-url=https://web.archive.org/web/20200723175955/https://www.theguardian.com/uk-news/2020/jul/08/rishi-sunak-unveils-stamp-duty-holiday-and-hospitality-vat-cut-furloughed-coronavirus |url-status=live }}</ref><ref>{{cite web |date=8 July 2020 |title=Coronavirus: Chancellor Rishi Sunak unveils £30bn plan to save jobs |url=https://www.bbc.co.uk/news/uk-politics-53268594 |access-date=23 July 2020 |work=BBC News |archive-date=19 July 2020 |archive-url=https://web.archive.org/web/20200719150218/https://www.bbc.co.uk/news/uk-politics-53268594 |url-status=live }}</ref> aimed at supporting and creating jobs in the [[Hospitality industry in the United Kingdom|hospitality industry]]. The government subsidised food and soft drinks at participating cafes, pubs and restaurants at 50%, up to £10 per person. The offer was available from 3 to 31 August on Monday to Wednesday each week.<ref>{{cite web|title=Eat Out to Help Out launches today – with government paying half on restaurant bills|url=https://www.gov.uk/government/news/eat-out-to-help-out-launches-today-with-government-paying-half-on-restaurant-bills|date=3 August 2020|access-date=22 December 2020|website=GOV.UK|archive-date=23 January 2021|archive-url=https://web.archive.org/web/20210123115026/https://www.gov.uk/government/news/eat-out-to-help-out-launches-today-with-government-paying-half-on-restaurant-bills|url-status=live}}</ref> In total, the scheme subsidised £849 million in meals.<ref>{{cite news|date=25 November 2020|title=Businesses claimed £849m through Eat Out to Help Out scheme for 160 million meals|url=https://www.independent.co.uk/news/uk/home-news/eat-out-help-scheme-business-restaurants-meals-hmrc-b1761566.html|access-date=22 December 2020|work=The Independent|last=Ng|first=Kate|archive-date=25 November 2020|archive-url=https://web.archive.org/web/20201125101940/https://www.independent.co.uk/news/uk/home-news/eat-out-help-scheme-business-restaurants-meals-hmrc-b1761566.html|url-status=live}}</ref>
Sunak announced the scheme on 8 July 2020 as part of the British government's ''Plan for Jobs'' strategy.{{sfn|Hutton|2020}}<ref>{{Cite web |title=Chancellor's Plan for Jobs to help the UK's recovery |url=https://www.gov.uk/government/news/rishis-plan-for-jobs-will-help-britain-bounce-back |access-date=2022-01-12 |website=GOV.UK |language=en}}</ref> It involved the government [[Subsidy|subsidising]] food and non-alcoholic drinks at participating cafes, pubs, and restaurants at 50%, up to £10 per person (per order). The offer, announced in July 2020, was available during the month of August 2020, from Monday to Wednesday each week.<ref name=":1">{{Cite web |date=3 August 2020 |title=Eat Out to Help Out launches today – with government paying half on restaurant bills |url=https://www.gov.uk/government/news/eat-out-to-help-out-launches-today-with-government-paying-half-on-restaurant-bills |url-status=live |archive-url=https://web.archive.org/web/20210123115026/https://www.gov.uk/government/news/eat-out-to-help-out-launches-today-with-government-paying-half-on-restaurant-bills |archive-date=23 January 2021 |access-date=22 December 2020 |website=GOV.UK |language=en}}</ref>{{sfn|Fetzer|2021}} In total, the scheme subsidised £849 million across 160 million subsidised meals.{{sfn|Fetzer|2021}}<ref>{{Cite news |last=Ng |first=Kate |date=25 November 2020 |title=Businesses claimed £849m through Eat Out to Help Out scheme for 160 million meals |language=en |work=The Independent |url=https://www.independent.co.uk/news/uk/home-news/eat-out-help-scheme-business-restaurants-meals-hmrc-b1761566.html |url-status=live |access-date=22 December 2020 |archive-url=https://web.archive.org/web/20201125101940/https://www.independent.co.uk/news/uk/home-news/eat-out-help-scheme-business-restaurants-meals-hmrc-b1761566.html |archive-date=25 November 2020}}</ref> Some consider the scheme to be a success in boosting the hospitality industry,<ref>{{Cite web |last=Barrie |first=Josh |date=9 September 2020 |title=Eat Out to Help Out scheme has already made back half the money the Government spent on it |url=https://inews.co.uk/inews-lifestyle/food-and-drink/eat-out-to-help-out-scheme-money-government-saved-jobs-restaurants-640942 |url-status=live |archive-url=https://web.archive.org/web/20201101080803/https://inews.co.uk/inews-lifestyle/food-and-drink/eat-out-to-help-out-scheme-money-government-saved-jobs-restaurants-640942 |archive-date=1 November 2020 |access-date=22 December 2020 |website=inews.co.uk |language=en}}</ref> while others disagree.<ref>{{Cite news |last=Inman |first=Phillip |date=1 October 2020 |title='Eat out to help out' did not boost hospitality sector finances – poll |language=en-GB |work=The Guardian |url=https://www.theguardian.com/business/2020/oct/01/eat-out-to-help-out-failed-boost-finances-uk-hospitality-industry |url-status=live |access-date=22 December 2020 |archive-url=https://web.archive.org/web/20201221112432/https://www.theguardian.com/business/2020/oct/01/eat-out-to-help-out-failed-boost-finances-uk-hospitality-industry |archive-date=21 December 2020 |issn=0261-3077}}</ref><ref>{{Cite web |title=Eat Out to Help Out scheme had a 'limited effect on the UK's restaurants and cafes' |date=10 February 2021 |url=https://www.lse.ac.uk/News/Latest-news-from-LSE/2021/b-Feb-21/Eat-Out-to-Help-Out-scheme-had-a-limited-effect-on-the-UK's-restaurants-and-cafes |url-status=live |archive-url=https://web.archive.org/web/20210225114630/https://www.lse.ac.uk/News/Latest-news-from-LSE/2021/b-Feb-21/Eat-Out-to-Help-Out-scheme-had-a-limited-effect-on-the-UK's-restaurants-and-cafes |archive-date=2021-02-25}}</ref>
Further lockdowns were introduced later in 2020 after the scheme ended in response to an increase in COVID-19 infections, which forced many hospitality venues to close once again.{{sfn|Fetzer|2021}} A 2020 study found that the scheme contributed to a rise in COVID-19 infection, which Johnson acknowledged but the Treasury rejected.<ref>{{Cite news |date=2020-10-04 |title='Eat Out to Help Out' May Have Spread Coronavirus, Boris Johnson Says |language=en |work=Bloomberg.com |url=https://www.bloomberg.com/news/articles/2020-10-04/boris-johnson-says-eat-out-drive-may-have-spread-covid-in-u-k |access-date=2023-05-20}}</ref> A 2021 study found that the scheme contributed to a rise in COVID-19 infections, with Johnson acknowledged but Sunak rejected.{{sfn|Fetzer|2021}}<ref name="bl-20201004">{{cite news |last=Ross |first=Tim |date=4 October 2020 |title=Boris Johnson Says 'Eat Out' Drive May Have Spread Covid in U.K. |publisher=Bloomberg |url=https://www.bloomberg.com/news/articles/2020-10-04/boris-johnson-says-eat-out-drive-may-have-spread-covid-in-u-k |access-date=18 July 2021}}</ref>
It was later alleged by the government's chief medical adviser Sir [[Patrick Vallance]] during the [[UK COVID-19 Inquiry]] that Sunak had not informed medical advisers of the scheme until it was announced, whereas written evidence from Sunak claimed that the scheme had been discussed with medical advisers, including Vallance, and they had not objected.
==== Fraud against the COVID schemes ====
[[File:Rishi Sunak Covid-19 Press Conference 29 05 (49948534748).jpg|thumb|Sunak at a COVID-19 press conference in June 2020]]
In June 2020, David Clarke, chair of the [[Fraud Advisory Panel]] charity and a group of top white-collar crime experts wrote a letter to Sunak, the [[National Audit Office (United Kingdom)|National Audit Office]], and others, to alert them the risk of fraud against the government tax-payer backed stimulus schemes. They called for publication of the names of companies receiving Bounce Back Loans to enable data matching to prevent, deter and detect fraud.<ref>{{cite news |last=Armitage |first=Jim |date=26 June 2020 |title=Fraud chiefs warn Rishi Sunak over risks of millions of pounds being stolen under state Covid loans due to lack of transparency |work=Evening Standard |url=https://www.standard.co.uk/business/fraud-cbils-bounceback-loans-rishi-sunak-sfo-crime-a4481316.html |url-status=live |access-date=5 February 2021 |archive-url=https://web.archive.org/web/20201115120126/https://www.standard.co.uk/business/fraud-cbils-bounceback-loans-rishi-sunak-sfo-crime-a4481316.html |archive-date=15 November 2020}}</ref><ref>{{cite news |last= |first= |date=16 June 2020 |title=Letter to Rishi Sunak from Fraud Advisory Panel |work=Fraud Advisory Panel |url=https://www.fraudadvisorypanel.org/wp-content/uploads/2020/10/FAP-Letter-to-Chancellor-of-Exchequer-Loan-Transparency-16Jun20.pdf |url-status=live |access-date=5 February 2021 |archive-url=https://web.archive.org/web/20201224092029/https://www.fraudadvisorypanel.org/wp-content/uploads/2020/10/FAP-Letter-to-Chancellor-of-Exchequer-Loan-Transparency-16Jun20.pdf |archive-date=24 December 2020}}</ref> In September 2020, it emerged that Government Ministers were warned about the risk of fraud against the financial support schemes by Keith Morgan, CEO of the state-owned [[British Business Bank]] who had concerns about the Bounce Back Loan Scheme and Future Fund.<ref>{{cite news |last=Hurley |first=James |date=30 September 2020 |title=Ministers were warned of fraud risk in Bounce Back Loan Scheme |work=The Times |url=https://www.thetimes.co.uk/article/ministers-were-warned-of-fraud-risk-in-bounce-back-loan-scheme-gfmk6xmt0 |url-status=live |access-date=5 February 2021 |archive-url=https://web.archive.org/web/20210208232957/https://www.thetimes.co.uk/article/ministers-were-warned-of-fraud-risk-in-bounce-back-loan-scheme-gfmk6xmt0 |archive-date=8 February 2021}}</ref> In December 2020, it was reported that banks and the [[National Crime Agency]] also had concerns about fraudulent abuse of the Bounce Back Loan Scheme.<ref>{{cite web |last= |first= |date=14 December 2020 |title=Banks and the NCA warn about the fraudulent abuse of the COVID-19 bounce back loan scheme |url=https://www.mishcon.com/news/banks-and-the-nca-warn-about-the-fraudulent-abuse-of-the-covid-19-bounce-back-loan-scheme |url-status=live |archive-url=https://web.archive.org/web/20210713003312/https://www.mishcon.com/news/banks-and-the-nca-warn-about-the-fraudulent-abuse-of-the-covid-19-bounce-back-loan-scheme |archive-date=13 July 2021 |access-date=5 February 2021 |website=mishcon.com}}</ref>
In January 2021, the NCA reported that three city workers who worked for the same London financial institution had been arrested as part of an investigation into fraudulent Bounce Back Loans totalling £6 million. The NCA said the men were suspected of using their "specialist knowledge" to carry out the fraud. This form of insider fraud was a risk highlighted in the letter sent to Sunak in June 2020.<ref>{{cite news |last=Roach |first=April |date=23 January 2021 |title=Three London city workers arrested amid fraud probe into coronavirus bounce back loans of £6 million |work=Evening Standard |url=https://www.standard.co.uk/news/crime/london-city-workers-arrest-covid-fraud-loan-b900915.html |url-status=live |access-date=5 February 2021 |archive-url=https://web.archive.org/web/20210211193417/https://www.standard.co.uk/news/crime/london-city-workers-arrest-covid-fraud-loan-b900915.html |archive-date=11 February 2021}}</ref> A 2022 Freedom of Information request to the British Business Bank, the state-run body administering the bounce back loan scheme, found that almost one fifth, or 193,000 businesses had failed to meet their repayment terms as at 27 June 2022.<ref>{{cite web |date=18 July 2022 |title=Almost a fifth of a million small businesses have fallen into arrears on their bounceback loan repayments, far more than the number officially published. |url=https://bmmagazine.co.uk/news/covid-bounceback-loan-arrears-worse-than-admitted/ |url-status=live |archive-url=https://web.archive.org/web/20220718080353/https://bmmagazine.co.uk/news/covid-bounceback-loan-arrears-worse-than-admitted/ |archive-date=18 July 2022 |access-date=18 July 2022 |website=Business Matters}}</ref> The UK government estimated that £4.9 billion of bounce back loans may have been lost to fraud.<ref>{{cite web |date=18 July 2022 |title=Covid bounceback loan arrears worse than admitted |url=https://bmmagazine.co.uk/news/covid-bounceback-loan-arrears-worse-than-admitted/ |url-status=live |archive-url=https://web.archive.org/web/20220718080353/https://bmmagazine.co.uk/news/covid-bounceback-loan-arrears-worse-than-admitted/ |archive-date=18 July 2022 |access-date=26 July 2022 |website=Business Matters Magazine}}</ref>
In November 2022, a month after [[Premiership of Rishi Sunak|Sunak had ascended to the premiership]], it was revealed that four billion pounds had been lost to fraud in Sunak's three COVID schemes, with Eat Out to Help Out being revealed as having "a particularly high level of fraud". Arrests were made as part of efforts to clamp down on fraud.<ref>{{Cite web |title=£4.5bn lost to fraud in three COVID schemes as Rishi Sunak's Eat Out to Help Out scheme recorded 9.5% rate of fraud, HMRC says |url=https://news.sky.com/story/4-5bn-lost-to-fraud-in-three-covid-schemes-as-rishi-sunaks-eat-out-to-help-out-scheme-recorded-9-5-rate-of-fraud-hmrc-says-12758935 |access-date=2023-05-10 |website=Sky News |language=en}}</ref>
==== Controversies regarding COVID-19 contracts ====
{{Main|Controversies regarding COVID-19 contracts in the United Kingdom|Shortages related to the COVID-19 pandemic}}[[File:Budget Day 2021 (51633498023).jpg|thumb|Sunak and Johnson at Fourpure Brewery in South East London in October 2021]]In response to the COVID-19 pandemic, Sunak and the government decided in March 2020 to rapidly place contracts and recruit a number of individuals. Shortages of [[personal protective equipment]] (PPE) were a particular political issue for the government. This led to the awarding of a number of contracts without a [[competitive tendering]] process, and friends of political figures and people who had made political donations, most notably [[Michelle Mone, Baroness Mone|Michelle Mone]], were quickly given contracts. As a result, accusations of [[cronyism]] were made against the government.
==== Fixed penalty notice ====
{{Main|Partygate}}
[[File:Sue Gray report Fig 3 (cropped).jpg|left|thumb|185x185px|Johnson and Sunak at the former's birthday celebration on 19 June 2020; both men later received fixed penalty notices for attending the gathering]]
In April 2022, amid the [[Partygate]] scandal, Sunak was issued a [[fixed penalty notice]] by the police who found he had committed offences under COVID-19 regulations by attending a birthday party for Johnson on 19 June 2020. The police also issued 125 fixed penalty notices to 82 other individuals, including Johnson and his wife [[Carrie Johnson|Carrie Symonds]], who all apologised and paid the penalties.<ref name=":10">{{cite news |date=8 July 2022 |title=Ex-Chancellor Rishi Sunak launches bid to be Conservative leader |work=[[BBC News]] |url=https://www.bbc.co.uk/news/uk-politics-62099272 |url-status=live |access-date=9 July 2022 |archive-url=https://web.archive.org/web/20220708152408/https://www.bbc.co.uk/news/uk-politics-62099272 |archive-date=8 July 2022}}</ref>  Sunak said he was "extremely and sincerely sorry" for the hurt caused by him attending the party, and that he respected the police's decision to give him a fine.<ref>{{Cite web |last=Cordon |first=Gavin |date=21 April 2022 |title=Rishi Sunak says he is 'sincerely sorry' for breach of lockdown rules |url=https://www.standard.co.uk/news/uk/rishi-sunak-boris-johnson-imf-washington-b995530.html |website=Evening Standard}}</ref> ITV News later reported that some of Sunak's junior aides at the time suggested he should resign in order to challenge Johnson's leadership, but he chose not to.<ref name="podcast5">{{cite podcast |title=Partygate: The Inside Story - new revelations and our whistleblowers in their own words: 5. Fine Details |website=ITV News |date=12 January 2023 |url=https://www.itv.com/news/2023-01-11/partygate-the-inside-story-reveals-more-on-downing-streets-notorious-parties}}</ref> In an interview with BBC Political Editor [[Chris Mason (journalist)|Chris Mason]] in May 2022, Sunak defended Johnson amid the backlash, claiming that Johnson "apologised profusely and sincerely", had "acted on it and learned the lessons", and was "even more committed" to "deliver for the British people". Sunak said Johnson had "his full support" and that he always trusted and believed Johnson.<ref>{{Cite news |title=Chancellor: PM has my absolute full support |language=en-GB |work=BBC News |url=https://www.bbc.co.uk/news/av/uk-politics-61593391 |access-date=2022-10-27}}</ref>
=== Cost of living crisis ===
{{Main|2021–present United Kingdom cost-of-living crisis|2021 United Kingdom natural gas supplier crisis}}
[[File:Budget Day 2021 (51633593633).jpg|thumb|Sunak at a cabinet meeting with Johnson, October 2021]]
As the rising [[2021–present United Kingdom cost-of-living crisis|cost of living]] became an increasingly serious and worrying issue for the country, Sunak intensified the government's efforts to respond to the crisis in May 2022, with a £5 billion [[Windfall tax (United Kingdom)|windfall tax]] on energy companies to help fund a £15 billion support package for the public. The package included every household getting a £400 discount on energy bills, which would be in addition to a £150 council tax refund the government had already ordered. For about 8 million of the UK's lowest income households, a further £650 payment was announced. Additionally, pensioners or those with disability would qualify for extra payments, on top of the £550 that every household gets, and the £650 they would receive if they had a low income.<ref name="numbers2">{{cite web |last1=Partington |first1=Richard |last2=Kirk |first2=Ashley |date=3 February 2022 |title=In numbers: what is fuelling Britain's cost of living crisis? |url=https://www.theguardian.com/business/2022/feb/03/in-numbers-britains-cost-of-living-crisis |url-status=live |archive-url=https://web.archive.org/web/20220203083943/https://www.theguardian.com/business/2022/feb/03/in-numbers-britains-cost-of-living-crisis |archive-date=3 February 2022 |access-date=12 June 2022 |work=[[The Guardian]]}}</ref><ref>{{cite web |author=The editorial board |date=27 May 2022 |title=A striking U-turn to alleviate the UK cost of living crisis |url=https://www.ft.com/content/05e49e39-a569-4346-88b9-4543ec9efbe1 |url-status=live |archive-url=https://web.archive.org/web/20220527171709/https://www.ft.com/content/05e49e39-a569-4346-88b9-4543ec9efbe1 |archive-date=27 May 2022 |access-date=12 June 2022 |work=[[Financial Times]]}}</ref><ref>{{cite news |last=Clinton |first=Jane |date=10 June 2022 |title=How will the £650 one-off payment be paid? If you should apply for cost of living support and who is eligible |work=[[iNews]] |url=https://inews.co.uk/news/consumer/how-apply-for-650-one-off-payment-paid-who-cost-living-help-1679452 |url-status=live |access-date=12 June 2022 |archive-url=https://web.archive.org/web/20220610094451/https://inews.co.uk/news/consumer/how-apply-for-650-one-off-payment-paid-who-cost-living-help-1679452 |archive-date=10 June 2022}}</ref><ref>{{cite web |last=Thomas |first=Daniel |date=15 June 2022 |title=Millions to get first cost-of-living payment from 14 July |url=https://www.bbc.co.uk/news/business-61802109 |access-date=15 June 2022 |website=[[BBC News]]}}</ref>
== Other actions ==
[[File:G7 Finance Ministers agree to work together to address global supply chain pressures.png|thumb|Sunak in October 2021 welcoming an agreement from [[G7|G7 Finance Ministers]] to work together to monitor supply chain pressures as the global economy rebounds from COVID-19]]
=== G7 tax reform ===
Sunak hosted a [[G7]] summit in London in June 2021.<ref name="g7summit2">{{cite news |last=Partington |first=Richard |date=7 June 2021 |title=G7 tax reform: what has been agreed and which companies will it affect? |work=The Guardian |url=https://www.theguardian.com/world/2021/jun/07/g7-tax-reform-what-has-been-agreed-and-which-companies-will-it-affect |url-status=live |access-date=25 October 2021 |archive-url=https://web.archive.org/web/20211025160859/https://www.theguardian.com/world/2021/jun/07/g7-tax-reform-what-has-been-agreed-and-which-companies-will-it-affect |archive-date=25 October 2021}}</ref> A tax reform agreement was signed, which in principle sought to establish a [[Global minimum corporate tax rate|global minimum tax]] on multinationals and online technology companies.<ref name="g7summit2" /> In October 2021, the [[OECD]] signed an accord to join the tax reform plan.<ref>{{cite news |last=Partington |first=Richard |date=8 October 2021 |title=OECD deal imposes global minimum corporate tax of 15% |work=The Guardian |url=https://www.theguardian.com/business/2021/oct/08/oecd-deal-imposes-global-minimum-corporate-tax-of-15 |url-status=live |access-date=25 October 2021 |archive-url=https://web.archive.org/web/20211025095416/https://www.theguardian.com/business/2021/oct/08/oecd-deal-imposes-global-minimum-corporate-tax-of-15 |archive-date=25 October 2021}}</ref>
=== COP 26 ===
[[File:Chancellor hails global cooperation as landmark tax reforms aimed for 2023.png|thumb|Sunak hailing global cooperation in October 2021, after 136 countries agreed a new system ensuring large multi-nationals pay the right tax in the right places|left]]Sunak attended [[2021 United Nations Climate Change Conference|COP 26]] in Glasgow.<ref name="RSCO_1">{{cite web |last=Ferguson |first=Emily |date=3 November 2021 |title=COP26: Rishi Sunak unveils commitment from companies managing $130 trillion to fight climate change |url=https://inews.co.uk/news/politics/cop26-rishi-sunak-unveils-130-trillion-commitment-to-help-developing-nations-fight-climate-change-1281644 |access-date=26 October 2022 |publisher=[[Associated Newspapers Limited]]}}</ref> During the speech he gave on 3 November, he said that he felt optimism despite daunting challenges and that by bringing together finance ministers, businesses and investors, COP 26 could begin to deliver targets from the [[Paris Agreement]].<ref name="RSCO_2">{{cite web |date=3 November 2021 |title=COP26 Finance Day speech |url=https://www.gov.uk/government/speeches/cop26-finance-day-speech |access-date=26 October 2022 |website=GOV.UK}}</ref> He outlined three actions: First, the need for increased public investment, with the U.K. committing £100 million to the Taskforce on Access to Climate Finance. He announced support for a new Capital Markets Mechanism which will issue [[green bond]]s in the U.K. to fund renewable energy in developing countries.<ref name="RSCO_2" /> Second, mobilising private finance, with the Glasgow Financial Alliance for Net Zero bringing together organisations with assets over $130 trillion to be deployed.<ref name="RSCO_2" /> Third, the rewiring of the entire global financial system for net zero, which would include better climate data, mandatory sustainability disclosures, climate risk surveillance and stronger global reporting standards.<ref name="RSCO_2" /> Also announced was that the UK will become the first ever ‘Net Zero Aligned Financial Centre’.<ref name="RSCO_2" />
==== Proposed green levy ====
[[File:Commemorative coin marking Mahatma Gandhi’s remarkable life unveiled for the first time.jpg|thumb|Sunak in November 2021, holding a commemorative coin of Mahatma Gandhi]]
Sunak privately lobbied to impose a green levy, which would have led to higher petrol and diesel prices, to help pay for the plan to reduce [[greenhouse gas emissions]] to [[Carbon neutrality|net zero]] by 2050.<ref name="greenlevy22">{{cite news |date=15 July 2022 |title=Rishi Sunak's Push for Green Levy on Petrol Was Blocked by UK Cabinet |work=[[Bloomberg News]] |url=https://www.bloomberg.com/news/articles/2022-07-15/sunak-s-push-for-green-levy-on-petrol-was-blocked-by-uk-cabinet#xj4y7vzkg |url-status=live |access-date=15 July 2022 |archive-url=https://archive.today/20220715091112/https://www.bloomberg.com/news/articles/2022-07-15/sunak-s-push-for-green-levy-on-petrol-was-blocked-by-uk-cabinet |archive-date=15 July 2022}}{{Subscription required}}</ref> The proposed Fossil Fuels Emissions Trading Scheme, drawn up by the Treasury, sought to levy pollution from road transportation, as well as shipping, building heating and diesel trains, which together make up more than 40% of UK carbon emissions.<ref name="greenlevy22" /> The proposal was ultimately rejected by Johnson, who instructed officials that he did not want to increase costs for consumers.<ref name="greenlevy22" />
==== Proposed government-backed non-fungible token (NFT) ====
Sunak proposed new laws that would pave the way for [[stablecoin]]s to be used for everyday payments, despite fears from the [[Bank of England]] about the financial stability of the technology.<ref name="proactive">{{cite web |date=7 July 2022 |title=Rishi Sunak resignation a blow to UK crypto hub plans |url=https://www.proactiveinvestors.co.uk/companies/news/986902/rishi-sunak-resignation-a-blow-to-uk-crypto-hub-plans-986902.html |url-status=live |archive-url=https://web.archive.org/web/20220716212342/https://www.proactiveinvestors.co.uk/companies/news/986902/rishi-sunak-resignation-a-blow-to-uk-crypto-hub-plans-986902.html |archive-date=16 July 2022 |access-date=9 July 2022 |website=Proactive Investors}}</ref><ref>{{cite news |last1=Foy |first1=Simon |date=5 July 2022 |title=Rishi Sunak splits from Bank of England to pave way for crypto payments |website=[[The Daily Telegraph]] |url=https://www.telegraph.co.uk/business/2022/07/05/rishi-sunak-splits-bank-england-pave-way-crypto-payments/ |url-status=live |access-date=9 July 2022 |archive-url=https://web.archive.org/web/20220709190807/https://www.telegraph.co.uk/business/2022/07/05/rishi-sunak-splits-bank-england-pave-way-crypto-payments/ |archive-date=9 July 2022}}</ref> In April 2022, Sunak ordered the [[Royal Mint]] to create a UK government-backed [[non-fungible token]] (NFT) to be issued by summer 2022.<ref>{{cite web |date=4 April 2022 |title=Rishi Sunak asks Royal Mint to create NFT |url=https://www.theguardian.com/technology/2022/apr/04/rishi-sunak-asks-royal-mint-to-create-nft |url-status=live |archive-url=https://web.archive.org/web/20220708112534/https://www.theguardian.com/technology/2022/apr/04/rishi-sunak-asks-royal-mint-to-create-nft |archive-date=8 July 2022 |access-date=9 July 2022 |website=[[The Guardian]]}}</ref><ref>{{cite news |date=27 April 2022 |title=Rishi Sunak orders creation of UK government-backed NFT |website=[[The Independent]] |url=https://www.independent.co.uk/news/uk/politics/rishi-sunak-nft-uk-royal-mint-b2066615.html |url-status=live |access-date=9 July 2022 |archive-url=https://web.archive.org/web/20220709190746/https://www.independent.co.uk/news/uk/politics/rishi-sunak-nft-uk-royal-mint-b2066615.html |archive-date=9 July 2022}}</ref>
=== Economic ties with China ===
Sunak promoted trade talks in pursuit of stronger [[China–United Kingdom relations|economic ties with China]].<ref>{{cite news |date=29 January 2022 |title=Rishi Sunak bids to reset China relations to boost trade |work=The Daily Telegraph |url=https://www.telegraph.co.uk/business/2022/01/29/rishi-sunak-bids-reset-china-relations-boost-trade/}}</ref><ref>{{cite news |date=25 July 2022 |title=Sunak was 'driving force' behind push for closer China ties |work=The Daily Telegraph |url=https://www.telegraph.co.uk/business/2022/07/25/sunak-driving-force-behind-push-closer-china-ties/}}</ref><ref>{{cite news |date=1 September 2022 |title=Uyghur detention camps: a special report on China and a culture under attack |work=[[New Statesman]] |url=https://www.newstatesman.com/uyghur-special/2022/09/uyghur-detention-camps-special-report-china-culture-attack}}</ref>
=== Sunak and his family's wealth ===
[[File:Akshata Murty at 10 Downing Street on 14 July 2023 (cropped).jpg|thumb|231x231px|Sunak's wife [[Akshata Murty]]]]In November 2020, Sunak was reported by ''[[The Guardian]]'' to have not declared a significant amount of his wife [[Akshata Murty]] and family's financial interests on the register of ministers' interests, including a combined £1.7{{nbsp}}billion shareholding in the Indian company [[Infosys]]. [[Alistair Graham]], former chair of the [[Committee on Standards in Public Life]] stated Sunak should disclose his financial interests and those of his close family due to "the chancellor's capacity to determine the government's financial and business policies. He seems to have taken the most minimalist approach possible to this requirement. Perhaps Rishi Sunak should carefully read the 'Seven principles of Public Life' to make sure he is fulfilling the two principles of 'Honesty and Leadership'."<ref name="Gintersts2">{{cite news |last1=Garside |first1=Juliette |date=27 November 2020 |title=Huge wealth of Rishi Sunak's family not declared in ministerial register |work=[[The Guardian]] |url=https://www.theguardian.com/politics/2020/nov/27/huge-wealth-of-sunaks-family-not-declared-in-ministerial-register |url-status=live |access-date=29 November 2020 |archive-url=https://web.archive.org/web/20201128212910/https://www.theguardian.com/politics/2020/nov/27/huge-wealth-of-sunaks-family-not-declared-in-ministerial-register |archive-date=28 November 2020}}</ref> Ministers are required to declare interests that are "relevant" to their responsibilities and "which might be thought to give rise to a conflict" with their public duties.<ref name="Gintersts2" /> The independent adviser on ministers' interests investigated and concluded that Sunak had not broken any rules.<ref>{{cite news |last=Elgot |first=Jessica |date=27 April 2022 |title=Huge wealth of Rishi Sunak's family not declared in ministerial register |work=The Guardian |url=https://www.theguardian.com/politics/2022/apr/27/sunak-cleared-in-financial-affairs-investigation |url-status=live |access-date=10 July 2022 |archive-url=https://web.archive.org/web/20220710131105/https://www.theguardian.com/politics/2022/apr/27/sunak-cleared-in-financial-affairs-investigation |archive-date=10 July 2022}}</ref><ref>{{cite web |last1=Payne |first1=Adam |last2=Smith |first2=Beckie |date=28 April 2022 |title=Sunak cleared of ministerial code breach over tax affairs |url=https://www.civilserviceworld.com/professions/article/sunak-cleared-of-ministerial-code-breach-over-tax-affairs |url-status=live |archive-url=https://web.archive.org/web/20220710131101/https://www.civilserviceworld.com/professions/article/sunak-cleared-of-ministerial-code-breach-over-tax-affairs |archive-date=10 July 2022 |access-date=10 July 2022 |website=Civil Service World |publisher=Merit Group}}</ref>
In early 2022, newspapers reported that Murty had [[List of people with non-domiciled status in the UK|non-domiciled status]], meaning she did not have to pay [[Taxation in the United Kingdom|tax]] on income earned abroad while living in the UK.<ref name=":22">{{cite web |last1=Walker |first1=Peter |last2=Makortoff |first2=Kalyeena |last3=Wearden |first3=Graeme |last4=Elgot |first4=Jessica |last5=Neate |first5=Rupert |date=7 April 2022 |title=Akshata Murty may have avoided up to £20m in tax with non-dom status |url=https://www.theguardian.com/politics/2022/apr/07/rishi-sunaks-wife-says-its-not-relevant-to-say-where-she-pays-tax-overseas |url-status=live |archive-url=https://web.archive.org/web/20220407152909/https://www.theguardian.com/politics/2022/apr/07/rishi-sunaks-wife-says-its-not-relevant-to-say-where-she-pays-tax-overseas |archive-date=7 April 2022 |access-date=7 April 2022 |work=The Guardian}}</ref> The status cost approximately £30,000 to secure, and allowed her to avoid paying an estimated £20&nbsp;million in UK taxes.<ref name=":22" /><ref>{{cite news |date=7 April 2022 |title=Rishi Sunak faces questions over wife Akshata Murty's non-dom tax status |work=[[BBC News]] |url=https://www.bbc.co.uk/news/uk-politics-61017993 |url-status=live |access-date=7 April 2022 |archive-url=https://web.archive.org/web/20220406234410/https://www.bbc.co.uk/news/uk-politics-61017993 |archive-date=6 April 2022}}</ref> Following media controversy, Murty stated on 8 April that she would pay UK taxes on her global income, adding in a statement that she did not want the issue "to be a distraction for my husband". A Whitehall inquiry was launched into who had leaked the details of her tax status.<ref>{{cite news |last=Acres |first=Tom |date=10 April 2022 |title=Rishi Sunak: Whitehall inquiry launched into leak of chancellor's wife's tax status |publisher=Sky News |url=https://news.sky.com/story/rishi-sunak-whitehall-inquiry-launched-into-leak-of-chancellors-wifes-tax-status-12586858 |url-status=live |access-date=20 April 2022 |archive-url=https://web.archive.org/web/20220708230553/https://news.sky.com/story/rishi-sunak-whitehall-inquiry-launched-into-leak-of-chancellors-wifes-tax-status-12586858 |archive-date=8 July 2022}}</ref>
Reporting around this time also revealed that Sunak had continued to hold United States' [[Green card|permanent resident]] (green card) status he had acquired in the 2000s until 2021, including for 18 months after he was made chancellor, which required filing annual US tax returns.<ref>{{cite news |date=8 April 2022 |title=Chancellor Rishi Sunak held US green card until last year |work=BBC News |url=https://www.bbc.com/news/uk-politics-61044847 |url-status=live |access-date=8 July 2022 |archive-url=https://web.archive.org/web/20220414231139/https://www.bbc.com/news/uk-politics-61044847 |archive-date=14 April 2022}}</ref><ref>{{cite news |date=8 April 2022 |title=Rishi Sunak admits holding a US green card for more than a year as chancellor |work=ITV News |url=https://www.itv.com/news/2022-04-08/rishi-sunak-admits-holding-a-us-green-card-for-more-than-a-year-as-chancellor |url-status=live |access-date=8 July 2022 |archive-url=https://web.archive.org/web/20220422014840/https://www.itv.com/news/2022-04-08/rishi-sunak-admits-holding-a-us-green-card-for-more-than-a-year-as-chancellor |archive-date=22 April 2022}}</ref> An investigation into both his wife's tax status and his residency status found that Sunak had not broken any ministerial rules.<ref>{{cite news |last=Payne |first=Adam |date=27 April 2022 |title=Ethics Adviser Clears Rishi Sunak Over Tax Affairs And Green Card |work=PoliticsHome |url=https://www.politicshome.com/news/article/rishi-sunak-cleared-over-us-green-card-by-independent-adviser |url-status=live |access-date=8 July 2022 |archive-url=https://web.archive.org/web/20220427191836/https://www.politicshome.com/news/article/rishi-sunak-cleared-over-us-green-card-by-independent-adviser |archive-date=27 April 2022}}</ref>
== Budgets ==
[[File:Budget Speech 2020 (cropped 1x1).png|thumb|Sunak holding up a [[Red box (government)|red box]] containing the [[2020 United Kingdom budget|2020 budget]] speech|207x207px]]Sunak delivered three budgets during his chancellorship, [[2020 United Kingdom budget|one in March 2020]], and two in [[March 2021 United Kingdom budget|March]] and [[October 2021 United Kingdom budget|October]] of 2021. He also delivered three mini-budgets, the [[July 2020 United Kingdom summer statement|July 2020 summer statement]], [[September 2020 United Kingdom Winter Economy Plan|September 2020 Winter Economy Plan]], and March 2022 spring statement. Most of Sunak's budgets focused on economic support to mitigate the impact of [[COVID-19]], while his last mini-budget focused on the [[2021–present United Kingdom cost-of-living crisis|cost of living]].{{fact|date=August 2024}}
=== March 2020 budget ===
{{Main|2020 United Kingdom budget}}
Sunak's [[2020 United Kingdom budget|first budget]] took place on 11 March 2020.<ref>{{cite web |last=Heffer |first=Greg |date=18 February 2020 |title=Budget 2020 to remain on 11 March, new Chancellor Rishi Sunak confirms |url=https://news.sky.com/story/budget-to-remain-on-11-march-new-chancellor-rishi-sunak-confirms-11937001 |url-status=live |archive-url=https://web.archive.org/web/20220110160322/https://news.sky.com/story/budget-to-remain-on-11-march-new-chancellor-rishi-sunak-confirms-11937001 |archive-date=10 January 2022 |access-date=18 February 2020 |work=[[Sky News]]}}</ref> This included £30&nbsp;billion of additional spending, of which £12&nbsp;billion was allocated for mitigation of the economic effects of the [[COVID-19 pandemic in the United Kingdom|COVID-19 pandemic]], which had begun to spread rapidly throughout the country.<ref>{{cite web |date=11 March 2020 |title=Budget 2020: Chancellor pumps billions into economy to combat coronavirus |url=https://www.bbc.co.uk/news/uk-politics-51835306 |url-status=live |archive-url=https://web.archive.org/web/20200515051728/https://www.bbc.co.uk/news/uk-politics-51835306 |archive-date=15 May 2020 |access-date=11 March 2020 |work=BBC News}}</ref>  It was scheduled to be followed by another budget in the autumn, but in September 2020 the Treasury announced that budget would be scrapped because of [[COVID-19]], with Sunak stating "now is not the right time to outline long-term plans – people want to see us focused on the here and now".<ref>{{cite web |date=11 March 2020 |title=Budget 2020: Chancellor pumps billions into economy to combat coronavirus |url=https://www.bbc.co.uk/news/uk-politics-51835306 |access-date=11 March 2020 |website=BBC News |quote=The chancellor will deliver another Budget in the Autumn, with measures aimed at preparing the UK economy for post-Brexit trading arrangements with the EU.}}</ref>
=== July 2020 summer statement ===
{{Main|July 2020 United Kingdom summer statement}}
The July 2020 summer statement (also known as the coronavirus mini-budget) was delivered by Sunak on 8 July 2020. The purpose of the statement was to announce measures aimed at helping to promote economic recovery following the impact of the COVID-19 pandemic. The statement was delivered to the House of Commons, where Sunak unveiled a spending package worth £30bn. Concerns were subsequently raised by organisations including [[HM Revenue and Customs]] and the [[Institute for Fiscal Studies]] about the statement's impact, as well as its cost-effectiveness, while at least one major retailer declined to take advantage of a financial bonus scheme intended for rehiring employees placed on [[furlough]] during the pandemic.[[File:Chancellor of the Exchequer, Rishi Sunak on the Winter Economy Plan.png|thumb|Sunak delivering a speech on the [[September 2020 United Kingdom Winter Economy Plan|September 2020 Winter Economy Plan]] in September 2020]]
=== September 2020 Winter Economy Plan ===
{{Main|September 2020 United Kingdom Winter Economy Plan}}
The Winter Economy Plan was delivered by Sunak on 24 September 2020. The purpose of the statement was to announce measures aimed at further helping to promote economic recovery following the impact of the COVID-19 pandemic. The plan aimed to further promote economic recovery while preserving jobs and businesses which were considered viable.
=== March 2021 budget ===
{{Main|March 2021 United Kingdom budget}}
In his [[March 2021 United Kingdom budget|March 2021 budget]], Sunak emphasized the effect the COVID-19 pandemic has had on the economy, with 700,000 people losing their jobs, the economy shrinking by 10% (the largest fall in 300 years), and the highest borrowing outside wartime.<ref name=":5">{{Cite web |date=2021-03-03 |title=UK Budget 2021: the chancellor's speech in full |url=https://www.ft.com/content/2f1829d4-89e5-4b58-9394-28da615cc0ae |access-date=2021-03-04 |website=www.ft.com |language=en-GB}}</ref><ref name="Part">{{cite news |last1=Partington |first1=Richard |last2=Allegretti |first2=Aubrey |date=3 March 2021 |title=Rishi Sunak flags tax rises in budget as total Covid spending tops £400bn |work=The Guardian |url=https://www.theguardian.com/uk-news/2021/mar/03/rishi-sunak-tax-rises-budget-total-covid-support-spending-tops-400bn |url-status=live |access-date=6 March 2021 |archive-url=https://web.archive.org/web/20210305182620/https://www.theguardian.com/uk-news/2021/mar/03/rishi-sunak-tax-rises-budget-total-covid-support-spending-tops-400bn |archive-date=5 March 2021}}</ref> The budget included an increase in the rate of corporation tax from 19% to 25% in 2023, a five-year freeze in the tax-free personal allowance and the higher rate income tax threshold, and the extension of the furlough scheme until the end of September.<ref>{{cite web |date=4 March 2021 |title=Budget 2021: Key points at-a-glance |url=https://www.bbc.co.uk/news/uk-politics-56266773 |url-status=live |archive-url=https://web.archive.org/web/20210305192146/https://www.bbc.co.uk/news/uk-politics-56266773 |archive-date=5 March 2021 |access-date=6 March 2021 |work=BBC News}}</ref> Sunak was the first Chancellor to raise the [[United Kingdom corporation tax|corporation tax rate]] since [[Labour Party (UK)|Labour]]'s [[Denis Healey]] in 1974.<ref name="Part" />
=== October 2021 budget ===
{{Main|October 2021 United Kingdom budget}}
[[File:Budget_Day_2021_(51633616891).jpg|alt=Sunak in a dark blue suit standing in front of the black door of 11 Downing Street, holding a small red suitcase at arm's length.|thumb|Sunak holding the [[budget box]] the day of the [[October 2021 United Kingdom budget|October 2021 budget]]]]
In October 2021, Sunak made his third and final budget statement, which included substantial spending promises to a large extent related to science and education.<ref>{{cite web |title=Autumn budget 2021: Rishi Sunak unveils new spending pledges including £5bn for health research and innovation and £3bn for skills education |url=https://news.sky.com/story/autumn-budget-2021-rishi-sunak-unveils-new-spending-pledges-including-5bn-for-health-research-and-innovation-and-3bn-for-skills-education-12442957 |url-status=live |archive-url=https://web.archive.org/web/20211024080053/https://news.sky.com/story/autumn-budget-2021-rishi-sunak-unveils-new-spending-pledges-including-5bn-for-health-research-and-innovation-and-3bn-for-skills-education-12442957 |archive-date=24 October 2021 |access-date=24 October 2021 |website=Sky News}}</ref> The budget increased in-work support through the [[Universal Credit]] system by increasing the work allowances by £500 a year, and reducing the post-tax deduction taper rate from 63% to 55%.<ref name="politics-20211027">{{cite news |last1=Verma |first1=Hamant |last2=Crozier |first2=George |date=27 October 2021 |title=Low Incomes Tax Reform Group: Good news for some UC claimants – but the detail is key |website=politics.co.uk |url=https://www.politics.co.uk/opinion-former/press-release/2021/10/27/low-incomes-tax-reform-group-good-news-for-some-uc-claimants-but-the-detail-is-key/ |access-date=28 October 2021}}</ref><ref>{{Cite news |date=27 Oct 2021 |title=Budget 2021: Sunak promises new post-Covid economy |work=BBC News |url=https://www.bbc.com/news/uk-politics-59052997 |accessdate=27 Oct 2021}}</ref> £560m of investment was announced for the [[Levelling Up White Paper]].<ref>{{Cite news |date=2022-02-01 |title=Areas with weak education targeted for levelling up |language=en-GB |work=BBC News |url=https://www.bbc.com/news/education-60213729 |access-date=2022-02-02}}</ref> Many of the announcements to be made in the budget were previewed before budget day, drawing criticism and anger from the House of Commons. In response to the criticism, Sunak said the budget "begins the work of preparing for a new economy".<ref>{{Cite news |date=27 Oct 2021 |title=Budget 2021: Sunak promises new post-Covid economy |work=BBC News |url=https://www.bbc.com/news/uk-politics-59052997 |accessdate=27 Oct 2021}}</ref>
=== March 2022 spring statement ===
Sunak made his spring statement on 23 March 2022. He cut [[Hydrocarbon Oil Duty|fuel duty]], removed VAT on energy saving equipment (such as solar panels and insulation) and reduced national insurance payments for small businesses and, while continuing with a [[Health and Social Care Levy|planned national insurance rise]] in April, he promised to align the primary threshold with the basic personal income allowance as of July. He also promised a reduction in [[Income Tax in the United Kingdom|income tax]] in 2024. Sunak also provided some funding to help vulnerable people cope with the rising cost of living.<ref>{{cite news |date=23 March 2022 |title=Spring Statement: Rishi Sunak seeks to combat cost-of-living squeeze |work=BBC News |url=https://www.bbc.com/news/uk-politics-60848315 |url-status=live |access-date=24 March 2022 |archive-url=https://web.archive.org/web/20220324002010/https://www.bbc.com/news/uk-politics-60848315 |archive-date=24 March 2022}}</ref>
== Resignation as Chancellor ==
{{main|July 2022 United Kingdom government crisis|Chris Pincher scandal}}
[[File:Rishi Sunak, Sajid Javid and Boris Johnson (cropped).jpg|thumb|[[Sajid Javid]] (left) pictured with Sunak: the pair resigned within minutes of each other in July 2022, contributing to the collapse of the government of Boris Johnson (centre).]]On 5 July 2022, Sunak and [[Secretary of State for Health and Social Care|Health Secretary]] Javid resigned almost simultaneously amid a scandal surrounding the [[Chris Pincher scandal|sexual harassment allegations]] against [[Chris Pincher]], which arose after it was revealed that Johnson had promoted Pincher to the position of Deputy Chief Whip despite knowing of the allegations beforehand. Sunak was the second of 61 Conservative MPs to resign during [[July 2022 United Kingdom government crisis|the government crisis]]. In his resignation letter Sunak said:
{{Blockquote|text=It is with deep sadness that I am writing to you to resign from the Government. To leave ministerial office is a serious matter at any time. For me to step down as Chancellor while the world is suffering the economic consequences of the pandemic, the war in Ukraine and other serious challenges is a decision that I have not taken lightly. However, the public rightly expect government to be conducted properly, competently and seriously. I recognise this may be my last ministerial job, but I believe these standards are worth fighting for and that is why I am resigning. Our country is facing immense challenges. We both want a low-tax, high-growth economy, and world class public services, but this can only be responsibly delivered if we are prepared to work hard, make sacrifices and take difficult decisions. I firmly believe the public are ready to hear that truth. Our people know that if something is too good to be true then it's not true. They need to know that whilst there is a path to a better future, it is not an easy one. In preparation for our proposed joint speech on the economy next week, it has become clear to me that our approaches are fundamentally too different. I am sad to be leaving Government but I have reluctantly come to the conclusion that we cannot continue like this.}}
He was succeeded as chancellor by [[Nadhim Zahawi]]. Following the resignations of Javid and Sunak, numerous junior ministers and among the [[Parliamentary Private Secretary]] (PPS) also resigned, most of whom cited a lack of honesty and integrity on the part of Johnson. In the following 24 hours, 36 MPs resigned from their roles in government. This marked both the largest number of ministerial resignations in a 24-hour period since the [[British Empire Economic Conference]] in 1932, and the largest number of such resignations on record. After a total of 62 resignations, Johnson announced on 7 July his resignation as Conservative leader and prime minister.{{fact|date=August 2024}}
== Public image ==
[[File:Budget_Day_2021_(51632865506).jpg|thumb|Sunak as chancellor. During his tenure he received high approval ratings]]
Following his appointment as chancellor, Sunak arrived in public discourse from relative obscurity.<ref name="Sharma-20202">{{cite web |last=Sharma |first=Ruchira |date=17 April 2020 |title=Rishi Sunak: Who Is the UK Chancellor and Why Is His Nickname 'Dishi Rishi'? |url=https://www.vice.com/en/article/k7ed3e/rishi-sunak-chancellor-dishy-rishi |url-status=live |archive-url=https://web.archive.org/web/20220403152651/https://www.vice.com/en/article/k7ed3e/rishi-sunak-chancellor-dishy-rishi |archive-date=3 April 2022 |access-date=3 April 2022 |work=VICE}}</ref> Some political commentators saw Sunak's appointment as signalling the end of the Treasury's independence from Downing Street, with Robert Shrimsley, chief political commentator of the ''[[Financial Times]]'', arguing that "good government often depends on senior ministers – and the Chancellor in particular – being able to fight bad ideas".<ref>{{cite news |last=Shrimsley |first=Robert |date=13 February 2020 |title=Johnson has backed Cummings over his chancellor — and there will be a cost |url=https://www.ft.com/content/f1e8b996-4e59-11ea-95a0-43d18ec715f5 |url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20200531232147/https://www.ft.com/content/f1e8b996-4e59-11ea-95a0-43d18ec715f5 |archive-date=31 May 2020 |access-date=28 May 2020 |work=Financial Times}}</ref>
In the early stages of the COVID-19 pandemic, he was popular by the standards of British politics, described by one analyst as having "better ratings than any politician since the heydays of Tony Blair".<ref name="Walker-2022a2">{{cite web |last=Walker |first=Ben |date=30 March 2022 |title=Has Rishi Sunak's bubble burst? |url=https://www.newstatesman.com/politics/polling/2022/03/has-rishi-sunaks-bubble-burst |url-status=live |archive-url=https://web.archive.org/web/20220402083625/https://www.newstatesman.com/politics/polling/2022/03/has-rishi-sunaks-bubble-burst |archive-date=2 April 2022 |access-date=3 April 2022 |work=New Statesman}}</ref> Various polls showed Sunak remained overwhelmingly popular among Conservative supporters and many other Britons throughout 2020.<ref>{{cite web |last=Curtis |first=Chris |date=10 July 2020 |title=Sunak is most popular Chancellor in 15 years |url=https://yougov.co.uk/topics/politics/articles-reports/2020/07/10/sunak-most-popular-chancellor-15-years |url-status=live |archive-url=https://web.archive.org/web/20220403152431/https://yougov.co.uk/topics/politics/articles-reports/2020/07/10/sunak-most-popular-chancellor-15-years |archive-date=3 April 2022 |access-date=3 April 2022 |work=YouGov}}</ref><ref>{{cite web |last=Robertson |first=Harry |date=25 September 2020 |title=Poll says Rishi Sunak the most popular chancellor in 40 years |url=https://www.cityam.com/rishi-sunak-most-popular-chancellor-since-1970s/ |url-status=live |archive-url=https://web.archive.org/web/20220403152431/https://www.cityam.com/rishi-sunak-most-popular-chancellor-since-1970s/ |archive-date=3 April 2022 |access-date=3 April 2022 |work=City A.M.}}</ref><ref>{{cite web |last=Eaton |first=George |date=11 January 2021 |title=Why Rishi Sunak can't escape blame for the Covid-19 crisis |url=https://www.newstatesman.com/politics/uk-politics/2021/01/why-rishi-sunak-can-t-escape-blame-covid-19-crisis |url-status=live |archive-url=https://web.archive.org/web/20220403154154/https://www.newstatesman.com/politics/uk-politics/2021/01/why-rishi-sunak-can-t-escape-blame-covid-19-crisis |archive-date=3 April 2022 |access-date=3 April 2022 |work=New Statesman}}</ref> In an [[Ipsos MORI]] poll in September 2020, Sunak had the highest satisfaction score of any British chancellor since Labour's Denis Healey in April 1978, and was widely seen as the favourite to become the Conservative leader after Boris Johnson.<ref>{{cite web |last=Hall |first=Macer |date=26 September 2020 |title=Rishi Sunak next Prime Minister? Popularity surging for Chancellor as Covid sparks rally |url=https://www.express.co.uk/news/politics/1340222/Rishi-sunak-popularity-next-prime-minister-chancellor-coronavirus |url-status=live |archive-url=https://web.archive.org/web/20220417215327/https://www.express.co.uk/news/politics/1340222/Rishi-sunak-popularity-next-prime-minister-chancellor-coronavirus |archive-date=17 April 2022 |access-date=8 July 2022 |work=Express}}</ref><ref>{{cite web |date=25 September 2020 |title=Ipsos MORI Political Monitor – Rishi Sunak has highest satisfaction ratings for a Chancellor since Denis Healey in 1978. |url=https://www.ipsos.com/ipsos-mori/en-uk/ipsos-mori-political-monitor-rishi-sunak-has-highest-satisfaction-ratings-chancellor-denis-healey |url-status=live |archive-url=https://web.archive.org/web/20201001172555/https://www.ipsos.com/ipsos-mori/en-uk/ipsos-mori-political-monitor-rishi-sunak-has-highest-satisfaction-ratings-chancellor-denis-healey |archive-date=1 October 2020 |access-date=2 October 2020 |publisher=Ipsos MORI}}</ref> Sunak developed a [[Cult following|cult media following]], with jokes and gossip about his attractiveness widespread on social media and in magazines, gaining the nickname "Dishi Rishi".<ref>{{cite web |date=17 April 2020 |title=Rishi Sunak: Who Is the UK Chancellor and Why Is His Nickname 'Dishi Rishi'? |url=https://www.vice.com/en/article/k7ed3e/rishi-sunak-chancellor-dishy-rishi |url-status=live |archive-url=https://web.archive.org/web/20220403152651/https://www.vice.com/en/article/k7ed3e/rishi-sunak-chancellor-dishy-rishi |archive-date=3 April 2022 |access-date=23 November 2022 |website=[[Vice (magazine)|Vice]]}}</ref><ref>{{cite web |last=Bell |first=Poorna |date=9 April 2020 |title=The 'Dishy Rishi' outpouring is about one thing: unconscious bias |url=https://inews.co.uk/opinion/the-dishy-rishi-outpouring-is-about-one-thing-unconscious-bias-416643 |url-status=live |archive-url=https://web.archive.org/web/20220403152429/https://inews.co.uk/opinion/the-dishy-rishi-outpouring-is-about-one-thing-unconscious-bias-416643 |archive-date=3 April 2022 |access-date=3 April 2022 |work=i}}</ref><ref name="Sharma-20202" /><ref>{{cite web |last=Walker |first=Ben |date=30 March 2022 |title=Has Rishi Sunak's bubble burst? |url=https://www.newstatesman.com/politics/polling/2022/03/has-rishi-sunaks-bubble-burst |url-status=live |archive-url=https://web.archive.org/web/20220402083625/https://www.newstatesman.com/politics/polling/2022/03/has-rishi-sunaks-bubble-burst |archive-date=2 April 2022 |access-date=3 April 2022 |work=New Statesman}}</ref><ref>{{cite web |date=23 January 2022 |title='Dishy Rishi': A Rising Star In The Conservative Party |url=https://www.outlookindia.com/international/dishy-rishi-a-rising-star-in-the-conservative-party-news-46772 |url-status=live |archive-url=https://web.archive.org/web/20221123174350/https://www.outlookindia.com/international/dishy-rishi-a-rising-star-in-the-conservative-party-news-46772 |archive-date=23 November 2022 |access-date=23 November 2022}}</ref>
Public attitudes towards Sunak remained broadly positive in 2021,<ref>{{cite news |last=Pedley |first=Keiran |date=15 February 2021 |title=Rishi Sunak: The most popular chancellor since Healey – but will it last? |url=https://www.thetimes.co.uk/article/rishi-sunak-the-most-popular-chancellor-since-healey-but-will-it-last-2cl36dcb7 |url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20220504033723/https://www.thetimes.co.uk/article/rishi-sunak-the-most-popular-chancellor-since-healey-but-will-it-last-2cl36dcb7 |archive-date=4 May 2022 |access-date=3 April 2022 |work=The Times |issn=0140-0460}}</ref><ref>{{cite web |date=27 October 2021 |title=How Rishi pipped Boris to the post: the UK's most popular politicians in 2021 |url=https://www.theweek.co.uk/news/politics/953417/the-five-most-popular-political-figures-in-the-uk |url-status=live |archive-url=https://web.archive.org/web/20220401144652/https://www.theweek.co.uk/news/politics/953417/the-five-most-popular-political-figures-in-the-uk |archive-date=1 April 2022 |access-date=3 April 2022 |work=The Week UK}}</ref><ref>{{cite web |last=Balls |first=Katy |date=22 March 2022 |title=Rishi Sunak's popularity test |url=https://www.spectator.co.uk/article/rishi-sunak |url-access=subscription |url-status=live |archive-url=https://web.archive.org/web/20220325184724/https://www.spectator.co.uk/article/rishi-sunak |archive-date=25 March 2022 |access-date=3 April 2022 |work=The Spectator}}</ref> though his popularity declined steadily over time.<ref name="Walker-2022a2" /> By early 2022, with the cost of living becoming a growing focus of public concern, Sunak's response as chancellor was perceived as inadequate and he received some of his lowest approval ratings, which continued as the Sunak family's financial affairs came under scrutiny.<ref>{{cite web |date=9 April 2022 |title=Rishi Sunak's hopes of becoming prime minister are over, say top Tories |url=https://www.theguardian.com/politics/2022/apr/09/rishi-sunaks-hopes-of-becoming-prime-minister-are-over-say-top-tories |url-status=live |archive-url=https://web.archive.org/web/20220409222104/https://www.theguardian.com/politics/2022/apr/09/rishi-sunaks-hopes-of-becoming-prime-minister-are-over-say-top-tories |archive-date=9 April 2022 |access-date=10 April 2022 |website=The Observer}}</ref><ref>{{cite web |date=6 April 2022 |title=Rishi Sunak's net favourability down 24pts in two weeks since spring statement |url=https://yougov.co.uk/topics/politics/articles-reports/2022/04/06/rishi-sunaks-net-favourability-down-24pts-two-week |url-status=live |archive-url=https://web.archive.org/web/20220410082254/https://yougov.co.uk/topics/politics/articles-reports/2022/04/06/rishi-sunaks-net-favourability-down-24pts-two-week |archive-date=10 April 2022 |access-date=10 April 2022 |website=yougov.co.uk}}</ref><ref>{{cite news |last=Walker |first=Ben |date=24 April 2022 |title=Why Rishi Sunak's Spring Statement has gone down badly with voters |url=https://www.newstatesman.com/politics/polling/2022/03/why-rishi-sunaks-spring-statement-has-gone-down-badly-with-voters |url-status=live |archive-url=https://web.archive.org/web/20220403155656/https://www.newstatesman.com/politics/polling/2022/03/why-rishi-sunaks-spring-statement-has-gone-down-badly-with-voters |archive-date=3 April 2022 |access-date=3 April 2022 |work=New Statesman}}</ref><ref>{{cite web |last=McCallig |first=Elaine |date=29 March 2022 |title=Rishi Sunak's popularity has hit an all-time low after the spring statement |url=https://www.indy100.com/politics/rishi-sunak-popularity-rating-low |url-status=live |archive-url=https://web.archive.org/web/20220401152944/https://www.indy100.com/politics/rishi-sunak-popularity-rating-low |archive-date=1 April 2022 |access-date=3 April 2022 |work=indy100}}</ref><ref>{{cite web |last=Ibbetson |first=Connor |date=25 March 2022 |title=Rishi Sunak's favourability drops to new low following spring statement |url=https://yougov.co.uk/topics/politics/articles-reports/2022/03/25/rishi-sunaks-favourability-drops-new-low-following |url-status=live |archive-url=https://web.archive.org/web/20220404135309/https://yougov.co.uk/topics/politics/articles-reports/2022/03/25/rishi-sunaks-favourability-drops-new-low-following |archive-date=4 April 2022 |access-date=3 April 2022 |work=YouGov}}</ref> By the time he resigned as chancellor in July 2022, Sunak's approval ratings slightly recovered.<ref>{{cite web |title=How well or badly is Rishi Sunak doing as Chancellor of the Exchequer? |url=https://yougov.co.uk/topics/politics/trackers/rishi-sunak-approval-rating |url-status=live |archive-url=https://web.archive.org/web/20221123174341/https://yougov.co.uk/topics/politics/trackers/rishi-sunak-approval-rating |archive-date=23 November 2022 |access-date=23 November 2022 |website=yougov.co.uk}}</ref>
==See also==
* [[Premiership of Boris Johnson]]
* [[Chancellorship of Gordon Brown]]
==References==
<references />
===Works cited===
* {{Cite journal |last=Fetzer |first=Thiemo |date=26 October 2021 |title=Subsidising the spread of COVID-19: Evidence from the UK'S Eat-Out-to-Help-Out Scheme* |url=https://doi.org/10.1093/ej/ueab074 |journal=The Economic Journal |volume=132 |issue=643 |pages=1200–1217 |doi=10.1093/ej/ueab074 |issn=0013-0133 |pmc=8574521}}
* {{Cite report |last=Hutton |first=Georgina |url=https://researchbriefings.files.parliament.uk/documents/CBP-8978/CBP-8978.pdf |title=Eat Out to Help Out Scheme |date=22 December 2020 |issue=House of Commons Library}}
{{Rishi Sunak}}
{{DEFAULTSORT:Sunak, Rishi}}
[[Category:Chancellorship of Rishi Sunak| ]]
[[Category:2020 establishments in the United Kingdom]]
[[Category:2022 disestablishments in the United Kingdom]]
[[Category:2020s in the United Kingdom]]
[[Category:British chancellorships]]
[[Category:British Indian history]]
[[Category:Early lives of the prime ministers of the United Kingdom]]
[[Category:History of the Conservative Party (UK)]]
[[Category:Premiership of Boris Johnson]]
[[Category:Rishi Sunak|Chancellorship]]