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‘Iron weathercock’: Europe reacts to Liz Truss becoming new British PM

European leaders and political commentators on Monday reacted to Liz Truss being elected as new Conservative party leader and therefore succeeding Boris Johnson as UK prime minister, and there were plenty of Margaret Thatcher references.

'Iron weathercock': Europe reacts to Liz Truss becoming new British PM
New Conservative Party leader and incoming prime minister Liz Truss waves as she leaves the Conservative Party Headquarters in central London having been announced the winner of the Conservative Party leadership contest at an event in central London on September 5, 2022.(Photo by Niklas HALLE'N / AFP)

Truss was announced as the winner of the Conservative party leadership race on Monday afternoon, beating Rishi Sunak in a vote by party members.

Her victory, which means she becomes Britain’s next Prime Minister, was expected given her healthy lead in the polls.

Germany’s Chancellor Olaf Scholz was one of the first leaders to react.

Scholz on Monday congratulated Truss on her victory and offered a stock response on how he sees cooperation between the UK and Germany.

“I am looking forward to our cooperation in these challenging times. The UK and Germany will continue to work closely together — as partners and friends,” Scholz said on Twitter.

European leaders hoping for more constructive post-Brexit relations with the UK will be wary of Truss as prime minister given she has frequently raised tensions with Brussels by demanding parts of the Brexit deal be renegotiated and threatened to provoke a trade war between the EU and the UK by triggering Article 16 of the Withdrawal Agreement.

The President of the European Commission Ursula Von der Leyen was therefore understandably prudent in her response to the news. 

“Congratulations Liz Truss. The EU and the UK are partners. We face many challenges together, from climate change to Russia’s invasion of Ukraine. I look forward to a constructive relationship, in full respect of our agreements,” said Von der Leyen.

French leader Emmanuel Macron responded by tweeting, in English, his congratulations to the new prime minister on Monday night.

“Congratulations to Liz Truss on her election. The British people are our friends, the British nation is our ally. Let us continue working together to defend our shared interests,” said the French President on Twitter.

Macron recently played down comments from Truss, who had refused to say if the French leader was a “friend or foe” during a campaign event. He said the UK were friends “whoever its leaders were”.

Alexandre Holroyd, the French MP who represents French citizens living in the UK, also appeared to have those comments in mind when he tweeted: “After intemperate campaign declarations, it is time for responsibilities, especially the one of strengthening the friendship – historical and current – that unites our two countries and that is essential to our mutual security and prosperity.”

Media commentators across Europe have been making comparisons between Truss and former UK Prime Minister Margaret Thatcher.

But instead of calling her the new “Iron Lady” (Dame de fer) French newspaper Les Echos referred to Truss as the Giroutte de Fer – in other words an “Iron Weathercock”, a reference to criticism that the new PM has changed her stance on issues to suit her quest for power. She was once a member of the Liberal Democrats party before switching to the Conservatives.

Elsewhere in Europe there were more direct comparisons between Truss and Thatcher and references to huge job she has to get Britain through the current crisis, which some media blamed on her predecessor Boris Johnson.

Austria’s daily Kurier wrote “Like her role model Margaret Thatcher, the new Prime Minister preaches free market, less state and more patriotism.”

A story by Die Presse also mentioned that Truss was now facing her “big career goal”. It added that she would have to take action soon, especially regarding the energy crisis. 

The newspaper highlighted that Truss’ government would essentially be a continuation of the Johnson years and noted that she, like the former PM, is a “convinced Brexit supporter”.

Much commentary focused around the job Truss has following in the footsteps of Boris Johnson given the country is facing a critical cost of living crisis with inflation and energy bills rising steeply. Many economists say the crisis has been worsened by Britain’s exit from the EU, which was directed by Johnson’s government.

An article in Norway’s Aftenposten simply said “Liz Truss must clear up Boris Johnson’s mess”.

Spain’s leading newspaper El Pais said Truss will continue the populist strategy of Johnson.

She will “promise citizens a rose-tinted future, without clarifying how she intends to achieve it”, the paper said.

Italy’s newspapers focused on the fact she’s the UK’s third female prime minister probably because Italy is about to get its first.

Newspaper Corriere said Truss dresses like Thatcher and her speeches are “robotic”.

The headline in Swedish newspaper Dagens Nyheter read: “When Great Britain has big problems, a woman takes over” but the editorial by Katrine Marçal said “the expectations for Truss as a leader could scarcely be lower.”

Sweden’s Svenska Dagbladet headline pointed to the many problems facing the new Prime Minister. “Truss takes over: everything apart from Armageddon awaits”.

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POLITICS

Austria’s Raiffeisen Bank replaces ‘misleading’ Russia job ads

Austria's Raiffeisen Bank said on Tuesday that it was replacing job ads that contained 'misleading wording' implying the bank was expanding its operations in Russia.

Austria's Raiffeisen Bank replaces 'misleading' Russia job ads

The bank has vowed to reduce its business in Russia following Moscow’s invasion of Ukraine in 2022 but has so far not sold or spun off its Russian unit.

The Financial Times on Tuesday said it had found dozens of postings for Russia-based jobs, touting its growth plans in the country.

One of the job postings said the bank was “looking for a client manager who will attract clients,” the paper reported.

“The quotes from the job advertisements do not reflect the measures taken by Raiffeisen Bank International to date to reduce its Russian business, nor do they correspond to the further plans for the Russian business,” the bank said in a statement sent to AFP.

It added to be able to sell Raiffeisenbank Russia — the biggest Western bank still in Russia — “job positions that are necessary for functioning banking operations will continue to be filled or refilled”, but they are “not related to business growth”.

“The very few job ads which contained old and misleading wording are/will be replaced.” the bank said.

Raiffeisen Bank International said in its annual report for 2023 that it had made 2.4 billion euros ($.2.6 billion) in net profits. It paid 464 million euros in income tax in Russia.

The group announced in December an agreement with Austrian construction company Strabag, involving Russian oligarch Oleg Deripaska, who is under Western sanctions.

The deal to try to recover assets frozen in Russia before selling or spinning off Raiffeisenbank Russia has drawn the US authorities’ scrutiny.

A senior US Treasury official — in Austria in March to discuss sanctions against Russia — met Raffeisen Bank International officials in Vienna to discuss the bank’s business in Russia.

Last year, a Czech rights group filed a criminal complaint against the bank’s Czech and Austrian units, claiming the bank is financing terrorism with its activities in Russia.

Raiffeisenbank has been in Russia since 1996 and employs more than 9,000 people there.

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