Truss announces her resignation as prime minister

At a press conference at No 10 Downing Street on Thursday afternoon in front of dozens of reporters, she said she came into office at a time of “great economic and international instability”.

She added: “I recognise…given the situation I cannot deliver the mandate on which I was elected by the Conservative Party.”

Truss the briefest serving PM in UK history

Liz Truss has been in office for just 45 days – the shortest tenure of any UK prime minister. The second shortest-serving PM was George Canning, who served for 119 days after dying in 1827.

Trouble began when her first Chancellor, Kwasi Kwarteng, spooked the financial markets with his mini-budget on 23 September.

Since then, Conservative disquiet has morphed into widespread anger within the parliamentary party.

Her stepping down today follows dramatic scenes in the House of Commons last night over a vote on fracking. Calls for her to go kept growing in the hours afterwards.

Muted response on markets to resignation

There has been a muted response on the markets after Liz Truss announced she was resigning as prime minister.

The pound rose initially in the immediate aftermath of the statement before settling back at around $1.12.

Before she delivered her statement, one analyst said the markets were “watching in a kind of stunned, open-mouthed horror” at political events.

Jeremy Hunt, who recently replaced Kwasi Kwarteng as Chancellor, has confirmed he will not stand to be the next Conservative leader and UK prime minister.

Meanwhile, Labour leader Keir Starmer has demanded a general election “now” after Liz Truss announced her resignation as prime minister.