P enny Mordaunt has announced her support for Liz Truss in the Conservative Party leadership race.

The former defence secretary, who was knocked out of the race herself in the final round of voting among Tory MPs, introduced Ms Truss at a leadership hustings event in Exeter tonight.

Her backing is the latest in a series of announcements from Tory bigwigs, including Tom Tugendhat, Ben Wallace and Brandon Lewis.

Ms Truss "most embodies the visions and values the British public had in their heads and their hearts when they voted in 2016 and 2019", Ms Mordaunt said. "She for me is the hope candidate and that is why I am here tonight."

The former chancellor has made a series of tax announcements in recent days, which have been widely interpreted as U-turns. 

R ishi Sunak concludes Boris Johnson's government was not run "seriously" or "with integrity" by the end of his tenure and that is what he would change as prime minitser.

"It got to the point where the Government found itself on the wrong side of an ethical divide that was hard for me to defend."

Would he overturn the trade deal with Australia? "We shouldn't be rushing to sign trade deals as quickly as possible... We need to make sure they work for British farmers. It's not rocket science."

R ishi Sunak insists he is "definitely the change candidate" and has been doing things differently ever since the Brexit referendum, where he supported Leave as a new MP.

On housing, Mr Sunak vows to protect green spaces but build far more homes on brownfield land and says developers are "not building enough - our urban areas are not dense enough".

More modular housing is needed "because it's high quality, it's faster and it's cheaper", the former chancellor adds to applause from the audience.

What Britons do not have is the money for a deposit and it takes "far too long to save up", hence his new mortgage for first-time buyers introduced while he was at No 11 "which is working really well".

S ebastian Payne asks Mr Sunak what's "not fairytale about a tax cut six years away".

"The difference is my plan is one that gets a grip of inflation. We want [people] to work hard and we want to reward them for putting money in their pockets."

Asked what changed from the beginning of the campaign, Mr Sunak insists "the campaign is only just getting started. We've got weeks of this, so let's not get carried away.

"We have to differentiate two things - how do we help people in the southwest and across the country with the immediate challenges they're facing? And in that regard it's absolutely right that I go further... [My VAT cuts] are temporary and time-limited."

"That's differently to standing up to all of you with 30, 40, I think at the last count £50billion of unfunded tax cuts. Where I want to take it is in a direction where we're being disciplined on public services, we're growing the economy and making the most of Brexit opportunities... and cutting taxation responsibly and over time."

"What are you going to do to get Scotland on board? Because I'm sick to death of hearing about Nicola Sturgeon."

L iz Truss says she went to primary school in Scotland and feels like "a child of the union - I believe we are family".

To rapturous applause, she says: "I think the best thing we can do with Nicola Sturgeon is ignore her. I'm sorry, she's an attention-seeker, that's all she is. What we need to do is show the people of Scotland, Northern Ireland and Wales what we are delivering for them and make sure our policies are delivering for them right across the United Kingdom."

She also rules out a second referendum: "No, no, no."

L iz Truss says - to big applause - she would insist on no more lockdowns, adding that at "every single chance" she was "in favour of doing less, not doing more" in terms of restrictions.

S he says she wasn't "really a core part" of the decision-making around the pandemic, and recalls her open opposition at the Cabinet table to raising National Insurance.

A sked if she would scrap the Online Safety Bill, Liz Truss calls to protect young people from some content online and says she is "frankly worried" about some of what her 16 and 13-year-old daughters have seen.

"I do think we need to do more to tackle those issues online. But when people are grown adults I do believe they should be able to speak freely. And I will make sure we do what we need in the Online Harms Bill to make sure we're protecting free speech.

"We will be making sure it protects free speech, and I will be engaging with all my friends in the Conservative Party to make sure that happens."

L iz Truss disagrees with the argument the Covid debt has to be paid back immediately at a time that so many Britons are struggling to meet their costs.

"Of course, I want to reform the public sector and I'm going to reform a 10-year plan of how we get rid of lots of quangos, how we slim down bureaucracy. At the same time we need to unleash the potential of our economy. But we haven't done enough yet.

"My vision is bold, it is different, but it is needed. And I believe people voted Conservative in 2019 because they wanted something new. They didn't want more of the same."

"Where's all the money going to come from?" Liz Truss is asked by an audience member, to a smattering of applause from the audience.

"The money is going to come from thriving enterprises, thriving businesses and a growing economy. That is where we as Conservatives believe money comes from.

"The fact is if we tax businesses people too much, we tax people too much, [then] we will block that growth. We believe in enterprise, we believe in people keeping more of their own money, we believe in rewarding people who work hard."

S he notes Britain has its highest tax burden in 70 years and is currently predicted to enter a recession.

A sked when the southwest will get more infrastructure investment, Ms Truss says: "The issue at the moment is the Treasury Green Book."

She says she wants to "rip up that rulebook" and change it to ensure more opportunities outside of London: "My policy will be helping rural areas level up."

"I do think the Treasury needs to change and it has been a block on progress. We haven't changed [the rules] since Brexit and I'm prepared to break away from the orthodoxy."

F racking should be allowed where local communities support it, argues Liz Truss - "they will take less time under my Government".

She says her moratorium on the green levy will save Britons money on their bills: "I believe it's completely wrong at a time when families are struggling that we put up their taxes."

Ms Truss promises to "reach out" to the trade unions but legislate to protect essential services and terms strikes "completely wrong".

A sked about polling suggesting she would lose to Sir Keir Starmer, Liz Truss says she has seen "the opposite polling" - including research from Redfield and Wilton today which puts her popularity above Sir Keir's with the general public.

She rejects the idea of "worrying about polls, worrying about focus groups - what we need to do is we need to do what's right".

"We shouldn't be worrying about them, we should be worried about delivering broadband here in Devon, we should be worrying about making sure our farmers can deliver fantastic beef, we should be worried about facing down Vladimir Putin. That's what we should care about."

She reaffirms her commitment to moving the Whips' Office back into 12 Downing Street - and moving the press office out: "My priority is delivering what the public voted for, in line with our Conservative values... not the press, not the pollsters."

S itting down for a 'fireside chat' with Seb Payne, Liz Truss describes Penny Mordaunt as "a brilliant person, a fantastic politician... She ran a brilliant leadership campaign and I'm absolutely delighted she's decided to back me.

"We need all the best players on the pitch in the Conservative Party... and I'm absolutely delighted to have Penny [on side]."

Does that include Rishi Sunak? "Of course I would have Rishi Sunak as part of my team. He's a fantastic guy, we need all of our best talent on the pitch."

R ishi Sunak urges the need to "appeal to swing voters everywhere... and I passionately believe, and the evidence shows, I am the candidate that gives our party the best possibility of beating Keir Starmer and ensuring Labour never win that election".

"And in conclusion I'll just say this. As chancellor you saw me in the pandemic, you saw me act boldly, rapidly, quickly, ripping up the rulebook to ensure we saved hundreds of thousands of businesses... and bounced back quickly on the other side."

He promises to bring the same energy to the challenges facing Britian: "I will put everything, my heart and soul, into making sure every one of you proud of our great Conservative Party."

R ishi Sunak pledges "radical measures" and "novel thinking" to finally end the migrant crisis and restore trust in the system.

Turning to tax, he refutes the suggestion Britain should pursue policies "which we just put on the country's credit card, and then ask our children and grandchildren to pick up thet ab".

He insists he will cut taxes in time "because we believe in hard work" and he wants Britons to keep more of their money.

R ishi Sunak pledges a Britain "built on hard work, aspiration and hope" where we can be "proud of history and confident about our future".

"We have to restore trust, we have to rebuild the economy and we have to reunite our country. As you can see in this leadership race... it may not be easy, but it is honest and that is what Britain is about."

R ishi Sunak says it is "great to be out and about in the southwest" and jokes he is "never happier" than when a member asks him to take a photo with one of their children - "I think 'finally, a photo with someone my own size'."

Britain did "something extraordinary" for his family in allowing it to build a better life and that is what he would do for the country, Mr Sunak adds.

He says education is the best way to transform lives and "spread opportunity" throughout Britain. "Those in a nutshell are my values - patriotism, conservatism, family... because those are Conservative values, mine is a Conservative story."

D r Liam Fox recalls "13 miserable years" spent by the Conservative Party in opposition between 1997 and 2010, warning of a coalition between Labour and the SNP, hailing Rishi Sunak's "downright decency to swing those voters".

"That leader, that prime minister, is Rishi Sunak."

D r Liam Fox, the former Cabinet minister, is introducing Rishi Sunak and says he "not just believed in but campaigned for Brexit".

"Being prime minister means taking tough decisions. If you want to be popular go into light entertainment. Politics is entirely the wrong career for you."

Dr Fox flags the "difficult but vital" decisions Mr Sunak made during the pandemic to keep hundreds of thousands of business afloat through the furlough scheme.

"I will channel the spirit of the Lionesses who fought bravely against the odds, got things done and delivered a massive, massive victory. And that's what we need, that's what we can do for the United Kingdom.

"And that is what we can do from the Conservative Party. [People] voted Conservative because they wanted Conservative policies, not because they wanted higher taxes."

L iz Truss vows to "abolish top-down targets" for housebuilding and says our fields should be full of livestock instead of solar panels.

"In 2026 there is going to be a new negotiation, and I will make sure as an independent coastal state we have full control over our fishing waters. You know I am the person who will be tough on the EU... I took on the Northern Ireland Protocol... We will get it through, we will sort it out and we will be on the side of our Union."

Ms Truss vows to continue to stand up to Vladimir Putin and says she put in place the toughest sanctions regime on Russia.

L iz Truss tells the audience: "Now is not the time for business as usual. Now is the time to be bold."

She promises to "get all of those EU laws off our statute books by the end of 2023 and I will replace them, making us more dynamic, more competitive and more attractive to invest [in]." Ms Truss once again says her party "didn't need to" raise National Insurance in April.

T he Foreign Secretary describes Rishi Sunak's plans to hike corporation tax to the same level as in France as "wrong", adding: "The last time I checked, France was not a low-tax country."

L iz Truss describes Penny Mordaunt as "a great person, a great politician and a great patriot".

"I remember back in 2015 swathes of the south-west were under the control of the dark force, the Liberal Democrats. And I remember going out there on the streets to the farm shops, to the farms, to the Cornish pasty factories with great candidates... I remember how hard we worked."

She attacks the Liberal Democrats' "fake bar charts, their Euro love, their high taxes" and vows to "win back Tiverton and Honiton" after the Tory Party lost it back in June.

T his contest is "a test that precedes an even greater test", Penny Mordaunt says, hailing Liz Truss's "bold economic plan" and the way she can "relate to people".

"[She] understands that people need help with the cost-of-living now and... is going to rightly clobber our opponents... [and] most embodies the visions and values the British public had in their heads and their hearts when they voted in 2016 and 2019.

To applause from the audience, she adds: "I've seen enough to know the person who I'm going to put my faith in is, and that is Liz Truss. Her graft, her authenticity, her determination, her ambition for this country, her consistency and sense of duty. She knows what she believes in and her resolve to stand up against tyranny and fight for freedom.

"That's what our country stands for and that's why I know with her we can win. And actually seeing her over the last weeks has made me want to help her, to help her win, to help build the team we need to win the country and to give ourselves as a party and as a nation the pride and the confidence we need to reach our full potential. In short, folks, to give us all hope. She for me is the hope candidate and that is why I am here tonight."

P enny Mordaunt says: "I could have remained undeclared, I could be off sipping pina coladas right now but I'm not, I'm here with you, because this is too important. And I'm not going to leave this to chance, and nor are you.

"I came third in this contest, and I owe it to all of you to be a signpost, not a weathervane. And so I've made my choice. And I know it's difficult because I like both candidates. They are both good Conservatives who love their country, and they've both done what they thought was right, for the right reasons.

"I want to say nice things about both of them, which is probably why I came third."

V ery generous applause among the audience as Ms Mordaunt - herself a former leadership contender - takes to the stage.

"The feeling is entirely mutual," she says. "The fact that so many of you are [here] is testament to how every single one of you cares deeply about the task that's been afforded to us.

"This isn't just about one person, it's about all of us and I know it's not easy. You feel huge responsibility. I do too. That is the price, I'm afraid, of democracy. If we get this decision wrong, we'll short-change the country. We may lose an election, and everything that we have worked for will have gone.

"That's why this matters so much, why you feel that responsibility and why I do too and why I am here with you this evening."

M r Payne, a Financial Times journalist and also a bestselling author, says he has written a lot about the Conservative Party but also this contest.

"In the spirit of southwestern hospitality, I'm sure it will be a warm and friendly evening," he tells the Exeter audience.

He says he wants to get through as many questions as possible from the Tory faithful.

A dvantage Truss. We now know Penny Mordaunt - who was narrowly beaten by the Foreign Secretary into the final two of the leadership ballot - will receive her endorsement, and a glowing on-stage introduction, at tonight's hustings.

I t is a nasty early surprise for Rishi Sunak, and a further sign that the momentum is with Ms Truss going into tonight.

P enny Mordaunt is set to announce her support for Liz Truss in the Conservative Party leadership race, writes Tony Diver, in Exeter.

The former defence secretary, who was knocked out of the race herself in the final round of voting among Tory MPs, will introduce Ms Truss at a leadership hustings event in Exeter on Monday night.

L ord Hague today pleads with Conservative Party members to back Rishi Sunak in the Tory leadership race, writes Jack Maidment.

In a six-minute video - which you can watch below - he warns that the next prime minister faces "one of the hardest jobs in the world at the worst moment in decades":

S ebastian Payne has said there is "lots of speculation" in Exeter about who will introduce Liz Truss at tonight's Conservative leadership hustings.

There is currently nothing from Team Truss about who will do the honours.

I t has been quite a week of policy announcements from Rishi Sunak - vowing to scrap VAT on energy bills last Tuesday before last night promising the biggest income tax in 30 years.

Unsurprising, perhaps, as all the polling to date suggests Liz Truss enjoys a considerable lead over Mr Sunak among the Tory Party grassroots - many of whom have been drawn to her 'boosterism' and promises to reduce the tax burden from day one.

Mr Sunak had previously condemned economic "fairy tales" and continues to insist his immediate measures would be targeted and temporary as inflation rises further.

Tax has been at the centre of this campaign to date, and the former chancellor is likely to be asked about his apparent change of heart at some point this evening.

D ominic Penna here, the Telegraph's Political Reporter, guiding you through the second official hustings in the Conservative Party leadership race.

Liz Truss, the Foreign Secretary and current front-runner in the contest, will be hoping to retain her momentum over Rishi Sunak, who promised several longer-term tax cuts last weekend in an attempt to shore up support from the grassroots as ballots go out this week.

T onight's event will take place in Exeter and is to be hosted by Sebastian Payne, the Financial Times journalist.

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