FT Adviser (24/07/2019) – Philip Hammond has resigned as chancellor of the exchequer this afternoon (July 24), one in a string of cabinet resignations following Boris Johnson’s Conservative party leadership win.

Mr Hammond, who had previously announced he would step down as chancellor if Mr Johnson was to become prime minister, wrote to Theresa May this afternoon, stating he believed her successor “must be free to choose a chancellor” who is “fully aligned with his policy position”.

He had campaigned fiercely for remain throughout the EU referendum and has since warned against a no-deal Brexit throughout his time in office — an outcome Mr Johnson has not ruled out.

In his parting letter, Mr Hammond warned the new government to “use wisely” the “genuine choices” between increased public spending, reduced taxes, higher investments and paying off the deficit after a “decade when the aftermath of the 2008-09 recession meant we had no choices”.

He also said it had been a privilege to serve as Mrs May’s chancellor and spoke of the “proud achievements” he had contributed to over the past years.

Following Mr Hammond’s resignation, Sajid Javid MP, current home secretary, is rumoured to become the next chancellor with Jacob Rees-Mogg MP, chairman of the European Research Group and backbench MP, tipped to become Mr Javid’s secretary.

Others have suggested Lizz Truss MP, current chief secretary to the Treasury, could become the next chancellor.

Mr Johnson is expected to appoint his cabinet later today (July 24).

Ricky Chan, director and chartered financial planner at IFS Wealth & Pensions, said the main thing he wanted from a new chancellor was stability.

He said: “I’d like to see more clarity within pensions — and for pensions to be left alone for a while. Governments always want to raise some funds from pensions but it needs stability at the moment.”

Mr Chan added it made it hard to plan if prime ministers and chancellors kept making changes to tax systems, but noted he hoped any changes would “not just help the super rich and wealthy”.

Full article link: https://www.ftadviser.com/your-industry/2019/07/24/who-and-what-to-expect-after-hammond-s-resignation/