In the coming weeks, it will be up to party members to decide which of those candidates will be the next prime minister.
Both clashed over the policy in their bid to secure the top job.
Here we look at their positions on important issues.
– tax and expenses
Rishi Sunak: The former chancellor has set himself up as the fiscally conservative candidate and criticized his rivals’ plans to raise more loans to pay tax cuts as “comforting fairy tales”.
He has pledged “to implement tax cuts that stimulate growth”, but to do so in a “responsible way” and only “after we have inflation under control”.
Has labeled his rival’s plans “immoral” to pass on debt to the next generation.
Liz Truss: The foreign minister has pledged “to start cutting taxes from day one” with a new budget and spending review that will reflect the rise in national insurance in April and the 19% corporate tax hike next year. would reverse to 25%.
She has vowed to “simplify” taxes and ensure that people are not penalized for caring for children or relatives.
She has not explained how she would pay for the £30bn in tax cuts she has promised, but insists they “can be paid within the existing tax envelope”.
Ms Truss has said that cutting taxes will help curb inflation.
– immigration
Rishi Sunak: Reiterated its support for the government’s controversial Rwanda asylum policy, while also setting out a series of new measures to combat illegal migration.
His campaign has said he would “do whatever it takes” to get it going, while also unveiling a ten-point plan that promises a narrower definition of who is eligible for asylum compared to that offered by the European Convention on Human Rights.
Mr Sunak has also pledged to give Parliament control over who comes to the UK by setting an annual limit on the number of refugees accepted each year, albeit one that can be changed in the event of sudden emergencies.
Liz Truss: Also supports Rwanda policy and has said it could be expanded further under her leadership.
She has also said she will increase the Border Force’s workforce from 9,000 to 10,800, while also putting forward a strengthened UK Bill of Rights to provide a “sound legal basis” to tackle illegal migration.
– Identity Politics
Rishi Sunak: Criticized “trends to obliterate women through the use of awkward, gender-neutral language”. He has promised a “manifesto for women’s rights,” including opposition to biological men allowed to compete against women in sports, and guidelines for schools on how to teach topics about sex and gender.
Liz Truss: Has previously shelved plans to revise gender recognition rules to make it easier for transgender people to change legal sex.
– Brexit and Europe
Rishi Sunak: The Leave voter has pledged to scrap or reform any EU legislation or bureaucracy still in the code by the time of the next general election, and has made initial recommendations on whether any law will stay or disappear within 100 days.
Liz Truss: Voted Remain, but has since embraced Brexit and gained the support of staunch Brexiteers in the party. Helped push through Northern Ireland’s Protocol Act, which critics say violates international law.
Has vowed to review all post-Brexit EU laws in a “bureaucracy glee” by the end of next year if she becomes prime minister, and to scrap or replace laws deemed stunting the UK’s growth.
She reportedly said she would try to reform the European Convention on Human Rights but would be “willing to abandon it”.
– Defense
Rishi Sunak: Views NATO target of 2% of GDP as a “floor and no ceiling” and notes that it will increase “over time” to 2.5%, but refuses to set “random targets”.
Liz Truss: Has pledged to increase defense spending to 3% of GDP by 2030 and strengthen intelligence services. She said the government’s current plan to reduce the size of the military to 72,500 by 2025 “is subject to review”.
NHS
Rishi Sunak: Has promised a “vaccine-like” task force to tackle the backlogs of the NHS, calling tackling the issue one of his top priorities.
Plans to eliminate one-year NHS waiting times six months ahead of schedule by September 2024, and to reduce the total number next year.
Liz Truss: Agrees with the urgent need to eliminate backlogs in care and promises to install a “strong” health secretary to solve the problem.
Has also said she is “completely committed” to current government promises on NHS spending, despite her plans for tax cuts.
– Climate change and net zero
Rishi Sunak: Committed to achieving net zero emissions by 2050. He has pledged to uphold the ban on building new onshore wind farms, but wants to introduce a legal target to make Britain self-sufficient in energy by 2045 by overseeing a massive expansion of offshore turbines.
Liz Truss: Supports net zero push, but would pause green taxes on domestic energy bills, which could hurt the target.
She says there are strong arguments for lifting the fracking ban and wants to move away from the EU Habitats Directive in favor of a stronger UK biodiversity target.
– Housing and infrastructure
Rishi Sunak: Has vowed to improve housing stock and energy efficiency. He wants to scrap EU Solvency II rules to help investors put money into infrastructure assets.
Liz Truss: Would scrap what she calls “Stalinist” housing targets in favor of tax cuts and deregulation.