Truss and Kwarteng mini-budget to ‘deepen’ UK recession October 4, 2022 Liz Truss and Kwasi Kwarteng’s decision to slash taxes and ramp up borrowing without costing their plans will make the looming UK recession worse, City economists predicted today. Soaring mortgage rates driven by lenders passing on higher market yields pushed up by a lack of confidence in prime minister Liz Truss and chancellor Kwasi Kwarteng’s [...]
Explainer: Bank of England hasn’t lost £65bn of UK’s money October 4, 2022 Let’s get one thing straight: the Bank of England is not going to lose £65bn on buying government debt. There’ve been a few social media posts (and a few newspaper headlines) whipping up this point. It’s untrue. Last week, the Bank said it will buy up to £65bn worth of long-dated government debt until 14 [...]
Truss: Cancelled 45p tax cut was never a ‘priority policy’ October 4, 2022 Liz Truss has said the cancelled tax cut for people paying the top 45p rate of Income Tax was never a “priority policy” as she seeks to defend the U-turn. The Prime Minister said she does “support a lower, simpler tax system”, but that “what we couldn’t allow is a fairly minor part of the [...]
Truss does not rule out raising state pension age beyond 67: ‘Whatever it takes’ October 4, 2022 Prime Minister Liz Truss did not rule out raising the state pension age when challenged. Resisting speculation on “all kinds of decisions that haven’t yet been made” she said she would “do what it takes” to address the economic outlook. Speaking to broadcasters in Birmingham, and asked if she will end up raising the state [...]
Truss facing revolt on real-term benefits cut as she insists ‘no decision has been made’ yet October 4, 2022 Liz Truss has suggested she is undecided on increasing benefits in line with inflation, as she faces a rebellion from backbench Tory MPs over the policy. The embattled PM was probed on the issue during a BBC Radio 4 Today Programme interview, in wake of a testing day on Monday during which she was forced [...]
Kwarteng u-turn bodes ill for many tough fights to come October 3, 2022 The Kwarteng u-turn on tax doesn't suggest measures on planning or infrastructure will be any easier to get past restive backbenchers
Over 30 UK homes tied to sanctioned oligarchs remain unfrozen assets October 3, 2022 Around £700m worth of luxury homes previously linked to sanctioned oligarchs have not been flagged for asset freezes, according to new research by campaign group Transparency International UK. Some 33 homes, flats and office blocks across London and Surrey – including mega-mansion Witanhurst – have not been restricted on the UK property register, the group [...]
UK trade secretary to focus on boosting exports over signing new trade deals October 3, 2022 The new UK trade secretary has indicated she wants to concentrate more on boosting exports within current trade deals than signing new agreements. Kemi Badenoch told the Conservative party conference today that “trade deals are great, but it’s not the only thing” and that she wants to help businesses better navigate current agreements to boost [...]
‘What a day!’: Kwarteng says his plan created ‘turbulence’, but it’s ‘not irresponsible’ October 3, 2022 Kwasi Kwarteng has said he will focus on “delivering the major parts of our growth package” in the wake of his U-turn on tax cuts for the UK’s highest earners, while insisting his plans are “not irresponsible”. The chancellor moved to calm Tory party fears about the U-turn and said his mini-Budget 10 days ago [...]
Rees-Mogg brushes off U-turn on scrapping 45p tax rate as ‘just politics’ October 3, 2022 The government’s stunning decision to U-turn on its plan to slash taxes for the country’s highest earners has been described as “just politics” by business secretary Jacob Rees-Mogg. Rees-Mogg said at a Tory conference fringe event today that “it is a political reality that sometimes things you want to do don’t receive the approbation of [...]