The Labour Party is dangerously underestimating Liz Truss’s Tories

There’s a new groupthink gripping British politics. Namely that the Conservative Party has officially lost its mind. Labour, the centre-Left commentariat, a host of establishment economists and a great many Tory MPs are united in horror over the Government’s gamble on “casino” Trussonomics. The story goes that “tax cuts for the rich” are as economically … Read more

British pound crashes to record low — in 6 charts – POLITICO

The currency markets reacted to new UK Chancellor Kwasi Kwarteng’s mini-budget on Friday with a rapid sell-off of Sterling, leading to a slide in the pound’s value against the dollar and other currencies. Markets were spooked by the government’s plans to slash taxes by £45 billion without significant spending cuts. That means government borrowing will … Read more

Liz Truss’ honeymoon canceled as pound plummets and UK borrowing costs soar – POLITICO

Press play to listen to this article LIVERPOOL, England — As an inexperienced leader taking charge of a country in crisis, Liz Truss knew she needed to hit the ground running this month. But three weeks into her fledgling premiership, the new UK prime minister finds herself scrambling to stay ahead of events as last … Read more

What the falling pound means for your wallet

Further price rises in the UK could occur for future launches, should the dollar maintain or increase its strength. Prices that companies have to pay for essential ingredients will also climb, pushing higher costs on to consumers. Paul Davies, chief executive officer at Carlsberg Marston’s Brewing Company, suggested the fall of the pound may cause … Read more

Keir Starmer accused of lacking the ‘fight’ to reverse Tory tax plans

Sir Keir also faces a backlash from MPs on the Labor Left at this year’s party conference, which began on Sunday in Liverpool. Richard Burgon, who sat in Jeremy Corbyn’s shadow cabinet, said: “We must never take any voters for granted. When people are standing up to the policies of this government, we must stand … Read more

Armed Forces to grow thanks to £52bn spending boost

Mr Wallace continued: “Without the change, we were heading to below 2 per cent. But on current forecast, that’s roughly a defense budget of £100 billion in 2029-30. We’re currently on £48 billion. So that’s the difference. In eight years, that’s a huge amount. “What we have to work through is how we get there. … Read more

Liz Truss plans to cut taxes further in the new year

Those familiar with discussions say the Treasury believes lifting the lifetime allowance on pension pots could encourage doctors, police officers and highly paid nurses to remain in work. Under the current system, savers are forced into paying 55 per cent tax on pension pots valued at more than £1 million, prompting many to withdraw instead … Read more

Tories to rebel against Liz Truss if pound falls below the dollar

“This Budget will live or die not on what the electorate think, not on what Opposition politicians think, not even what Conservative politicians think,” they said. “It is the global markets’ response to what looks like very risky behavior from our Government.” They added: “The Bank of England is being backed into a corner. “If … Read more

Kwasi Kwarteng has gambled on revolution, but an inflationary spiral may still defeat him

Well. After this, no one will ever accuse Kwasi Kwarteng of “caution” or “managerialism”, so in that sense, he has achieved his goal from him. The new Chancellor’s “fiscal event” yesterday was hailed as the most radical of its kind in more than a generation. He unleashed a tax-cutting stimulus amounting to £45 billion per … Read more

Chancellor says mini budget ‘is not a gamble’ as pound plunges

C hancellor Kwasi Kwarteng has rejected the suggestion his mini-budget is “a gamble” as reaction on the markets saw the pound drop to a new 37 year low against the dollar. The pound plummeted after Chancellor Kwasi Kwarteng announced the biggest raft of tax cuts for half a century in a bid to raise falling … Read more