- The pound sterling dropped by 2% to as low as $1.1042 — the currency’s weakest since early 1985 — on Friday, as the UK government announced historic tax cuts and hefty increases in borrowing.
- With sterling already suffering from the effects of rampant inflation, the aftermath of the COVID pandemic and Brexit, some traders have also eyed the government’s plans nervously.
- The basic rate of income tax will fall from 20% to 19% next year, while the top rate will shift from 45% to 40%.
UK pound sterling falls to 37-year low as recession looms 23.09.2022
