- Prime Minister Liz Truss’s new government is facing a sterling crisis after financial markets reacted to her tax-cutting plans by sending the currency to its lowest value against the dollar in a generation.
- On Friday, new Chancellor of the Exchequer Kwasi Kwarteng set out plans for an estimated £45 billion in tax cuts for employees, the self-employed and companies in a bid to stave off a year-long recession predicted by the Bank of England and drive a 2% economic growth rate.
- The Bank of England on Monday ruled out an emergency interest rate rise, although analysts believe that further rate rises, up to 6%, are inevitable before the end of the year.
UK’s Truss faces currency crisis as markets revolt
