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United Kingdom

Eugene

(65,814 posts)

2. Pound sinks as investors question huge tax cuts

Reply to muriel_volestrangler (Original post)

Fri Sep 23, 2022, 02:08 PM

Sep 2022

Pound sinks as investors question huge tax cuts

The Institute for Fiscal Studies (IFS), an economic think tank, said the market reaction was "worrying" as the government's new strategy relied on investors being willing to lend more to the UK.

"The plan seems to be to borrow large sums at increasingly expensive rates, put government debt on an unsustainable rising path, and hope that we get better growth," said IFS director Paul Johnson.

https://www.bbc.com/news/business-63009173

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Kwarteng accused of reckless mini-budget for the rich as pound crashes

Economic gamble of sweeping tax cuts leaves markets, opposition MPs, thinktanks and even Tories aghast

https://www.theguardian.com/uk-news/2022/sep/23/kwarteng-accused-of-reckless-mini-budget-for-the-rich-as-pound-crashes

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Highlight:

Kwarteng scraps top 45% rate of income tax and cuts stamp duty [View all] muriel_volestrangler Sep 2022 OP

Kwasi Kwarteng: wiki Tetrachloride Sep 2022 #1

Pound sinks as investors question huge tax cuts Eugene Sep 2022 #2

Tory backbenchers despair at 'toxic' mini-budget muriel_volestrangler Sep 2022 #3