Newly installed UK chancellor, Jeremy Hunt, has unveiled a raft of changes to Kwasi Kwarteng’s September 23 mini-budget, which essentially amounted to a rollback on most of its headline points.
The September mini-budget, which included £45 billion in unfunded tax cuts, created significant volatility in financial markets in the weeks after it was announced. The resulting impact on the cost of borrowing for the UK also filtered through to consumer mortgage rates and pensions.
Hunt has indefinitely postponed a planned cut to the basic rate of income tax and rolled back most of the other taxation plans from the government’s growth plan. Only the repeal of the National Insurance increase and the cut to stamp duty remains because they are already in the process of being signed off by parliament.
