Jeremy Hunt made a number of huge announcements during his televised economic statement on Monday (October 17). The newly-appointed Chancellor confirmed a wave of U-turns on policies set out in Kwasi Kwarteng's previous fiscal statements.
The new measures are part of plans to fast-track billions of pounds of savings in an attempt to get the public finances back on track and stabilise financial markets after weeks of turmoil. It follows talks over the weekend between Mr Hunt and Prime Minister Liz Truss on what the Treasury described as measures “to ensure sustainable public finances underpin economic growth”.
Mr Hunt has already warned that taxes will have to rise and public spending will be squeezed to address the black hole in the public finances opened up by former chancellor Kwasi Kwarteng’s £45 billion mini-budget tax giveaway. The pound has strengthened and UK government bonds have rallied further as Mr Hunt announced plans to reverse key policies in the former Chancellor’s mini budget.
