A top Tory minister has said “sorry” for economic turmoil sparked by the Government’s mini-budget - just before new Chancellor Jeremy Hunt addressed the Commons following his U-turn on the disastrous economic plan.
Commons Leader Penny Mordaunt made the apology about the fiscal statement’s impact on Monday afternoon, as she stood in for Liz Truss to answer an urgent question on why the Prime Minister sacked former Chancellor Mr Kwarteng.
After new Chancellor Mr Hunt tore up large parts of Mr Kwarteng’s so-called mini-budget, Ms Mordaunt told MPs in the House of Commons: “I understand that people want certainty and reassurance about their bills, their businesses and their benefits.
“And I am sorry that the events leading to the changes today have added to the concerns about the major volatility that was already there existing in the economy.”
Ms Mordaunt added that the Prime Minister is not - as some opposition MPs suggested when she failed to appear in the Commons on Monday - hiding “under a desk”, but was instead absent “for a very good reason”.
The key points from Mr Hunt’s emergency statement on Monday morning were:
- Plans to reduce the basic rate of income tax from 20 per cent to 19 per cent in April next year were scrapped
- Plans for new VAT-free shopping for international tourists scrapped
- Help with energy bills for all households will only last until April, with Mr Hunt announcing a review to look at a “new approach” to target support at those worst off after that
- Planned cut to stamp duty will continue, as will the reversal of the 1.25 percentage point increase in national insurance contributions
