Rishi Sunak and Jeremy Hunt are considering up to £50 billion of tax rises and spending cuts. The Prime Minister and Chancellor held a meeting on Thursday as they consider how to deal with a gaping financial black hole ahead of the autumn budget.
The talks lasted more than an hour and were described as "sober", as the pair were warned economic growth is forecast to drop amid fears of a recession. A Treasury source said: “Markets have calmed somewhat, but the picture remains grim.
"After borrowing and spending hundreds of billions of pounds due to Covid-19 and for energy bills support, there is a massive fiscal black hole to fill. People should not underestimate the scale of this challenge, or how tough the decisions will have to be.
