Prime minister Liz Truss today confirmed for the first time that her tax cuts will require reductions in public spending plans – estimated by one leading economic think tank at up to £40bn.
The PM’s U-turn on corporation tax means she has backtracked on 45 per cent of the £45bn package of unfunded tax cuts announced by ex-chancellor Kwasi Kwarteng on 23 September, but 55 per cent – around £25bn – remains to be funded.
