Treasury rejects U-turn on mini-budget despite turmoil [View all]

Source: BBC

Treasury rejects U-turn on mini-budget despite turmoil

28 September 2022

The government will not abandon its mini-budget despite the Bank of England having to step in amid market turmoil, a Treasury minister has said.

Labour called for the tax-cutting measures to be ditched after they sparked a fall in the pound and a surge in borrowing costs.

Government departments are also being asked to find spending cuts.

Treasury minister Andrew Griffith said the government's proposals were the "right plans" to grow the UK economy.

He claimed "every major economy is dealing with exactly the same issues" and said the impact of "Putin's war in Ukraine is cascading through things like the cost of energy, some of the supply side implications of that".

-snip-

Read more: https://www.bbc.com/news/uk-politics-63067163