Kwarteng sacked after Mini-budget chaos

Prime Minister Liz Truss has dismissed the Chancellor just three weeks after his mini-budget caused panic in the markets.

Chancellor Kwasi Kwarteng has been sacked after intense pressure from Tory MPs calling for a u-turn on his tax cutting policies.

Mortgage rates had shot up after the markets reacted badly to Kwarteng abolishing the top tax rate and basic income tax without explaining how the decisions would be paid for.

New Prime Minister Liz Truss, who appointed Kwarteng, made the call to get rid of her Chancellor as the economic turbulence continued. They had decided to drop the 45p tax rate proposal, but it failed to calm nervous markets.

Kwarteng was recalled from an IMF meeting in New York to receive the news from the Prime Minister.

Confirmation of his sacking was published soon after. Amazingly, even in his parting letter (below), he urges Truss to stay the course with the economic policies which led to his own demise as Chancellor.

Replacement Chancellor

Jeremy Hunt, has been confirmed as his successor. Hunt has a wealth of Cabinet experience as Culture and Olympics Minister in 2010 and Secretary of State for Health for six years between 2012 and 2018 and was Secretary of State for Foreign and Commonwealth Affairs, from 2018 to 2019.

Truss’ future as PM is also being called into question, as confidence in her amongst fellow MPs slips away.

Truss is to make an announcement later today when it is expected details of her revised economic policies will be revealed.



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