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(Bloomberg) -- Almost nobody was buying offices in London in the final quarter of 2022 as the market turmoil from now-abandoned government spending plans sent borrowing costs soaring. Would-be sellers have yet to mark down their holdings or breach their loan terms, which could pressure them to sell. [Extracted from the article]

Kwarteng had an updated forecast on his desk on arriving at the Treasury on Sept. 7, but within two days told the OBR its services would not be needed, Hughes said. (Bloomberg) -- Former UK Chancellor of the Exchequer Kwasi Kwarteng called his ill-judged £45 billion ($53 billion) tax giveaway a "Growth Plan" to avoid having to publish a bleak economic forecast alongside his boosterish September statement, according to the Office for Budget Responsibility. Truss Government Avoided "Budget" Label to Dodge Scrutiny. [Extracted from the article]

(Bloomberg) -- Former Prime Minister Liz Truss's short-lived UK government "could have got away with" her economic plans, but she went too far by bringing forward unexpected tax cuts and refusing to let the independent fiscal watchdog run the numbers, one of her advisers said. UK's Kwarteng Says He Told Liz Truss She Was Going Too Fast In an interview with TalkTV on Thursday, Kwarteng sought to blame the fiasco on Truss for wanting to move too fast, and said he only bore "some responsibility.". [Extracted from the article]

(Bloomberg) -- Rishi Sunak said the UK budget this month will help the Conservative Party regain some of the trust that was lost during his predecessor's disastrous time as prime minister. In an interview with the Times published late Friday, Sunak sought to emphasize his credentials as a former chancellor of the exchequer and denounced Liz Truss's mini-budget at the end of September as a "sugar rush.". [Extracted from the article]

"There has been a UK premium on rates", Bailey said. Bank of England Governor Andrew Bailey said the recent market turmoil triggered by former Prime Minister Liz Truss's fiscal plans damaged UK credibility and it will have a lasting effect through a premium on borrowing costs. [Extracted from the article]

(Bloomberg) -- US stock futures fluctuated as investors assessed resilient company earnings against an unexpected drop in jobless claims. The Fed is expected to raise interest rates by 75 basis points at its Nov. 1-2 meeting -- its fourth straight increase of that size -- as central bankers seek to cool the hottest inflation in four decades. [Extracted from the article]

(Bloomberg) -- US stock futures turned positive as investors responded to resilient company earnings, with AT&T Inc. and American Airlines Group Inc. beating estimates. The Fed is expected to raise interest rates by 75 basis points at its Nov. 1-2 meeting -- its fourth straight increase of that size -- as central bankers seek to cool the hottest inflation in four decades. [Extracted from the article]

(Bloomberg) -- UK bonds were under pressure Thursday morning and the pound dropped amid doubts over whether Prime Minister Liz Truss can cling onto power. Read more: Truss's Government on Brink as Tories Agitate for Her to Go Many Conservative lawmakers now want Truss to resign immediately and speculation is already rife over who could replace her. [Extracted from the article]

Any intervention would come as the City, and the wider UK, looks to Westminster to see the Conservative party will oust yet another party leader, or whether Prime Minister Liz Truss's contrition can keep her in the top job. A Chelsea FC co-owner tells Bloomberg's In The City podcast that as long as Liz Truss is prime minister, Britain will continue to look "uninvestable.". [Extracted from the article]

The measures set out by Chancellor of the Exchequer Jeremy Hunt on Monday will pare £32 billion from the £45 billion of tax giveaways Truss's government announced last month in a mini-budget that triggered a sharp sell-off in UK assets. Prime Minister Liz Truss promised growth and tax cuts, but the risks of recession are growing for the UK after her economic package backfired and forced the Treasury to raise taxes and weigh deep spending cuts. [Extracted from the article]

The measures set out by Chancellor of the Exchequer Jeremy Hunt on Monday will pare £32 billion from the £45 billion of giveaways Truss's government announced last month in a mini-budget that triggered a sharp sell-off in UK assets. Prime Minister Liz Truss promised growth and tax cuts, but the risks of recession are growing for the UK after her economic package backfired and left the Treasury forced to raise taxes and weigh deep spending cuts. [Extracted from the article]

Chancellor of the Exchequer Jeremy Hunt ripped up most of what was left of Prime Minister Liz Truss's controversial economic program, scrapping tax cuts and cutting back support for household energy bills in an effort to restore order to the UK public finances. Hunt set out £32 billion ($36 billion) of savings in response to a backlash against Truss's plan, which spooked investors and pushed up borrowing costs. [Extracted from the article]

The government faces additional pressure to restore investor confidence in public finances now that the Bank of England's emergency bond-buying operations -- a backstop to the market -- have ended. Another key question for investors is whether the BOE will go ahead with the planned active sales of gilts it accumulated under quantitative easing, which have already been postponed to Oct. 31 due to turbulent trading conditions. [Extracted from the article]

Chancellor of the Exchequer Jeremy Hunt ripped up what was left of Prime Minister Liz Truss's controversial economic program, scrapping tax cuts and removing support for household energy bills in an effort to restore order to the UK public finances. "There will be more difficult decisions, I'm afraid, on both tax and spending as we deliver our commitment to get debt falling as a share of the economy over the medium term", Hunt said, adding that the priority will be on protecting "the most vulnerable.". [Extracted from the article]

(Bloomberg) -- Chancellor of the Exchequer Jeremy Hunt won a crucial endorsement from the Bank of England for his plan to stabilize the UK's strained public finances that leaves Prime Minister Liz Truss looking increasingly marginalized. Less than 24 hours after he was pulled from the backbenches to rescue Truss's crumbling government, 55-year-old Hunt announced he was effectively ditching the premier's dash-for-growth strategy and had spoken to BOE Governor Andrew Bailey to secure his backing. [Extracted from the article]

Truss Premium Set to Add £1,200 to Cost of UK Home Loans by 2024 (Bloomberg) -- More than 5 million British families face an increase of £1,200 ($1,340) in their annual mortgage payments as a direct result of the market turmoil unleashed by Prime Minister Liz Truss and her former Chancellor of the Exchequer Kwasi Kwarteng. Market interest rates surged in the wake of the £43 billion giveaway, leading to a rapid repricing of mortgage products. [Extracted from the article]

(Bloomberg) -- Liz Truss is facing calls from within her Conservative Party to backtrack on key pieces of her economic plan, even as her UK government tried to downplay its part in the recent turmoil in financial markets. UK Markets Roiled By BOE as 10-Year Yield Jumps to 2008 High But that failed to persuade rank-and-file Tories sitting subdued behind her, who worry that her sums don't add up and that when the government publishes a full fiscal plan on Oct. 31, markets will again react badly. [Extracted from the article]

The article explores how the administration of British Prime Minister Liz Truss is copying the economic policies and 1980s-style supply side revolution of former chancellor of exchequer George Osborne. Among the programs of the Conservative Party that reflect Osborne's policies are a proposed increase in-work payments, tax cuts and increase in interest rates in the wake of energy crisis and inflation growth. Also noted is the reaction of voters to austerity measures of the government.

The article informs on Great Britain Prime Minister Liz Truss's government, which represent the problems of governance prevailing in a political system not based on expert knowledge. It mentions she announced the tax cuts that she had promised to get elected as Tory leader which created panic in the markets that has dominated the news cycle ever since, with interest rates and mortgage rates to rise, along with her take on education.

Read more: Why Bank of England's Remit Has Become Political: QuickTake UK Chancellor Affirms BOE Inflation Remit and Plans Closer Link BOE Rejects Criticism It Acted Too Slowly on Inflation (3) Liz Truss's Plan to Shake Up BOE May Step Up Focus on Inflation ©2022 Bloomberg L.P. Prime Minister Liz Truss backed the Bank of England's authority to set interest rates independently, dropping previous mentions of a review into the central bank's policy-making. [Extracted from the article]

When asked if the BOE should pull its own U-turn on gilt sales, Sentance says: "No, I think the Bank of England should stick to the job it's meant to do which is to keep on top of inflation [...] We're heading for 4 to 5 percent interest rates as being the norm for the next few years at least." (Bloomberg) -- Subscribe to In The City on Apple podcastsSubscribe to In The City on Spotify In this bonus episode of In the City, David Merritt and Francine Lacqua unpack the government's humiliating reversal on its signature tax cut. Plus, former Bank of England policy maker Andrew Sentance says the new government thinks it has a "magic wand" to create economic growth in the short-term but "that's just not realistic.". [Extracted from the article]

Liz Truss is standing by her Chancellor of the Exchequer Kwasi Kwarteng after the threat of a rebellion in the ruling party forced them into a humiliating reversal on a plan to cut taxes for the top earners in the UK. Yet the market and political fallout last week was dramatic, and already talk in the party is about whether Truss and Kwarteng can hold on. [Extracted from the article]

Prime Minister Liz Truss dropped a plan to cut taxes for the UK's highest earners just 10 days after announcing it, a humiliating reversal designed to fend off a mounting rebellion within her own Conservative Party. Kwarteng himself had spoken to some 25 MPs in recent days to reassure them that his tax cuts can fix the economy, and on Monday told the BBC that the abolition of the 45% rate "was drowning out the elements of an excellent plan.". [Extracted from the article]

(Bloomberg) -- Liz Truss's fiscal plans have already turned investors against her and handed the Labour Party a massive lead in opinion polls. Building Over the Countryside They may not have captured the headlines amid the market turmoil, but other plans from the Truss government could also upset her voters. [Extracted from the article]

How Truss's "Reagan Moment" Upended Global Markets The move crushed the value of the pound while sending the already struggling country's borrowing costs soaring. UK Prime Minister Liz Truss triggered the latest wave of turbulence in global markets after announcing economic plans that include unfunded tax cuts. [Extracted from the article]

A year-to-date decline of over 50% for the index exceeds the 2008 plunge triggered by the US mortgage crisis that sent global financial markets tumbling. UK homebuilders have lost half their value this year as tax cuts announced by Liz Truss's government plunged the sector further into crisis. [Extracted from the article]

(Bloomberg) -- Prime Minister Liz Truss is under pressure to cut spending on the same scale as George Osborne's infamous austerity drive of 2010 in order to stabilize the UK public finances and win back the confidence of investors. Truss and Kwarteng are already on thin ice there after the OBR was sidelined for last week's fiscal announcement. [Extracted from the article]

UK homebuilders have lost half their value this year as tax cuts announced by Liz Truss's government plunged the sector further into crisis. The 52% year-to-date decline for the index exceeds the 2008 plunge triggered by the US mortgage crisis that sent global financial markets tumbling. [Extracted from the article]

It may seek further savings by setting out plans to shrink the wider public sector workforce, which ballooned by 250,000 to 5.5 million over the pandemic -- pushing the annual wage bill up by 20% to £165 billion. (Bloomberg) -- Prime Minister Liz Truss is under pressure to cut spending on the same scale as George Osborne's infamous austerity drive of 2010 in order to stabilize the UK public finances and win back the confidence of investors. [Extracted from the article]

While other maturities are slumping, the BOE's targeted intervention in longer-dated UK government bonds to quell the turbulence in that sector is taking effect. (Bloomberg) -- The pound snapped a two-day gain and most UK government bonds dropped as Prime Minister Liz Truss defended her package of sweeping tax cuts, reinforcing investor concerns over the country's finances and inflation outlook. [Extracted from the article]

US Commerce Secretary Gina Raimondo on Wednesday said Truss's determination to slash taxes wouldn't boost growth, the International Monetary Fund urged Truss to reconsider her plans and Lawrence Summers, the former US Treasury Secretary and now a paid contributor to Bloomberg Television, said the UK has the worst economic policy of any major country. UK Prime Minister Liz Truss defended a giant package of unfunded tax cuts which sent markets into turmoil this week, saying currencies and economies around the world face tough economic pressures. [Extracted from the article]

"The message of financial markets is that there is a limit to unfunded spending and unfunded tax cuts in this environment", Carney told BBC Radio. Former Bank of England Governor Mark Carney accused Liz Truss's government of "undercutting" the nation's economic institutions, and said that her fiscal plans were to blame for the drop in the pound and bonds. [Extracted from the article]

US Commerce Secretary Gina Raimondo on Wednesday said Truss's determination to slash taxes wouldn't boost growth, the International Monetary Fund urged Truss to reconsider her plans and Lawrence Summers, the former US Treasury Secretary and now a paid contributor to Bloomberg Television, said the UK has the worst economic policy of any major country. UK Prime Minister Liz Truss stood by her fiscal package which sent markets into turmoil this week, saying currencies and economies around the world face tough economic pressures. [Extracted from the article]

(Bloomberg) -- European airline bosses blasted Prime Minister Liz Truss's new budget plan, which provoked a meltdown in the pound since being revealed last Friday. Virgin Atlantic Airways Ltd. Chief Executive Officer Shai Weiss said Truss should consider dropping the program altogether, while Ryanair Holdings Plc CEO Michael O'Leary described the new budget as "crazy.". [Extracted from the article]

(Bloomberg) -- Liz Truss's plan for growth, melding the biggest tax giveaway in half a century with Thatcherite deregulation, is a straight-up gamble with Britain's future, and even before her chancellor of the exchequer had finished delivering it on Friday the bet was starting to sour. The reaction leaves Truss and Kwarteng in a terrible bind. [Extracted from the article]

The article focuses on promises made by Liz Truss, prime minister of Great Britain, on increasing defense spending, declining pay roll and corporation taxes. Topics discussed include price-guarantee scheme unveiled by Truss to help business and household with soaring bills for energy, efforts to set interest rates and sell reserves of foreign exchange, and energy package proposed by Truss.

Truss Rules Out Funding UK Energy Support With Windfall Tax Truss is expected to make the announcement on Thursday. On Wednesday, two-year gilt yields fell as much as 25 basis points after BOE officials sounded a more dovish tone. [Extracted from the article]

Gilt investors are bracing for details of Prime Minister Liz Truss's new economic package, with some warning that a new wave of debt issuance to fund the spending risks roiling markets. Orla Garvey, a portfolio manager at Federated Hermes Limited, pointed out that unlike when Covid-19 aid measures were introduced, the gilt market won't have the support of Bank of England buying up debt to suppress yields. [Extracted from the article]

BON, BUSINESS, FRX, GLOBALMACR, GOV, MARKETS Keywords: BON; BUSINESS; FRX; GLOBALMACR; GOV; MARKETS EN BON BUSINESS FRX GLOBALMACR GOV MARKETS UK taxpayers will be on the hook for as much as £200 billion ($230 billion) over the next 18 months to cover the cost of Prime Minister Liz Truss's plans to contain energy prices, according to people familiar with the policy. UK Taxpayers on the Hook for Truss's £200 Billion Energy Plan. [Extracted from the article]

RHSNAZT0G1KW (Bloomberg) -- Investors in UK mid-cap stocks cheered Prime Minister Liz Truss's plan to freeze energy bills for British households. Keywords: ALLTOP; BON; BUSINESS; CONS; COS; EUROPE; EURTOP; FRX; GOV; INDUSTRIES; MARKETS; RET; STK; UK; WORLD; WWTOP; WWTOPAS EN ALLTOP BON BUSINESS CONS COS EUROPE EURTOP FRX GOV INDUSTRIES MARKETS RET STK UK WORLD WWTOP WWTOPAS Investors in UK mid-cap stocks cheered Prime Minister Liz Truss's plan to freeze energy bills for British households. [Extracted from the article]

Keywords: %GBP; ALLTOP; BON; BUSINESS; CMD; COS; ECOTOP; ELC; EUROPE; FIN; FRX; GLOBALMACR; GOV; INDUSTRIES; LAW; MARKETS; NRG; TOP; UK; UTI; WORLD; WWTOP; WWTOPEU EN %GBP ALLTOP BON BUSINESS CMD COS ECOTOP ELC EUROPE FIN FRX GLOBALMACR GOV INDUSTRIES LAW MARKETS NRG TOP UK UTI WORLD WWTOP WWTOPEU The cost of Prime Minister Liz Truss's proposed energy price freeze for UK households risks running out of control, topping the £197 billion ($228 billion) estimated in leaked government documents for the next 18 months. RHS8HLT0G1KX (Bloomberg) - The cost of Prime Minister Liz Truss's proposed energy price freeze for UK households risks running out of control, topping the £197 billion ($228 billion) estimated in leaked government documents for the next 18 months. [Extracted from the article]