Liz Truss Performs U-Turn on Corporation Tax and Promises to Lead UK ‘Through the Storm’
Prime Minister Liz Truss has scrapped a key part of the mini-budget Kwasi Kwarteng produced last month—reversing the cut to corporation tax—and has defended her decision to replace him as Chancellor of the Exchequer with Jeremy Hunt.
She said she had decided corporation tax would go up from 19 percent to 25 percent next year—as originally planned by Rishi Sunak—which would raise £18 billion.
The City of London has reacted badly in the last three weeks to the mini-budget, which involved tax cuts of around £43 billion and a big increase in government borrowing.
On Oct. 3 Truss scrapped plans to abolish the top rate of income tax but that has not assuaged the financial markets….