UK

The government has ruled out a U-turn on the costly tax-cutting mini-budget and the chancellor will not resign despite mounting pressure. It comes after a day in which the Bank of England was forced to launch a temporary bond-buying programme as it took emergency action to prevent “material risk” to UK financial stability. Bank’s ‘nearly

The Bank of England’s chief economist has said the government’s mini-budget, which led to the pound falling to a record low against the dollar, will require “a significant monetary policy response”. Speaking at the International Monetary Policy Forum, Huw Pill reasserted the Bank of England’s willingness to act to rein in inflation. Mortgage repayments could

The collapse of the value of the pound in the wake of Friday’s mini-budget appears to have stalled, for now, but only thanks to market expectations that the Bank of England will be forced to intervene. The rout for sterling, which began after Chancellor Kwasi Kwarteng revealed a £45bn tax cut plan on top of

The pound has fallen to a record low against the dollar amid a fresh investor rush towards the US currency globally. Sterling suffered worst as it slipped by nearly 5% early on Monday to $1.0327 – building on fresh 1985 lows seen on Friday after UK chancellor Kwasi Kwarteng unveiled the biggest programme of tax

The Bank of England says it “will not hesitate to change interest rates as necessary” after markets reacted badly to the chancellor’s tax-cutting mini-budget. In a statement, the Bank said it was “monitoring developments in financial markets very closely in light of the significant repricing of financial assets”. It came after the pound fell to

A freed British prisoner of war who was held by Russian-backed separatists has told Sky News how he was tortured over several days. John Harding said he was used as a “punching bag” by the guards in a holding facility in the self-declared Donetsk People’s Republic in eastern Ukraine. The centre was run by the

Labour will reverse the cut in the higher rate of income tax if it wins power at the next election, Sir Keir Starmer has said. Around 660,000 of the highest earners on more than £150,000 will benefit from the scrapping of the 45p rate, getting back on average £10,000 a year. Asked if Labour would

Buckingham Palace has released the first image of the new ledger stone marking the Queen’s final resting place. The late monarch was laid to rest on Monday evening in the King George VI Memorial Chapel in St George’s Chapel, Windsor Castle. Her parents and husband are also buried there. Elizabeth II’s name is inscribed on

This article was supposed to be a considered look at whether or not this mini-budget will generate the growth it was promising. It was supposed to be about whether it made sense to borrow so much money to finance tax cuts and whether this economic gamble (for a gamble it is) will actually work out.

The chancellor has denied suggestions he is gambling with the economy as his raft of tax cuts were met with a hostile reception – and sent the pound plummeting to a 37-year low. The Institute of Fiscal Studies (IFS) said he was “betting the house” by putting government debt on an “unsustainable rising path”. Only

Here are the key points from Chancellor Kwasi Kwarteng’s mini-budget statement to MPs: • The basic rate of income tax will be cut to 19p in the pound from April 2023. Will mean 31 million people will be better off by an average of £170 per year. • The 45% higher rate of income tax

Kwasi Kwarteng will promise a “new era for Britain” with a major package of measures to “turn the vicious cycle of stagnation into a virtuous cycle of growth”. The chancellor is set to announce tens of billions of pounds both of increased spending and of tax cuts when he delivers his mini-budget at around 9.30am

One of five Britons released from Russian detention in Ukraine after a prisoner swap has been pictured with his family. Shaun Pinner has been reunited with his family in the UK, his sister, Cassandra, confirmed. “If you thought COVID highlighted the importance of family, this is even bigger,” she told Sky News. It comes as

The mother of an unarmed black man who was killed by a police officer in south London has again called for justice after being shown the bodycam footage of his shooting. Chris Kaba, 24, was killed on 5 September after a police chase in Streatham Hill. His Audi was hemmed in by two police cars

Wholesale energy costs for businesses will be slashed by up to less than half their expected price through the winter months, the government has announced. They will see government-funded cuts to their energy bills in line with the reductions that have already been announced for homes. The level of discount will depend on what companies

Liz Truss has said she is prepared to be unpopular with her tax policy as she believes it will ultimately benefit the British economy. Talking to Sky News’ political editor Beth Rigby in New York, the prime minister defended any tax changes her government will make at the end of the week and said she

More than 250,000 people saw the Queen lying in state in London, according to the culture secretary. Michelle Donelan told Sky News that more than a quarter of a million mourners “went through parliament” but that it was an approximate figure and the government was still “crunching the final numbers”. People queued round the clock

The Queen has been buried beside her husband, Prince Philip, after a state funeral and a poignant chapel service – as the nation bid a final farewell to Britain’s longest reigning monarch. Elizabeth II was laid to rest at the King George VI memorial chapel in the grounds of Windsor Castle following a private burial

The King has issued a message of thanks to the nation as it prepares to say a “last farewell” to Queen Elizabeth. On the eve of the late monarch’s funeral, King Charles offered his gratitude to “all those countless people” who had offered “support and comfort” following his mother’s death. He said in a written

Today marks the final full day of the Queen’s lying in state. Thousands of people are still joining the queue to pay their respects, as heads of state continue to arrive in London ahead of Monday’s funeral, with the estimated queuing time at least 12 hours. Foreign dignitaries have been arriving in their droves over