LONDON - UK Chancellor of the Exchequer Kwasi Kwarteng sought to reassure jangled nerves in his ruling Conservative party with a pledge to deliver on the government's economic strategy, just hours after making a humiliating U-turn on a plan to cut taxes for top earners.
The policy reversal - just 10 days after the measure was first announced - is a major embarrassment for Kwarteng and Prime Minister Liz Truss. The package sparked a market rout, sending the pound to an all-time low against the dollar and forcing the Bank of England into a dramatic intervention to stave off a gilt market crash."I know the plan from 10 days ago has caused a little turbulence," Kwarteng said."We are listening and have listened and now I want to focus on delivering major parts of our growth package."
That has sparked concern among some ex-ministers, who warned they could not support any real-term cuts in welfare payments.