LONDON, Oct 3 — Britain’s beleaguered finance minister is set Monday to vow no retreat on the Conservative government’s plan to pay for controversial tax cuts with billions more in borrowing.
He will promise “a new economic deal for Britain... backed by an iron-clad commitment to fiscal discipline”. With Truss’s administration not even a month old, the right-wing policy blitz has bombed with the electorate, according to polls which show the opposition Labour party opening up a mammoth lead.Raising borrowing to pay for the £45 billion in tax cuts is “not Conservative”, former minister Michael Gove told the BBC Sunday, just as Truss left the studio after her own interview.
Markets had tanked in response to the plan, and the Bank of England last week staged an emergency intervention to bail out embattled pension funds.