Kwasi Kwarteng placed an extraordinary bet that £45billion of tax cuts can end the UK economy’s ‘cycle of stagnation’ today – with fears the country faces years of misery if he is wrong.
In a dramatic ‘Emergency Budget’ that saw the biggest assault on the tax burden since 1972, the Chancellor abolished the 45p top rate for around 660,000 people earning over £150,000 – saving them an average of £10,000 a year each.
Millions of ordinary Britons will also keep hundred of pounds more after a 1p cut in the basic rate was brought forward to next April.
Mr Kwarteng reversed the national insurance hike, as well as scrapping a huge planned increase in corporation tax from 19p to 25p and limits on City bonuses.
Stamp duty is being ditched for values up to £250,000, with first time buyers exempt up to £425,000 – taking 200,000 people out of the system altogether.
Beer, wine and cider duty rises are being cancelled – and in an effort to bolster tourism overseas visitors will be able to shop…