The pound has surged today as the Government U-turned on the decision to axe the 45p tax rate.
Sterling hit 1.125 US dollars at one stage, recovering back to levels seen before the mini-budget, though it pared back some of the gains in early morning trading to stand at 1.119.
The market turmoil following Kwasi Kwarteng’s mini-budget had seen the pound fall to an all-time low of 1.03 US dollars.
This morning the pound rose after Mr Kwarteng’s announcement to around $1.12 – about the value it held before the September 23 budget announcements.
The pound spiked this morning as it was revealed the 45p tax rate would remain in place after a U-turn by the Government
The PM and Chancellor will no longer axe the 45p rate for people earning more than £150,000 a year after it became clear dozens of MPs would refuse to back the move in the Commons. ‘We get it and we have listened,’ Mr Kwarteng posted on Twitter.
Liz Truss and Kwasi Kwarteng today executed an extraordinary…