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Liz Truss’s Historic Gamble With the UK Economy Is Already Unraveling

  • Markets crash after UK unveils massive unfunded tax cuts
  • Analysts warn that traders are losing confidence in the pound
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UK Mini-Budget: Highlights of Kwarteng's Announcements
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Liz Truss’s plan for growth, melding the biggest tax giveaway in half a century with Thatcherite deregulation, is a straight-up gamble with Britain’s future, and even before her chancellor of the exchequer had finished delivering it on Friday the bet was starting to sour.  

The market’s verdict on the £220 billion policy blitz set out by Kwasi Kwarteng was swift and devastating. Sterling crashed below $1.11 for the first time since 1985, taking its slump for the year to date to 19%. Five-year gilts posted their biggest ever daily decline.