Prime Minister Liz Truss defends Chancellor Kwasi Kwarteng’s mini-budget on BBC Radio Leeds

In her first public comments since Mr Kwarteng’s statement plunged the financial markets into turmoil, the Prime Minister told BBC Radio Leeds listeners: “We had to take urgent action to get our economy growing, get Britain moving and also deal with inflation.

“Of course that means taking controversial decision but I am prepared to do that as Prime Minister because what is important to me is that we get our economy moving, we make sure that people are able to get through this winter and we are prepared to do what it takes to make that happen.”

David Spencer, a professor of Political Economy, believes people living in Leeds could be in for a grim winter following this news, and accused the Government of “letting ideology get in the way” of running the economy.

Prof Spencer said: “The pound is falling because there is a loss of confidence in UK economic policy.

“The fall in the pound reflects the folly of the mini-budget last Friday. The move to raise borrowing to fund tax cuts isn’t seen as credible with the result that the pound has plummeted.”

Among the measures announced were the abolishment of stamp duty for new businesses, the opening of government land for the creation of new homes and businesses and financial relief for first time buyers.

The basic income tax rate will be cut from 20% to 19% in the next financial year, and there will be more of a hardline for those receiving Universal Credit in a bid to fill the large number of vacancies the UK workforce are facing.

Mr Kwarteng also announced a repeal of corporation tax and the abolishment of bankers caps, in an effort to “reaffirm the UK’s status as a financial service centre.”