[theold]

Alarm was spreading across the Conservative party last night after Truss ruled out any U-turns from the mini-budget and a shock YouGov poll put Labour a record 33 points ahead, on 54%, to the Tories’ 21%, doubling their lead from only four days ago.

In her first public statements since warnings from the International Monetary Fund and the Bank’s intervention to prevent a run on pension funds, Truss said she was “prepared to take difficult decisions” and would not change her approach despite pressure.


However, reverberations from the Bank of England’s £65bn rescue on Wednesday of Britain’s final salary pension funds were felt across international financial markets, sending shares plunging across Europe, the US and Asia.

Banks in the UK withdrew mortgage loan products at an unprecedented pace, and the average price for a two-year fixed rate mortgage jumped above 5%. More than 40% of available mortgages have now been withdrawn from the market, while providers including Santander, Nationwide and HSBC have repriced loans.

“The devaluation of the pound looks set to prolong inflation, even once factory gate prices ease,” he said. “It looks like we may be set to have two cost of living crises: this year, a supply-side-led squeeze; next year, a currency-led price hike as devaluation takes effect.”

https://www.theguardian.com/politics/202...lm-markets

[p1acebo]

Be very afraid

[Sticw]

But hor... The very reason why UK left EU was to devalue their currency so that they can reset their economy. The only reason why they are so pissed is that the Euro had fallen so much that even as the pound fell against USD, any of their previous computed advantage vaporised...