UK’s Hunt: We will reverse almost all tax measures announced on 23 Sept

UK’s new Chancellor of the Exchequer Jeremy Hunt is making an emergency statement this Monday on the mini-budget, aimed to stabilize financial markets.

Key quotes

We will no longer be proceeding with cuts to dividend tax rates, reversal of off payroll working reforms.

We will no longer be proceeding with new vat-free shopping scheme for non-UK visitors or the freeze on alcohol duty rates.

Central responsibility for govt is to ensure economic stability.

Every government can give certainty about sustainability of public finances.

Government is making further changes to mini-budget.

Will give statement to parliament later today.

We will reverse almost all tax measures announced in Sept 23 growth plan.

Not right to borrow to fund tax cuts.

Basic rate of income tax will remain at 20 pct indefinitely.

Measures announced today will raise around 32 bln pounds.

Stamp duty changes, national insurance changes will go ahead.

Energy price guarantee will not change until April.

Would not be responsible to expose public finances to international volatility indefinitely.

Reviewing how to support on energy prices after that.

Support after April will be targeted.

There will be more difficult decisions on tax and spend.

UK will always pay its way.

Confident about UK’s prospects.

Market reaction

GBP/USD is looking to stabilize around 1.1300, having hit daily highs at 1.1331 pre-Hunt’s statement. The spot is up 1.12% on the day.