British Prime Minister Liz Truss is backtracking and, along with Finance Minister Kwasi Kwarteng, scrapping a tax plan aimed at lowering taxes on the wealthiest. Chancellor of the Exchequer Kwarteng confirmed that the government would not lower the maximum rate of 45 percent. “We will not go ahead with our plan to abolish the 45% rate. It has now become a distraction from our mission to accomplish the challenges we face. We understood the lesson, we listened to it,” Kwarteng wrote on Twitter.
“We are 100 percent focused on the growth plan,” the Chancellor explained to the BBC. Markets did not like Truss’ fiscal plan and for the past week the pound has hit record lows against the dollar.