'Nothing mini about this Budget': Industry reacts to the largest package of tax cuts in five decades

'No magic money tree'

Valeria Martinez
clock • 5 min read

The government’s £45bn worth of tax cuts will be welcomed by households and businesses struggling with the cost-of-living crisis, but the plans also risk keeping underlying inflation pressure uncomfortably strong, industry experts told Investment Week.

Chancellor Kwasi Kwarteng delivered his Mini Budget this morning, where he outlined sweeping tax cuts to households and businesses, stamp duty changes and several other fiscal policies to target economic growth of 2.5% a year. The Institute for Fiscal Studies said the tax cuts were the largest since the budget of 1972 - which is widely remembered as ending in disaster because of its inflationary effect. "There was nothing mini about this Budget, with the new chancellor announcing more changes to the nation's finances than many previous full-blown Budgets," said Laura Suter, head of pe...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on UK

Invesco discontinues standalone UK equity team as it merges with European cohort
UK

Invesco discontinues standalone UK equity team as it merges with European cohort

Teams already work closely

Eve Maddock-Jones
clock 12 June 2024 • 1 min read
Greens pledge to demand non-bank financial institutions to divest from fossil fuels by 2030
UK

Greens pledge to demand non-bank financial institutions to divest from fossil fuels by 2030

Additional mandate for the BoE

Valeria Martinez
clock 12 June 2024 • 2 min read
UK economic growth flatlines in April
UK

UK economic growth flatlines in April

Poor weather dampened data

Eve Maddock-Jones
clock 12 June 2024 • 2 min read
Trustpilot