To ask His Majesty's Government what steps they are taking to ensure market confidence in response to the Bank of England’s announcement that its emergency bond-buying intervention will end on Friday 14 October.
Answered on
25 October 2022
The Chancellor of The Exchequer on Monday 17 October brought forward a number of measures. These represent another down payment following the reversal of the corporation tax cut announced on Friday 14 October by the Prime Minister.
Following conversations with the Prime Minister, the Chancellor has taken these decisions to ensure the UK’s economic stability and to provide confidence in the Government’s commitment to fiscal discipline. The Chancellor made clear in his statement that the UK’s public finances must be on a sustainable path into the medium term.
The Government is prepared to act decisively and at scale to regain the country’s confidence and trust. The Chancellor stated in his speech that there will be more difficult decisions to take on both tax and spending. This means doing what is needed to lower debt in the medium term and to ensure that taxpayers’ money is well spent, putting public finances on a sustainable footing.
In light of this, Government departments will be asked to find efficiencies within their budgets. The Chancellor will publish the government’s fiscal rules alongside an OBR forecast, and further measures to put the public finances on a sustainable footing, on 31 October.