Kwasi Kwarteng cut stamp duty and higher income tax in a mini-budget that Labor described as “a scheme to reward the already rich”. The chancellor unveiled tens of billions in extra spending and tax cuts in plans to boost economic growth. This also included removing a cap on bankers’ bonuses and a planned increase in corporation tax on big business profits. The government dubbed the mini-budget a “growth plan” as the UK faces a cost-of-living crisis, recession, soaring inflation and rising interest rates. It has been criticized by politicians, unions and charities, who said the richest in the country – rather than the poorest – would reap the benefits. Rachel Reeves, the shadow chancellor, said: “The chancellor has made it clear what his priorities are today – not a plan for growth, a plan to reward the already rich.” Meanwhile, the Child Action Poverty Group said it was a statement “for the 1 percent” that said “more about bankers’ bonuses than helping hungry children”.

Basic points

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Mini-budget ‘reward for the already rich’, says Labour

Earlier in parliament, the shadow chancellor criticized the mini-budget as benefiting the rich. Rachel Reeves said: “The Chancellor has made it clear what his priorities are today – not a plan for growth, a plan to reward the already rich. Back to the past, back to the future, not a brave new age.” He added: “If you’re a pensioner worried about the cost of living, a working family seeing your mortgage rate rise, a small business whose costs are rising, today’s government announcements do little to reassure them. “Bigger bonuses for the bankers, huge profits for the energy giants, shamelessly shielded by Downing Street, and all the while ministers are piling the crushing burden of all this spending onto the backs of the taxpayer.” Rachel Reeves says mini budget is ‘reward for the already rich’ (Parliament TV) Zoe Tidman23 September 2022 11:30 am 1663928918

Full story: Planned alcohol tax hike scrapped

Kwasi Kwarteng scrapped a planned alcohol tax hike in his mini-budget as he set out plans for billions of pounds in tax cuts and more borrowing, writes Matt Mathers.

Kwarteng scraps planned beer and wine duty hike

“Our drive to modernize extends to alcohol taxes,” Chancellor says Zoe Tidman23 September 2022 11:28 1663927838

Chart: Pound sinks after mini-budget

We reported that the pound had fallen to a 37-year low after the mini-budget earlier. This chart shows how it has dipped: Zoe Tidman23 September 2022 11:10 1663926878

Full story: Kwarteng announces stamp duty cuts

Kwasi Kwarteng has scrapped stamp duty on homes worth up to £250,000 in a bid to boost the property market, Andrew Woodcock reports. The chancellor said his move – with immediate effect – would remove a total of 200,000 people from stamp duty:

Stamp duty on homes worth up to £250,000 has been abolished

Changes will save up to £5,000 on home purchases – with extra help for first-time buyers Zoe Tidman23 September 2022 10:54 1663926178

Key points from the mini budget

Despite the name, the mini-budget has announced several changes for the UK. Here is a detailed presentation of the main ones:

The top rate of income tax for the highest earners was abolished. Those on more than £150,000 a year will no longer pay 45 per cent, but instead the lower rate of 40 per cent that applies to those on more than £50,271 Ax to bankers’ bonuses The planned increase in corporate tax was scrapped The reduction in the basic rate of income tax was proposed Stamp duty cut meaning 200,000 fewer people will pay tax on house purchases VAT-free shopping for overseas visitors was established Legislation that forces unions to put pay offers to a vote of members so that strikes can only be called once negotiations are complete Confirmation of plans which will see around 120,000 more people on Universal Credit take active steps to find more and better paid work or face a cut in their benefits

Zoe Tidman23 September 2022 10:42 1663925981

Tens of billions in tax cuts

The government’s mini-budget is estimated to contain a total of £45bn of tax cuts by 2026-27, according to figures published by the Treasury. Government estimates also show that tax cuts in 2023-24 will amount to almost £27bn. Zoe Tidman23 September 2022 10:39 1663925462

The Green Party says the UK is in a state of ‘economic inequality’

The Green Party’s Caroline Lucas said the UK was facing “economic inequality” after the mini-budget. “This is not a budget to tackle the cost of living scandal, the energy bill crisis or the climate emergency – it is a budget of free cash gifts to rich cats and City bankers and crumbs on the table for everyone else,” he said. he said. Caroline Lucas says the budget leaves “crumbs on the table” for most (Getty Images) Zoe Tidman23 September 2022 10:31 1663925261

“This was a statement for the 1 percent,” says the charity

After the mini-budget, Alison Garnham from the Child Poverty Action Group said: “Despite his rhetoric about supporting families, this was actually a statement for the 1 per cent, which said more about bankers’ bonuses than for helping hungry children”. Zoe Tidman23 September 2022 10:27 1663925122

Stamp duty cuts

Kwasi Kwarteng announced the abolition of stamp duty on homes worth up to £250,000 in his mini budget. Kwasi Kwarteng announces abolition of stamp duty on homes worth up to £250,000 Zoe Tidman23 September 2022 10:25 1663924709

HIGHLIGHTS: Pound plummets to 37-year low as Kwarteng unveils ‘growth plan’ for UK economy

Pound falls to 37-year low as Kwarteng unveils ‘growth plan’ for UK economy

The pound fell to a new 37-year low against the dollar as the chancellor unveiled his “growth plan” for the UK economy. Zoe Tidman23 September 2022 10:18