Skip to content
Search

Latest Stories

Liz Truss's conservative government takes U-turns on plan to scrap 45p tax rate

The U-turn comes after several Tory MPs voiced their opposition to the plan announced just 10 days ago in the mini-budget.

Liz Truss's conservative government takes U-turns on plan to scrap 45p tax rate

Days after UK Prime Minister Liz Truss insisted she would not abandon the tax cut for the wealthiest, the conservative government on Monday took a U-turn on the plan to scrap a 45 per cent tax cut.

The British government has announced it will reverse plans to scrap the highest rate of income tax, following a major backlash to its proposed "growth plan," reported CNN. In a statement posted online Monday, new chancellor Kwasi Kwarteng said the plan "had become a distraction. We get it, and we have listened."


Kwarteng said that the proposed scrapping of the 45 percent rate for those earning more than 150,000 pounds (USD 167,000) had become a "distraction."

"From supporting British business to lowering the tax burden for the lowest paid, our Growth Plan sets out a new approach to build a more prosperous economy," he said in a statement on his Twitter account.

"However, it is clear that the abolition of the 45 per cent tax rate has become a distraction from our overriding mission to tackle the challenges facing our country," he added.

"As a result, I'm announcing we are not proceeding with the abolition of the 45 per cent tax rate. We get it, and we have listened," he wrote.

He also defended the delay in the reversal, saying, "We can always have a debate about when we could've made the decision, but the important thing is we've made the decision and we can now move forward with making the push for the growth plan."

The radical cuts sent the pound plunging to historic lows and sparked market chaos, leading to a revolt within the governing Conservative Party, reported CNN.

The U-turn comes after several Tory MPs voiced their opposition to the plan announced just 10 days ago in the mini-budget.

The proposal to scrap the rate paid by people earning over Pound 150,000 a year had been criticized as unfair at times of rising living costs.

The damage is already done in terms of the Truss government's standing with the voters and the markets.

(

More For You

Sri Lanka seeks to negotiate with Adani over renewable energy plants

Gautam Adani

Sri Lanka seeks to negotiate with Adani over renewable energy plants

SRI LANKA’S government started talks with India’s Adani Group to lower the cost of power from two wind power projects the group will build in the island nation’s northern province, the cabinet spokesman said last Tuesday (28).

Sri Lanka has been reviewing the group’s local projects after US authorities in November accused billionaire founder Gautam Adani and other executives of being part of a scheme to pay bribes to secure Indian power supply contracts. Adani has denied the allegations.

Keep ReadingShow less
Badenoch proposes stricter citizenship rules for all migrants

Kemi Badenoch delivers speech on January 16, 2025 in London, England. (Photo by Dan Kitwood/Getty Images)

Badenoch proposes stricter citizenship rules for all migrants

CONSERVATIVE PARTY on Thursday (6) proposed a clampdown on all migrants by tightening citizenship rules and barring social benefit claimants from residency rights.

Kemi Badenoch, who took over from Rishi Sunak in November last year, outlined her first major policy agenda as Tory leader in a move seen as an attempt to win back the support of Conservative voters drawn to the far-right anti-immigrant Reform party.

Keep ReadingShow less
New body led by Sir Sajid Javid aims to amplify ‘unheard’ voices
Sajid Javid

New body led by Sir Sajid Javid aims to amplify ‘unheard’ voices

A NEW independent commission to improve cohesion would engage across all nations and regions of the UK by moving beyond Westminster-centric discussions and include more diverse voices, the director of British Future thinktank has said.

Sunder Katwala said building confidence across different groups will be a priority, as economic pressures and tensions due to Middle East conflict have polarised communities in the UK.

Keep ReadingShow less
Pakistan court gives unusual punishment to Youtuber Rajab Butt for owning lion cub

Pakistani zookeeper Mohammad Amir holds the confiscated lion cub at Lahore’s safari zoo last Tuesday (28)

Pakistan court gives unusual punishment to Youtuber Rajab Butt for owning lion cub

A PAKISTANI YouTube star who was gifted a lion cub on his wedding day avoided jail after promising a judge to upload animal rights videos for a year.

Rajab Butt has one of the largest online followings in south Asia, and his week-long nuptials in December were plastered over celebrity gossip websites.

Keep ReadingShow less
Theft and violence in retail shops hit record high in 2024

The Labour government has pledged to address the rise in retail crime through stronger measures to tackle shoplifting and anti-social behaviour

iStock

Theft and violence in retail shops hit record high in 2024

THEFT and violence against retail workers in Britain soared to record levels last year, driven partly by criminal gangs, and are “out of control”, according to a report last Thursday (30).

The British Retail Consortium's annual crime survey found that more than 20 million thefts occurred in the year to August 31, 2024 – an average of 55,000 a day – costing retailers £2.2 billion.

Keep ReadingShow less