RECAP: Liz Truss BBC radio: Follow how PM's local radio appearance unfolded
Liz Truss is to break her silence following a period of economic turmoil in the UK following the mini-budget unveiled by the Chancellor last week.
It is her first media appearance following the mini budget as the UK faces economic turmoil Ms Truss defended Chancellor Kwasi Kwarteng’s measures, insisting “urgent action” was needed, although she admitted the Government’s decisions have been “controversial”.
Prime Minister Liz Truss has insisted the Government had to “take urgent action to get the economy growing” in her first public comments since the mini-budget market turmoil.
The market angst in recent days has seen the Chancellor step up efforts to reassure the City about his economic plans after the International Monetary Fund (IMF) criticised the Government’s strategy. Chief Secretary to the Treasury Chris Philp insisted there would be no consideration “at all” for a change of course by the Government.
On Wednesday, the Bank of England launched an emergency government bond-buying programme to prevent borrowing costs from spiralling out of control and stave off a “material risk to UK financial stability”.
The Bank announced it was stepping in to buy up to £65 billion worth of Government bonds – known as gilts – at an “urgent pace” after fears over the Government’s economic policies sent the pound tumbling and sparked a sell-off in the gilts market.
The market turmoil had forced pension funds to sell Government bonds to head off worries over their solvency, but this was threatening to see them suffer severe losses.
Here’s how it unfolded.