Kwasi Kwarteng

Kwasi Kwarteng has announced that Liz Truss has sacked him as chancellor, as the prime minister tries to restore her political authority before a U-turn on ...

She signed off on every detail and she defended it.” [weeks of defending the proposals](https://www.theguardian.com/politics/2022/oct/13/how-liz-truss-dug-in-over-pledge-to-axe-corporation-tax-rise) for unfunded tax cuts on a huge scale, government sources said a climbdown on the plan to scrap the rise in corporation tax was now “on the table”. He went on: “The economic situation has changed rapidly since we set out the growth plan on 23 September. You have put the national interest first.” This is her vision. I have accepted.”

British Finance Minister Kwasi Kwarteng was fired on Friday, amid mounting political pressure and market chaos after less than six weeks in the role.

[Sterling](/quotes/GBP=/) whipsawed during a volatile session. "As I have said many times in the past few weeks, following the status quo was simply not an option. [30-year yield](/quotes/UK30Y-GB/) briefly touched 4.261% during morning trade. I believe your vision is the right one. "We have been colleagues and friends for many years. "It is important now as we move forward to emphasise your government's commitment to fiscal discipline. Chris Philp, chief secretary to the Treasury, was also replaced by Edward Argar. In that time, I have seen your dedication and determination. "The economic environment has changed rapidly since we set out the Growth Plan on 23 September. [Bank of England](https://www.cnbc.com/2022/10/14/uk-cliff-edge-arrives-as-bank-of-england-prepares-to-end-bond-buying.html) to intervene in order to [save pension funds from collapse](https://www.cnbc.com/2022/10/14/uk-cliff-edge-arrives-as-bank-of-england-prepares-to-end-bond-buying.html), and a spike in mortgage rates for prospective homeowners. Kwarteng cut short a visit to Washington on Thursday to fly back to London as government ministers scrambled to address the market chaos unleashed in recent weeks. - Kwarteng cut short a visit to Washington on Thursday to fly back to London as government ministers scrambled to address the market chaos unleashed in recent weeks.

Kwarteng's political demise seems likely to go into political history as a tale of hubris: a minister so certain of his beliefs and impatient with others' views ...

His parents – an economist and a barrister – emigrated from Ghana as students. Instead it was over in 38 days. It also emerged that he had decided to attend a [a thoughtful book](https://www.theguardian.com/politics/2022/aug/30/ghosts-of-empire-what-kwasi-kwartengs-book-tells-us-about-him) about the legacy of the British empire. Five weeks and three days later, he is gone. [much more was to come](https://www.theguardian.com/politics/2022/sep/25/kwarteng-uk-economy-must-expect-more-tax-cuts-and-deregulation).

Kwarteng, a close ally of U.K. Prime Minister Liz Truss, has come under heavy criticism for his mini-budget which triggered a slump in the pound and other ...

After the initial indication that she and her government would push forward with the budget, Truss was [forced](https://www.forbes.com/sites/roberthart/2022/10/03/uk-ditches-tax-cuts-for-richest-amid-growing-backlash-and-market-mayhem/?sh=5c8220fa2efe) to climb down and scrap the planned tax cut for high earners after facing strong opposition from other members of her party. If implemented, the policy would have significantly increased government borrowing, something that spooked markets late September and caused the pound to [Liz Truss appoints Jeremy Hunt as UK chancellor ahead of tax cut U-turn](https://www.ft.com/content/63ac7dab-d8e4-412c-a910-c0013fdf7f3d) (Financial Times) [Liz Truss appoints Jeremy Hunt as chancellor after sacking Kwarteng](https://www.theguardian.com/politics/2022/oct/14/liz-truss-appoints-jeremy-hunt-as-chancellor-after-sacking-kwarteng) (The Guardian) The report notes that many of these senior lawmakers include former cabinet ministers who believe Kwarteng was simply carrying out Truss’ policies and therefore she should be the one who should have stepped down. Truss had vowed to enact sweeping tax cuts if she was voted into power, ignoring concerns that this would further fuel inflation. Late last month, Kwarteng unveiled a mini-budget that included tax cuts that would mostly benefit the wealthiest Britons along with other tax cuts, while also attempting to subsidize spiraling energy costs for households and businesses.

LONDON — British Prime Minister Liz Truss was propelled into high office by her bold promises to supercharge the country's flagging economy with big tax ...

23 announcement of the government’s new “Growth Plan,” which would be propelled by the “biggest package of tax cuts in generations,” caused the currency to tank and the central bank to step in to calm markets. Liz Truss’ reckless approach has crashed the economy, causing mortgages to skyrocket, and has undermined Britain’s standing on the world stage." Kwarteng lasted just 38 days in the job. I was shocked at how brutal it was.” Kwarteng, a free-marketeer and zealous Brexiteer, flew home to London from Washington earlier on Friday, as British newspapers tracked his flight. Well-to-do Brits pay a top rate of 45 percent on annual income over £150,000 ($168,000). “It is important now as we move forward to emphasize your government’s commitment to fiscal discipline.” He now becomes Britain’s fourth chancellor in four months, taking over economic policy portfolio at a moment the Bank of England is forecasting a recession this winter. Hunt lost the Conservative Party leadership race to Boris Johnson in 2019. She has been in office for less than six weeks. In that contest, he favored cutting corporate taxes. Britain’s top stock index, the FTSE 100, was essentially flat.

Prime Minister Liz Truss fires Chancellor Kwasi Kwarteng as she reverses course on sweeping tax cuts.

She has been under intense pressure to scrap some of the 43 billion pounds ($48bn) in unfunded tax cuts in the “mini budget”. Under the “mini budget”, the tax was due to be frozen at 19 percent. [Kwarteng](/news/2022/9/22/who-is-kwasi-kwarteng-and-what-is-his-plan-for-the-uks-economy) confirmed that he was asked to “step aside” as chancellor on Friday. “This is potentially an effort by the prime minister to reach across the aisle and try to secure some unity in her very troubled party.” Truss said she was acting to “reassure the markets of our fiscal discipline” and promised to press on with other aspects of her economic plan, saying, “I want to deliver a low tax, high wage, high growth economy.” Kwarteng’s departure comes after a month in the job — and three weeks after he announced a tax-cutting “mini budget” that sent the pound plunging to record lows against the US dollar.

LONDON (Oct 14): British Prime Minister Liz Truss fired her finance minister Kwasi Kwarteng on Friday, shortly before she is expected to scrap parts of ...

The UK prime minister has already abandoned Kwarteng's big tax cut, and she's preparing even more humiliating economic reversals.

But they had also been waiting on Kwarteng’s return from the US — he was fired after returning from a shortened visit to Washington for a meeting of the International Monetary Fund. She could either stick to her guns and face the prospect of more market chaos, or shred her reputation by changing tack. That is due to end on Friday, adding pressure on the government to act. The details are unclear as to which bits of her plan Truss will unpick. Truss later on Friday plans to unpick parts of Kwarteng’s strategy — officially called the Growth Plan — according to a person familiar with the matter, who asked not to be identified discussing unannounced plans. Kwarteng’s deputy, Chris Philp, was replaced with Edward Argar, with Philp moving to a ministerial post in the cabinet office.

Liz Truss has appointed Jeremy Hunt to replace the chancellor who led on the now infamous mini-budget – but it may not be enough.

And while it’s a bitter pill for Truss to swallow, the fact that Hunt supported her rival Rishi Sunak might add to his value. Once a government loses its credibility in the eyes of the markets and international investors, it runs into trouble. It was, after all, Sunak who first warned that Truss was on the road to fiscal ruin with her tax policies. He has over 17 years of experience as an MP and was the longest serving health minister in British history. Whether she staves off economic problems for the time being may ultimately prove irrelevant if her political capital is entirely spent. In this instance, the markets reacted positively but only until Truss gave a surprisingly short It is usually very difficult for a PM to dispose of them. It is, indeed, very unusual to sack a chancellor. Kwarteng, widely seen as Truss’s right-hand man, was rushed back to London from New York for the occasion, where he had been meeting with IMF officials on Thursday evening. They also generally have around 18 years of parliamentary experience. It is not standard practice to appoint technocrats in the UK but the bottom line remains the same: Truss needs a trusted figure in place as a matter of urgency. Appointments of this kind bring down sovereign yields by 1% over the course of a week and an average of 0.8% over the course of a year.

Kwasi Kwarteng is out as UK chancellor but his brief tenure at the top of the UK economy may have been helpful for some trading desks at US investment banks ...

[[email protected]](mailto:[email protected]) in the first instance. ](https://www.efinancialcareers.co.uk/login/register?cm_sp=editorial_registration) Morgan Stanley cited "strength in macro products on high client engagement and volatility in the markets," as the source of the 33% year-on-year increase in its fixed income sales and trading revenues in the third quarter. Citi said today that revenues in its macro trading division rose 18% year-on-year in the third quarter. [ Sajid Javid](https://www.efinancialcareers.co.uk/news/2018/04/sajid-javid-banker-home-secretary), a former CDO banker at Deutsche Bank, would replace Kwarteng as he's the only one close to Truss with any credibility in the markets. Revenues from trading spread (credit) products were down 39%.