Thread by @docrussjackson

Hedge-funders & disaster capitalists will crack open the champagne & make a killing from our reckless ideologically extremist Govt, as the pound plummets & investors take fright at the prospect of a surge in govt borrowing to pay for tax cuts for the rich.
theguardian.com/business/2022/…

#KamiKwasi Kwarteng's insane tax giveaway, the biggest since 1972 , “risks a confidence crisis in sterling”, & the market reaction demonstrates “a broader loss of investor confidence in the government’s approach”, reflecting the damage to Britain’s standing in global markets. 🇬🇧

“[It’s] really hard to overstate the degree to which the Kwarteng budget has just wrecked the gilt market.”

Illustrating the scale of the turmoil, five-year gilt yields had moved by the most in a single day since 1993, surpassing the Covid pandemic, the 2008 crash, & 9/11.

Almost half of the personal tax cuts in the mini-budget will go to the richest 5% of the population, with the highest gaining the most from Kwarteng’s giveaways after he cut the top rate of tax for people paid more than £150,000 from 45p to 40p.

theguardian.com/uk-news/2022/s…

The IFS said the net effect on someone earning £1m would be a £40,000-a-year gain, reversing the more progressive tax changes planned by Sunak: “Today’s measures undo much of the tax rises introduced by Johnson & Sunak, & undo all of them for the highest-income households.”

And even after the "mini budget", Britain’s poorest households risk spending almost half of their disposable income on gas & electricity bills this winter despite the government’s energy price guarantee.

#FuckTheTories

theguardian.com/business/2022/…