UK’s mounting debts unsustainable if sweeping tax cuts go ahead, warns IFS

Ahead of mini-budget, concerns mount over precarious financial position sparking run on sterling

Britain’s mounting debts will be unsustainable if the government presses ahead with sweeping tax cuts in a mini-budget on Friday, according to a taxation and spending watchdog, the Institute for Fiscal Studies.

Fuelling concerns that the UK’s precarious financial position will spark a run on the pound, the chancellor, Kwasi Kwarteng, is expected to reverse a hike in national insurance payments and cut corporation tax at a cost of £30bn to the Treasury.

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