Liz Truss and Kwasi Kwarteng are planning to cut stamp duty as the ‘rabbit’ in forthcoming mini-budget.
Britain’s new prime minister will announce plans in a bid to spur growth in the UK economy.
Reported in the Times, Truss and her new chancellor have been working on plans for over a month, before she was elected, and they will be announced formally on Friday.
The PM is said to believe cutting stamp duty, which applies to the first £125,000 of any property purchase, will help to restart the UK economy.
Whitehall sources, according to the Times, said they were the “rabbit” in the mini-budget, with other measures including a reversal of the national insurance rise, a freezing of cooperation tax, said to cost about £30bn between them.
This comes as the Office for National Statistics announced this morning the UK had borrowed £11.8bn in August, far higher than expected levels.
Speaking in New York where Liz Truss will address the United Nations General Assembly, she told TalkTV: “I’ve been very clear that as well as keeping taxes low, we need to put in place measures that are going to drive growth in the economy. And that’s my priority — we’ve had relatively low growth for several decades.”
Yesterday Liz Truss confirmed there would be no post-Brexit trade deal with the United States in the “short or medium term”, ahead of a meeting with president Joe Biden.