Prime Minister Rishi Sunak has delayed next week’s Halloween fiscal statement until 17 November on his first full day on the job.
Chancellor Jeremy Hunt said it will now be a “full autumn statement”, instead of a truncated emergency plan to outline how the government will get debt falling.
The announcement caused a sell-off of long-term UK bonds, sending bond yields higher.
“I want to confirm that it will demonstrate debt falling over the medium-term, which is very important for people to understand, but it’s also extremely important that the statement is based on the most accurate possible economic forecasts and forecasts for public finances,” he said.
“I’m willing to make choices that are politically embarrassing if they’re the right thing to do for the country.”
Number 10 said in a readout of Sunak’s first cabinet meeting that “the chancellor said that he and the Prime Minister fully support the independent Bank of England in their efforts to return inflation to target”.
The Times is reporting that Sunak will go through the statement line-by-line with Hunt, after reappointing him as chancellor yesterday.
The statement was originally going to be delivered by former chancellor Kwasi Kwarteng, before he was sacked by Liz Truss just five weeks into the job.
The Treasury said this morning: “Prime Minister Rishi Sunak and chancellor Jeremy Hunt have agreed the autumn Statement will be delivered on 17 November with an Office for Budget Responsibility (OBR) forecast.
“It will contain the UK’s medium term fiscal plan to put public spending on a sustainable footing, get debt falling and restore stability.”