this is bbc news. the headlines. a dramatic change in economic direction the biggest tax cuts in half a century in a radical bid to kick—start growth. we promise a new approach for a new era, we promised to release a enormous potential of this country. our growth plan has delivered all those promises and more, mr speaker. chancellor brought in sweeping changes but the pound tumbles following the announcement. labour condemned the plan as a dangerous risk. the prime minister and chancellor are like two desperate gamblers in a casino, chasing a losing run. for people grappling with the soaring cost

of living, what do they make of the chancellor's announcement? i'm not going to pay stamp duty. it's a _ i'm not going to pay stamp duty. it's a trickle—down budget. sometime in the _ it's a trickle—down budget. sometime in the future — it's a trickle—down budget. sometime in the future we — it's a trickle—down budget. sometime in the future we might— it's a trickle—down budget. sometime in the future we might see _ it's a trickle—down budget. sometime in the future we might see a - it's a trickle—down budget. sometime in the future we might see a benefit i in the future we might see a benefit if all goes _ in the future we might see a benefit if all goes well — in the future we might see a benefit if all goes well for— in the future we might see a benefit if all goes well for the _ in the future we might see a benefit if all goes well for the but _ in the future we might see a benefit if all goes well for the but the - if all goes well for the but the poor heed _ if all goes well for the but the poor need help _ if all goes well for the but the poor need help right- if all goes well for the but the poor need help right now. - if all goes well for the but the poor need help right now. in. if all goes well for the but the poor need help right now. in other news four areas _ poor need help right now. in other news four areas of _ poor need help right now. in other news four areas of russian - poor need help right now. in other. news four areas of russian occupied ukraine offering referendums on whether to become part of russia. calling referendums a sham. hilary mantel has died at the age of 70. foreign correspondents based in london, and outsiders view of the uk on dateline.

in a massive shake up of the uk's finances, the chancellor kwasi kwarteng has outlined a series of tax cuts and spending commitments that will cost £45 billion by 2027. the independent institute for fiscal studies has described the announcements as the biggest tax cutting budget in 50 years. the government says its policies will help boost economic growth, yesterday the bank of england warned the uk may already be in recession. but critics say funding the tax cuts will lead to unsustainable borrowing. the chancellor announced changes to income tax in england, wales and northern ireland. the basic rate will be cut from 20% to i9% in april a year earlier than planned. the top rate, which is currently 45% and is paid by anyone earning more than £150,000 a year is being abolished. this doesn't apply in scotland. there are immediate changes to stamp duty, paid when buying a property in england and northern ireland. the threshold is being raised,

meaning no tax will be paid on the first £250,000 and that figure will be £105,000 forfirst time buyers. the planned increase in corporation tax, the amount companies pay on their profits is being scrapped, so it will remain at i9%. and the cap on bankers' bonuses, which had limited them to twice someone's annual salary, is also being axed. labour says the government's plan is based on �*outdated trickle down economics'. here's our political editor, chris mason. can you afford these i tax cuts, chancellor? technically, this wasn't even a budget. in reality, inside that blue booklet were the biggest tax cuts in 50 years. i now call the chancellor. of the exchequer to make a statement, chancellor! kwasi kwarteng told mps it was all about firing up the economy. growth is not as high as it should be.

this has made it harder to pay for public services requiring taxes to rise, and we need a new approach for a new era. our aim over the medium term is to reach a trend rate of growth of 2.5%... and so rises in national insurance and corporation tax are being scrapped, and then the big reveal on income tax. right now, the very highest earners, those on £150,000 a year, pay 45p in tax for every £1 over that amount they earn, but not for much longer. they have a big tax cut coming. but i'm not going to cut the additional rate of tax today, mr speaker. i'm going to abolish it altogether. from april 23rd, we will have a single higher rate of income tax of a0%. this will simplify the tax system and make britain more competitive, it will reward enterprise and work,

it will incentivise growth, it will benefit the whole economy and the whole country... and there was more, an income tax cut for everyone. i can announce today that we will cut the basic rate of income tax to 19p in april 2023, one year early. that means a tax cut for over 31 million people in a few months time. also, an immediate cut in the property buying tax stamp duty in england and northern ireland. but some of the measures announced are not popular, including removing the cap on bankers' bonuses, so why do it? we need global banks to create jobs here, invest here, and pay taxes here in london! in london! not in paris, not in frankfurt, and not in new york. overall, this plan involves the government borrowing a massive amount of money,

a huge about turn from recent conservative instincts. rachel reeves! labour pointed out the tories have been in government since 2010. this statement is an admission of 12 years of economic failure, and now here we are, one last throw of the dice, one last claim that these ministers will be different. for all the chopping and changing, all the chaos and confusion, there has been one person there throughout — the prime minister. a new era, but they have been in government for 12 years, it stretches credibility beyond breaking point, saying that tax cuts for the rich, whopping bonuses for bankers and low corporation tax for companies will somehow re—float, magically, britain's sinking economy. will the chancellor explain how my constituents of their taxes to the

uk's constituents of their taxes to the uk's most — constituents of their taxes to the uk's most profitable companies and the wealthiest individuals will help them _ the wealthiest individuals will help them to— the wealthiest individuals will help them to get a gp appointment when they needed, give their children a better— they needed, give their children a better education and make their streets — better education and make their streets safer. the better education and make their streets safer.— better education and make their streets safer. the prime minister and chancellor _ streets safer. the prime minister and chancellor visited _ streets safer. the prime minister and chancellor visited a - streets safer. the prime minister and chancellor visited a house i streets safer. the prime minister l and chancellor visited a house built one for targeted help. i asked kwasi kwarteng if he felt he was taking a big gamble. i kwarteng if he felt he was taking a bi ramble. ., �* ., kwarteng if he felt he was taking a big gamble-— kwarteng if he felt he was taking a bi ramble. ., �* ., ., , ., big gamble. i don't get to gamble at all. what big gamble. i don't get to gamble at all- what was _ big gamble. i don't get to gamble at all. what was a _ big gamble. i don't get to gamble at all. what was a gamble _ big gamble. i don't get to gamble at all. what was a gamble mind - big gamble. i don't get to gamble at all. what was a gamble mind you i all. what was a gamble mind you was sticking to the course we had a tax system at a 70 year high. since the late 40s. that was unsustainable for that we have to have a reboot. a rethink. and what were doing is pushing gross, incentivising and actually helping people on lower incomes keep more of the money that they earn. being fair media? if you

look at what we did with the basic rate, originally kicked in and in 2024 he brought that forward to 2023. the energy intervention has also managed to help people face what was potentially a difficult winter. d0 what was potentially a difficult winter. , ., ,, what was potentially a difficult winter. i. ,, _, ., , what was potentially a difficult winter. ~ ., , , winter. do you think the economy is in recession? _ winter. do you think the economy is in recession? technically _ winter. do you think the economy is in recession? technically the - winter. do you think the economy is in recession? technically the bank. in recession? technically the bank of en . land in recession? technically the bank of england said — in recession? technically the bank of england said there _ in recession? technically the bank of england said there was - in recession? technically the bank of england said there was a - of england said there was a recession, i think it's only shallow and we can rebound. so recession, i think it's only shallow and we can rebound.— and we can rebound. so you are acknowledging there _ and we can rebound. so you are acknowledging there is - and we can rebound. so you are acknowledging there is good - and we can rebound. so you are acknowledging there is good to | and we can rebound. so you are i acknowledging there is good to be and we can rebound. so you are - acknowledging there is good to be a recession? no, i'm not acknowledging. you said shallow. i acknowledging. you said shallow. i said technically there is very little negative growth and i think these measures it can help us drive. i don't get a bleak picture. if you look at unemployment is at a 50 year low for appreciate that. if you look at some of the things were doing in our nd and science in that's very positive. there is a great story about the uk. i'm confident we've got the right policies to steer us through that. a very confident that we could actually grow the economy

and more wait—and—see. we could actually grow the economy and more wait-and-see._ and more wait-and-see. some financial statements _ and more wait-and-see. some financial statements that - and more wait-and-see. some financial statements that come and more wait-and-see. some - financial statements that come out of this can feel is a current signal and easily forgotten. this is not one of them. this is a big move by a new chancellor and a new prime minister with not long to prove that it can work. chris mason, bbc news, at westminster. the government says today's tax cuts will require an extra £12 billion of spending this year, £37 billion next year, and £38n the year after that. 0ur economics editor faisal islam has taken a look at the numbers he says the attempt to jump start the economy through huge tax cuts is one of the most significant budgetary announcements for decades. national insurance worth 17 billion in a year. corporation tax, 12 billion and rising. income tax cuts worth five billion and that higher rate tax and

scrapping two billion. that's about 45 billion in tax cuts and on top of all of that, don't forget the household energy scheme. 62 billion for a full year and the business energy scheme, £29 billion, six months more if it's extended. so, who benefits? this is the type of analysis the government says it is not very interested in. we split the country into income groups. there is a clear pattern. the assumption from government is that giving the richest section most of this money back will help the economy to grow for everybody. so there are big choices here. let's give it some historical context. let's get all the biggest tax cutting budgets, you'll note there's none on here and look at where today's announcement fits in. the biggest cut since 1972,

which independent economists do see some echoes but upfront this will help avoid a deep recession. but what then? it's designed to have a boost in activity in the economy, that's the good news. the bad news is all about demand, it's not about supply, it's not about bringing about a long—running improvement in our prosperity. what it's doing is really bringing about an artificial boom in the economy. and the bank of england is going to respond to that with higher interest rates. in the absence of officialforecasts, the markets have had their own verdict. as you've seen, some of the biggest one day hikes in the cost of government borrowing since 1991. this is the cost effectively of a five year loan to government now up above 4%. this makes it more expensive to borrow all that money for government and it makes

new fixed—rate mortgages and business lending pricier. sterling has also fallen by 3% against the dollar following the announcement. it's very unprecedented to see this kind of market reaction with the currency falling roughly 3% against the dollar and uk borrowing costs increasing exponentially, so by about 0.5% in the course of one day. that underlines that international investors have listened to the government and don't necessarily like it. for the government, the tax cuts are a down payment on a plan they hope will increase long—term growth but they are not yet the whole plan. further economic reforms and policies to address worker shortages or skills might start to help meet its growth target. the risk, however, is that the boost to the economy is temporary and high interest rates and borrowing stays high for years.

ina in a moment will be getting a verdict on the mini budget. in a moment will be getting a verdict on the mini budget. 0ur political correspondent jonathan blake is at westminster. this felt like a very different kind of conservative budget. light years away from george osborne and his austerity program. a, away from george osborne and his austerity program.— away from george osborne and his austerity program. a page has been turned, a austerity program. a page has been turned. a line _ austerity program. a page has been turned, a line has— austerity program. a page has been turned, a line has been _ austerity program. a page has been turned, a line has been drawn, - turned, a line has been drawn, whatever metaphor you want to use this is a big departure from the borisjohnson administration, the treatment may, david cameron and other. liz truss and the chancellor kwasi kwarteng today have put forward what the chancellor himself described as a new approach for a new era for the labour and others will criticise the government as they have done saying that this is still the conservatives who have beenin still the conservatives who have been in powerfor the last 12 been in power for the last 12 years, up been in power for the last 12 years, up to something which is been tried before and proven not to work. there is no doubt that the trust

administration are embarking on a very different strategy to the conservatives in the last few years. it's been called the mini budget, as we've been sitting all day but it was clearly designed for maximum impact, unapologetically, unashamedly cutting taxes to such a large degree that as we've seen. there has been a mixed reaction and some concern about what the impact of that will be overall. it's been described as a gamble. the chancellor said it's not, at the bigger gamble he said would be taking to the status quo. i think even the chancellor and the prime minister will except that the impact of these tax cuts is yet to be seen. a hope of course as we've heard the argument all day from the chancellor in the commons is that it will grow the economy to the extent it will stimulate economic activity to the extent that everyone across the board benefits. but certainly in the

short term it is something, and the measures taken together are things which will benefit disproportionately the better off than those earning less. jonathan, thank ou than those earning less. jonathan, thank you for— than those earning less. jonathan, thank you for that _ than those earning less. jonathan, thank you for that assessment. . we can now speak to carl emmerson, the deputy director of the institute for fiscal studies. it's been called a gamble, do you think it is it's a gamble that will pay off? think it is it's a gamble that will -a off? ~ think it is it's a gamble that will .a off? . . ., , think it is it's a gamble that will .a off? . ., , pay off? we certainly hope the chance to _ pay off? we certainly hope the chance to get _ pay off? we certainly hope the chance to get to _ the growth is looking for. it is not inconceivable. it could be that the government gets very lucky and that kind of growth rate just appears. it could be that over the next couple of years we see a concerted effort from government and lots of areas like planning, education to deliver more growth. but on current policy settings i fear it's more likely than not that we won't get the growth of these plans need. and what we will find in the medium term is either tax rise or spending cuts will be needed to

make these plants add up.- or spending cuts will be needed to make these plants add up. you're not that optimistic. _ make these plants add up. you're not that optimistic. we've _ make these plants add up. you're not that optimistic. we've also _ make these plants add up. you're not that optimistic. we've also got - make these plants add up. you're not that optimistic. we've also got huge i that optimistic. we've also got huge boring potentially in the markets have been pretty spooked by this. the increase in rates we've seen in the last day a pretty big. they're going to add more money to the governments get interest bill for them if you stay a half a percentage point rise it doesn't sound that great but if it's a savoury year that would add about £5 billion to the governments debt interest bill. the concern is in four or five years of the growth of the chancellor is looking for doesn't emerge that actually, these plants won't add up. unfortunately, that's the most likely scenario. we have to hope that the government is successful in its growth and implementing the kind of reforms that will make people better off across the country. some eo - le better off across the country. some --eole are better off across the country. some peeple are hit _ better off across the country. some people are bit confused _ better off across the country. some people are bit confused because we had the interest rate rises from the bank of england. that is kind of trying to cool down the economy, if you like. this looks like eating up the economy, putting a lot more

money into peoples pockets. certainly the tax cuts to go to put more money peoples pockets very quickly. that's going to benefit many but it's also going to put more money into an economy where inflation is high, with the bank of england is trying to take the money out of the economy. fiscal policy, what the chances doing in the near term is working directly with the bank is trying to do. i would be surprised if the bank of england response to this by putting up interest rates even further than what they would have done. the governments — what they would have done. the governments say this is an attempt to solve the riddle of growth, to end the vicious cycle of stagnation. what are the alternatives? if they were doing this and how do we kick—start growth? to)»: were doing this and how do we kick-start growth?— were doing this and how do we kick-start growth? tax cuts can help kick-start growth? tax cuts can help kick-start growth _ kick-start growth? tax cuts can help kick-start growth but _ kick-start growth? tax cuts can help kick-start growth but what _ kick-start growth? tax cuts can help kick-start growth but what you - kick—start growth but what you really need is proper tax strategy. you need real reform of taxes. you need to focus on education policy, training policy, looking on planning

laws, competition policy, look at how your running regulation right across the country. lots of tricky issues there lots of things we know that could improve growth by previous governments have shied away from. it remains to be seen whether this new government is going to be serious about doing those reforms that the previous governments has chosen not to do.— that the previous governments has chosen not to do. they give for that assessment- _ let's ta ke let's take a look at some of the days other news and voting has become under so—called referendums in four regions of ukraine that have been seized and occupied by russian forces. people in blue hats and done yes kevin told to vote on proposals for the region to leave ukraine and become part of russia. and its allies denounced the referendums as allies denounced the referendums as a sham. matter, the company that owns facebook defends its policies against molly russell, the 14—year—old girl who took her own

life after content onto the platform. the head of health and well being at meadow said suicide could have been posted as a user is a cry for help. 0fficials looking after the interest of victims of crime in england and wales has resigned without formal labour minister said she was quitting because of governments failures to tackle what she called catastrophic backlog of cases getting into court, which was causing she said anguish for victims. covid infections have risen by 5% and the latest set of weekly figures. it is the first on the estimated covid infections have risen since mid july but levels are much lower now than they were then. the author dame hilary mantel started is one of the greatest british writers of the century has died at the age of 70 put up she was best known for her historical novels

about the lies to neck rise and fall of cromwell. the publisher harpercollins that she died suddenly yet peacefully surrounded by close family and friends our culture editor looks back on her life. thomas cromwell is now 50 years old. same small quick eyes, the same thick set. ., , ., , ., thick set. cromwell, why are you such a- -- — thick set. cromwell, why are you such a... person? _ thick set. cromwell, why are you such a... person? thomas- thick set. cromwell, why are you - such a... person? thomas cromwell and hila such a. .. person? thomas cromwell and hilary mantel— such a. .. person? thomas cromwell and hilary mantel will— such a... person? thomas cromwell and hilary mantel will be _ such a... person? thomas cromwell and hilary mantel will be forever - and hilary mantel will be forever intertwined. the henry viii fixer became a basket weaving tv series. a tutor world of intrigue and violence that readers can feel and taste. she won the booker prize twice, the first woman to do so. kwasi hilary mantel have been writing for years until she found popular acclaim. i until she found popularacclaim. i hesitated for such a long time

before beginning to write this book. actually, for about 20 years. the ounu actually, for about 20 years. the young hilary _ actually, for about 20 years. the young hilary mantel had wanted to be a barrister but her lack of connections and the endometriosis she struggled with all her life saw her turn to writing instead. the laws loss was humanities gain. anywhere she chose her to write about _ anywhere she chose her to write about in — anywhere she chose her to write about in any character was the best that anybody could have done. she's a classic_ that anybody could have done. she's a classic writer in the footsteps of dickens _ a classic writer in the footsteps of dickens and george eliot. but she was writing in our time. she really is that— was writing in our time. she really is that important.— is that important. recognition of those talents _ is that important. recognition of those talents brought _ is that important. recognition of those talents brought hilary - is that important. recognition of i those talents brought hilary mantel a damewood for services to literature. she talked in recent years of her hopes for the future. there is so much i want to do and it'sjust a question there is so much i want to do and it's just a question of how much stamina have i got, what time of his i got left? stamina have i got, what time of his i not left? ., , stamina have i got, what time of his i otleft? ._ i got left? dame hilary mantel died from a stroke _ i got left? dame hilary mantel died from a stroke in _ i got left? dame hilary mantel died from a stroke in a _ i got left? dame hilary mantel died from a stroke in a hospital - i got left? dame hilary mantel died from a stroke in a hospital in - from a stroke in a hospital in exeter with herfamily from a stroke in a hospital in exeter with her family beside from a stroke in a hospital in

exeter with herfamily beside her. hilary mantel has died at the age of 70. half past seven at stateline london. photos let's get a full round—up of all the days sports. penguin every taken a lead in the t20 series against —— this time their opponents top after the record breaking chase yesterday for that they won by 63 runs as joe yesterday for that they won by 63 runs asjoe linsky reports. it's the third game here in four days but no one is bored here yet in karachi. 1-1 one is bored here yet in karachi. 1—1 in the series a new start out his turn. willjackson is 23 and plays for sorry where big hits are his style. 0n england debut he got 240 and felljust short. now his team would show their depths. harry burke got his firstjust team would show their depths. harry burke got his first just this team would show their depths. harry burke got his firstjust this year it already looks at home. he swung and started his way to a c1, then

docket batting with him went past 50 england made 221. so again, pakistan fazed a record chase. taking the cats just before it hit the pendants. fora cats just before it hit the pendants. for a team who got no one out yesterday but now england had a flow. pakistan last batters in karachi lost hope this time england had too many on the board. a dominant win in this series. kick off england's nations league match against italy is at 745 tonight. not long to go now. manager gareth southgate are hoping they can rediscover their form as they look to avoid relegation from the group. there without a win for them italy and the land tonight before germany come to wembley on monday for the final two matches before the world cup in qatar with the football association says england players will wear a one love rainbow armband and matches to support lgbtq plus

fans. also back in compensation to be awarded for injury or loss of life related to world cup construction projects. the life related to world cup construction projects. construction pro'ects. the people i've construction pro'ects. the people we spoken — construction pro'ects. the people we spoken to — construction projects. the people i've spoken to explain _ construction projects. the people i've spoken to explain to - construction projects. the people i've spoken to explain to me - construction projects. the people i i've spoken to explain to me human rights lawyers in particular, there is not a lot more the players in particular can do than talk about thoseissues particular can do than talk about those issues and put them on the table because in the end we're asking for a change in a country that we're respectful of, that has made a lot of progress but also, we don't have any control over. cari don't have any control over. carl lafferty has _ don't have any control over. carl lafferty has been _ don't have any control over. carl lafferty has been withdrawn from ireland's squad amidst an allegation by the scottish club into footage and it shows him making an alleged sectarian remarks was up he said yesterday they were aware of the video with the irish fa saying they won't conduct their own investigation into the matter leading into the scottish premier side. he's been withdrawn from the upcoming games in kosovo, manager

saying a back injury also played a part in why he's not available. cristiano ronaldo is being charged by the fa of the footage which look to show him knocking a phone out of a fans hand. he apologised after the incident was shared widely on social media following his manchester united side loss at everton in april. cautioned by police regarding the incident in august was up raducanu will play another grand slam winner in herfirst ta raducanu will play another grand slam winner in her first ta tour. she reached the last pending a won three matches in a row since the us open win last year. in the labour is under way in london. flay briefly interrupted by a climate change protester who came onto court during a change during tsitsipas. he recovered to beat schwartzman to give 2—0 lead. the significance of the event has grown massively since

roger federer announced he would provide its career with his final cotton curtain. he'll team up with great friend and rival ralph and adele to take on the americans in the doubles match tonight. the 20 time grand slam champion is hoping to go out in style. it’s time grand slam champion is hoping to go out in style-— to go out in style. it's been an absolute pleasure _ to go out in style. it's been an absolute pleasure for - to go out in style. it's been an absolute pleasure for me - to go out in style. it's been an absolute pleasure for me to i to go out in style. it's been an | absolute pleasure for me to be to go out in style. it's been an - absolute pleasure for me to be again on this team. so far without a lot of thought. my career has been wonderful. i can't believe it's come to this point but it's going to be a great weekend and love that you are all here and engage enjoy every moment. all here and engage en'oy every moment. �* , ., �* , ., moment. and flying england's women in economy class _ moment. and flying england's women in economy class to _ moment. and flying england's women in economy class to the _ moment. and flying england's women in economy class to the rugby - moment. and flying england's women in economy class to the rugby world l in economy class to the rugby world cup in new zealand has been described as a challenging decision by the rugby football union foot up the red roses are favoured to win the red roses are favoured to win the title which is due to take 30 hours to see them arrive on sunday at lunchtime. england's men travel business class in the 2019 world cup in japan, business class in the 2019 world cup injapan, there are a few said that because the women side is lossmaking we have to make challenging

decisions and around what we can invest in. that is all the support from us for an outfit that will have more of the bbc news channel later on. now the weather with bent rich. most parts of the uk had sunny skies albeit with one or two showers in a rather cool field to the weather. across the southeast corner this weather front has been providing outbreaks of rain and this is in no rush to clear way. some of that rain is set to continue across the far south of england especially as we go through the night. elsewhere we see clear spells. also showers across western coast in a cluster of showers pushing out of eastern scotland and down into the north east england. some parts of scotland will get cold tonight, close to freezing. mild orfurther south and east because we will have extra cloud and we will still have outbreaks of rain first thing. there is the potential for enough outbreaks of rain first thing. there is the potentialfor enough rain across parts of sussex and kent to give localised travel disruption, maybe even localised flooding.

because that rain is likely to hang around the extreme south—east corner for a good part of the day. elsewhere wanted to study spells, and most of showers across england and most of showers across england and wales, and orders many showers for northern ireland orfor scotland. quite a key north easterly breeze making it feel rather cool, 14 to 18 degrees at best. as we look ahead to sunday it does look like that rain will finally clear from the south—east corner. potentially showers left behind. sonjohn in the south, more cloud spreading into central and northern parts of the uk with heavy rain getting into the northwest of scotland by the end of the afternoon. top temperatures between 14 and 18 degrees. let me take you to the other side of the atlantic because this is hurricane fiona, which has been a major hurricane, pushing close to bermuda and is now drifting northwards. it set to bring hurricane force winds of the potential for quite a lot of disruption across the far east of canada. the strongest storm of the site that canada will have seen for

decades with up while it is not having our way it will have influence on our weather because as the remnants of the storm continue to push northwards this will help to build this area of high pressure for the around that we're going to pull some really cold air in from the north for the start of next week. temperatures will drop quite significantly, single digits in some parts of scotland, for the south has a 15 or 16 degrees at best.

hello and welcome to dateline london. i'm ben brown. we're looking at two of the week's big stories — what's happening in russia as men flee the country after president putin's call—up of reservists to fight in ukraine and his threat to use nuclear weapons, and also the british government's announcement of sweeping tax cuts — the most far—reaching for half a century.

well, i'm joined to discuss all this