this is bbc news with the latest headlines: the chancellor announces he's keeping the top rate of tax for the highest earners. the u—turn comes just 2a hours after the prime minister insisted she would be sticking with the controversial tax cut. this 45p rate became a distraction and i along with the prime minister decided the best course of action would simply be not to proceed with the abolition of the rate.. the u—turn comes just twenty—four hours after the prime minister insisted she'd stick with the controversial tax cut are you absolutely committed to abolishing the 45p tax rate for the wealthiest people in the country? yes.

get on touch with me on twitter. a man is due in court this morning charged with the murder of nine—year—old olivia pratt korbel. another man is charged with assisting an offender. the king and queen consort will undertake their firstjoint public engagements today — since the end of the period of royal mourning for the queen. an investigation�*s underway after at least 125 were killed in a crush at a football match in indonesia — one of the world's worst stadium disasters. no outright winner in the brazilian election — left—wing candidate luiz inacio lula da silva and right—wingerjair bolsonaro will go to a second round run—off. the man who makes his living from doodling talks to us.

good morning. the government has this morning performed a huge—turn and abandoned its plan to scrap the 45 pence top rate of income tax. the announcement —— from chancellor kwasi kwarteng —— came just a day after the prime minister liz truss backed the policy. in a statement, mr kwarteng said the 45p tax plan had become a "huge distraction" and that the government had "listened" to people's concerns. just yesterday, the prime minister said she was �*absolutely committed' to the policy and would not abandon it. those earning more than £150,000 a year would have benefitted most, which a number of conservative mps had suggested would have been rejected when the policy came

to a vote in the house of commons. in market reaction, the pound was up against the dollar. a short time ago, the chancellor spoke to the bbc. it was clear that the 45p rate was becoming a huge distraction on what was a very strong plan, we have got energy intervention which is preventing bills going up to £6,500 next year, we are capping the average bill to £2500 which is a huge saving. we have reversed the national insurance increase, the tax increase which saves the average person £330 in the year. we have also brought forward the cuts in the 1p, 1p on the bake at basic rate.

these are strong progrowth measures, and the 45p rate was simply a and what was a good set of packages, a good set of policies and a strong package. i have said that i take responsibility for it. i have said that i have listened and i get the reaction and i have spoken to lots of people up and down the country, to constituents, to mps and councillors and other people in our political system. most importantly, i have listened to voters, and i am really convinced that the best thing to do now is not to proceed with the abolition of the 45p rate. i'd spoken to the chancellor and i'd spoken to the prime minister over the weekend and said that actually, you know, knocking on doors, it was very, very clear that this 45p issue was actually clouding out, crowding out all the other good stuff like that massive energy cap which is designed to help millions of people. i was talking to people on the

doorstep who were simply saying, look, i'm going to have to take on a second job. i have to work extra shifts. i'm so concerned about my mortgage. and my understanding now is that the money you are borrowing as a government to fund tax cuts for the people who are the wealthiest is one of the reasons why these mortgage rates are going up. so it's very, very important they acted to sever that link and that is what they are doing this morning and i strongly welcome that. we are going to get lots of reactions to this morning's. good morning. governments look at political confidence and they also look at market confidence. let's talk about the markets first of all. what has the market reaction been to the u—turn? what has the market reaction been to the u-turn? ,, . what has the market reaction been to the hum?— the u-turn? since the mini budget was delivered _ the u-turn? since the mini budget was delivered has _ the u-turn? since the mini budget was delivered has been _ the u-turn? since the mini budget was delivered has been the - was delivered has been the performance of the pound which you may remember fell dramatically

immediately after kwasi kwarteng started speaking one week ago. the pound has rallied, a bit more this morning, trading at $1.12 mark which is where it was before the mini budget. we have also seen gilt yields, the implied cost of borrowing for the government coming down a little bit, but you have to remember that today's u—turn is more political than economic at the moment. the 45p abolition of the 45p tax was very sensitive because it is a gift to the highest earners. in terms of what it cost the government, that is about £2 billion. as part of a £115 billion tax package announced in the mini budget. tax package announced in the mini buduet. , , , . , , budget. this saves the public purse about 2 billion _ budget. this saves the public purse about 2 billion p? _ budget. this saves the public purse about 2 billion p? it's— budget. this saves the public purse about 2 billion p? it's a _ budget. this saves the public purse about 2 billion p? it's a colossal- about 2 billion p? it's a colossal amount of— about 2 billion p? it's a colossal amount of money _ about 2 billion p? it's a colossal amount of money but _ about 2 billion p? it's a colossal amount of money but in - about 2 billion p? it's a colossal amount of money but in terms. about 2 billion p? it's a colossal. amount of money but in terms of about 2 billion p? it's a colossal- amount of money but in terms of what the government was going to need to borrow in order to finance its plans, it is relatively small, and

what international investors are looking at mainly is the overall cost of the tax—cutting plan, how will the government pay for it? and part of the problem with what was announced just over a week ago was that it was not costed. we did not have a list of the reforms that the government plans to put in place to help pay for this. and we did not have analysis from the for budget responsibility. the have analysis from the for budget re5ponsibility-_ have analysis from the for budget responsibility. the bulk of the cost of this is still— responsibility. the bulk of the cost of this is still there? _ responsibility. the bulk of the cost of this is still there? the _ responsibility. the bulk of the cost of this is still there? the kind - responsibility. the bulk of the cost of this is still there? the kind of. of this is still there? the kind of thins of this is still there? the kind of things that _ of this is still there? the kind of things that were _ of this is still there? the kind of things that were making - things that were making international investors very queasy are still there. what the chancellor has announced today will help resolve some of the problems within his own party, the abolition of the 45p tax band was being criticised by conservative party mps. that has gone away. the message to the markets as 0k, gone away. the message to the markets as ok, the government is starting to listen, it is starting to take responsibility, starting to listen to what is going on. but international investors will still

be looking to hear from the government what further reforms it's going to bring in, how it is going to pay for all of this, and will still be looking very careful at the size of the overall borrowing bill. in terms of the response of the bank of england vis—a—vis interest rates, does this move the metre match? it doesn't, the emergency intervention announced by the bank of england, £65 million facility which will see the bank buying uk government bonds, thatis the bank buying uk government bonds, that is still in place. that in a way as working at odds with the bank of england other policy which is to control inflation through raising interest rates. these emergency measures to remain in place. the chancellor has removed one political problem was affecting him with his own mps, but as part of the wider package, the white wider tax—cutting package, the white wider tax—cutting package and had to pay for it, as i said, there are still a lot of questions that have not been answered yet and that is what international investors will be focusing on. international investors will be focusing on— international investors will be focusing on-— international investors will be focusinaon. ., , . ., focusing on. thank you very much for

that. nick eardley _ focusing on. thank you very much for that. nick eardley joins _ focusing on. thank you very much for that. nick eardley joins us _ focusing on. thank you very much for that. nick eardley joins us from - that. nick eardleyjoins us from birmingham where the conservative party conference is happening. party conferences are supposed to be a moment of maximum unity, aren't they? especially for a new prime minister. not a time to announce big u—turns. what is the mood there this morning? u-turns. what is the mood there this mornin: ? ., ., ., , . morning? you would have expected this to be the _ morning? you would have expected this to be the climax _ morning? you would have expected this to be the climax of— morning? you would have expected this to be the climax of liz - morning? you would have expected this to be the climax of liz truss's l this to be the climax of liz truss's honeymoon. there has not been a honeymoon. there has not been a honeymoon. there has not been a honeymoon. there were two weeks of market turmoil which led many conservative mps to be really nervous. and now we have this colossal u—turn, be in no doubt about it, this is a big deal. something the government did not want to do. and has been forced into doing by tory members and tory mps here. what we saw yesterday after liz truss went on the programme and said that she totally stood by the policy, we saw a steady stream of

conservative mps come out and say, we cannot stand by cutting the 45p rate at the same time as potentially freezing benefits or at least not increasing them as much as inflation. you had michael gove come out and say it was a wrong priority. grant shapps, the former cabinet minister said he did not think these plans would get through parliament. there was a growing sense that this plan was doomed, and the government had two options, one was to face down its mps and say i am not backing down here, this is a confidence issue, you have to back me, or you will bring down the government, orto me, or you will bring down the government, or to do what the dead, and junk the policy. 0ver government, or to do what the dead, and junk the policy. over the last three hours, we have seen a huge almighty big u—turn which is a really significant moment for this government that leaves the prime minister and her chancellor battered and bruised. i minister and her chancellor battered and bruised. ~ u, minister and her chancellor battered and bruised-— and bruised. i think we can bring in some reaction _ and bruised. i think we can bring in some reaction from _ and bruised. i think we can bring in

some reaction from the _ and bruised. i think we can bring in some reaction from the former - some reaction from the former transport secretary, grant shapps. i had spoken to the chancellor and the prime _ had spoken to the chancellor and the prime minister over the weekend, knocking — prime minister over the weekend, knocking on doors, it was very, very clear_ knocking on doors, it was very, very clear that _ knocking on doors, it was very, very clear that this — knocking on doors, it was very, very clear that this 45p issue was actually— clear that this 45p issue was actually clouding out, crowding out all the _ actually clouding out, crowding out all the other good stuff like the massive — all the other good stuff like the massive energy tap which is designed to help _ massive energy tap which is designed to help millions of people. i was talking _ to help millions of people. i was talking to — to help millions of people. i was talking to people on the doorstep who are _ talking to people on the doorstep who are saying, i am going to have to take _ who are saying, i am going to have to take on — who are saying, i am going to have to take on a — who are saying, i am going to have to take on a second job, i am going to take on a second job, i am going to have _ to take on a second job, i am going to have to— to take on a second job, i am going to have to work extra shifts, i am so concerned about my mortgage, and my understanding now is that money you are _ my understanding now is that money you are borrowing as a government to fund tax _ you are borrowing as a government to fund tax cuts _ you are borrowing as a government to fund tax cuts for the people who are the wealthiest is one of the reasons why these _ the wealthiest is one of the reasons why these mortgage rates are going up why these mortgage rates are going up so _ why these mortgage rates are going up so its— why these mortgage rates are going up so it's very, very importantly acted _ up so it's very, very importantly acted to— up so it's very, very importantly acted to sever that link, and that is what _ acted to sever that link, and that is what they are doing this morning and i_ is what they are doing this morning and i strongly welcome that. where does this leave _ and i strongly welcome that. where does this leave liz _ and i strongly welcome that. where does this leave liz truss _ and i strongly welcome that. where does this leave liz truss and - and i strongly welcome that. where does this leave liz truss and kwasi | does this leave liz truss and kwasi kwarteng? the does this leave liz truss and kwasi kwarten ? . ., ., , does this leave liz truss and kwasi kwarten. ? . . ., , . kwarteng? the calculation they have made that it — kwarteng? the calculation they have made that it is _ kwarteng? the calculation they have made that it is better— kwarteng? the calculation they have made that it is better to _ kwarteng? the calculation they have made that it is better to do - kwarteng? the calculation they have made that it is better to do this - made that it is better to do this now than later and the hope is that

they will limit the damage by saying we got it wrong, we have listened, and we understand. they are hoping they will then limit the damage. but i have got to say, i am not all that certain it will work. a couple of reasons, one is that the level of opposition to this was quite significant from a couple of weeks ago, it is not something thatjust happened overnight. conservative mps are worried that it took too long to happen already. the second reason is there is criticism of other parts of there is criticism of other parts of the plan as well. we have heard from the plan as well. we have heard from the labour party this morning. seeing the government should now rethink the whole idea of cutting corporation tax. we also heard that there are many conservative mps who are worried not only about the one policy as politically damaging as it could have been, they were also worried about the whole issue of government borrowing and the idea that unfunded tax cuts for what were

behind the concerns that the markets have. this has wiped 2 billion of the borrowing but the borrowing is well over a0 billion still. it does not feel to me like this is totally as an issue, but the prime minister and the chancellor, battered and bruised as they may be, well he hoping they have managed to limit some of the damage. and, thank you very much. 0ur chief political correspondent in birmingham. he is at the conference _ correspondent in birmingham. he is at the conference and _ correspondent in birmingham. he is at the conference and birmingham. good morning to you. it is not surprising that the chancellor looked uncomfortable in the round of interviews this morning. what was the tipping point for this reverse? given that liz truss said she was absolutely committed to cutting the top rate of tax only 2a hours ago?

absolutely, the daily telegraph has an editorial today celebrating the fact that she is not for turning. 0bviously, things have moved incredibly fast over the last day. if you are looking for a tipping point, i think it is probably, you mentioned grant shapps's rebellion, more significant was the repelling of michael gove. he is properly one of michael gove. he is properly one of the most established formidable cabinet ministers of the last ten years. he has served all of the pro—ministers we have had and i think he led the opposition in the way that he did admit that the a5p tax cut was doomed. lets way that he did admit that the asp tax cut was doomed.— way that he did admit that the asp tax cut was doomed. lets talk about olitical tax cut was doomed. lets talk about political confidence _ tax cut was doomed. lets talk about political confidence and _ tax cut was doomed. lets talk about political confidence and market - political confidence and market confidence. how damaged do you think liz truss and kwasi kwarteng are by this whole episode and how much of the political capital do you think they can get back via this u—turn? 0bviously, they will be looking to see whether that is reflected in any

poll? see whether that is reflected in any oll? ., ., ., , , poll? the extent of damage depends on whether they _ poll? the extent of damage depends on whether they learned _ poll? the extent of damage depends on whether they learned the - poll? the extent of damage depends on whether they learned the real- on whether they learned the real essence of what went wrong. i think we got into a position whereby they thought the rules did not apply to them. for example, during the leadership campaign, liz truss did not give any major interview to broadcasters such as the bbc. when she won the leadership race, rather than largely appointing her own supporters but including a few rishi sunak supporters, she did not include any opponents in her top team. she thought she could announce the tax changes and the markets would put up with things they wouldn't normally put up with. and if she now recognises that the normal rules do apply to her, the political gravity is still a real thing under her premiership, then she has a chance of rescuing her time as tory leader. if she carries

on in the cavalier way that characterised those early few days of her leadership, once the mourning period for queen elizabeth was over, i think if she carries on in that way, she still has real dangers ahead for her premiership. you will know as well _ ahead for her premiership. you will know as well as _ ahead for her premiership. you will know as well as anyone _ ahead for her premiership. you will know as well as anyone that - ahead for her premiership. you will know as well as anyone that a - ahead for her premiership. you will know as well as anyone that a lot i ahead for her premiership. you will| know as well as anyone that a lot of the commentary over the last ten days since the mini budget has been about the tone and how that budget seem to get the tone wrong. this proposal to cut the top rate of tax for highest earners while there was a refusal to say whether benefits would be operated linked to inflation, something that rishi sunak had promised to do. kwasi kwarteng was asked about this this morning and he did not directly answer it. was that another mistake? i'm not against in principle cutting the top rate of income tax. i think there is a case for doing so. to

do... to cut the tax for the wealthiest at a time when you cannot make a commitment to protect people on benefits, that was the politically toxic problem for the conservative party. that is what people were telling me yesterday in birmingham, they were worried about selling on the doorstep. yes, there is still outstanding issues with what the government will do on benefits, but now the juxtaposition of that issue with the a5p tax... i think there is at least a political way forward in the way there i don't think there was 2a hours ago. so think there was 24 hours ago. so much of what the government talked about in the mini budget about their plan for growth was linked to cutting the top rate of tax, it would bring investors in and promote confidence in britain and doing business in britain, now there has been a u—turn on that, where does

that leave the growth policy? there is still the cutting _ that leave the growth policy? there is still the cutting corporation - is still the cutting corporation tax, there is still an end to the cap on bankers bonus, there is a general, we have not seen the end of this government was not growth measures, i think there may be ideas and planning reform, on energy, potentially on immigration rules, so, look, there's still plenty of the government can do to attract investors into britain. it isjust not going to be the a5p tax issue more. not going to be the 45p tax issue more. ., , ., not going to be the 45p tax issue more. . , . ., , ., more. finally, a livelier than usual conference. _ more. finally, a livelier than usual conference, not _ more. finally, a livelier than usual conference, not in _ more. finally, a livelier than usual conference, not in the _ more. finally, a livelier than usual conference, not in the way - more. finally, a livelier than usual conference, not in the way the - conference, not in the way the prime minister would want a head? ? conference, not in the way the prime minister would want a head?? i think so, but the sting has been taken out of the biggest issue that tory members were worried about, that markets were worried about. people bein: markets were worried about. people being asked — markets were worried about. people being asked about _ markets were worried about. people being asked about opinion _ markets were worried about. people being asked about opinion polls - markets were worried about. people | being asked about opinion polls were worried about. there is an opportunity never liz truss to

reassert her leadership in a way that if they say she had seen tobin live, would be much more difficult. thank you very much. good to get your thoughts this morning. lets get the reaction on this now from tony yates, former head of monetary policy strategy at the bank of england and an associate at the resolution foundation... thank you forjoining us today. what are your initial thoughts on the u—turn? it are your initial thoughts on the u-turn? , ., ., ., , are your initial thoughts on the u-turn? , .., ., , . u-turn? it is extraordinary. we need to remember— u-turn? it is extraordinary. we need to remember is _ u-turn? it is extraordinary. we need to remember is one _ u-turn? it is extraordinary. we need to remember is one of _ u-turn? it is extraordinary. we need to remember is one of your- to remember is one of your correspondence said, it is only £2 billion worth of tax cuts that has been taken back. the amount of borrowing that was being undertaken is about a5 billion. the vast majority of the unfunded tax cuts are still out there. markets will be

thinking exactly that. how are those tax cuts going to be paid for? does this reversal heralds more reversals? it would need to to close that borrowing cap and stop dates are piling up indefinitely. you think the government needs to get on as quickly as possible with explaining how the tax cuts are going to be funded and getting the 0b r to produce its forecast if it's going to steady those market nerves albeit the pounded raleigh about today? albeit the pounded raleigh about toda ? , ., albeit the pounded raleigh about toda ? , ,, , ., today? yes, i think so, we should remember— today? yes, i think so, we should remember that _ today? yes, i think so, we should remember that when _ today? yes, i think so, we should remember that when markets - today? yes, i think so, we should - remember that when markets reacted, theyjudged what remember that when markets reacted, they judged what they remember that when markets reacted, theyjudged what they knew remember that when markets reacted, they judged what they knew about the planning reform, the regulatory reform, the changes and incentives for the tax cuts, they concluded that would not ring tax revenues back and pay for the borrowing. and pay for the tax cuts themselves. those questions are still to be answered. igrate those questions are still to be answered-— those questions are still to be answered. ~ ., , , .,

answered. we saw how in response to the market reaction, _ answered. we saw how in response to the market reaction, in _ answered. we saw how in response to the market reaction, in response - answered. we saw how in response to the market reaction, in response to i the market reaction, in response to the market reaction, in response to the nervousness about unfunded borrowing, the bank of england raised interest rates and people are still very concerned about their mortgages, the affordability of mortgages, the affordability of mortgages they already have or their ability to get on the property ladder and so forth. does any of what has happened today, this u—turn, have an impact on the bank of england's current thinking on interest rates on your view? i doubt it, we are interest rates on your view? i doubt it. we are still _ interest rates on your view? i doubt it, we are still talking _ interest rates on your view? i doubt it, we are still talking about - interest rates on your view? i doubt it, we are still talking about £2 - it, we are still talking about £2 billion worth of demand out of the £a5 billion worth of demand. most of the stimulus which is what the bank of england will be expected to offset with higher interest rates are still in place. for offset with higher interest rates are still in place.— offset with higher interest rates are still in place. for people who are still in place. for people who are not sure _ are still in place. for people who are not sure about _ are still in place. for people who are not sure about what - are still in place. for people who are not sure about what their - are still in place. for people who. are not sure about what their next move is, i guess the message to get across this morning is that this u—turn on tax does not have an immediate impact on the future of interest rates? flat immediate impact on the future of interest rates?— interest rates? not very much at all. it interest rates? not very much at all- it may _ interest rates? not very much at all- it may not — interest rates? not very much at all. it may not be _ interest rates? not very much at all. it may not be the _ interest rates? not very much at all. it may not be the last - interest rates? not very much at. all. it may not be the last u-turn, all. it may not be the last u—turn, but from where we stand at the

moment, i doubt it will make a material difference to what the bank are intending to do with interest rates. and, what more would you like to see from the prime minister and the chancellor? 0bviously, to see from the prime minister and the chancellor? obviously, the chancellor is speaking later on today at the conference. his speech is hastily being _ today at the conference. his speech is hastily being rewritten _ today at the conference. his speech is hastily being rewritten no - is hastily being rewritten no doubt. would this be a key moment for him to try to bring some further stability to the situation, and, if so, what pretty safe to do that? he: either needs to explain how he will reduce government spending or he needs to explain how he will claw back more in taxes. that is what the markets are concerned with. 0bviously, markets are concerned with. obviously, there are political and distributional questions and play, i'm an economist, i am not supposed to think about those. ih i'm an economist, i am not supposed to think about those.— to think about those. in terms of the budget _ to think about those. in terms of the budget for _ to think about those. in terms of the budget for the _ to think about those. in terms of the budget for the various - the budget for the various government department, we were told prior to this announcement today that they would be asked to look at making efficiencies. do you think thatis making efficiencies. do you think that is going to make a to their budgets? will they be able to ease off a little on those efficiencies?

efficiency savings is a euphemism after the 2010 austerity, the departments are very lean, i don't think there is any genuine efficiency gains. well those spending cuts be less? yes, but they haven't reversed much of the tax cut, so it will not make that much of a difference to the pressure that is going to be put in government spending. is going to be put in government sendina. ., ., i. is going to be put in government sendina. ., . ., , spending. good to have your thoughts toda . spending. good to have your thoughts today- thank — spending. good to have your thoughts today- thank you _ spending. good to have your thoughts today. thank you very _ spending. good to have your thoughts today. thank you very much. - spending. good to have your thoughts today. thank you very much. let - spending. good to have your thoughts today. thank you very much. let me | today. thank you very much. let me bring a couple of your thoughts, i asked what you thought about the u—turn. this message says what was the government thinking not getting a mini budget checked by the 0b r are now getting the a5p abolish what was wrong in the first place? the chancellor cannot say anything about benefits that they will go up with inflation which is the point we were

just discussing. this message says this is not enough for me, the u—turn is not enough for him, i could not bring myself to vote for either of the main parties at the last election, come the next election, i will be voting for labour, something i have not done for very long time. this message says it is right not to scrap the a5p now. do keep your thoughts coming in. checking if anyone had beenin coming in. checking if anyone had been in touch, we will move on now, keep your thoughts coming into me, what do you think about this u—turn? get on touch with me on twitter. some reaction from a financial point of view, our senior market analyst. i pronounced the name of your company correctly? your thoughts

today as we have been hearing from some of our guests already, the decision to reverse the cut in the a5p rate of tax, the top rate of tax, will save the public purse about £2 billion. that is a fairly small amount in terms of the overall unfunded borrowing, the tax cuts that were announced in the mini budget ten days ago. is that going to do anything to steady the nerves of the markets? no i would say slightly. the a5 p tax rate epitomise the overall mini budget, it highlighted the fact that the focus was wrong.

and it's not necessarily going to stimulate growth in the way that the conservative party are hoping for so we need to hear a lot more information and i'm still not sure weather six or seven weeks information and i'm still not sure weather six or seven weeks is information and i'm still not sure weather six or seven weeks is going to be enough. you mentioned there were several key questions, just take us through what those are, if you would. the take us through what those are, if you would-— you would. the first question is uuite you would. the first question is quite simple. — you would. the first question is quite simple, however - you would. the first question is quite simple, however you - you would. the first question is l quite simple, however you going you would. the first question is - quite simple, however you going to front these tax cuts? having ambitions for the economy is not a bad thing, no—one is saying that they shouldn't be ambitious about they shouldn't be ambitious about the economy, and getting the economy moving is a good thing but you can't just borrow, in order to front tax

cuts, because that is going to worry the markets at the time when debt to gdp is around 100%. the other question people have is, quite simply, what are you going to do if rates begin to rise? cutting taxes and put extra money in people's pockets, if that is going to be more than offset by higher borrowing gusts and all the rest of it, then what is the point of all of this, you're making thejob what is the point of all of this, you're making the job of the what is the point of all of this, you're making thejob of the bank what is the point of all of this, you're making the job of the bank of england much more difficult, you are risking a decade of high inflation if it gets more ingrained in the economy, for no apparent benefit. so thatis economy, for no apparent benefit. so that is another question that i think the government is going to have to answer. and the third question which i think is important but probably more political, even if there is ramifications for the market, it is almost, what were you thinking? why was this not announced, why was the top rate of tax not discussed with the cabinet? so much in the markets depends on credibility, central—bank credibility, central—bank credibility, government credibility, spending credibility, all of this is really important and the way the government has acted over the last two weeks suggests that that is not important, and we have seen the response to that. 50.

important, and we have seen the response to that.— response to that. so, credibility, very strongly _ response to that. so, credibility, very strongly linked _ response to that. so, credibility, very strongly linked to _ response to that. so, credibility, i very strongly linked to transparency as well, basically level with people, to say, this is what our thinking was. and in terms of market reactions, early market reaction so far today, just take us through that, please. far today, just take us through that. please-— far today, just take us through that, please. the early market reaction has _ that, please. the early market reaction has been _ that, please. the early market reaction has been slightly - that, please. the early market - reaction has been slightly positive, we are seeing the pound trading slightly better, but this seems to be the first in a number of steps towards regaining the confidence of the markets, so the pound is trading slightly higher. interest rate expectations have been slightly pared back, we are still expecting an enormous rate hike next month, of about 1.25%, which will take the bank rate from 2.25% to 3.5%, of course that could fluctuate over the coming week to penning on what happens. it could be the first in a number of different steps towards regaining confidence, and if this moves towards genuine ways to front

these tax cuts in a way that is not going to be over inflationary and not going to be overly damaging for the economy which is extreme difficult, or u—turns on certain policies that have been announced, then we could see the pound creep higher. we could see all of those things pared back but there are so any questions to be answered, and we may not learn this over the next couple of days, but hopefully this is a first step towards restoring confidence in the uk covenant and theirfour in the bank confidence in the uk covenant and their four in the bank of england and the economy in general. thank ou ve and the economy in general. thank you very much- _ and the economy in general. thank you very much. and _ and the economy in general. thank you very much. and we _ and the economy in general. thank you very much. and we will - and the economy in general. thank you very much. and we will and - and the economy in general. thank you very much. and we will and we j you very much. and we will and we will bring you more reaction to that throughout the morning. but for now, some of the other main news. today, the king and queen consort will attend

their firstjoint public engagement, marking the end of the royal period of mourning for the late queen. the couple will visit dunfermline in fife as part of the celebrations to mark its new city status. 0ur scotland correspondent lorna gordon is in dunfermline for us. of course, the king has long prepared for this role, but now that they are out of this period of royal morning, this is a big moment for the couple? ibig morning, this is a big moment for the couple?— the couple? big moment for the coule, the couple? big moment for the couple. and _ the couple? big moment for the couple. and a — the couple? big moment for the couple, and a big _ the couple? big moment for the couple, and a big moment - the couple? big moment for the couple, and a big moment for. the couple? big moment for the i couple, and a big moment for this new city. now scotland's ancient capital of dunfermline, becoming the country's newest city, there will be a public reception in the city chambers, at the top of the street, which you mightjust be able to see. there are a couple of hundred well—wishers out at the moment. after that, well—wishers out at the moment. afterthat, king well—wishers out at the moment. after that, king charles iii and the queen consort will visit the abbey here. with me now is the reverend here. with me now is the reverend here at the abbey. this is a spectacularly, and it plays a very important role in scotland's history as well? i important role in scotland's history as well? ., important role in scotland's history as well? ~' ., , , as well? i think it does, it is uuite as well? i think it does, it is quite significant _ as well? i think it does, it is quite significant in - as well? i think it does, it is quite significant in that - as well? i think it does, it is quite significant in that this | as well? i think it does, it is i quite significant in that this has

been _ quite significant in that this has been the — quite significant in that this has been the birthplace of scottish kings. — been the birthplace of scottish kings, but also a very well— known site for _ kings, but also a very well— known site for many of the scottish royalty. _ site for many of the scottish royalty, one of many. is site for many of the scottish royalty, one of many.- site for many of the scottish royalty, one of many. is it seven of the mediaeval_ royalty, one of many. is it seven of the mediaeval monarchs? - royalty, one of many. is it seven of the mediaeval monarchs? we - royalty, one of many. is it seven ofj the mediaeval monarchs? we think royalty, one of many. is it seven of l the mediaeval monarchs? we think it is eiuht, the mediaeval monarchs? we think it is eight. the — the mediaeval monarchs? we think it is eight. the pub _ the mediaeval monarchs? we think it is eight. the pub up _ the mediaeval monarchs? we think it is eight, the pub up in _ the mediaeval monarchs? we think it is eight, the pub up in the _ the mediaeval monarchs? we think it is eight, the pub up in the town - the mediaeval monarchs? we think it is eight, the pub up in the town is - is eight, the pub up in the town is named— is eight, the pub up in the town is named the— is eight, the pub up in the town is named the seven kings, but we are fairly— named the seven kings, but we are fairly sure — named the seven kings, but we are fairly sure that is wrong. and named the seven kings, but we are fairly sure that is wrong.— fairly sure that is wrong. and of course this _ fairly sure that is wrong. and of course this is _ fairly sure that is wrong. and of course this is the _ fairly sure that is wrong. and of course this is the last _ fairly sure that is wrong. and of| course this is the last birthplace for a king in scotland, the last place that aching was born here in scotland, which was king charles iii. it scotland, which was king charles iii. ., , , , so, scotland, which was king charles lll-_ so. lots- scotland, which was king charles iii._ so, lots of- iii. it was, yes. so, lots of history. — iii. it was, yes. so, lots of history, beautiful- iii. it was, yes. so, lots of- history, beautiful architecture, and royal connections, but also connections to the king's mother is welcome of the queen? == connections to the king's mother is welcome of the queen?— welcome of the queen? -- king charles l- _ welcome of the queen? -- king charles i. yes, _ welcome of the queen? -- king charles i. yes, her _ welcome of the queen? -- king charles i. yes, her nanny - welcome of the queen? -- king charles i. yes, her nanny was i welcome of the queen? -- king i charles i. yes, her nanny was from dunfermline — charles i. yes, her nanny was from dunfermline and many people will know _ dunfermline and many people will know that the silk for her wedding dress _ know that the silk for her wedding dress was — know that the silk for her wedding dress was woven here in dunfermline. this was— dress was woven here in dunfermline. this was always slated to be a visit for prince charles, the same person visiting, albeit with a different title, this is a significant moment, isn't yes, i think it is a very special moment for the city, and i

think very special that this should be the place he chooses to come first, the city status seems to be a lovely priority for him, that he wants to be here amongst people celebrating what it is to become the new king. i know people here are very hopeful that he will perhaps as he makes his way down the street stop to talk to some of them. we saw during that period of mourning that he did talk to people who were out paying their last respects to the queen, there seems to be a wish, certainly amongst here and a sense that they feel there is a different kind of message being sent, a more familiar monarchy, perhaps? weill. kind of message being sent, a more familiar monarchy, perhaps? well, we will wait, i'm — familiar monarchy, perhaps? well, we will wait, i'm sure _ familiar monarchy, perhaps? well, we will wait, i'm sure that _ familiar monarchy, perhaps? well, we will wait, i'm sure that is _ familiar monarchy, perhaps? well, we will wait, i'm sure that is the - will wait, i'm sure that is the case, — will wait, i'm sure that is the case, it— will wait, i'm sure that is the case, it will be really exciting i think— case, it will be really exciting i think for— case, it will be really exciting i think for the people behind me, case, it will be really exciting i think forthe people behind me, but i think forthe people behind me, but ljust~~ _ think forthe people behind me, but must i_ think forthe people behind me, but ljust~~ i not— think forthe people behind me, but ijust... i not really sure what to say, _ ijust... i not really sure what to say, l'm — ijust... i not really sure what to say. l'm sure _ ijust... i not really sure what to say, i'm sure it will be a very special— say, i'm sure it will be a very special moment for them all. certainly— special moment for them all. certainly a lot of people wanting to

wish him well in this new role that he takes on, and aware of the significance of the fact that this is his first official visit, and that it is his first official visit, and thatitis is his first official visit, and that it is to dunfermline, what will it mean to the city economically, do you think? i it mean to the city economically, do ou think? ., ., it mean to the city economically, do ou think? ~ ., ., ., , you think? i think we are all hoping that city status _ you think? i think we are all hoping that city status is _ you think? i think we are all hoping that city status is a _ you think? i think we are all hoping that city status is a real— you think? i think we are all hoping that city status is a real benefit - that city status is a real benefit for the — that city status is a real benefit for the economy. i think the king coming _ for the economy. i think the king coming here is a moment to highlight dunfermline. for people to see, i hope _ dunfermline. for people to see, i hope the — dunfermline. for people to see, i hope the weather stays as nice as it is at the _ hope the weather stays as nice as it is at the moment, but for people to see it _ is at the moment, but for people to see it in _ is at the moment, but for people to see it in its — is at the moment, but for people to see it in its best liked.— see it in its best liked. because there is so _ see it in its best liked. because there is so much _ see it in its best liked. because there is so much history - see it in its best liked. because there is so much history here, | see it in its best liked. because i there is so much history here, but sometimes people don't know about it? i sometimes people don't know about it? 4' sometimes people don't know about it? ~ , ., , ., �* sometimes people don't know about it? ., it? i think people don't always realise really _ it? i think people don't always realise really even _ it? i think people don't always realise really even how- it? i think people don't always realise really even how much l it? i think people don't always - realise really even how much history there _ realise really even how much history there is— realise really even how much history there is here on this site. this site _ there is here on this site. this site here, _ there is here on this site. this site here, we will be celebrating the 950th anniversary of the priory, and that— the 950th anniversary of the priory, and that was one of the reasons we hope _ and that was one of the reasons we hope he _ and that was one of the reasons we hope he would come today, that the kin- hope he would come today, that the king would _ hope he would come today, that the king would come today, because it ain't my— king would come today, because it ain't my to— king would come today, because it ain't my to have scotland established the priory here on this site about — established the priory here on this site about 950 years ago. and established the priory here on this site about 950 years ago.- site about 950 years ago. and of course we _ site about 950 years ago. and of course we are —

site about 950 years ago. and of course we are seeing _ site about 950 years ago. and of course we are seeing young - site about 950 years ago. and of. course we are seeing young people, some guides, i think it was, very exciting for young people to be involved today as well? yes. exciting for young people to be involved today as well? yes, there is a small group — involved today as well? yes, there is a small group of— involved today as well? yes, there is a small group of youth _ is a small group of youth organisations going to be present, brownies— organisations going to be present, brownies and guides and scouting organisations, the boys brigade will be represented, in fact i think it is going — be represented, in fact i think it is going to — be represented, in fact i think it is going to be amazing because it is across— is going to be amazing because it is across the — is going to be amazing because it is across the city, a group of volunteers are gathering here to share _ volunteers are gathering here to share their story of being part of this city — share their story of being part of this ci . ., ., share their story of being part of this ci . ., ,, i. , this city. reverend, thank you very much forjoining — this city. reverend, thank you very much forjoining us _ this city. reverend, thank you very much forjoining us today. - this city. reverend, thank you very much forjoining us today. so, - this city. reverend, thank you very much forjoining us today. so, the | much forjoining us today. so, the king and the queen consort are expected here a little later, as dunfermline takes on this role as a city, becomes a scotland's eighth city, becomes a scotland's eighth city, hundreds of people gathering here just now, city, hundreds of people gathering herejust now, many city, hundreds of people gathering here just now, many of them very excited to see the new king for lorna gordon, thank you very much. time for the weather forecast now.

what is happening this morning is, there is a lot of dry weather, there are a few showers, we've also got some sunny intervals, but the rain is piling in windy by the end of the afternoon across the outer hebrides, touching gale force. this evening and overnight, the rain continues across scotland and also northern ireland, still windy, the wind picking up across england and wales, which means it is not going to be as cold as it was last night, and we are not anticipating any issues with frog or false. are not anticipating any issues with frog orfalse. we start are not anticipating any issues with frog or false. we start off dry and bright tomorrow across parts of england, but the rain already in scotland and northern ireland pushing in across northern england. —— issue with fog or fog. pushing in across northern england. —— issue with fog orfog. carol, thank you very much for that. it is

time for the sport now. what else can you say about erling haaland, as manchester city beat manchester united 6—3 yesterday. patrick from the norwegian, and i'm also also another hat—trick from phil foden, underlining how good city are at the moment and how unstoppable their star striker is proving, asjoe lynskey reports. this was the derby day in manchester that turned into a rout. united had won their last four in the league. the hope would fade on seven minutes, phil foden swept city to a lead that kept going through a striker who keeps scoring. erling haaland's firstjust crossed the line, his second was emphatic. that was his 13th of the season in just eight league games, a staggering start to his time here and to this match. for united it was

just like brentford in august, a—0 at half—time. and while some would stay to bear it, some fans just left. they missed this stunning goal back from anthony. but city hadn't finished. a hat—trick for holland in this match meant so much both to him and his dad. he now had scored a hat—trick in three home games in a row. no premier league player has done that before. soon, phil foden also had his hat—trick. 6—1. although united got two more late on, it didn't matter. their coach was asked at which point the game looked lost. the was asked at which point the game looked lost-— looked lost. the first minute. our performance _ looked lost. the first minute. our performance was _ looked lost. the first minute. our performance was not _ looked lost. the first minute. our performance was not good. - looked lost. the first minute. our performance was not good. and l looked lost. the first minute. ourj performance was not good. and it looked lost. the first minute. our- performance was not good. and it had to do with the belief, as individuals and as a team. lack of fight, spirit in the team. we were ha - fight, spirit in the team. we were happy doing _ fight, spirit in the team. we were happy doing our— fight, spirit in the team. we were happy doing ourjob. _ fight, spirit in the team. we were happy doing ourjob, and - fight, spirit in the team. we were happy doing ourjob, and always i fight, spirit in the team. we were l happy doing ourjob, and always we talk about— happy doing ourjob, and always we talk about that, how privileged we are doing — talk about that, how privileged we are doing the job that we can make

during _ are doing the job that we can make during 92— are doing the job that we can make during 92 minutes happy hour people. better— during 92 minutes happy hour people. better than— during 92 minutes happy hour people. better than that cannot be possible. this remarkable derby had seen two hat—tricks, nine goals and one clear winner. leeds and aston villa could have done with an erling haaland yesterday. there were no goals between these two, although there was another managerial departure, bruno lage has been sacked by wolves following their defeat to west ham. and despite finishing in the top half of the table last season, goals have been hard to come by in this campaign. with the t20 world cup on the horizon, england clinched a series win against pakistan yesterday after victory in the deciding t20 in lahore. dawid malan led the way with an unbeaten half—century as they posted 209—3 from their 20 overs. pakistan, though, never really got close, chris woakes taking three wickets, including the key one of barbarism. there is a series with australia to come follow by the world cup. —— the

key one of babar azam. i come follow by the world cup. -- the key one of babar azam.— key one of babar azam. i don't think we are the favourites _ key one of babar azam. i don't think we are the favourites for _ key one of babar azam. i don't think we are the favourites for the - key one of babar azam. i don't think we are the favourites for the world | we are the favourites for the world cup. if i'm being honest, i don't feel that at all, but i know we are a very dangerous team to play. and a lot of teams will feel playing us. but still, i feel like australia, india are the two favourites. mag. india are the two favourites. max verstappen _ india are the two favourites. max verstappen will _ india are the two favourites. max verstappen will have to wait until at least sunday's race injapan to retain his f1 title after he could only finish seventh at the singapore grand prix. the red bull driver had a day to forget, firstly with a poor start and then running off late on. sergio perez took the lead at the first corner and went on to claim his second win of the season ahead of the ferrari duo charles leclerc and carlos sainz. lewis hamilton could only manage ninth. charley hull ended a six year wait for a second lpga tournament win of her

career, in dallas. the englishwoman ended herfinal round on 18 under and then had a nervous wait to see if china's she ulengo could hold this pot, which would have forced a play—off, but she missed, and it meant that charley hull won by a single shot. and that is just about from me for now. you can keep up—to—date over on the bbc sport website this let's go back to our main story and that surprise announcement by the chancellor, kwasi kwarteng, this morning that the government will not press ahead with his plan to scrap the a5p top rate of income tax. this comes a day after the prime minister had said she was "absolutely committed" to the policy. mr kwarteng said the government had listened to concerns about the plan which would have benefited those earning more than £150,000 a year.

we've talked constantly about the budget, about the future, the pro—growth message, the fact that we are limiting energy price increases, an energy intervention that has been widely accepted and widely acknowledged as the right thing. find acknowledged as the right thing. and with acknowledged as the right thing. situc with regards acknowledged as the right thing. fific with regards to acknowledged as the right thing. e"ic with regards to the acknowledged as the right thing. el"ic with regards to the 45p rate, we with regards to the a5p rate, we talked to lots of colleagues and people up and down the country, i saw the reaction, i get it, and i've decided along with the prime minister not to proceed with the abolition of the weight. she minister not to proceed with the abolition of the weight. she said it was our abolition of the weight. she said it was your policy. — abolition of the weight. she said it was your policy, she _ abolition of the weight. she said it was your policy, she made - abolition of the weight. she said it was your policy, she made that. abolition of the weight. she said it i was your policy, she made that very clear yesterday, this is the chancellor's policy, if it was your policy, and it is now gone, do you consider your own position, have you considered your own position, have you considered resigning? hat considered your own position, have you considered resigning?- you considered resigning? not at all. what you considered resigning? not at all- what i _ you considered resigning? not at all. what i am _ you considered resigning? not at all. what i am looking _ you considered resigning? not at all. what i am looking at - you considered resigning? not at all. what i am looking at is - you considered resigning? not at all. what i am looking at is the i all. what i am looking at is the growth plan and delivering what is a radical plan to drive growth in this country, to reduce taxes, to put more money that people earn in their pockets. we are totally focused on

trying to get away from a high tax route to a lower tax where we can stem growth, we are 100% behind that, and this a5p rate was dimly a distraction in our mission to achieve higher growth. you distraction in our mission to achieve higher growth. you say, we aet it, we achieve higher growth. you say, we get it. we have _ achieve higher growth. you say, we get it, we have listened, _ achieve higher growth. you say, we get it, we have listened, you've - achieve higher growth. you say, we| get it, we have listened, you've now changed course, after ten days, but people were telling you this, you could have heard this ten days ago, as soon as you made that statement, there were people even on your own side saying, this is completely untenable, they are never going to get this through, why did it take you ten days, ten days of market instability, of uncertainty for households, why didn't you just come to this decision much sooner if it is now so obvious? it to this decision much sooner if it is now so obvious?— to this decision much sooner if it is now so obvious? it was about an ambitious plan. — is now so obvious? it was about an ambitious plan, and _ is now so obvious? it was about an ambitious plan, and we _ is now so obvious? it was about an ambitious plan, and we talked - is now so obvious? it was about an ambitious plan, and we talked to l ambitious plan, and we talked to lots and lots of people up and down the country, i saw the reaction, we considered what to do with it and i felt and the prime minister felt that this was just a distraction of what is a very strong package, the

energy intervention, reducing people's bills, the amount they are going to pay, the 1p cut in the basic rate, the fact that we are not going ahead with the national insurance... the wider package, john. riff insurance... the wider package, john. , , insurance... the wider package, john. , ., ., john. of course it is part of a wider package. _ john. of course it is part of a wider package, but - john. of course it is part of a wider package, but this - john. of course it is part of a | wider package, but this ozaki john. of course it is part of a - wider package, but this ozaki part wider package, but this 0zaki part of that package, it has had a huge amount of attention, and just dropping it now this morning is a massive deal, and a huge story, do you now admit that it was a mistake? what i admit was that it was a massive destruction on what was a strong package. riff massive destruction on what was a strong package-— strong package. of so, a mistake? and the energy — strong package. of so, a mistake? and the energy intervention - strong package. of so, a mistake? and the energy intervention was i strong package. of so, a mistake? and the energy intervention was a | and the energy intervention was a huge deal. they won peak at in the basic rate was also a massive deal. it gives £330 to the average person in this country. but a5p, was that now a mistake? doubling the band. duty, these were strong, positive

measures. and as i've said, a5p rate was dimly a huge distraction on what was dimly a huge distraction on what was a strong growth package and my job now is to make sure that we deliver on the growth plan. chancellor kwasi kwarteng speaking on bbc fest this morning. a man is due in court this morning charged with the murder of nine—year—old 0livia pratt korbel. another man is charged with assisting an offender. it is six weeks since 0livia pratt—korbel was killed, there was a commotion outside the front door and her mother opened it to find a man chasing another man who burst into the house, shots were fired and olivia was hit in the chest by one 0livia was hit in the chest by one bullet. she died shortly after from the injuries she received. that sparked a large police inquiry, a massive police inquiry, over 15,000 hours of police time has been spent on the investigation so far. they have brought in officers from other

police forces to help with the inquiry, because as yet, they haven't found either of the two weapons that were used in the attack. so, the police investigation continues. a number of people have been arrested during this inquiry, the latest two were two that were held last week, and that came about a week after crimestoppers offered a £200,000 reward for any information that led to the conviction of the killers. that reward has been the largest that crimestoppers has ever offered. the two men in custody who are appearing in court today, one of them is thomas cashman, 30 boy years old, from the westlb area of liverpool, that is not two miles away from where 0livia lived, he is charged with her murder and also the attempted murder of a man and 0livia's mother. another man, a0—year—old paul russell, is charged with assisting an offender. men will be appearing in court behind me later on this morning. ads,

be appearing in court behind me later on this morning.— be appearing in court behind me later on this morning. a search is bein: later on this morning. a search is being renewed — later on this morning. a search is being renewed for— later on this morning. a search is being renewed for the _ later on this morning. a search is being renewed for the remains i later on this morning. a search is being renewed for the remains ofj later on this morning. a search is i being renewed for the remains of a teenagerfrom northern ireland who was murdered and secretly buried by the ira in 1975 a search is being renewed for the remains of a teenager in 1975 of a teenager from northern ireland who was murdered and secretly buried by the ira in 1975. columba mcveigh, who was 19, is one of 16 victims who became known as the disappeared. investigators have recovered the remains of 13 people but four remain missing. brazil's presidential election is heading for a second—round run—off after no candidate won 50% of the vote. the socialist former president luiz inacio lula da silva has a8%, the right—wing incumbent jair bolsonaro won aa% of the vote. lula was tipped to win this first round outright, and when he didn't, he acknowledged he and his supporters have a lot of work to do over the next few weeks until the run—off at the end of october, but he remains optimistic.

there were cheers as well as tears for lula, but this was not the outright victory that his supporters had hoped for. polls had predicted a 1a percentage point gap between him and bolsonaro, but they had vastly underestimated the support for the right—wing leader. after the results, lula said there would be no letup in campaigning. translation: i letup in campaigning. tuna/mom- letup in campaigning. translation: ., ., ., translation: i have never won an election in the — translation: i have never won an election in the first _ translation: i have never won an election in the first round, - translation: i have never won an election in the first round, it - translation: i have never won an election in the first round, it is - election in the first round, it is like destiny wants me to work a bit more. we are going to win the election again, it'sjust more. we are going to win the election again, it's just a question of time. election again, it's 'ust a question of time. ~ ., election again, it's 'ust a question oftime. ~ . ., ., ., of time. meanwhile, bolsonaro had this to say- — this to say. translation: i this to say. translation: ~ ., , this to say. translation: ~ ., translation: i know there is a desire to change _ translation: i know there is a desire to change from _ translation: i know there is a desire to change from people, i translation: | know there is a | desire to change from people, but there _ desire to change from people, but there are — desire to change from people, but there are certain changes that will end up— there are certain changes that will end up worse, and we tried to show that during — end up worse, and we tried to show that during the campaign, but clearly— that during the campaign, but clearly that didn't get through to the most — clearly that didn't get through to the most important part of society. these _ the most important part of society. these elections were seen as the most important since brazil returned to democracy in the 1980s. 11 candidates were running but only two were realistic options. the leftist

former leader with a legacy of corruption or a far right president but is sized for his democratic record. the queues on sunday showed people cared about the outcome. this weekend, bolsonaro fans paraded their candidate ahead of what they saw as a guaranteed win. they don't believe the polls, they wanted a first round victory, too, and they won't give up their fight. i believe in democracy. _ won't give up their fight. i believe in democracy, it _ won't give up their fight. i believe in democracy, it is _ won't give up their fight. i believe in democracy, it is time _ won't give up their fight. i believe in democracy, it is time to - won't give up their fight. i believe i in democracy, it is time to change, change peacefully. translation: , ., ., change peacefully. translation: , ., translation: there is going to be beautiful blood _ translation: there is going to be beautiful blood spilled _ translation: there is going to be beautiful blood spilled in _ translation: there is going to be beautiful blood spilled in this - beautiful blood spilled in this city, — beautiful blood spilled in this city, this— beautiful blood spilled in this city, this man tells me, i am prepared _ city, this man tells me, i am prepared to kill all the socialists and communists in the world. after sunda 's and communists in the world. after sunday's results, _ and communists in the world. after sunday's results, lula _ and communists in the world. after sunday's results, lula fans - and communists in the world. he sunday's results, lula fans remain upbeat. i sunday's results, lula fans remain ubeat. ., sunday's results, lula fans remain ubeat. . ., , upbeat. i am not disappointed actually because _ upbeat. i am not disappointed actually because i _ upbeat. i am not disappointed actually because i already - upbeat. i am not disappointed - actually because i already expected that we _ actually because i already expected that we wouldn't _ actually because i already expected that we wouldn't win _ actually because i already expected that we wouldn't win at _ actually because i already expected that we wouldn't win at the - actually because i already expected that we wouldn't win at the first - that we wouldn't win at the first turn but — that we wouldn't win at the first turn but at _ that we wouldn't win at the first turn but at least _ that we wouldn't win at the first turn but at least we _ that we wouldn't win at the first turn but at least we are - turn but at least we are ahead overall— turn but at least we are ahead overall in— turn but at least we are ahead overall in results. _

turn but at least we are ahead overall in results.— turn but at least we are ahead overall in results. bolsonaro said the olls overall in results. bolsonaro said the polls are _ overall in results. bolsonaro said the polls are a — overall in results. bolsonaro said the polls are a lie, _ overall in results. bolsonaro said the polls are a lie, do _ overall in results. bolsonaro said the polls are a lie, do you - overall in results. bolsonaro said the polls are a lie, do you think i the polls are a lie, do you think that he has got a point? i the polls are a lie, do you think that he has got a point?- the polls are a lie, do you think that he has got a point? i think he will want to _ that he has got a point? i think he will want to l _ that he has got a point? i think he will want to i think _ that he has got a point? i think he will want to i think he _ that he has got a point? i think he will want to i think he will - that he has got a point? i think he will want to i think he will be - that he has got a point? i think he will want to i think he will be a - will want to i think he will be a bad loser~ _ will want to i think he will be a bad loser-— will want to i think he will be a bad loser. ~ ., .,~ ., bad loser. what you make of the result? we _ bad loser. what you make of the result? we are _ bad loser. what you make of the result? we are disappointed - bad loser. what you make of the result? we are disappointed not| bad loser. what you make of the l result? we are disappointed not to make it on the _ result? we are disappointed not to make it on the first _ result? we are disappointed not to make it on the first turn _ result? we are disappointed not to make it on the first turn but - result? we are disappointed not to make it on the first turn but we - result? we are disappointed not to| make it on the first turn but we are very happy that it is a win and we are really, really happy and the second turn is going to be lula, and we can't stand bolsonaro anymore. i am a lgbt person and we want our rights and we want our people to have our voice in this country. it is more than a victory parade, the race for the presidency is far from over. the campaigning is bound to become much more personal. two political foes now going head—to—head, to lead latin america's biggest nation. there is concern that this race could also get violent. katy watson, bbc news.

daniel gallas, al bbc brazil reporter, is here, how much of a surprise is it that the election is this close? it surprise is it that the election is this close?— this close? it was pretty surprising. _ this close? it was pretty surprising, the - this close? it was pretty surprising, the polls - this close? it was pretty i surprising, the polls were this close? it was pretty _ surprising, the polls were showing that lula was ahead by something like 1a% and in the end it was less than 5%, so, he could have outright won the election on sunday but instead we are going to this one—off vote and now it is a completely new race, because basically, bolsonaro managed to win a lot of the local elections for state governors and senate and congress elections and he will get all the support from these politicians who will now engage in this campaign, so it's a completely different game and it could be a game changer. 50 different game and it could be a game changer-— different game and it could be a game changer. so that explains a little bit of _ game changer. so that explains a little bit of the — game changer. so that explains a little bit of the why _ game changer. so that explains a little bit of the why it _ game changer. so that explains a little bit of the why it is _ game changer. so that explains a little bit of the why it is closer i little bit of the why it is closer than was expected, and now the run—off at the end of october, the second round vote, so, what will this result from the first round mean for campaigning between now and then? ~ , , ., , ., mean for campaigning between now and then? ,, ., , , then? well, this should be a contest about the problems _

then? well, this should be a contest about the problems that _ then? well, this should be a contest about the problems that brazilians l about the problems that brazilians have, which i think viewers at home will find very similar to the ones here, cost of living crisis, inflation, debt, poverty and all of these economic problems, but in the end, this is being a dispute between these two giants of brazilian politics, which are lula and bolsonaro, very different spectrums. a bit like, we werejust a bit like, we were just chatting while we were watching katie's report, a bit like in north america, bolsonaro is referred to as the trump of brazil, the same sort of political lines?— political lines? exactly, with iitolsonaro — political lines? exactly, with bolsonaro being _ political lines? exactly, with bolsonaro being this - political lines? exactly, with bolsonaro being this very i bolsonaro being this very conservative, religious figure and lula being this more progressive, left—wing, loved by the intellectuals, so, a lot of cultural wars, and the issues themselves are not being discussed thoroughly. is there a risk of political violence in the weeks ahead?— in the weeks ahead? there is a substantial _ in the weeks ahead? there is a substantial risk _ in the weeks ahead? there is a substantial risk i _ in the weeks ahead? there is a substantial risk i think- in the weeks ahead? there is a substantial risk i think of- substantial risk i think of something happening. we've been seeing these isolated episodes of neighbours and people having disputes and problems like that, but

it could escalate, i guess, if the tone of the campaign elevates in the final days and stages. bhd tone of the campaign elevates in the final days and stages.— final days and stages. and i guess one of the big _ final days and stages. and i guess one of the big question _ final days and stages. and i guess one of the big question is, - final days and stages. and i guess one of the big question is, the - final days and stages. and i guess| one of the big question is, the big, overarching questions, daniel, is, to what extent is democracy at stake here? because of bolsonaro's right—wing policies, lots of people have said that democracy is being undermined in brazil, so, is it at stake in this election? it undermined in brazil, so, is it at stake in this election?— stake in this election? it is, because _ stake in this election? it is, because bolsonaro - stake in this election? it is, because bolsonaro has- stake in this election? it is, i because bolsonaro has never stake in this election? it is, - because bolsonaro has never really fully committed to accepting the results that are coming from the vote, and he was saying that basically opinion polls were not in his favour, and now he hasn't spoken of that yesterday were not acknowledging the results of the election, but who knows what kind of movie would come up with, if he doesn't win, there is that substantial risk of him not accepting the results if they are not in his

favour ukraine has seized two villages. they raised their flag in the town in the donetsk region, after pushing russian forces out. the town had been annexed by russia the previous day. fish the town had been annexed by russia the previous day-— the previous day. an investigation is underway _ the previous day. an investigation is underway after _ the previous day. an investigation is underway after a _ the previous day. an investigation is underway after a stampede - the previous day. an investigation is underway after a stampede at l the previous day. an investigation is underway after a stampede at aj is underway after a stampede at a football stadium in indonesia killed at least 125 people. in what has been called one of the world's worst stadium disasters. the night after the tragedy, indonesian supporters returned to the kanjuruhan stadium. dozens walked around the area holding candles and chanting prayers. the night ended with a defeat to the home club.

supporters went to the pitch to express their disappointment to players and officials. and then indonesian police tear—gassed the crowd and people ran to the exit, only to find that they were closed. tonight, people gathered at the statue of the club mascot where they put flowers and candles. adit lost a friend he watched football games with, but he didn't go on that fateful day. he hopes his friend, a father of two children, will getjustice. translation: i am in shock. i thought the atmosphere at football games had been getting better. more family—friendly. behind me, people are remembering the victims of the tragedy. they pray and put candles at one of the gates that people tried to get out from but failed. cornered and desperate supporters punched a wall to try to get out. more than 100 people died.

some here on the scene and many others at the hospital. valdya baraputri, bbc news. in a tradition dating back to the 1930s, the human tower building competition in north—east spain has returned for the first time since the pandemic, as grace harbage reports. it's back, the catalan tradition in which humans literally climb on top of each other to build the tallest tower was has returned after a pause during the pandemic. the event takes place every other year in front of an enthusiastic crowd in tarragona. competitors risk broken bones to win the 16,000 euros prize. but it's more than just the money. it's about teamwork. translation: we normally train twice a week, but it's notjust _ the work of the year, it's a social activity that goes beyond making human towers and training. it's being together and, on important days like this one, we do the best we can.

the a0 teams worked tirelessly to build towers reaching the lofty heights of 13 metres. the secret to their success? having quick and nimble children scrambling to the top. translation: without kids - there wouldn't be any human towers. they are the boys and girls who have got to go to the top, they have got to co—ordinate the castles, and this is an essential part. we can't make human towers without the children. but it doesn't always and well. but it doesn't always end well. this year it was reported 13 people were taken to hospital and 71 others received medical attention. in the end, it was the team from villa franca that scooped up the top prize but no doubt the other teams are already strategising for 202a. grace harbage, bbc news.

now it's time for a look at the weather, with carol. for many of us it has been a chilly start to the day, high pressure still in charge across southern areas but it is going to change as low pressure comes in from the north. it will be wet and windy at times this week, especially on tuesday and wednesday. here is the high pressure clinging on, but low pressure coming in from the atlantic, bringing in some rain and strengthening winds. preceded by just a few showers in the west. going through the day, it will be getting that bit heavier, and the wind will be continuing to strengthen in the north. by the end of the afternoon we will be looking at gusts of up to gale force in the outer hebrides. yesterday there were some showers in northern england, some showers in northern england, some bit further south, they are the

exception rather than the rule. apart from that we are looking at bright or sunny intervals. this evening and overnight, the rain continues across scotland, more rain coming in across northern ireland, it is still going to be windy and the wind will pick up across england and wales so it is not going to be as cold as it was last night and there should not be any fog or frost. these are the fronts which are bringing the rain tomorrow, sinking southwards and weakening a bit as they come south. still a blustery wind. we start with some dry and bright weather before the rain moves in across northern england, wales and into the south—west but doesn't get into the south—east during daylight hours. hollowed by another band doing the same thing. temperatures, 1a in lerwick, 17 in belfast, 19 in cardiff and 20 in london. tuesday

night and into wednesday, it is going to be wet and windy. this is the rain pushing southwards, buy when we will be seeing large totals across parts of western scotland and also northern england and wales. gales with exposure but even in land we are looking at gusty winds. temperatures, 10—20, north to south. on thursday we start again with a lot of dry weather in the south, but there will be a lot of showers across the north and the west, some of them urging to give some longer spells of rain.

this is bbc news. these are the latest headlines in the uk and around the world. the chancellor announces he's keeping the top rate of tax for the highest earners. that's despite the fact he pledged to scrap it — in last month's mini—budget this a5p rate became a distraction and i along with the prime minister decided the best course of action would simply be not to proceed with the abolition of the rate. the u—turn comes just twenty—four hours after the prime minister insisted she'd stick with the controversial tax cut are you absolutely committed to abolishing the a5p tax rate for the wealthiest people in the country? yes. i'd love to hear your reaction to this morning's tax u—turn. get in touch with me on twitter @annitabbc and use

the #bbcyourquestions