our economics editor faisal islam has the latest.pected and unlimited intervention by the bank of england to prevent a £1 trillion part of the plumbing of the pension system from falling over. it was a promise to buy up tens of billions of pounds of government ious, six days after the bank announcing it would do the very opposite. it led to a day of wild volatility on key markets, eventually ending up in better territory. the need for an intervention of this size tells its own story. what started as an attempt to grow the economy with the biggest tax cuts in half a century led to havoc on currency markets, more importantly on debt markets, and then within days, led to a tidal wave of interest rate rises reaching every corner of the economy. in an emergency statement, the bank of england said, "were dysfunction in this market to continue or worsen, there would be a material risk to uk financial stability. it said it was "seeking to restore market functioning and reduce any risks from contagion to credit conditions to uk households and

faisal islam, the mini budget goes forward. faisal islam. many — the mini budget goes forward.s, _ the mini budget goes forward. faisal islam, many thanks, our economics editor. as the conservatives start to gather for their annual party conference, the prime minister was interviewed by a range of local radio and television journalists, who repeatedly asked liz truss to explain her approach to the economy, and to justify the tax cuts for high earners unveiled in the mini budget last week. our political correspondent alex forsyth listened to the exchanges. the prime minister, liz truss. time to face the microphones. this morning liz truss took to the airwaves in a series of interviews on bbc local radio. and it was no easy ride. the pound has dropped to a record low, the imf has said that you should re—evaluate your policies and the bank of england has had to spend £65 billion to prop up the markets because of what they describe as a material risk. where have you been? we had to take urgent action to get our economy growing, get britain moving and also deal with inflation. on ra

faisal, thanks, faisal islam, tomorrow. faisal, thanks, faisal islam. oi — tomorrow. . faisal, thanks, faisal islam, oi economics editor. - we are told by buckingham palace that the queen has postponed her privy council meeting with senior ministers, after being advised by doctors to rest. that is what the queen's staff are saying. her majesty, who is 96 and has mobility issues, is still at balmoral castle, where she appointed liz truss as the new prime minister yesterday. that is there —— the residence in aberdeenshire. it not require a hospital stay. just to recap, the queen has postponed the privy council meeting because of advice from doctors. as the cost of living crisis hits more and more households, some schools say they have become crisis centres for struggling families. but schools are not covered by the energy price cap, and headteachers in england say they're having to make tough choices — as our correspondent ellie price reports. i love you. bye. it's bahirah�*s first day of big school, and she's got a lot on her mind. maybe not fitting in. like, being the

faisal islam, bbc news. and faisal is with me now.d in that report, the two key markets we have been watching over the past week which have been going up and down like a rollercoaster, the currency markets and the market for borrowing costs, they have settled, they've improved. but what we are seeing is the issue transferring to other types of financial market, to the stock market, and in particular the value of consumer companies in britain, whether that is the pubs industry, one company down 15%, retailers such as next and pets at home, down i2%, just today, or some of the housebuilders, down by nearly double digit percentages. so, what you are seeing is the stock market start to try and anticipate where this interest—rate shock starts to affect consumers. and i think the government was arguing, whether it was the prime minister or the chancellor, that interest rates are on the rise around the world, it is a global phenomenon, but the difference here wasjust a global phenomenon, but the difference here was just the hit in such a sma

faisal islam, bbc news.me: we'll find out how much this iconic set of wheels driven byjames bond himself, was sold for at auction. in all russia's turmoil, it has never quite come to this. president yeltsin said the day would decide the nation's destiny. the nightmare that so many people have feared for so long is playing out its final act here. russians are killing russians in front of a grandstand audience. affection from catholics throughout the world. but his departure is a tragedy for the catholic church. this man, israel's right—winger ariel sharon, visited _ the religious compound, - and that started the trouble. he wants israel alone to have sovereignty over the holy- to palestinians. after 45 years of division, germany is one. in berlin, a million germans celebrate the rebirth of europe's biggest and richest nation. this is bbc world news. the latest headlines: search and rescue efforts continue in florida in the destructive wake of hurricane ian. as russia prepares to announce the annexation of occ

faisal islam, bbc news. if you wanyt to get in touch with me, i'm on twitter — @bbckarishma.g newsday on the bbc. still to come on the programme — the long—awaited formula one race kicks off here in singapore after a two—year hiatus. in all russia's turmoil, it has never quite come to this. president yeltsin said today would decide the nation's destiny. the nightmare that so many people have feared for so long is playing out its final act here. russians are killing russians in front of a grandstand audience. it was his humility that produced affection from catholics throughout the world. but his departure is a tragedy for the catholic church. this man, israel's right—winger ariel sharon, visited the religious compound, and that started the trouble. he wants israel alone to have sovereignty over the holy sites, an idea that's unthinkable to palestinians. after 45 years of division, germany is one. in berlin, a million germans celebrated the rebirth of europe's biggest and richest nation. welcome to newsday on the bbc. i'm karishma vaswani in singapore. our headlines... preside

that was faisal islam, our economics editor.s atomic agency says there are serious tensions at the russian—held zaporizhzhia nuclear plant in ukraine, and the situation needs to be treated with immense caution. experts from the international atomic energy agency have carried out a second day of inspections after reaching the plant on thursday, and russia says it will allow two of them to maintain a permanent presence. this is what the body's chief, who was among the initial inspectors, had to say. the plant is operating, there is a professional relationship between these experts. they are all nuclear experts, so they know what they are doing, they know what they are talking about. but they are human beings, and they have sides in a war that is affecting them and their families. addressing journalists after returning to ukraine. to explain more about the risk at the nuclear plant, here's our security correspondent frank gardner, who is in zaporizhzhia. this is a major breakthrough. rafael grossi, the head of the team, has said he

faisal islam, thank you for now.rices and the cost of living is just one of the issues that has dominated the headlines this year, along with the war in ukraine of course, climate change, covid, tensions with china and politics in this country. in various ways, these stories connect. our analysis editor ros atkins is with me in the studio to look at how. jane, thank you. all the issues that you've just mentioned are important in their own right — but let's look at how this year's biggest stories connect with one another. 0ur starting point is the cost of living. this year, prices are going up sharply — this shows the rising level of inflation in the uk. and those increases connect to russia and its invasion of ukraine. that's because russia exports gas across europe. and as faisal has just explained, that supply is uncertain. faced with these doubts, prices are up. the war has affected food, too. ukraine's a major exporter of wheat — wheat prices are up 25% since last year. but russia isn't the only cause of the cost

indeed, faisal islam, thanks aaain.n gas after president putin threatened to cut off all energy supplies if such a step was taken. eu governments have accused moscow of using energy to blackmail them in retaliation for western support for ukraine following russia's invasion. 0ur russia editor steve rosenberg reports. announcement in russian. in his energy war with europe, a fresh salvo today from russia's president. vladimir putin warned, if the west does what it's threatening and imposes a price cap on russian energy exports, say goodbye europe to russian oil and gas. translation: it's an - absolutely stupid decision. we will not supply anything if it's contrary to our interests. in this case, our economic interests. we will not supply gas, oil or coal, and they are not in a position today to dictate to us. he predicted that europe would freeze like the wolf's tail froze to the ice in a russian fairy tale. speaking of freezing, this sinister music video by the russian energy giant gazprom, shows russia switching off th

faisal islam, bbc news.n published, with the cause of death given as "old age". it records that the queen died at ten past three in the afternoon of the 8th september at balmoral castle — that's three hours before the death was announced. 0ur royal correspondent nicholas witchell reports. an extract from an entry in the register of deaths, the equivalent in scotland of a death certificate. it refers to elizabeth alexandra mary windsor. her occupation is given as her majesty the queen. the document discloses that the queen died at 1510 hrs, 3:10pm on the afternoon of 8 september. for cause of death, it simply says, "old age". the disclosure of the time of death confirms that the group of family members who flew to scotland that afternoon arrived too late. the aircraft, carrying prince william, the earl and countess of wessex and prince andrew, arrived at aberdeen airport at 3:50pm, a0 minutes after the queen had died. the party travelled onto balmoral by road, arriving there just after 5pm. the duke of sussex

with me is our economics editor faisal islam. where do we stand?t has been going on in the markets, just draw the strands together for us. to in the markets, just draw the strands together for us. to give you a measure of _ strands together for us. to give you a measure of the _ strands together for us. to give you a measure of the concern, - strands together for us. to give you a measure of the concern, the - strands together for us. to give you a measure of the concern, the us l a measure of the concern, the us central bank, one of their top officials said he was concerned that the british crisis could help worsen a global recession for the us and europe. you have to see the big picture. we have been used for a decade and a half to low interest rates. many parts of the economy and many people have got used to low interest rates. what should have happened is they adjusted slowly. the fear is this brings that adjustment abruptly, like a tidal wave hitting the economy, that is because the markets are asking about the government's credibility after w

our economics editor faisal islam has more.uccessful manufacturer. but this insulation business can�*t be cushioned from falls in the value in sterling that we�*ve seen in recent days. as most of the products we use are kind of global products — plastics and aluminiums, etc — they�*re all placed in the dollar. so any drop in the pound directly increases our costs proportionately. so over the last 20, 25 years that we�*ve been running, our purchasing power for our main components is halved, making our products twice as expensive. the currency was stable today, but it remains close to historic lows. this is one of the trading desks where the credibility of britain�*s finances is up for question. i�*ve never seen a budget move the pound like this my entire career. essentially, with interest rates rising like this in the uk, it�*s going to be more expensive to fund the deficit, but the deficit keeps getting wider, especially with all the announcements we had in the budget. so this kind of doom loop, the only way out of it, really,

our economics editor faisal islam reporting.apan following the funeral of prime minister shinzo abe, the us vice president kamala harris is travelling to the south korean capital seoul. once there, she's expecting to visit the demilitarised zone separating north and south korea. tensions are high on the korean peninsula at the moment, with pyongyang firing a missile in response to large—scale naval exercises jointly held this week by the us and south korea, which resumed on monday for the first in five years. let's get a sense of some of this trip�*s key priorities with duyeon kim. she's a senior fellow at the centre for a new american security and shejoins me now from seoul. great to get you back on the programme. this is the latest visit to east asia in a series of very high profile trips from us officials. clearly this is a region of top priority for washington now, but what's kamala harris looking to get out of this trip to south korea particularly? i think vice president harris�*s trip is intended to send a message to south

faisal islam, bbc news. interesting, heh.is chief economist at the accounting and consulting firm kpmg. thanks forjoining me. it's good to see you. does this meeting suggest that the government realises now it may have got this wrong? i think it solicitous the government is trying to calm the market but doesn't necessarily suggest that they are going to change course or provide additional explanations as to how it is going to reach its objective of 2.5% growth in the medium term.— its objective of 2.5% growth in the medium term. what exactly is the point _ the medium term. what exactly is the point of _ the medium term. what exactly is the point of meeting - is the point of meeting someone, an independent watchdog, spending watchdog and forecaster, which arguably, and according to mark carney, former governor of the bank of england, that they should have done at the beginning, what's the point of meeting them now it is not gonna make any difference in the outcome? normally, when you have a budget or an announcement of additio

faisal islam is here. it is one of the _ impact? faisal islam is here.cant set of budgetary announcements in decades and it's designed as a jump—start to the economy and kwasi kwarteng's plan is massive tax cuts as you've been hearing. 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 to 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 energy scheme, £29 billion, six months more if its 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

thank you, faisal islam.heir strike action next month in their long running dispute over pay, jobs and conditions. two more strike dates have been announced by the drivers' union aslef on saturday 1st and wednesday 5th october. the rmt union says its members at network rail and 1a train operators will also strike on october 1st — meaning travel chaos for the start of the conservative party conference, and for tens of thousands of people travelling to the london marathon. here's our transport correspondent, katy austin at euston station. that's right, train strikes in recent months have already brought trains to a halt, there were more scheduled this month but they were called off following news of the queen's death. now it has been confirmed that 9000 train drivers at 12 companies, 12 train companies, who are members of the aslef union will walk out on saturday the 1st of october, that's the same day that more than 40,000 rail workers in the rmt union who work for network rail and 14 train companies will also

faisal islam is with us.y are lining up? we are hearin: a approach they are lining up? we are hearing a new _ approach they are lining up? we are hearing a new word _ approach they are lining up? we are hearing a new word being _ approach they are lining up? we are | hearing a new word being mentioned which we didn't hear from the previous government about this situation, which is the word emergency. consciously likening it to the situation around covid in march 2020. that underlines the figures simon just march 2020. that underlines the figures simonjust spoke march 2020. that underlines the figures simon just spoke about under justification for borrowing tens of billions of pounds more, which is what is coming to fund that. but the new chancellor and the new prime minister have some clear ideas on trying to promote economic growth through tax cuts, medium term, that was the first thing she mentioned in terms of her priorities in the speech. the question is, will the size of this energy package and the amoun

announce proposals tomorrow to try and deal with the soaring cost of energy. 0ur economics editor faisal islam the bank of england.... yes, just on the other side of the house of commons where we saw those scenes of the prime minister doing herfirst prime scenes of the prime minister doing her first prime minister's questions and in many ways one might argue that sorts a message we were getting was perhaps the the bigger take from today, the sense this is the biggest energy shop that uk households have a face, much bigger than the 19705. that there is nothing really that they can do to prevent a recession and blaming the up coming rece55ion, which they are now clearly predicting, and vladimir putin directly. so sort of big themes from the governor of the bank of england and his chief economist. some better news in terms of where they think there's energy package is going to land. we don't have the details yet but you can see it here in a clip from the governor of the bank of england an acknowledgement that it could have an impact on the overall rate of inflation. i do very much welcome the fac

faisal islam, bbc news.ngland's monetary policy committee between 2006 and 2011. he's now a senior adviser at the consultancy cambridge econometrics welcome to the programme. first of all, give us your take on this intervention on the bank of england. would you argue it didn't have much choice at all and had to act?— and had to act? the bank was actin: and had to act? the bank was acting under— and had to act? the bank was acting under part _ and had to act? the bank was acting under part of _ and had to act? the bank was acting under part of its - and had to act? the bank was acting under part of its remit| acting under part of its remit that deals with financial stability, ensure the financial system is stable, which is a different remit from the monetary policy remit it has. it has actually had to reverse the policy that it had of selling bonds back to the market to help contain inflation in order to undertake this emergency operation. to have a big reversal of policy like that it seems they felt it was a

faisal islam, bbc news in staffordshire. let's stay on this theme.ork in progress for the truss team as we speak. our business editor simonjack has more details. the bosses of the energy companies have been meeting this evening to thrash out the details of the plan we expect to be announced on wednesday, which as faisal were saying would be a massive government intervention, where the energy companies would borrow tens of thousands of pounds, backed by government guarantees, and use that money to reduce, lower or even freeze bills. scottishpower came up with this first and the mentioned freezing bells for this winter and next would cost £90 billion, but that doesn't include business. that is just domestic. that doesn't include business. that isjust domestic. i understand there are plans to include businesses, small businesses first, in that plan because, remember, they are coming up because, remember, they are coming up for their renewals and often they renew in october. they are comparing their bills to this time last year so they are seeing a multi

andy verity, bbc news. 0ur economics editor, faisal islam, is here.t has been volatile. slightly higher yields, it has been volatile. slightly higheryields, or it has been volatile. slightly higher yields, or effective interest rate charged to the government is what we are seeing, particularly on short—term loans to the government. they have gone up a little bit. they say the currency has kind of settled where it was so we are left in a position where things look weaker than they were before the mini budget but they have recovered from what was frankly some chaos in the markets a couple of days ago. the bank of england's extraordinary intervention is at thanks for that. and we have to wait. clearly the markets are expecting more detail from the government's growth plan. to fill out some of that detail. we are told that will come. and no further shocks, are told that will come. and no furthershocks, i are told that will come. and no further shocks, i suspect. are told that will come. and no furthershocks, isuspect. but are told that will come. and no f

faisal islam, bbc news, in staffordshire. with me now is our business editor simonjack.isters and energy bosses. yes, the big suppliers of energy are meeting as we speak with liz truss's team to flesh out plans of how to address this problem. ministers are warming to a plan suggested by energy companies that they be allowed to borrow billions of pounds backed by government guarantees and use the money to subsidise, lower or indeed freeze bills for the foreseeable future. that is happening 60 yards away from here. ministers are saying that is right, and the other bit of news is the numbers we were talking about are enormous. businesses are already seeing higher bills and that threatens the entire economy. i'm told smaller businesses will be allowed to participate in the same scheme that households will be able to enjoy, so extending this plan but that means it will inflate the number. it could be well in excess of £100 billion, but failure to do that and protect businesses could tip the economy into a very deep recession that some people think may have already started. si

faisal islam, many thanks, our economics editor there. editor chris mason at downing street tonight. how would you sum up how the leadership race has actually unfolded over the last few weeks? it has actually unfolded over the last few weeks?— has actually unfolded over the last few weeks? ., , ., ., ., few weeks? it has gone on a while, and if ou few weeks? it has gone on a while, and if you occasionally _ few weeks? it has gone on a while, and if you occasionally tilted - few weeks? it has gone on a while, and if you occasionally tilted your i and if you occasionally tilted your ears towards it during these long, hot summer weeks, you will have heard that kind of background hubbub of debate. but in essence, looking at it now, there was only one moment that really mattered, and it was the moment when liz truss decided that she would move from saying she wasn't in favour of what she described as hand—outs in a newspaper interview, and instead started saying in clearer and clearer terms, and we still await the exact detail of it, that ther

our economics editor, faisal islam is here. faisal., it has been an extraordinary difficult and tense day op markets, for the british currency, and for british debt. and thatis currency, and for british debt. and that is exemplified by the value of sterling. extraordinary thing happened, we had records good afternoon the dollar going back to the 18th century. the invention of the 18th century. the invention of the dollar, this was the lowest value of the pound reached in early trading this morning since the invention of the dollar 230 years ago. let us look at what happened just over the past few months. and you will see it going all the way down to $1.03. it recovered from that but it fell again, and that is just one of the stories of an extraordinary day in the markets today. turmoil in the markets and turmoil for britain. an early money morning plunge in the value of the pound, to depths never seen before against the dollar and a roller—coaster for the rest of the day and against other currencies too as the cost of services british

collapse in the pound and a sharp increase in the costs of government borrowing. 0ur economics editor faisal islam grow the economy with the biggest tax cuts in half a century led to havoc on currency markets, more importantly on debt markets, and then within days, led to a tidal wave of interest rate rises reaching every corner of the economy. in an emergency statement, the bank of england said, "were dysfunction in this market to continue or worsen, there would be a material risk to uk financial stability." it said it was "seeking to restore market functioning and reduce any risks from contagion to credit conditions to uk households and businesses,". this explains the intervention. since the mini budget, the effective cost of borrowing long—term for the government has shot up and was spiralling above 5%, a 20—year high. these were rises in two days that would normally take years, increasing the cost of borrowing for the government and everybody. the bank of england intervened today, buying up those debts in unlimited quantities, which brought down those interest rates, but they remain high. high

faisal islam, bbc news.. here's the uk's energy secretary. it is more environmentally friendly to use our own sources of fuel rather than to extract them from other countries and transport them here at great cost, both financially and in terms of carbon. it is something, therefore, that we need to revisit and we need to revisit the seismic limits to ensure that shale gas extraction can be done in an effective and efficient way. how does fracking really work? our former science editor, david shukman, explains. part of the operation involves drilling straight down and then turning the drill horizontally to run for miles underground. the ability to do this is improving all the time. the aim is to reach the tiny fisures in the shale rock down there. these are minute, some are less than a millimetre across. that's where molecules of gas are locked away, trapped inside. now, what's called slick water is then pumped in at high pressure, this forces the cracks in the rock to widen. tiny grains known as promptings, a

our economics editor, faisal islam, reports.facturer. but this insulation business can't be cushioned from falls in the value of sterling that we've seen in recent days. as most of the products we use are kind of global products — plastics and aluminiums, etc — they're all placed in the dollar. so any drop in the pound directly increases our costs proportionately. so over the last 20, 25 years that we've been running, our purchasing power for our main components is halved, making our products twice as expensive. the currency was stable today, but it remains close to historic lows. this is one of the trading desks where the credibility of britain's finances is up for question. i've never seen a budget move the pound like this in my entire career. essentially, with interest rates rising like this in the uk, it's going to be more expensive to fund the deficit, but the deficit keeps getting wider, especially with all the announcements we had in the budget. so this kind of doom loop, the only way out of it, really, is we've got to ta

the bbc�*s economics editor faisal islam explained more about what russian gas giant gazprom has beening. it announced that this key artery for european gas supply "has been fully shut down" after it was shut for maintenance. let me show you a map of the pipeline — and you'll see it essentially connects germany with russia, it's a symbol of germans�* traditional dependence on russian gas, a0%, up until a few months ago. and the russians claim to have found that leaks in this maintenance which was due to start tomorrow — but many in the markets and amongst the diplomats think this is a predictable escalation of an attempt to essentially blackmail europe over supplies. the timing does seem rather questionable — earlier today, g7 finance ministers, including nadhim zahawi, the uk chancellor, agreed to cap the price we pay for russian oil, the world will pay for russian oil. it seems to have an element of tit—for—tat — very serious, because even during the height of the cold war, those gas supplies from russia into europe continued. the head of the international atomic energy agency has s

our economics editor faisal islam has the latest.w the economy with the biggest tax cuts in half a century led to havoc on currency markets, more importantly on debt markets, and then within days, led to a tidal wave of interest rate rises reaching every corner of the economy. in an emergency statement, the bank of england said, "were dysfunction in this market to continue or worsen, there would be a material risk to uk financial stability." it said it was "seeking to restore market functioning and reduce any risks from contagion to credit conditions for uk households and businesses." this explains the intervention. since the mini—budget, the effective cost of borrowing long—term for the government has shot up and was spiralling above 5% — a 20—year high. these were rises in two days that would normally take years, increasing the cost of borrowing for government and everybody. the bank of england intervened today, buying up those debts in unlimited quantities, which brought down those interest rates, but they remain high. high intere

national statistics says it grew by 0.2%, after dropping by 0.6% injune. 0ur economics editor faisal islamd and there�*s now some evidence of businesses cutting back on energy use. injuly the economy did grow but by less than expected. 0verall there was no growth between may and july, but look at the figures since april. there are now concerns the uk may already be in a recession — decline essentially over six months. september�*s figure may be impacted by the extra bank holiday for the queen�*s state funeral. but the real question is what happens from here. much depends on the detail of the government�*s energy package. for a typical household, energy bills are normally around £,1000 a year, but earlier this year reached nearly £,200. 0fgem had announced it would go up to £3,519 next month, and it was forecast to surge even more, to over 5k next year. that will change — to the equivalent of £2,500 a year until 2024, after the energy price guarantee. so materially smaller, half of some of the forecasts for next year, but it is still a rise on current levels that have already caused pain to

faisal islam, bbc news. for companies when announcing help for households, but how the scheme will work, hasn't been made public. our business editor, simonjack has the latest. we have a cheese and pickle sandwich? it's not just james greenhalgh's customers who are dreading higher bills. his business is facing a six—fold increase in energy costs from next month, so he's happy help is coming. but he needs to know soon how much. we welcome a cap on energy bills. but there is no clarity on what we're actually going to get. ultimately, if we don't get the numbers and the information, the right package of support through quickly enough, i will have to consider closing one of my shots. the lease is coming to an end very soon. i don't have that information at the moment, this is people's livelihoods. my livelihood, that of my staff. businesses aren't covered by the same cap as households. any support lasts six months, rather than two years, and it may not arrive until november, though it will be backdated. james is

faisal islam, bbc news. the enemies have been handed out in los angeles. to celebrate the medium of television and remember some of tv�*s best known theme tunes. # so no—one told you life was gonna be this way... and then came oprah winfrey to set the mood. every emmy nominee tonight has been knocked down at some point, but you got back up, and that's why you're here. # i am an endangered species... fulfilling dreams became a theme of the night. sheryl lee ralph, one of the stars of the new comedy abbott elementary, was named best supporting actress. and won a stunning ovation. some of the acceptance speeches went on a bit too long. butjennifer coolidge, who was named best supporting actress for the white lotus, seized the moment. wait, hold on. 0k. it was a history—making night. netflix's hugely popular dystopian drama squid game won several awards. and the star of the series became the first person from a non—english—language show to win best actor in a drama. brett goldstein! ted lasso, the series about an american managing a british football team, was

faisal islam, bbc news.ard nothing from the prime minister since the chancellor unveiled his mini budget. but this morning — liz truss did the traditional round of interviews with bbc local radio stations that leaders do before their party conferences. 0ur political correspondent alex forsyth was listening. time to face the microphones. this morning, liz truss took to the airwaves in a series of interviews on bbc local radio. it's the first time we have heard from the prime minister since her so—called mini budget since the market turmoil followed, since the bank of england intervene. and she faced some tough questions. intervene. and she faced some tough cuestions. ~ ., , ., , intervene. and she faced some tough | questions-— we questions. where have you been? we had to take urgent _ questions. where have you been? we had to take urgent action _ questions. where have you been? we had to take urgent action to _ questions. where have you been? we had to take urgent action to get - questions. where have you be

faisal islam, our economics editor.political correspondent jonathan blake said this was a very different kind of budget to previous concervative governments. different kind of budget to previous conservative governments. a page has been turned, a line has been drawn, whichever metaphor you want to use. this is a big departure from the borisjohnson administration, before that, the theresa may government, david cameron and others. liz truss and the chancellor kwasi kwarteng today have put forward what the chancellor himself described as a new approach for a new era. now, labour and others will criticise the government as they have done, of course, saying that this is still the conservatives who have been in power for the last 12 years up to something which has been tried before and proven not to work. but there is no doubt that the truss 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 have been saying all day, but it was clearly

faisal islam reporting.eak to a markets analyst who can tell us about what's been happening in trading in london. but first, our business correspondent michelle fleury joins us from new york. michelle, statement from andrew bailey, bank of england, statement from the treasury but pretty bland. is that reassuring things this evening? is that reassuring things this evenin: ? ., ., ~' is that reassuring things this evenin: ? ., ., ~ i. is that reassuring things this evenin: ? ., ., ~' ,, ., ~ evening? look, if you take the market reaction, _ evening? look, if you take the market reaction, the _ evening? look, if you take the market reaction, the pound i evening? look, if you take the - market reaction, the pound continued to fall after these statements, it suggest that there is a degree of scepticism still in financial circles. i think the real test will come overnight. how does the town fair? i will give us a sense of how long investors are prepared to give the uk treasury and the uk bank of england in terms o

a big rise at a time when energy bills and other goods are also going up. 0ur economics editor faisal islamand his family put an offer on a new house at the weekend, expecting mortgage numbers to add up, but today he had some shock. i to add up, but today he had some shock. ., ., ., ., ., shock. i go online and i go into gooale shock. i go online and i go into google and _ shock. i go online and i go into google and look _ shock. i go online and i go into google and look for _ shock. i go online and i go into google and look for the - shock. i go online and i go into l google and look for the cheapest rate possible, and c 5.6%, at which point i go on the account calculator and see what the lending would be, at exactly the same lending as i was asking for on friday which was 1100, maybe 1200, had increased to around 1800, merely that figure.— 1800, merely that figure. the much heralded stamp _ 1800, merely that figure. the much heralded stamp duty _ 1800, merely that figure. the much heralded stamp duty cut _ 1800, merely that figure. the much i heralded stamp duty cut overshadowed by the sh

our economics editor faisal islam has the details.cade and a half, british homeowners, workers and business owners have become used to extremely low interest rates. this is now at an end. in nantwich in cheshire, the ice cream farm has benefited from investing millions at low interest rates. it's always encouraged investment, because it's always been at a low through this period of investment that we've had. this food tourism business is now having to adjust at a time when consumers have little spare cash, and costs are rocketing. wherever the base rate goes, obviously our business goes. and it can be hugely drastic to it. you know, it could actually finish the business, depending how far it gets. and i think everybody is in the same situation. the bank of england have once again put up interest rates. today, another half a percentage point rise, to 2.25%. it's back up to levels not seen since 2008, affecting the price of loans across the economy, with rates now heading back towards more normal levels seen before the iii—year low rate

our economics editor faisal islam is here — so what are we expecting?nt week for the new administration in establishing their credentials on economic management and if they get it right we should all have lower bills and also for businesses and inflation will come down and growth will be higherfor will come down and growth will be higher for longer, will come down and growth will be higherfor longer, that will come down and growth will be higher for longer, that is their target. if they get it wrong, borrowing will rise in interest rates could rise, and inflation, that could stay higher for longer, and so we have three days of big announcements and tomorrow we have the business energy plan. remember the business energy plan. remember the promise for domestic users, equivalent help would also come for businesses and that is coming tomorrow, and also insight as to where that might be for business users, they cut their energy in terms of p per kilowatt hour we are expecting a cap of about 2ip for electricity and that is about a third to lower compared to c

our economics editor faisal islam has been looking at some of the immediate pressing issues.his is the economic reality facing the new prime minister. inflation at 10% and heading higher on these official forecasts. it may even go above 15%. five or even ten times target. in the general economy is already falling and heading for a 1990s style recession, according to the bank of england. the core of it all, energy prices. in international markets having gone up incredibly and tomorrow, prices may impact the decision of russia to keep a key gas pipeline to europe shot. what does it mean in context? this shows an average household inflation—adjusted bill over the past few decades and just look at that. the key judgement, how much of that can household actually afford to pay? all of that is set against already rising government debts indeed, some signs this week that markets already seeing risks in the uk with rates for governments to borrow long—term having shut up over the past month —— shot up. it isn'tjust that, the value of the pound have fallen too, down to 6% against the u

faisal islam, bbc news.cale of undeclared emissions of greenhouse gases by the oil industry. bbc news arabic and the bbc climate and data teams have found dozens of sites involving major companies where millions of tonnes of emissions from gas flaring from oil drilling have gone unreported. the companies say its standard practice to only declare emissions where they're the official operator, even if they own the field. esme stallard reports. these oilfields in southern iraq are amongst the worst culprits for gas flaring in the world. this professor, an environmental scientist, has seen the impact if larry has had on his home. translation: when i was a child, it was really beautiful. if we keep polluting it at this rate, we will see more climate change. flaring kestelman oil companies burn the gases released from oil drilling. it wasted expensive natural resource and contributes to climate change. the five major oil companies, bp, annie, exxonmobil, chevron and shall, are committed to andrew transferring on t

insurers today, and told them he was confident his economic strategy would work. 0ur economics editor faisal islamrday and a recovery later in the day was followed by a further fall. it was 1.08 a short time ago, and a few seconds ago it was a little down on that, down on the day. some argue this is all about the strong dollar, and that has been a factor, but let�*s look at what happened in the poundin let�*s look at what happened in the pound in comparison to all of the major currencies and we can see all the way back to 1992, black wednesday, the financial crisis and fears of a no—deal brexit affecting the currency and just over there is what happened yesterday, close to another all—time low yesterday against this basket of currencies. the pound sterling has been broadly stable today but is still weak, and thatis stable today but is still weak, and that is having a real impact. in lincolnshire, will runs superfoil, a successful manufacturer. but this insulation business can�*t be cushioned from falls in the value in sterling that we�*ve seen in recent days. as most of the products we use are kin

faisal islam there, with the scale of the economic challenges facing the new prime minister.o pauljohnson from the institute for fiscal studies, who is at college green, right by parliament. paul, we are a quarter of an hour or parliament. paul, we are a quarter ofan hour orso parliament. paul, we are a quarter of an hour or so away from hearing who will be picking up the reins, and what we've been hearing from liz truss has been about her agenda of taxcutting, and more over the time has come into the mix about what she would potentially do on support for people with those energy bills, what is your view of how affordable what she has been saying is?— is your view of how affordable what she has been saying is? well, we're lookin: at she has been saying is? well, we're looking at life _ she has been saying is? well, we're looking at life think— she has been saying is? well, we're looking at life think an _ she has been saying is? well, we're looking at life think an energy - looking at life think an energy package which could easily hit £100 million. that is a staggeringly lar