— liz truss blowing up the economy? liz truss blowing up the econom ? ., , ., , , economy?story here is that the government _ economy? the real story here is that the government set - economy? the real story here is that the government set in - economy? the real story here is that the government set in the l that the government set in the general election they had no intention ofjacking up taxes, they done the opposite and put taxes onto businesses through the national insurance changes, that has led to an economic slowdown. be talked down the economy as soon as they came into office, that is damp the animal's spirits. we have now seen a fiscal splurge was selling out in the first two years, pushing up inflationary pressures, meaning interest rates being higherfor rates being higher for mortgages rates being higherfor mortgages costing more. and we are seeing unemployment rising and we are now seeing in the last five or six days, the markets are beginning to lose confidence in this government's's economic plan. that is because they are not delivering growth and taking all t

having flashbacks to liz truss and to the budget.saw the pressure on the pound, those dynamics suggesting the fed is turning sour on u.k. assets. what is rachel reeves to do? >> let me give you the big picture, the labour party really contrasted themselves with the conservatives by saying remember the specter of liz truss? rachel reed has put herself in a straitjacket, she said there will be no more tax rises, no austerity, one physical event in gear and she will stick to her fiscal rules of only borrowing to invest. she has really box herself in here. this is high risk because at the october budget she left herself a big margin for error, really relying with a hope and a prayer that the economy was going to grow. we know that growth has been in the doldrums, so then after the budget, she sat down and had the yield spike and pretty much the headroom was evaporating. now we've got the global bond rout and she is really boxed in. so what is she going to do? she tried to calm the market yesterday, she's off to beijing at the weekend. th

i want to go back to what torsten slok was referencing, this truth -- this liz truss moment. causing general mayhem for investors and other asset classes. we saw this in the u.k. do you see this as a possibility of the u.s. or is this an out of consensus call? ira: if you're going to have any kind of liz truss moment, something has to break in terms of the funding markets. what happened in the uk's unique because of the leverage involved. in the u.s., we would look much different. that said, people will start thinking about repricing bonds if we wind up with a budget deficit that is significantly higher than what we currently have. how much higher and how much will they go? it depends on what the sustainability of that growth of budget deficits is. people steal father treasuries -- still fought the treasuries. there is always a need for them. yeah. it will not look like what happened in the u.k. but people might start avoiding u.s. debt a little bit if budget deficits are not approved. scarlet: let's talk about the 10-year bond option, the reopening. is creating an existing 1

jonathan: here is a liz truss moment.ending a cease-and-desist letter. as we get something that rhymes somewhat with a liz truss moment. jonathan: the global bond market will be focused on one data point tomorrow morning. payrolls friday. 165k, the mid-an estimate in our survey. the previous number is 227. i think that the polish authorities are doing that. a downside surprise. lisa: i've been thinking a lot about this. would it be something positive for the risk assets in the u.s. and you can get a downside surprise, maybe a treasury market that a lot of people are expecting. on one hand you take some of the pressure off from yield. on the flipside, there is this issue that if you have weaker growth, what is the argument to keep going into stocks with elevated valuations at a time when we still haven't left inflation behind? jonathan: equity futures down by a little more than 1/10 of 1% on the s&p. coming up, we will catch up with greg boutle, craig moffett, and jonathan pingle with the most accurate forecaster of payrol

freya: yeah, the budget is different from the -- from the liz truss budget.ll be inflationary because of national insurance contributions. what was done was to change rules to preserve the ability to invest, in fact turning to negative shocks it's the and ability at the supply side to respond to demands that creates the correlation, think of it as the hedging of the bond market is -- is reduced because inflation is coming into the system destroying -- destroying demand. everything is going in -- in -- in -- in the wrong direction. it should be a for preventing term premium, it's a little bit psychological. tom: market pricing in fewer than two cuts from the bank of england through this -- through this year. you see that is hawkish? freya: we should listen and the inflation is not systemic, the way in which we differ from the boe is inflation is a solution requiring rebalancing through immigration or other means so the -- the -- the inflation should work its way through -- through the system and in -- in -- in that medium is -- is -- is the wrong kind of infla

global investors were horrified by liz truss's kamikaze budget.ration was left out of control and there was a botched merger of this department under borisjohnson. and political gridlock under theresa may, and this undermined the negotiating ability that most of the world considers to be brilliant at. and of course our armed forces were damaged after david cameron plasma cuts. and the fcd oh was rudderless with seven foreign secretaries in seven years. second — we have to accept that there is no going back, we must stop there is no going back, we must stop the 1990s clouding our vision, the post cold war peace as well and truly over. this is a changed strategic environment. the number of conflicts higher than at any time since 1945, the spectre of famine from gaza to sudan and most refugees and displaced people on record. i have occasionally asked on my travels here and on the doorstep of the country, when will the kremlin threat, this upheaval we are experiencing end? when will things get back to normal? my answer is that they will not. europe's

that plus the rise in long-term borrowing costs have drawn these comparisons to liz truss so orderlynot quite the language being used on the trading floor. you have citigroup jokes swirling that it is the great british peso. wells fargo saying there's room for the pound to drop even further. to be fair, sarah bredon at the bank of england also used the word orderly. that suggests to me the bank is hesitant to wade into this but economists say the bank of england will have no choice but to slow rate cuts even if growth is weak and you see that reflected in the market pricing so they are only pricing in two quarter-point cuts this year even though andrew bailey signaled a four would be coming >> so pairing those expectations around the bank of england and rate cuts even as growth stagnates in the u.k.. will we get a growth rift -- growth lift from our relationship with china? what is rachel reeves hoping to achieve? >> the prime minister's spokesman was asked did she think about suspending the trip and it was not considered being and had given -- being and had been in the diary for so

with liz truss in the mini budget. markets will react if they think you are likely to accelerate inflation. you will see that in interest rates, movements, spreads, and so forth. i don't have the nt is the right word, but i do think it's a right way to attribute policy when you think about inflation. investors and traders will be walking -- watching for heightened inflation risk if they decide the trump republican policies are likely to push inflation up. scarlet: do you see the 10 year going up as t. rowe price has warned? stephanie: anything is possible, but i'm not looking to see that sharp of a movement. scarlet: stephanie, always appreciate you joining us, thank you for coming into the studio. stephanie kelton, stony brook or. coming up, new alternative to cable after fumo in disney announced they would combine live tv business sees -- businesses. this is bloomberg. ♪ so, what are you thinking? i'm thinking... (speaking to self) about our honeymoon. what about africa? safari? hot air balloon ride? swim with elepha

mason, i heard earlier today saying that the report came out around the time the government, the liz trussen everybody was focusing on the little drama over here. do you think that's part of it, that people feel that it was brushed under the carpet or maybe the media did not give it enough prominence? i media did not give it enough prominence?— media did not give it enough rominence? “ �* , prominence? i think you're very riaht to prominence? i think you're very right to raise — prominence? i think you're very right to raise that. _ prominence? i think you're very right to raise that. i _ prominence? i think you're very right to raise that. i always - right to raise that. i always find when i talk to constituents and friends is they just want the lot to be able to act without fear or favour, and for us to have a fair society, and i think that people don't feel that there is fairness around this, because in the case of rather room, there were cases of survivors just trying to report what was happening and being ignored and turned away, and that really riles people up —— rotherham. again, in

and mel stride, the shadow chancellor, said that the previous governments, liz truss and rishi sunaks happening now and labour is dealing with. this is what he said. the first thing they did when they came into office was to talk the economy down in order to pitch roll, for reneging on the promises they made, particularly on tax and spending during the general election. they then ramped up all these taxes on business, which has had the consequences that i've set out. they're borrowing huge amounts of money, some of which is inflationary. and we're now in a position, as i say, where the cost and rishi sunak and what they did on the economy could not be blamed for what is happening now and labour is dealing with. this is what he said. the first thing they did when they came into office was to talk the economy down in order to pitch roll, for reneging on the promises they made, particularly on tax and spending during the general election. they then ramped up all these taxes on business, which has had the consequences that i've set out. they're borrowing huge amounts of money, some of wh

obviously we are not where we were when we saw the reaction in the market with liz truss in 2022 butis a lot of comparisons being drawn and i think it is fair to say that we are not at the same level but there is a level of concern and that is being reflected. there are a few months to go but the government will need to think about moving and acting in order to calm the market. part ofthe order to calm the market. part of the problem _ order to calm the market. part of the problem as _ order to calm the market. part of the problem as well - order to calm the market. part of the problem as well as the fact that the bank of england is reluctant to reduce interest rates because inflation is proving to be pretty sticky which is what we are seeing in the united states. and that does not help roof —— boost growth either or alleviate the cost of borrowing does it? it is a difficult situation where, as you said, inflation started to cool and cooled relatively quickly, we got down to about 2% but it has since been revived and service sector inflation in the uk, that is the dominant part of th

my chancellor, said that the previous government, liz truss and rishi sunak, what they did to the economyy cannot be blamed. , , blamed. the first thing they did when they _ blamed. the first thing they did when they came - blamed. the first thing they did when they came into - blamed. the first thing they i did when they came into office what _ did when they came into office what it— did when they came into office what it all_ did when they came into office what it all the _ did when they came into office what it all the economy - what it all the economy down, in order— what it all the economy down, in order to pitch row to - what it all the economy down, in order to pitch row to enable the promises _ in order to pitch row to enable the promises they— in order to pitch row to enable the promises they made - in order to pitch row to enable the promises they made on. in order to pitch row to enable i the promises they made on tax and spending _ the promises they made on tax and spending during _ the promises they made on tax and spending during the - the promises they made on taxl and spen

put to him that part of this was the inheritance this government is having to deal with from the liz truss ago and rishi sunak�*s government. this is what he said in response to that criticism. the first thing we did in the government— the first thing we did in the government was— the first thing we did in the government was to - the first thing we did in the government was to talk - the first thing we did in the government was to talk the economy— government was to talk the economy down,. _ government was to talk the economy down,. they- government was to talk the economy down,. they then | government was to talk the - economy down,. they then ramped up economy down,. they then ramped up all— economy down,. they then ramped up all these — economy down,. they then ramped up all these taxes _ economy down,. they then ramped up all these taxes on _ economy down,. they then ramped up all these taxes on business - up all these taxes on business which — up all these taxes on business which has _ up all these taxes on business which has had _ up all these taxes on business which has had the _ up

there is an argument, this liz truss 2, that's a political argument. correct., to the bond market insiders, they say there's a downer in the bond markets for everyone�*s debt, thanks very much indeed, including the uk. it's pinned on, actually, the situation where good news is bad news. there's growth in the united states. in thejobs market, meaning the outlook for cutting interest rates has changed, and it looks like interest rates could stay higher for longer. that has an almost automatic effect on selling debt because competitively, you get the same rate if you'rejust leaving your money in a bank. so basically speaking, the big brains of bonds would say that this — the uk's caught up in a debt change, changing view on debt. but the uk does have its own structural problems, including stubborn inflation. the outlook for interest rates here is also changed a bit. and, crucially, the cost of servicing the uk debt is going up, which takes away rachel reeves�*s fiscal headroom, which means she might have no money, or to too little money and have to raise more. and

business confidence has dropped to its lowest level since liz truss's miniature budget more than twoey. in the majority of firms expect prices to increase as they pass on higher taxes -- taxes and a jump in the minimum wage. the lobby says business conditions are weak and more firms have slowed investments than accelerated it. and joe biden is set to ban new offshore oil and gas development across some 625 million acres of u.s. coastal territory. the move is designed to protect coastal waters in the communities that depend on them from fossil fuel development and the risk of oil spills. bloomberg understands biden is keeping the door open for new oil and gas leasing in the central and western portions of the gulf of mexico. shares of nippon steel are falling after joe biden blocked a planned takeover of u.s. steel siding a threat to national security. let's bring in kriti gupta. not unexpected, the decision from biden. what is next? >> this used to be the world's first million-dollar company that helps with the war effort in europe way back in the day. this is considered a company th

there is talk that we could have a liz truss moment.robability. what are we looking at with regard to inflation? expectations are at 2.5%. i think inflation will be demand driven. i just do not see enough demand. one of the things we are looking at is how the market reacts to price and one of the things we were always talking about is it is about supply and demand. what we saw during earnings season is the market is rewarding buying growth over price and if that continues to could cause reaction function to limit inflation. lisa: people are worry less about a liz truss moment and have confidence about scott bessent maybe tamping down that possibility and more worried about the strong dollar impeding earnings. how much are you worried about the international companies who are going to see a bigger hit and domestically oriented companies doing better on a relative basis? chris: we are not looking at that for idiosyncratic reasons. that is a big risk factor if we go back to the summer. if you go back to september of 2022, you saw with the

that was what liz truss did in that led to huge uncertainty.e required the markets and the politicians themselves to call for the end of that leadership. this time around is not exactly self-inflicted. there is global factors driving the latest breach in fiscal rules. it is difficult for replacement of leader schmidt -- leadership in the labour party. the tories can get rid of their leaders by a vote of no-confidence. labour does not have the same function. it is not self-inflicted. it is not their fault that u.s. is selling off. i think they hang on and by march they are hoping for the best. hoping u.s. labor data slows down, that global rates rally and the natural gas story gets better. it is a big hope and hope is not a strategy. jonathan: it is worth debating. are you saying if the chancellor had not come into this job and had not got around to saying there's a massive black hole and did not give away billions of sterling to public-sector workers to give them a pay increase and a bring back the old mood music of tax-and-spend and tax-and-sp

there are unfunded tax cuts that are familiar to uk listeners with what happens under liz truss and howhat all ended and how it will be funded and the bond market is telling us at the long end of the curve it will be a lot more issuance for headwind for treasuries. >> i want to talk issuance and before we get there, i want a call from you. will we test that 5% level >> is there there is a risk in market that we could test that level. we would prefer to be exposed to tips and inflation linked treasuries in the u.s. because of the concerns, the potential for upside surprise to inflation in the u.s in the uk, we think the outlook is much better not only because the outlook is different, but inflation which has been sticky in the u.s. and uk, we think there is room for inflation to surprise to the downside in the uk because it has been are driven by services that services inflation has been driven by wages. when you look at the jobs market which ultimately is going to dictate where wages are, it does show signs of material calling in the uk. anecdotally, we have seen the ceo from reed sayin

long end of the yield curve from going much higher, if you remember, something bad happened to to liz trussn the u.k. when long-term interest rates start ad to to go up rapidly. so this is a little bit of three card month ety, in my opinion, by janet yellen -- stuart: she rigged it. >> absolutely. stuart: she rigged the yield curve. >> yes. stuart: okay. i want to talk to you about nvidia. they've got new chips. you're telling me that they are three times the performance for the same price. is this the blackwell chip we're talking about? >> yes. stuart: or something else? >> yes. so everyone -- the main headlines i took away from jensen huang's speech at ces was this new laptop that was coming out. to me, that was a side show. what i took away from it was the amount of compute, the amount of power. if you think of it like a car, the v8, v12 the engine needed to create the large language molds is going to increase on an exponential basis. you can get three times the amount of compute or power, or you could spend a third of the money and get the exact same power that you were getting a year a

annmarie: what does that liz truss moment look like in the u.s.? there is still significant budget deficits and we have significant issues with t-bills outstanding and short dated and need to be rolled over, we still have qt, and on top of that if we have new fiscal deficit spending at a number bigger than with the market is expecting, it raises the plitye might have some situation with the markets say that a lot of treasury issues. we have had discussions every day when we have a treasury auction around the metrics on the auctions and what are the numbers tell you in terms of the overall fiscal sustainability? jay powell keeps pointing that out that it is unsustainable. jonathan: you wrote about a closing out 2024. the risk of a 2022 repeat, how great is that risk? torsten: much higher than what the probability is signed by the market. the 60/40 portfolio underperformed. rates went up and inflation was going up and at the same time stocks went down. now the nike solution -- swoosh has been flattened out. we have a few cuts priced in. imagine this

lisa: they are the creator of the liz truss moment being hung over the heads of all sorts of bond vigilantesovernment officials grappling with deficit spending. a question here, and you asked earlier, how much does higher u.s. yield suck the oxygen out of the room for countries that don't have the same fiscal dominance the u.s. on the dollar seem to have? jonathan: euro-dollar, 102.97. down on the session by .4%. dollar strength making a comeback on the session this morning with bond yields pushing higher. lisa: people are pushing back. how soon they think the fed can really cut rates has to do with the fact that given the inflationary impulse, the first rate cut have 2025 could come in july rather than june. that's according to market pricing. where else are you going to go? that is what is hanging over the market. jonathan: gold or bitcoin. there's not a lot of alternatives outside the u.s. dollar. donald trump escalating threats against canada, greenland and panama, refusing to rollout using military or economic coercion to expand u.s. influence over the countries, including high-level ta

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former prime minister liz truss has taken legal action today against sir keir starmer, demanding thatops claiming that she crashed the economy in a cease and desist letter seen by the telegraph. truss's lawyers argue the statement is false and defamatory, and suggests that it hurt her chances of re—election. the dispute focuses on the aftermath of truss's mini—budget in september 2022, which caused market turmoil, but her team say didn't lead to an economic crash. they highlight a report stating the economy, they say, actually grew faster after the mini—budget. truss is now demanding that sir keir starmer stops repeating the claim or face further legal action. farmers are voicing their frustrations and protesting outside this week's oxford farming conference, with the government facing mounting criticism over their policies. concerns are growing about tax changes and a lack of support, with many in the agricultural community saying they feel overlooked. in his speech to the conference earlier, the environment secretary, steve reed, unveiled labour's long term vision, including a 25 ye

is it to the catastrophe that was liz truss's premiership?what you've just illustrated is precisely what we are determined to break. now. what rachel reeves did in that budget was a budget for the future. it was a budget for the future. it was a budget that fixed the foundations. now we have also invested. we are investing in those high growth sectors of digital, ai, health, technology, climate, technology, which we can then develop and sell around the world. and we have increased our r&d budget as a country by 8.5%. we are laying the foundations for growth in the key areas of our economy that aren't just rooted in the past, but will create sustainable jobs into the future, exciting jobs into the future, exciting jobs into the future, exciting jobs into the future. and just bear into the future. and just bear in mind that tomorrow, when we launch and the prime minister launches the ai action plan, it will have a whole raft of measures that will get our country facing the future. and the investment you see in things like data centres, these ar

how many times did we hear her say that liz truss crashed the economy, crashed the economy, and thenhey ran away and they've left it to the new labour government to fix the mess that they've created. >> i will never play fast and loose with the public finances. liz truss's mini—budget the conservatives mini—budget crashed, the economy sent mortgage rates spiralling and put pensions in peril. i will never play fast and loose with the public finances because when you do so, you put family finances at risk in their clamour to cut taxes for the richest. they crushed the economy. >> well, she doesn't really have a clue, does she.7 read >> well, she doesn't really have a clue, does she? read rachel is now facing a government debt crisis all of her very own last week. the cost of borrowing reached the highest level it has been this century, surpassing the days of the truss—kwarteng mini—budget. debt to gdp is now over 100%. that means our debt is larger than our economy. for the first time since the 1960s, which is all a bit of a problem because we've found that the gilt market is the ultim

liz truss.ries. more variety— lead than the prairies. more variety of— lead than the prairies. more variety of cheese than the french _ variety of cheese than the french. �* . ,, french. applause and we _ french. applause and we are - french. applause and we are sellingj french. applause | and we are selling t french. applause - and we are selling t to french. applause _ and we are selling t to china! applause yorkshire t! , ., applause yorkshiret! , ., yorkshire t! is it more about the writing — yorkshire t! is it more about the writing than _ yorkshire t! is it more about the writing than the - yorkshire t! is it more about| the writing than the delivery? i don't know. there is an argument sir keir starmer�*s slower style was well—suited to an election campaign, when voters were seeking reassurance amid the perceived chaos in conservative ranks. but now critics say it is all a bit ponderous and dour. and what is needed, say speaking coaches, is some snappier rhetoric and some hope, some emotio

liz truss is now demanding that starmer stops repeating the claims or face further legal action.ning to the latest developments in los angeles, where they are battling a most, the most destructive wildfires in its history. with six blazes now raging out of control and five lives sadly lost, high winds of up to 100 miles an hour have spread flames across more than 26,000 acres and forcing more than 137 evacuations. it's also left hollywood streets in gridlock under thick smoke. firefighters face water shortages, taking supplies from swimming pools, while the mayor has defended cutting £17 million from fire budgets last summer. overnight, new fires also erupted in hollywood hills and in acton, with more evacuations now underway. royal news and the princess of wales is celebrating her 43rd birthday today, after prince william described what's been a brutal year. catherine, who was diagnosed with cancer last january after major surgery, had been gradually returning to public life with plans for more royal appearances this year. catherine is marking the day quietly at home in windsor

sir keir starmer says he won't stop claiming liz truss crashed the economy despite legal threats from her team. truss's lawyers have issued a cease and desist letter, calling the claim false and blaming it for damaging her re—election prospects. the dispute centres on her 2022 mini—budget, which caused market turmoil, though her team points to a report showing economic growth afterwards. >> rachel reeves has pushed this country to the brink of economic crisis through high taxes, high regulation and disastrous net zero policies. when i tried to fix these problems back in 2022, i was undermined by the economic establishment and i was forced to reverse the policies before they were even implemented. i was blamed for the ldi crisis, which the bank of england has subsequently admitted was their fault. >> downing street says the prime minister stands by his remarks, urging critics to ask the public about the impact on mortgages and inflation. now everton have sacked their manager, sean dyche, with immediate effect. in a statement, the liverpool based football club said under 18 seconds head

was liz truss the victim of a political takedown? all this bad news, you might be thinking, do i need a second job? well, good luck finding one, because businesses are liquidating at record highs and millionaires who contribute 25% of the nation's tax bill while they're fleeing en masse. and where is the chancellor during this economic bloodbath? one might imagine she's lounging in business class, coming back from the from securing a measly £600 million deal with china as our economy burns. labour is not just making you poorer. they're torching your future and killing aspiration in this country while they're at it. but let's get the thoughts of my panel. we've got former labour minister bill rammell, former conservative mp michael fabricant and chloe dobbs, political commentator. okay, bill, look, let's start with you here. isn't this just an absolute disaster? the budget has gone from worse to worse. the british people

sir keir starmer says he won't stop claiming liz truss crashed the economy despite legal threats fromer team. truss's lawyers have issued a cease and desist letter, calling the claim false and blaming it for damaging her re—election prospects. the dispute centres on her 2022 mini—budget, which caused market turmoil, though her team points to a report showing economic growth afterward. downing street says the prime minister stands by his remarks, urging critics to ask the public about the impact on mortgages and inflation. and travel chaos continues across the uk as heavy snow and winds cause widespread disruption. temperatures plunged to —11 degrees overnight, with more snow and ice warnings in place affecting rail lines and airports. manchester airport was forced to close both its runways, and transport for wales has shut several rail lines due to damage from the weather. the health security agency has also extended its cold weather alert until sunday, warning of serious health risks. those are the latest gb news headlines. more in half an hour for the very latest gb news direct smar

what's been going on with the economy is any worse than liz truss's mini—budget of 2022.ord walney, the government's independent adviser on political violence and disruption, will be with me to discuss the latest on the grooming gangs, child rape scandal and why labour is still blocking a national inquiry. and we'll be looking ahead to president elect trump's upcoming inauguration and also reflecting on the devastating wildfires in los angeles, with jennifer ewing of the republican overseas group. another 90 minutes of punchy british politics lies ahead. don't go anywhere. but first, let's delve now into the sunday papers with former conservative special adviser james price, who joins me this morning. james, lovely to see you. good morning. right. great story on the front of the mail on sunday by the political edhon on sunday by the political editor, glen owen and his deputy, anna mikhailova, musk and cummings in plot to sabotage uk politics. so this is the suggestion that behind every elon musk tweet is dominic cummings, formerly or best known perhaps as boris johnson's

everyone will remember, of course, that after liz truss's mini—budget, whether or not you believe thatwas caused by the mini—budget, inflation rates jumped very high, causing a lot of mortgage pain for people. it's not looking like it's going to jump that high again, but we are expecting a little uptick. >> why do you say that? it's not very far away is it. it's i mean it's more of a slow motion thing than it was. >> yeah. it's definitely not a pretty picture at the moment. and there'll be a lot of concern in the markets that rachel reevesis in the markets that rachel reeves is in action on a number of issues, particularly around employers. and i from the budget, which is a huge pressure point on lots and lots of small and large employers will not will not help. yeah. >> isn't this all about confidence? doesn't the economy operate on confidence. and you know, we borrow money. we lend money. we do things because we have some degree of confidence. and i just got this feeling there was that speech that starmer gave. the things can only get worse. i mean, they both look miserable. there's

>> liz truss is telling keir starmer to do what she did after 49 days. >> and what you can get away withaying now on facebook. >> my older relatives are going to have a great time. i'm stephen allen and tonight's comedians are kerry marx and josh howie. this is headliners. >> but before friday's news, let's get tonight's headlines with sophia wenzler. >> good evening. i'm sophia wenzler with your headlines from the gb newsroom. the mayor of los angeles has said historic winds and extensive droughts created the perfect storm. but dropping winds mean firefighters are now able to tackle the fires from the air, and authorities are hopeful the tide is turning. the hollywood hills blaze, described as the most destructive in la's history, has claimed five lives and forced 179,000 people to evacuate, including many a—list stars. meanwhile, prince harry and meghan markle have issued a statement on californian fires urging people to check in on disabled and elderly people. the duke and duchess of sussex, who live in montecito, have called for friends and neighbours of those impacted by the wildfir

oh it's there's no it's the mayhem about following the response to reevess budget because where's liz truss the sort of very quick dive bomb. reeves has gone for sort of very slow, gradual death of the economy. and that's thought to be better. so, i mean, i'm not an economic expert. i'm giving you the broad strokes. no, but it's a bit like ripping off a plaster or. yes. she's one of those slow. and i always did it slow myself actually, because i like i like the pain of slow peelers. do you want to do the islamophobia one, though? i feel like we started. no, absolutely. let's go. we started in this back then. you know, people will be tweeting. you backed out of islam. are you chickens? >> well, i watched headliners when i'm not on it, which i mean, it is quite genuinely. >> what's it like? >> what's it like? >> it'sjust >> what's it like? >> it's just saying >> what's it like? >> it'sjust saying i'm back >> what's it like? >> it's just saying i'm back to help. >> who's your. who's your favourite? who's your favourite headliner? >> oh i'm not i can't say i couldn't put me. i haven't seen it.

and i really think that the liz liz truss one was much more attractive.nyway, there we go. >> so those are all the papers. >> so those are all the papers. >> we're going to have a proper look at them now. simon, welcome to headliners. >> thank you very much. >> thank you very much. >> young buck on the circuit. yeah it's a strange sitting here without something in my ear telling me what to say. >> i know this is it. you're free. unnerving. >> yeah. >> yeah. >> yes. >> yes. >> i feel like i could just roam off the path and over a cliff. >> well, that's. that's exactly what the show is. simon evans unleashed i like it. this is exactly what it is. well, let's go. let's unleash on the first newspaper. >> we've got the daily telegraph. >> yes, indeed. the daily telegraph, as you mentioned, the lead is the rachel reeves. >> rachel, from accounts, her future is in doubt. and as you indicated, as you went through the papers, different papers have a slightly different take. >> but the telegraph seems to have picked up on what sounds like a division between starmer

sir keir starmer says he won't stop claiming liz truss crashed the economy despite legal threats fromeam. truss's lawyers have issued a cease and desist letter, calling the claim false and blaming it for damaging her re—election prospects. the dispute centres on her 2022 mini—budget, which caused market turmoil, though her team points to a report showing economic growth afterward. >> rachel reeves has pushed this country to the brink of economic crisis through high taxes, high regulation and disastrous net zero policies. when i tried to fix these problems back in 2022, i was undermined by the economic establishment and i was forced to reverse the policies before they were even implemented. i was blamed for the ldi crisis, which the bank of england has subsequently admitted was their fault. >> but downing street says the prime minister stands by his remarks, urging critics to ask the public about the impact on mortgages and inflation. those are the latest gb news headlines. now it's back to matt for the very latest gb news direct to your smartphone, sign up to news alerts by scanning t

>> liz truss is telling keir starmer to do what she did after 49 days. >> and what you can get away withaying now on facebook. claimed five lives and forced 179,000 people to evacuate, including many a—list stars. meanwhile, prince harry and meghan markle have issued a statement on californian fires urging people to check in on disabled and elderly people. the duke and duchess of sussex, who live in montecito, have called for friends and neighbours of those impacted by the wildfires to open their homes. president joe biden has delivered the eulogy for the late former us president jemmy carter at his state funeral, following his death last month at the age of 100. president biden, who has declared a national day of mourning, spoke in front of all four living former presidents, saying jemmy carter made a powerful difference. carter, a nobel prize winner and the 39th us president, is being remembered for his leadership and humanitarian work. now, a new yougov poll commissioned by the women's policy centre has revealed that 76% of british of the british public backed calls for a national inq

how does this compare to the bond market, the reaction to liz truss�*s mini budget in 2022?e chart here. the rise in recent weeks was not as sharp as in 2022 but of course now it is at a higher level thanit course now it is at a higher level than it was back then. so why does this matter? essentially, this blue line determines the rate at which the uk government can borrow money and the rate it has to pay on its debt bill. so the rise in this sense the budget last year is estimated to debt bill. so the rise in this sense the budget last year is estimé blue o this matter? essentially, this blue line determines the rate at which the uk government can borrow money and the rate it has to pay on its debt bill. so the rise in this sense the budget last year is estimated to be projected to cost the uk government an extra £10 billion a year by the end of the parliament on its debt bill. don't forget that rachel reeves in her budget gave herself only about £10 billion of headroom against her physical rules. so unless this picture changes, rachel reeves could be faced with a choice of

a uk problem, you're seeing it elsewhere as well, but because we had that focus in 2022 with the liz trussyes have been on the uk for a while, and i think investors are not entirely convinced that we are on a secure physical —— fiscal footing and that his wife uk bonds underperform global peers. but make no mistake, this is a global trend... i mistake, this is a global trend- - -_ mistake, this is a global trend... ., ., ., trend... i was going to ask you whether we — trend... i was going to ask you whether we are _ trend... i was going to ask you whether we are seeing - trend... i was going to ask you whether we are seeing the - trend... i was going to ask you l whether we are seeing the cause of borrowing rising for other governments around the world as well? ., governments around the world as well? . ., ,, ., , well? yeah, we are. the us has had the highest _ well? yeah, we are. the us has had the highest increase - well? yeah, we are. the us has had the highest increase in - well? yeah, we are. the us has had the highest increase in the l had the highest increase in the cause of borrow