office for bud . et through that. the obr is the office for budget responsibility _ through that. sponsibility they are the independent watchdog hundred david cameron to check the budget and check the treasuries predictions and check the treasuries predictions and to show what the governments plans will mean for the economy and there is a legal requirement for them to publish a forecast twice a year and you would expect that to happen with a physical event that there was that kwasi kwarteng announced those tax measures a week ago. ifeels like announced those tax measures a week ago. i feels like years ago. and announced those tax measures a week ago. ifeels like years ago. and he reportedly rejected those forecasts saying that they were ready but now it seems that the obr would�*ve been able to publish his forecast but kwarteng did not ask them to. so one of the things about it is that it is one of the things that has spooked market so much notjust the tax cuts which are funded through borrowing and likely to fuel inflation. it is the fact that it is being taken on without any of t

secretary to the treasury who said just now it was right to take longer to publish the office for budget responsibilitylance the books and he can from the government is asking departments to look at efficiency savings. unions for civil servants reacted sharply seeing departments under braking points and further cuts could endanger public services. not necessarily a very good look for the government who have been criticised for tax cuts for the highest earners and then talking about efficiency savings and departments. he about efficiency savings and departments.— about efficiency savings and de artments. ., , ., .., ., departments. he has not committed to increasin: departments. he has not committed to increasing the — departments. he has not committed to increasing the state _ departments. he has not committed to increasing the state pension _ departments. he has not committed to increasing the state pension and i increasing the state pension and benefits in line with inflation which was key flag ship promise from rishi sunak. they have been asked if it is going to plan and the keep bringing back to en

the office for budget _ and why was it set up? the office for budget responsibilityhy was it set up? the office for budget responsibility is the l for budget responsibility is the government�*s official broadcaster and it was set up in 2010 to provide and it was set up in 2010 to provide an objective assessment of what was going on in the economy and what the impact of certain economic policies where. before 2010, the chancellor used to produce his own forecast with the assistance of treasury officials. with these forecasts were often too optimistic, they thought growth would be higher than it turned out to be, the economic impact of policies would be greater thanit impact of policies would be greater than it would end up being so governments would end up borrowing more than they expected and there is damage their fiscal credibility of the government. the office for budget responsibility was set up to provide an objective, impartial assessment of what was going on in the economy, how much the government will borrow and whether it would eat its fiscal rules upon debt.

advisers are saying that she's not going to necessarily be bound by projections from the office for budget responsibilityffice for budget responsibility looked at the finalword, responsibility, so budget responsibility looked at the final word, responsibility, so what are we going to now have? a government that believes in economic irresponsibility byjust spending and not taxing to find that. there is no free lunch here. basically what you will have to do is massive physical intervention and you are not going to raise corporation tax and you are not going to raise national insurance. you are going to have to mortgage the futures of our kids and our grandkids to pay for this, and the fiscal rules which one of them is that you should have a share, a percentage of your gdp should be falling as a percent of national income over the next three year period. that's just going to be kicked into the long grass. it's going to be completely transgressed. i'm deeply worried about the position, and the tories used to be the party, once upon a time, of economic competence, of not spending money you don't have, the kin

, and the chancellor, kwasi kwarteng, have this morning met top officials from — the office for budget responsibilityidence on energy. ukrainian officials in the zaporizhzhia region say a russian missile attack on a humanitarian convoy has killed more than 20 people queuing to bring aid and pick up their relatives. the rocket attack comes on the the day when president putin is to complete his illegal annexation of parts of four ukranian regions seized by force. an inquest in to the death of schoolgirl molly russell is coming to its conclusion. the 14—year—old viewed thousands of posts online in the months before she took her own life in 2017. record numbers of nurses are quitting the nhs in england — more than 40,000 have left in the last year. steve wright will host his final radio 2 weekday show this afternoon, but stresses he's not retiring and will continue at the station. sport now, and a full round—up from the bbc sport centre. administrators at worcester warriors rugby union club say they expect many players to serve breach of contract notices after not getting paid today which would allow the

his way to parliament for his so—called mini budget, going it alone, having rejected independent analysis of his plan. today, those analysts, the office for budget responsibilityy, meeting the prime minister herself, their verdicts now promised late november. though the chancellor gets a draft before. we will provide the chancellor with updates of our forecast next friday, and we will set up a timetable of that process next week. there is pressure for the government to publish that earlier, to prove their plan is credible, but ministers are holding firm. everybody wants their budget and their forecast tomorrow, but you also want something that reflects all of the latest information that's available at that moment in time, and something that's going to endure, not something that you are going to have to revise too quickly. they have promised to get the economy moving, with more on planning rules, immigration and child care in coming weeks. but labour is unconvinced. i am concerned, and what i cannot forgive is that this crisis was entirely made in downing street. it did not need to happen. they are responsible for it, yet it is the british people who will pay t

remind us of the office for budget responsibility when it was set up online. 2010 is when it was sets set _ when it was set up online. 2010 is when it was set up _ when it was set up online. 2010 is when it was set up and _ when it was set up online. 2010 is when it was set up and before - when it was set up online. 2010 is l when it was set up and before those days was what happened was that the economic forecasts, which underpin what the chancellor can expect their tax policies to generate, and a forecast for what those tax revenues and what the government spending would look like, were all done in—house by the treasury. there was a sort of element and that of a concern that it looks a bit like marking your own homework and so one of the things that the chancellor at the time, george osborne, did was to set up the office for budgetary responsibility with a view to providing an independent what's the outlook wasn't in particular what the outlook, how the outlook would be changed by particular tax and spending policies. just to give the proposals in his budget that much more credibil

the government are given for not having the independent data alongside their budget from the office for budget responsibilityt on time. they wanted to go ahead quickly and hit the ground running with measures that they hoped would boost growth in the uk. in terms of what is going on outside of the uk, let's look at the us with gilts on ten year us treasury rising as well to their highest level since 2010. this is happening elsewhere as well, isn't it? put it into context for us. there is no question about it. gilts and interest rates are rising globally. the reason why they are raising is quite different. the us central bank is raising interest rates in the face of what is quite clearly very strong red—hot demand. 1 millionjobs were created in the us over the last few months for example. in the uk and europe the situation is quite different. interest rates are rising, but they are really rising because prices are going out of control as the result of their shock in the energy markets. so while they are rising everywhere, they are rising everywhere, they are rising for different reasons. in the us it is much

the undercutting, as he put it, of the office for budget responsibility, is not about to change?? well, there have been _ not about to change? well, there have been some _ not about to change? well, there have been some developments . not about to change? well, there - have been some developments tonight. we, last week, reported on the fact that the treasury and the chancellor had waiting on his desk when he became chancellor a draft forecast from the office of budget responsibility and that the obr had offered to update in time to be released with the mini budget. now, tonight the obr has confirmed that on the record in a letter to two snp mps, saying we sent a draft economic forecast of the new chancellor on the 6th of september, his first day in the office and it could have been updated and due to be published alongside the fiscal event planned which was the mini budget. we were not commissioned to produce an updated forecast. now, that's quite interesting, as you picked up, mark carney among others they had this forecast been available on friday that's the sort of thing that

today as he and other top economists from the office for budget responsibility finally met liz trussrs sooner than november. i would be expecting, particularly as the markets expect something positive to emerge from this that they will come out and say something perhaps along the lines of, we will bring forward this forecast, which they can do, a full forecast, by around the end of october. after the meeting the 0br said it would deliver a forecast to the chancellor next week but not when it would be published. we saw the prime minister and chancellor and talked about providing the chancellor with updates of our forecast by next friday and we will set up a timetable for the focus process next week. one of the things that made markets take fright this week was a lack of one of these, the economic and fiscal outlook. we report this at every budget and prebudget report and it's this independent document that tells you what independent experts think is going to happen to growth, to the public finances, and to inflation. after liz truss's comments yesterday, the government this morning wa

his way to parliament for his so—called mini budget, going it alone, having rejected independent analysis of his plan. today, those analysts, the office for budget responsibilityer herself, their verdicts now promised late november. though the chancellor gets a draft before. we will chancellor gets a draft before. - will provide the chancellor with updates of our forecast next friday, and we will set up a timetable of that process next week. there is pressure for the government to publish that earlier, to prove their plan is credible, but ministers are holding firm. everybody wants their budget and their forecast tomorrow, but you also want — their forecast tomorrow, but you also want something that reflects all of _ also want something that reflects all of the — also want something that reflects all of the latest information that's available — all of the latest information that's available at that moment in time, and something that's going to endure, — and something that's going to endure, not something that you are going _ endure, not something that you are going to _ endure, not something that you are going to have to revise too quickly. they have — going t

office for— at least of borrowing? i think the office for budget - the office for budget responsibility will at the next budget produceibility and sustainability of this intervention. if they were to conclude that it is not a fiscally sustainable intervention that i think business leaders would absolutely be concerned and it may affect confidence in the economy. however, if the intervention is successful in allaying business and consumer concerns about the future of the economy, particularly inflation and the ability to meet energy prices, then it may well be what we need to avoid a recession or at least to reduce the severity of recession in the severity of recession in the uk. if it is the intervention that is needed to shore up confidence in the economy we will consider it money well spent. it economy we will consider it money well spent.- money well spent. it is interesting _ money well spent. it is interesting because - money well spent. it is interesting because we money well spent. it is - interesting because we will talk about the pounds in a moment with another guest but the fact that the pound is now at a 37

unusual move, both the prime minister and the chancellor will meet the chairman of the office for budget responsibilitythe value of the pound, uncertainty over mortgages, and a week of extreme financial volatility. the watchdog had offered to prepare a draft forecast in time for last friday's mini budget, but that was rejected by the government. forecasts of the uk's economic outlook are usually published to accompany major financial announcements. it's led to accusations ministers were trying to avoid scrutiny, and that that has in part driven the lack of confidence in the markets. now the 0br, its costings methods and forecasts is seen by many as central to the plan to restore stability. but in a series of bbc interviews yesterday, the prime minister seemed keener to talk about cutting taxes and capping energy bills than surging mortgage costs. prime minister, it sounds like you're saying, "crisis? what crisis?" i'm not saying that at all. i think we're in a very serious situation. it's a global crisis which has been brought about by the aftermath of covid and putin's war in ukraine. the government s

programme here is credible or not, that life the forecasting from the office for budget— the forecasting from the office for budget responsibilitynd indeed had correspondence with the chancellor and correspondence with the office for budget responsibility argue that there should be that forecast because _ there should be that forecast because that would have told us one of two _ because that would have told us one of two things, it is a chance it will took— of two things, it is a chance it will took to— of two things, it is a chance it will look to the forecast and realised _ will look to the forecast and realised that actually the independent forecast was prepared to back up— independent forecast was prepared to back up the credibility of the plant in which _ back up the credibility of the plant in which case it would not have gone ahead _ in which case it would not have gone ahead with _ in which case it would not have gone ahead with the public or the office would _ ahead with the public or the office would have said actually these are sensibte _ would have said actually these are sensible physical targets and we believe — se

it is the refusal to ask the office for budget responsibility to do a forecast.ar on the firstjob in the treasury. that is the sort of thing that markets make lose confidence. let�*s give it to some of the specifics. i�*m going to stick with jessica elgot. pm holds talks with watchdog over fiscal chaos. so jessica elgot. pm holds talks with watchdog overfiscal chaos. so this is looking ahead to tomorrow one of the new details here? liz is looking ahead to tomorrow one of the new details here?— the new details here? liz truss will seak the new details here? liz truss will s - eak with the new details here? liz truss will speak with the _ the new details here? liz truss will speak with the head _ the new details here? liz truss will speak with the head of— the new details here? liz truss will speak with the head of britain - speak with the head of britain independent fiscal watchdog. this comes after i was lead to a you are saying a pretty disastrous communications around the budget. the opr communications around the budget. the 0pr should prepare figures ahead of

don't have that because the government chose not to have official forecasts from the office for budget responsibilitypeculating about how much it is going to require in order to cover off those risks. the institute for fiscal studies calculates that over the next three or four years, we are talking about half £1 trillion extra that the government is going to borrow, notjust to that the government is going to borrow, not just to fund that the government is going to borrow, notjust to fund help that the government is going to borrow, not just to fund help for energy bills, but also tax cuts so it is very serious at the moment in terms of the squeeze on government finances. in terms of the squeeze on government finances. , ., ., , ., , ., finances. in terms of options for the bank of _ finances. in terms of options for the bank of england _ finances. in terms of options for the bank of england or - finances. in terms of options for the bank of england or the - the bank of england or the government, what are they? there are two thin . s government, what are they? there are two things that — government, w

the prime minister and the chancellor met members of the office for budget responsibility — the spending taxes. the meeting came after days of turmoil on the financial markets. the government says the 0br's analysis won't be released until late november, when kwasi kwarteng gives more details about his plans for the economy. here's our political correspondent alex forsyth, what a difference a week makes. last friday, the chancellor, on his way to parliament for his so—called mini—budget, going it alone, having rejected independent analysis of his plan. today, those analysts, the office of budget responsibility, were brought into downing street — unusually, meeting the prime minister herself. their verdicts now promised late november. ministers will get an earlier draft but they're resisting calls to publish sooner. we are committed to the 0br forecast. we are working together with the 0br. there will be an event on the 23rd november, where the policies are fully analysed by the 0br, but it was a real priority to me to make sure we're working to help struggling families. we're also dealin

an unusual move, the prime minister and chancellor will meet the chairman of the office for budget responsibilitylump in value of the slump in the value of the pound, uncertainty over mortgages and a week of extreme financial volatility. watchdog had offered to prepare a draft forecast in time last friday's any budget but rejected by the government. forecast of uk's economic outlook are usually published through major financial announcements. lejarraga sessions ministers were trying to avoid scrutiny and that has, in part, driven lack of confidence in the markets. now the opr, it's costing methods and forecasts are seen by many as central to the plan to restore stability. but in a series of bbc interviews yesterday, the prime minister seemed keener to talk about cutting taxes and capping energy bills than surging mortgage costs. it sounds like you are seeing prices, what crisis? �* ., ., crisis? i'm not saying that all. i crisis? i'm not saying that all. i think _ crisis? i'm not saying that all. i think we _ crisis? i'm not saying that all. i think we are - crisis? i'm not saying that all. i thi

cause the office for budget responsibility that tend been given instruction since 2010, a sort of a, judy casey on every budget. they have to come in and they say that actually this plan isn't going to work in the face. and the government is now very wary of a budget, but it's just going to add to even more criticism. the big one of the big headlines today is that the international monetary fund is added to these criticism, saying that those plans would increase in equality and worse and inflation and downing street should rethink them. this sounds like quite a severe telling off for a g 7 country. but why is a little local economic difficulty if i can put it that way in the u. k. why is that even on the i m f 's right. well, the elements has been criticized most european countries without meaning them for the bailouts that they've been pushing through. over the last 6 months. france, germany doesn't like anything that they've been doing because they think they're to blunder. just spraying money around on the rich and poor to try and get through this energy process and the kinds no d

response to the turmoil. and the chancellor kwasi kwarteng has announced he will set out his medium—term plan, but not for another eight weeks, alongside an economic forecast by the office for budget our economics editor faisal islam is here with the latest. thank you. it has been a remarkable time on the market. in the early hours it reached an all—time low since the creation of us currency in 1792. the dollar has been strong, but this drop is about sterling weakness. these are massive moves and it shouldn't be happening to a g7 currency like sterling. turmoil in the markets and turmoilfor britain — an early money morning plunge in the value of the pound in your pocket to depths never seen before against the dollar. and then the chancellor remained tight—lipped. but the significant cause, is markets unconvinced by the government's approach to borrowing and tax cuts. irate government's approach to borrowing and tax cuts-— and tax cuts. we had a budget in which we saw — and tax cuts. we had a budget in which we saw a _ and tax cuts. we had a budget in which we saw a lot _ and tax cuts. we had a budget in which we saw a lot of _ and tax cuts. we had a budget in which we saw a lot of

the talks with the office for budget responsibility are being seen as an attempt to build confidenceread criticism of last week's mini budget. simonjones reports. seeking to regain the confidence of the markets. in an unusual move, both the prime minister and the chancellor will meet the chairman of the office for budget responsibility after a slump in the value of the pound, uncertainty over mortgages, and a week of extreme financial volatility. the watchdog had offered to prepare a draft forecast in time for last friday's mini budget, but that was rejected by the government. forecasts of the uk's economic outlook are usually published to accompany major financial announcements. it's led to accusations ministers were trying to avoid scrutiny, and that that has in part driven the lack of confidence in the markets. now the 0br, its costings methods and forecasts is seen by many as central to the plan to restore stability. but in a series of bbc interviews yesterday, the prime minister seemed keener to talk about cutting taxes and capping energy bills than surging mortgage costs. prime

they are to meet with the head of the uk's government spending watchdog, the office for budget responsibilityobr's role is to give independent oversight of borrowing and spending plans. critics say it should have been involved from the start. the pound hasjumped the most against the dollar in over two years, erasing all its losses over the past week. this, after the bank of england continued to pump money into the bond markets to prop up the value of uk debt. the prime minister though is still insisting her tax—cutting plans are right for the british economy, and that the market turmoil is the result of a global crisis. our economics editor, faisal islam, has more. an engine factory in darlington. the chancellor, kwasi kwarteng, out and about for the first time since his mini budget stalled, britain's currency slumped and borrowing costs surged. what do you say to people whose mortgage interest rates are rising as a result of your economic policy? so, we're absolutely protecting people right across the country. if you look at our energy intervention, people were potentially facing bills of £6

, _ forecast by the office for budget responsibilityty, that independent scrutiny— responsibility, that independent scrutiny in— responsibility, that independent scrutiny in place. _ responsibility, that independent scrutiny in place. they— responsibility, that independent scrutiny in place. they can - responsibility, that independent scrutiny in place. they can say . responsibility, that independent. scrutiny in place. they can say they are going _ scrutiny in place. they can say they are going to— scrutiny in place. they can say they are going to formally _ scrutiny in place. they can say they are going to formally a _ scrutiny in place. they can say they are going to formally a plan, - are going to formally a plan, but markets — are going to formally a plan, but markets are _ are going to formally a plan, but markets are not _ are going to formally a plan, but markets are not going _ are going to formally a plan, but markets are not going to - are going to formally a plan, but markets are not going to believe them, _ markets are not

home that message by sacking the permanent secretary to the treasury and telling the office for budget responsibility budget on government finances. so in addition to the policies that telling the 0b r it wasn't even allowed to tell us what this meant for government finances, that sends a very clear message to the markets that the government doesn't really have a plan to manage the country's finances anything it's that... is the country's finances anything it's that... , , ., ., the country's finances anything it's that... ,_, ., . that... is planning to increase urowth that... is planning to increase growth and — that... is planning to increase growth and productivity, - that... is planning to increase growth and productivity, isn't| that... is planning to increase i growth and productivity, isn't it? well, i think the idea that you are going to balance your books by increasing growth and productivity, remember that, increasing growth and productivity, rememberthat, of increasing growth and productivity, remember that, of course, increasing growth and productivity, rememberthat, of course, every gov

committed to fiscal discipline, and is working closely with the bank of england and the office for budget responsibility says the government matter is not responding to people's valid concerns about the cost of mortgages and the wider cost of living. our economics editor faisal islam has the latest. an unexpected 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, t

committed to fiscal discipline, and is working closely with the bank of england, and the office for budget responsibilityf his planned budget on 23rd november. laboursays ahead of his planned budget on 23rd november. labour says that the situation is in freefall, and that people are understandably worried about the cost of their mortgage, and the wired cost of living. our economics editor has the latest. friday morning the chancellor kwasi kwarteng unveiled his �*mini—budget�* — big tax cuts funded by a big increase in government borrowing. the ups and downs of the pound in your pocket have been quite something, there was an immediate reaction, in financial markets as the pound sank and uk stocks fell and then on monday morning, the pound continued to sing, hitting a new low against the dollar worth just 1.03. the treasury and the bank of england released statement to try to calm the market, the bank saying it wouldn't hesitate to change interest rate, the treasury said it would publish a plan to tackle debt. mortgage rates began to rise yesterday as offers were withdrawn, a extraordinary interhaven�*t s

what we won't get is a forecast from the independent adviser to the government, the office for budget responsibilityone a version of a forecast for the government to see where borrowing was going. we didn't get that. we are getting some movement in markets that we can show you here, the long—term interest rates, effectively charged to government, is going up across the world but for the uk that's an 11 year high of 3.3%. that interest rate matters for mortgages and business lending. a lot of moving parts and a big test for the government until the end of the week. thank you, faisal islam. railway workers are resuming their 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, ka

after a meeting at 10 downing street, the office for budget responsibility has set its independent orst on government growth plans and the independent plant tax cuts will be ready in a week's time, but it will not be made public for weeks afterwards. the fact that the plan was not accompanied by a we are's economic forecast help fueled -- help fuel economic turmoil. in a short statement, the ministry said the cost of market intervention by selling the dollar and fighting the end amounted to ¥2.8 trillion. faced with the yen's steady slide against the dollar, the government intervened in currency markets on september 22 for the first time since 1998, forcing the yen to immediately spike by nearly 3%, but the effect was short-lived, and the decline resumed immediately afterwards. >> thank you very much for that. now it is time for our daily fact checking segment. i'm joined by catalina. you have been analyzing sources misinformation on twitter targeting brazil's upcoming presidential elections. tell us more of what you have found. >> indeed. the battle heats up, especially on social med

anyone else will in particular, i would be extremely surprised to say the least if the office for budget responsibility, the fiscal watch dog, was prepared to use a growth rate of 2.5% a year that leaves us either unwinding the fiscal measures that were announced last friday which, of course, is extremely difficult for politicians who want to sound determined and try new approach or it leaves the government imposing substantial spending cuts and you can be confident that will not be popular with voters and it is not going to be popular with voters at a time when the labor party has a lead in the opinion polls. we have seen a slightly calmer situation recently my view is labor's need is one of the factors calming the situation. people can see there are going to be political constraints on what the prime minister and chancellor actually do >> you mentioned the political aspect of all this and politicians want to stay resolute as a former bank of england member, what is the ability to fix this chaos and the human energ energy chriss? >> as i said, it is not the energy crisis which is seen as the problem b

are seeing this push for the government to come forward earlier with details from the office for budget responsibilitycontrol. now, we have tonight heard that the chancellor has written a whatsapp to mps trying to reassure them, saying, i understand your concern, we will show the plant of the markets, with much of that it is sound and credible and will work to drive growth. the question is how long before he comes forward with that? as the party goes into its conference over the course of this weekend i think it is safe to say there will not be the jubilant reception you might expect for a prime ministerjust a few weeks into thejob. prime minister 'ust a few weeks into the 'ob. : :, _ the job. alex forsyth in westminster, - the job. alex forsyth in westminster, thank i the job. alex forsyth in | westminster, thank you. the job. alex forsyth in i westminster, thank you. the the job. alex forsyth in _ westminster, thank you. the queen died of old age, according to her death certificate, which hasjust been released. it says she passed away at balmoral ten past three on sirs thursday eighth september. buc

we know that the office for budget responsibility, which will sort of run it�*s finger over all of thesei think there is going _ delivered. damian grammaticas, i think there is going to _ delivered. damian grammaticas, i think there is going to be - delivered. damian grammaticas, i think there is going to be lots - delivered. damian grammaticas, i think there is going to be lots forl think there is going to be lots for labour representatives to talk about in the bars tonight in liverpool and a lot more for labour politicians to react to. for now, thank you very much. let me bring you that statement to the treasury has just issued. it says it is for an immediate release update on the growth plan in plantation. it said the government made an announcement on friday, we know all that, building on this, it says, cabinet ministers will announce further supply—side growth measures in october and early november, changes to the planned business, agriculture productivity, innovation and structure. no surprise, however, it then says the chancellor will set out his medium—term plan on the 23rd of no

sight see in the independent budget forecasts even as the prime minister's message remains the same. there are people already calling for the office for budget responsibility forward, which the government is rejecting. but people want the forecast brought forward because they'll tell people how likely the government is to meeting the growth targets and aspirations they say the tax cuts will generate and if there is a gap between what the independent forecasters predict and the government says the government will have to make up that gap in another way i look through more borrowing or through spending cuts and i think there is also some unease about what is coming down the track. you had the treasury confirm departments are being asked to make efficiency savings and there is sticking to the spending review as outlined last year and not updating it to take account of rising inflation. they are already questioning whether benefits will go up in line with inflation as promised by the previous government so you get a sense of what could be coming down the track and i think that is what concerned some conservative mps. the other aspect of the growth strategy the

prime minister liz truss met today with the country's chancellor and office for budget responsibilitying, bloomberg is reporting that truss' government is sticking with plans for unfunded tax cuts the pound is now dropping on that news. it had been moving higher earlier in the session on expectations that the government would reassess fiscal plans, down by about 0.4. joining us now is roger altman he served as treasury secretary under president clinton. there's weird moves with currencies, bonds, the markets are roiled, bank of england had to step in and that's because there was potential for things to fall apart, things to break what do you think of the news this morning that liz truss and her government are not backing down with what they've already laid out >> i think she's giving a master class in how not to do it. if you step back, you say to yourself, inflation is running at 9.9% in the unique higher than here, really high and so her first act is a sharp loosening of fiscal policy which forces the bank of england first to tighten monetary policy further, offsetting what she did,

going to be fully costed by the independent 0ffice to be fully costed by the independent office for budget responsibility he said, to come up with all the detailed plans that show they have a plan to ensure the markets and they have a whole lot of reforms that will be made clear over the next six weeks. he hopes they will show the markets that they've got a plan in place to show how they're going to pay for those tax cuts. :, :, ~' they're going to pay for those tax cuts. :, :, ~ , :, they're going to pay for those tax cuts. :, :, ~' , :, , : the former governor of the bank of england, sir mark carney, has criticised the government for promising tax cuts without proper costings or economic forecasts. he said the plans undermine the bank's efforts to control inflation, and that this had led to �*dramatic�* moves on the financial markets. here's our economics correspondent, andy verity. today was the day that £65 billion of reassurance wasn't enough to calm markets' nerves. while yesterday, traders welcomed the bank of england's intervention to calm unprecedented volatility in the market for government bon

the challenge i presumably comes, for your former employer, the office for budget responsibility, they problem here is that the credibility takes _ shoulders? the problem here is that the credibility takes a _ shoulders? the problem here is that the credibility takes a long _ shoulders? the problem here is that the credibility takes a long time - shoulders? the problem here is that the credibility takes a long time to i the credibility takes a long time to build up for the uk. and it has been eroded ratherfast. it is not going to be easy to rebuild it. even if the government is able to balance the government is able to balance the books and say they have spending cuts to max the tax giveaways, even if the obr rules that these are somehow fiscally sustainable, then you are still going to have an uphill battle to convince markets that competence is there on that economic framework. do that competence is there on that economic framework.— that competence is there on that economic framework. do you think, from where — economic framework. do you think, from where you _ economic framework. d

it will set out a medium—term fiscal plan on the 23rd of november, which will come in office for budget responsibilityrecast. unlike friday's mini budget. the sterling reached level lows against the dollar this morning. record lows at one stage. then, just bring us up—to—date on some of the fallout from that, are we looking now then at possible interest rate rises quite soon? in at possible interest rate rises quite soon?— at possible interest rate rises quite soon? at possible interest rate rises uuite soon? , ., , , quite soon? in short, yes then you mention that _ quite soon? in short, yes then you mention that statement _ quite soon? in short, yes then you mention that statement that - quite soon? in short, yes then you mention that statement that we i quite soon? in short, yes then you i mention that statement that we had from the bank of england and the last half an hour. that statement just basically backs up those expectations at the cost of borrowing is going to rise faster and further than previously thought. some economists are now talking about the bank of england's base rate topping 6% ne

rest of the mini budget, the bit that was not delivered, with the costings from the office for budget responsibility easy. blocked, so none of this is going to be eas . :, blocked, so none of this is going to be eas. :, :, :, , joining us now — sally mitchell, mortgage advisor and broker from the mortgage mum. what are you seeing happening today when it comes to the mortgage products that are available? we have seen a huge number of products withdrawn. seen a huge number of products withdrawn-— withdrawn. absolutely. they are continuing _ withdrawn. absolutely. they are continuing to — withdrawn. absolutely. they are continuing to be _ withdrawn. absolutely. they are continuing to be put _ withdrawn. absolutely. they are continuing to be put in - withdrawn. absolutely. they are i continuing to be put in suspension if you like, and i have had an e—mailfrom a lender this if you like, and i have had an e—mail from a lender this afternoon to introduce their new range which is good news for top sometimes, like in politics, two days can feel like a lifetime, but i'm hopeful that there are some green shoot

something i am sure that the office for budget responsibility would have confirmed if they had been allowedrecedented to have a fiscal statement of this scale with no independent forecasts from the office for budget responsibility. never has a government borrowed so much and explain so little. economic institutions matter. yet this government has undermined the bank of england, sacked the respected permanent secretary at the treasury and silenced the office for budget responsibility. this is no way to build confidence, this is no way to build confidence, this is no way to build economic growth. mr speaker, labour believes in wealth creation. we will always support enterprise, creativity and hard work. we want british business to grow, to be successful and to contribute to our country's posterity —— prosperity. what we don't believe is that british workers are idlers. we understand that it is the workers who turn up every day to make a great product at a factory or deliver great service in the store, who generate growth. it is the teachers giving the young people the skills they need, the do

physical watchdog, the office _ from the physical watchdog, the office for— from the physical watchdog, the office for budget responsibilitying to cost or how they— much it was going to cost or how they were going to make the numbers up they were going to make the numbers up and how— they were going to make the numbers up and how they had to have that plan brought out last friday rather than waiting to have all of their ducks— than waiting to have all of their ducks in— than waiting to have all of their ducks in a — than waiting to have all of their ducks in a row, i guess he will never— ducks in a row, i guess he will never know. but i think there is an argument. — never know. but i think there is an argument, and you are right, the argument— argument, and you are right, the argument for the bank waiting is that it _ argument for the bank waiting is that it then gives time for the government to fix it but if the government to fix it but if the government don't fix it, then you have _ government don't fix it, then you have just got a long delay on both sides _ have just got a long delay on both sides jim — have just got a

there is no better forecast then the independent forecast of the office of budget responsibility. that is important forts as we see pressure on bulky yields and on the currency. they want to know that whatever the chancellor announces this morning is done in a fiscally responsible manner. lizzy: we were speaking to former policy maker from the bank of england martin weale, warning there could be a run-up to the pound. >> i wouldn't get drawn into that kind of speculation. but if the government wants to underscore its fiscal credibility, and people only lend to us if they have confidence we are making the right decisions, and the best way of doing that is an independent forecast. we will continue to push for that. we know it is possible because the head of the ob are wrote to us to confirm that. vick chancellor could have gone to us but he has decided on two. lizzy: you are a bit partisan on this? >> the treasury select committee is there to hold the current government to account. my guiding stance has been doing what is fiscally responsible, and that includes forecasting. lizzy: but rishi sunak was mp'

they are very keen to see the forecast from the office for budget responsibility which we are not likelyas the headlines across us networks. that's because it has become one of the strongest hurricanes to ever strike the united states. the rain is actually painful as it hits you. i am glad nobody else is out on the street here. whoa! oh, boy! huge gust. and now the dangers are multiplying. the life—threatening winds and flooding have already caused damage throughout florida's south—western coast, with debris travelling through the waters and cars submerged. buildings like this beachfront hotel in naples have been overwhelmed, forcing people to wade through the water. some areas, like tampa bay, have seen a rare occurrence, what's called a reverse storm surge. ian's winds have been so powerful, they have swept away massive amounts of water, leaving bare shorelines. but that water will soon come barrelling back. now, several states have also declared a state of emergency, reckoning with the breadth of the hurricane and realising florida is not the only place ian has in its cross hairs. aza

one is the office of budget responsibility which is the fiscal watchdog for the government.said we don't need the watchdog to cost any of this. there was this conceit in the tory government they think they can push ahead with this and assume the markets would trust them on credibility simply because of the historic track record. this has been years in the making and they have been losing credibility. dani: i want to point out, we have liz truss on bbc radio saying there are stormy times in international markets, but she still wants to push through with lower taxes. philip, they differ joining us, now coming up, we are live with the cfo of porsche after today's mega-ipo in frankfurt. tom mackenzie will bring us that next. this is bloomberg. ♪ dani: welcome back to the open. we are 55 minutes into the european trading day. stocks under pressure after yesterday's rally spurred by the boe, u.k. stocks bearing the worst. homebuilders taking a hit with expectations for mega-rate hikes from the boe. totalenergies' ceo said, it is game over for russia. >> when you have a problem lik

some which suggests to us that borrowing is going to be a huge amount higher than the office for budget responsibilityhe government takes in? in a straightforward sense, it looks like we will lose something like £45 billion a year. that's what happens when you have very big cuts to national insurance, corporation tax, income tax and so on. as you heard, the government hope some of that will be recouped through higher growth. there is no chance that these cuts in themselves will create enough higher growth to bring more revenue in than that. of course it is possible that other good things will happen in the economy, and it is possible that russia will withdraw from ukraine at some point very soon, it is possible that the world economy will grow faster and that we can afford all these things. that is a risk, that is not the central forecast of what is likely to happen. if central forecast of what is likely to happen-— to happen. if you look at the vafious to happen. if you look at the various income _ to happen. if you look at the various income levels, - to happen. if you look at the various income leve

and we're expecting an assessment from the office of budget responsibility. dani: it feels like but calls for a to u-turn are coming in fast, are there any signs they might? lizzy: the prime minister and chancellor have barely been seen. the prime minister is only doing local radio today which has a generally older audience, she is dodging the difficult financial questions. there is huge pressure on liz truss to sac kwasi kwarteng but they are political soulmates, so it would be a personal humiliation for truss. it would not make a difference because they are so aligned. there is pressure to u-turn, to call a recess, but junior ministers interviewed are saying these plans are going to grow the economy. every major economy is facing similar blowback. but that is not going to wash because the imf is named checking the u.k. what is interesting is you will see truss under pressure to cut spending to restore f iscal credibility but that will be politically unpalatable. she said she wanted to take on treasury orthodoxy but she is butting up against market realities. dani: bloomberg's lizzy burden t

is expected to cost half a trillion dollars according to the committee for a responsible budget and the congressional budget officeat's right. and that is the opening bid of what it is going to cost. bear that in mind. bear also in mind, 210 million americans do not have a college degree. 40% of the student loan debt is held by who? the rich. people with--a-that are doctors, lawyers, phds, advanced degrees. there is only 10% that is held by the bottom fifth of wage earners. this is one of the most egregious oversteps, it's going to allow colleges to increase their tuition because, hey, the money's free. maria: unbelievable. >> and they're not held accountable for the fact that people can't get a job once they finish college and it is grossly unfair to people that have worked. i know a single mom worked two jobs, her daughter worked two jobs, they did this for five years in order for the daughter to come out of school with a teaching degree. maria: unbelievable. >> and she is a school teacher. where is the equity for them. maria: that's right. well, not only do you have this immoral move by forgiving some people's

i've got a report right here from maya mcginnis on the committee for a federal -- a responsible federal budget. she says since taking officed nearly $5 trillion to the deficit, over the next decade through his legislation and executive actions, how does he get away with saying he's actually cutting the deficit, sir? >> look, the president's comments yesterday were bordering on lunacy. i mean, even when leftist groups are scoring their inflation reduction bill, which is an absurd title, it's build back better two, that over the half decade it actually raises the deficit and he then the gimmicks it requires a series of fake money to actually t get to the president president's claim of deficit reduction. look, the democrats have become the party of subsidies, hand-out cash, particularly to groups that vote for them. you know, we all need to be adults about this. the parties have actually sort of split in substantially in their economic view. democrats just are using your tax money to fun functi functioy votes. maria: kevin smith says this is really called the inflation expansion act of 2022, talking about tax increases of 250