UK finance minister Kwarteng unveils measures to boost growth

New British Chancellor of the Exchequer Kwasi Kwarteng walks outside Number 10 Downing Street, in London, Britain September 6, 2022. REUTERS/Toby Melville

LONDON, Sept 23 (Reuters) – British finance minister Kwasi Kwarteng is presenting a mini-budget to parliament on Friday with the aim of cutting taxes and energy bills for households and businesses to try to drive economic growth.

ONE OF THE MOST SIGNIFICANT INTERVENTIONS

“People will have seen the horrors of (Russian President Vladimir) Putin’s illegal invasion of Ukraine. They will have heard reports that their already-expensive energy bills could reach as high as 6,500 pounds ($7,253) next year. Mr Speaker, we were never going to let this happen. The prime minister has acted with great speed to announce one of the most significant interventions the British state has ever made.”

NEW APPROACH FOR NEW ERA

“Growth is not as high as it needs to be … We need a new approach for a new era, focused on growth. Our aim, over the medium term, is to reach a trend rate of growth of 2.5%. And our plan is to expand the supply side of the economy through tax incentives and reform.”

BARRIERS FOR ENTERPRISE

“There are too many barriers for enterprise. We need a new approach to break them down. That means reforming the supply side of our economy … (Our plans) will cover: the planning system, business regulations, childcare, immigration, agricultural productivity and digital infrastructure.”

STRIKE DISRUPTION UNACCEPTABLE

“At such a critical time for our economy, it is simply unacceptable that strike action is disrupting so many lives. Other European countries have minimum service levels to stop militant trade unions closing down transport networks during strikes. So we will do the same. And we will go further.”

($1 = 0.8962 pounds)

Reporting by Sachin Ravikumar

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