Open the throttle. Put the pedal to the metal. The £45bn of tax cuts unveiled by the UK Treasury amount to the biggest fiscal event since the Heath government’s 1972 Budget. That “dash for growth” ended badly. Once again, business should brace for a bumpy ride.
The City, more than any other industry, should welcome proof that ministers are on its side. In just a few minutes, new chancellor Kwasi Kwarteng dispelled the indifference Boris Johnson’s government showed for a financial services sector that produced 8.3 per cent of total economic output last year.
Bankers have plenty to cheer. They are well represented among the top 1 per cent of earners who will gain from the axing of the 45 per cent additional tax rate. They will benefit from the lifting of the distortive bonus cap, too.