Kwasi Kwarteng’s ‘original sin’ caused UK turmoil, says ex-Bank of England deputy

Sir Charlie Bean says Bank could extend emergency action to ease ‘pressure’ on government

The radical economic plan put forward by Liz Truss and her chancellor Kwasi Kwarteng is the “original sin” to blame for ongoing market turmoil, said the Bank of England’s former deputy governor.

Sir Charlie Bean said the mini-Budget’s “unfunded tax cuts” had panicked the markets, as the Bank deliberates whether to continue its emergency support beyond Friday in a bid to protect pensions.

“We shouldn’t forget that this is the prime cause of it [market turmoil] – the original sin here was the mini-Budget a couple of weeks ago, and the looming prospect of unfunded tax cuts in the medium term,” he told BBC Radio 4’s Today programme.