Truss Penalty Has Halved, Still £10 Billion a Year for UK
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A semblance of calm is returning to UK markets after Prime Minister Liz Truss appointed Jeremy Hunt as Chancellor and backtracked on most of her mini-budget plans. That’s prompted a drop in the premium paid by Britain to borrow, relative to European peers. Bloomberg Economics now puts the cost of the interest-rate penalty that emerged since early September at a bit more than £10 billion a year by 2025, compared with an eye-watering bill of above £20 billion at the most chaotic moment of the crisis late last month.