Chancellor Jeremy Hunt has confirmed he is axing many of the measures in the mini-budget, including the planned cut to income tax.
In an emergency statement he said: “We will reverse almost all the tax measures announced in the growth plan three weeks ago that have not started parliamentary legislation.
“So whilst we will continue with the abolition of the health and social care levy and stamp duty changes, we will no longer be proceeding with the cuts to dividend tax rates, the reversal of off-payroll working reforms introduced in 2017 and 2021, the new VAT-free shopping scheme for non-UK visitors or the freeze on alcohol duty rates.”
READ MORE: Warning to homeowners as energy bills help cut as Jeremy Hunt U-turns on mini-budget
This means people in the UK can expect to pay around 7p more for a pint of beer.
The new Chancellor added: “The measures I’ve announced today will raise every year around £32 billion", before saying he remains “extremely confident” about the country’s long-term economic prospects.
In a monumental change of policy, Mr Hunt also announced that help with energy bills for households will only last until April, with a review to find a "new approach" that will "cost the taxpayer significantly less".
He explained: "The Prime Minister and I have agreed it would not be responsible to continue exposing public finances to unlimited volatility in international gas prices."
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