Chancellor Kwarteng is sacked

The Chancellor of the Exchequer, Kwasi Kwarteng has been sacked after serving just 38 days in the job. Jeremy Hunt will take his place.

Having said less than twenty-four hours ago that he was 100% certain to remain as Chancellor in a Liz Truss government, Kwarteng left a meeting of the IMF a day early to fly back to London.

I’ll post some links to reaction over the coming hours. But it would be a surprise to me if the current government survived until Christmas. There are good grounds for believing that a General Election may happen in the weeks and months ahead, or that the Conservative Party removes Liz Truss and installs a temporary Prime Minister - perhaps Rishi Sunak or Penny Mordant.

Kwarteng’s resignation letter to the PM

Read It Here

The Peter Brookes cartoon is rather topical today!

See it here

Early reaction from the currency markets

Ed Conway on the immediate reaction to the news / rumours in the currency market

Pound climbs as Jeremy Hunt is announced as the new Chancellor

Update here

Ben Riley-Smith on the political rationale for choosing Jeremy Hunt as the new Chancellor

Read it here

Kwasi Kwarteng will be the shortest-serving chancellor to leave office in almost two centuries.

Neat graphic here

Chris Giles from the Financial Times offers a succinct summary

Read it here

More sane analysis and comment from the Financial Times

Read it here