The pound touched its lowest level since 1985 in the hours before Liz Truss was named Britain's next prime minister.
The British currency fell below its coronavirus pandemic lows against the dollar before the announcement of Ms Truss's victory in the Conservative leadership race, which was widely expected.
It was 0.3 per cent down $1.1475 in early Monday trading in Asia, according to FactSet. That means it has been 37 years since British holidaymakers in the US have received so little for their pound.
Sterling briefly fell to a low where one pound could buy only $1.1443 dollars, below the $1.14506 it touched on March 19, 2020.
It climbed to $1.1507 after the announcement before quickly resuming its fall, and was trading at $1.1491 an hour later.
The fall will make imports considerably more expensive for Britons, due to the fact that much global trade is transacted in dollars.
An index tracking the UK’s 100 biggest stocks opened sharply lower, down 60 points.
The FTSE 100 climbed by only one point in the minutes after the announcement of Ms Truss’s win before briefly falling and resuming its rise, hitting 7,249 by 1.30pm BST.
Ms Truss has promised to tackle Britain’s economic woes “in a fiscally responsible way” amid concerns from investors that her tax-cutting plans will worsen the inflation crisis.
Kwasi Kwarteng, widely tipped to be chancellor of the exchequer in a Truss Cabinet, sought to reassure markets by saying that Britain could afford the higher spending needed to tackle the cost of living crisis.
“Given the severity of the crisis we face, there will need to be some fiscal loosening to help people through the winter,” Mr Kwarteng wrote in the Financial Times.
“But I want to provide reassurance that this will be done in a fiscally responsible way. Liz is committed to a lean state and, as the immediate shock subsides, we will work to reduce the debt-to-GDP [gross domestic product] ratio over time.”
Policies to deal with inflation became the key dividing line between Ms Truss and her rival Rishi Sunak as the two-month contest to succeed Boris Johnson unfolded.
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From exhibitions to the battlefield
In 2016, the Shaded Dome was awarded with the 'De Vernufteling' people's choice award, an annual prize by the Dutch Association of Consulting Engineers and the Royal Netherlands Society of Engineers for the most innovative project by a Dutch engineering firm.
It was assigned by the Dutch Ministry of Defence to modify the Shaded Dome to make it suitable for ballistic protection. Royal HaskoningDHV, one of the companies which designed the dome, is an independent international engineering and project management consultancy, leading the way in sustainable development and innovation.
It is driving positive change through innovation and technology, helping use resources more efficiently.
It aims to minimise the impact on the environment by leading by example in its projects in sustainable development and innovation, to become part of the solution to a more sustainable society now and into the future.
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
The specs
- Engine: 3.9-litre twin-turbo V8
- Power: 640hp
- Torque: 760nm
- On sale: 2026
- Price: Not announced yet
The five pillars of Islam
UAE currency: the story behind the money in your pockets
Tearful appearance
Chancellor Rachel Reeves set markets on edge as she appeared visibly distraught in parliament on Wednesday.
Legislative setbacks for the government have blown a new hole in the budgetary calculations at a time when the deficit is stubbornly large and the economy is struggling to grow.
She appeared with Keir Starmer on Wednesday and the pair embraced but he failed to give her his backing as she cried a day earlier.
A spokesman said her upset demeanour was due to a personal matter.
Sarfira
Director: Sudha Kongara Prasad
Starring: Akshay Kumar, Radhika Madan, Paresh Rawal
Rating: 2/5
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
ADCC AFC Women’s Champions League Group A fixtures
October 3: v Wuhan Jiangda Women’s FC
October 6: v Hyundai Steel Red Angels Women’s FC
October 9: v Sabah FA
