WARRINGTON North MP Charlotte Nichols is calling for parliament to be recalled and a reversal of a “disastrous mini-budget” she says is already harming families, with some facing increases in mortgage repayments of £5,000 a year.
She says the Prime Minister and Chancellor need to admit they have made a mistake.
Ms Nichols said: “This is a crisis created by Downing Street and sadly working people will be paying for the damage for years to come.
“Trickle-down economics does not work, it’s a failed idea. You cannot make the rich richer and expect that it will somehow trickle down to the rest of us.
“The Prime Minister and her Chancellor need to admit they have made a mistake, they need to recall parliament and reverse this disastrous mini-budget that is already harming families here in Warrington North
“What is deeply worrying is what’s next to come, the Tories have already said they want further cuts to public services. What more is their left to cut? They have already decimated our country’s public services during the last 12 years of austerity”
Her calls follow as Prime Minister Liz Truss handed out enormous, unfunded tax cuts to those earning over 150k a year by slashing how much the richest pay in tax. The markets quickly reacted with the value of the pound plummeting and mortgage interest rates skyrocketing.
Former governor of the Bank of England Mark Carney accused the Government of “undercutting” the UK’s financial institutions.
Ms Nichols says the economic shock began shortly after the Government’s budget announcement, increasing interest rates on mortgages leaving monthly repayments to jump for those looking to renew or on variable rates.
She added that one provider, HSBC, is now offering a 2-year fixed rate deal at 6.24% a huge jump based on figures from before Truss’ tax cuts last week.
HSBC have now issued further warnings of a “wave of forced sales” as some people’s mortgage repayments could increase by over £5000 per year, all this while Warrington residents are already facing the ongoing cost-of-living crisis.
A former chief advisor to the Bank of England expressed his concerns about the current state of the economy by saying we can “Say goodbye to growth”
And in an unprecedented turn of events the Bank of England was forced to intervene earlier this week to prevent a collapse of the UK’s pensions sector. Pumping billions into the economy at a level of intervention not seen since the 2008 financial crisis.
