Welsh Secretary Sir Robert Buckland urges 'calm' amid Chancellor's tax-cutting mini-budget

The UK Government's Welsh Secretary has urged calm in the face of turmoil in the financial markets following the Chancellor's tax-cutting mini-budget. 

There's been intense criticism of the Chancellor's decisions from the International Monetary Fund and the Bank of England has stepped in to steady one market - so-called 'gilt bonds.'

But speaking to ITV Wales earlier Sir Robert Buckland said he stands by the decisions taken by the UK Government. 

"I accept what I hear but I do think it's very important that we remain very steady and calm through this period....

"Well the Bank of England's not very calm, it intervened...

"Intervened in the gilt market in the bond market is a slightly different issues from some of the questions being raised about the pound.

"The issue for me is how we grow our economy in order to pay for increased public services.

"The only way that we're going long term to sustain our important public services in Wales and elsewhere is to grow our economy and the government is trying to make sure that as many obstacles are removed in order to allow for that higher growth to take place. That will be good for all of the people of Wales."

  • Robert Buckland MP also spoke on Wales at Six, urging viewers to remain "steady and calm"

In his mini-budget, the chancellor announced that the top income tax rate of 45% for the biggest earners in the country will be scrapped. He also revealed plans including a cut to stamp duty, a 1p reduction to basic rate income tax being brought forward to 2023 and a removal of the cap on bankers' bonuses.

Mr Kwarteng's plans have been called "a plan to reward the already wealthy" by the shadow chancellor, Labour MP Rachel Reeves and the International Monetary Fund urged Mr Kwarteng to "re-evaluate" his decisions.

It comes as inflation on food costs hits its highest rate on record, with people seeing the price of their shop go up by 10.6% on last year.