UK Chancellor of the Exchequer Jeremy Hunt said on Thursday that he will ensure government decisions are in lockstep with the Bank of England’s approach and resist the urge to fund spending or tax cuts through increased borrowing.
“Inflation is a stealth tax that is the biggest threat to living standards in a generation, so we support the bank’s action today so we succeed in halving inflation this year,” Hunt said in a statement.
“We will play our part by making sure government decisions are in lockstep with the Bank’s approach, including by resisting the urge right now to fund additional spending or tax cuts through borrowing, which will only add fuel to the inflation fire and prolong the pain for everyone.”
The Bank of England on Thursday hiked its interest rate for a tenth time in a row as global authorities race to combat sky-high inflation.
The central bank’s Monetary Policy Committee voted at a regular meeting to lift its key interest rate by a half-point to 4.0 percent, the highest level since late 2008.
A 1996 photo of rapper Tupac Shakur (L) and Marion "Suge" Knight is shown on screens during closing arguments in the Duane Davis murder trial, related to the 1996 killing of rapper Tupac Shakur, at Clark County District Court at the Regional Justice Center in Las Vegas, Nevada, on August 31, 2026. Getty Images
A rescuer assists a resident through heavy mud following flash floods on August 27, 2026 in Trishuli, Nepal. A sudden flood swept through the Bhote Koshi River basin in northern Rasuwa on August 26, damaging settlements, roads and energy infrastructure as rescue teams searched for residents and foreign travellers reported out of contact. Hundreds were reported missing, as the death toll started to climb.Getty Images
Rescue personnel provide medical treatment to a child at an army rescue camp in Trishuli Batar, Nepal, on August 27, 2026. A sudden flood swept through the Bhote Koshi River basin in northern Rasuwa on August 26, damaging settlements, roads and energy infrastructure, as rescue teams searched for residents and foreign travellers reported out of contact. Hundreds were reported missing as the death toll began to climb. Getty Ima
Family members of missing flood victims react at the emergency ward of the Maharajgunj Medical Campus, part of the Tribhuvan University Teaching Hospital, on August 28, 2026 in Kathmandu, Nepal. Authorities said the flash floods were triggered after a mass of ice, mud and rock collapsed into a Himalayan river near the Nepal-China border, leaving hundreds dead or missing and causing widespread damage in affected districts. Authorities continued the gruelling search for victims, many buried under metres of mud, as both China and Nepal issued fresh flooding alerts.Getty Images