Kwasi Kwarteng admits ‘turbulence’ caused by mini budget

After announcing this morning that the plan to scrap the 45p income tax rate would be abolished, the chancellor has spoken at the Conservative party conference in Birmingham.

In a reference to the U-turn, the chancellor admitted his mini-budget had “caused a little turbulence”.

“What a day, it has been tough but we need to focus on the job in hand”. He reitereated: “We are listening and we have listened,”.

Kwarteng added that his priority was now to focus on delivering the rest of the package without “distractions” and stressed that the plans in-place “would benefit everyone”.

Kwarteng defended his planned tax cuts, repeatedly arguing they would increase growth which would deliver higher wages and money to fund public services. He also restated his aim to achieve 2.5% annual growth.

He said that as Conservatives, “we believe in growth” but that “we [also], as Conservatives, believe people should keep more of the money they earn”.

“This isn’t a radical vision, it’s one we all want” he says to applause.

The chancellor also announced he would publish a “medium-term fiscal plan” to show how he intends to get debt falling, and that a “full economic and fiscal forecast” from the Office for Budget Responsibility was on its way.

“The government is wholly committed to economic growth”, Kwarteng says, “and that is why it is offering a new economic deal for Britain.”

“We’ve done it before and we can do it again,” he says.