it paves the way for him to become the most powerful leader since mao zedong. and those are your latest headlines. the governor of the bank of england, andrew bailey, has spoken to the new chancellor, jeremy hunt, and says there was a clear meeting of minds on the importance of stability. now mr bailey has also warned of the possibility of higher interest rates ahead, more than previously expected. our business correspondent, marc ashdown, has this analysis. all smiles launching the mini budget at the end of september. and with it a new political phrase trussonomics, describing liz truss s vision for a high growth, high wage, low tax economy. but just three weeks later, her new chancellor has buried it. have you been given a clean slate? can you change elements of the mini budget if you want to? yes. and the fundamental thing the prime minister wants me to do and i need to do is to be completely honest with the country. trussonomics reversed, then. tax cuts likely replace
but just three weeks later, her new chancellor has buried it. have you been given a clean slate? can you change elements of the mini budget if you want to? yes, and the fundamental thing the prime minister wants me to do and i need to do is to be completely honest with the country. trussonomics reversed, then, tax cuts likely replaced with tax rises, huge investment replaced with a spending slowdown. this rethink has largely been driven by the turmoil in the financial markets since the mini budget was announced. the pound has had a torrid time. the effective cost of government borrowing has soared, and the bank of england had to step in with an emergency programme, buying up government bonds to stabilise the pension sector. there is a pressing need, then, to restore some confidence and credibility. bank of england governor andrew bailey said he spoke to the new chancellor yesterday and had an immediate meeting of minds. but in a speech in washington, he had this warning on in
peter saull reports. from the dean of westminster to the relative calm of chequers, she s meeting her new chancellor here and stay together try to turn her faltering premiership around. the sunday papers are full of speculation about plots, with various names doing the rounds as would be successors. something this man is already running the show, but he says. man is already running the show, but he sa 5. man is already running the show, but he sa s. ~ , , he says. the prime minister is in charae. i he says. the prime minister is in charge. ithink he says. the prime minister is in charge. i think it s he says. the prime minister is in charge. i think it s important - he says. the prime minister is in charge. i think it s important when you talk about ditching things, the biggest element of that mini budget was the energy price guarantee. find was the energy price guarantee. and then a message to restless mps. was the energy price guarantee. and l then a message to restless
the result of sabotage. the uk must prepare for a big wave of flu this winter, say health experts, as people are urged to get flu and covid vaccines. and the spotlight is on glasgow and liverpool, as they vie to host next year s eurovision song contest. and coming up on the bbc news channel, england s women will play their first ever stand alone fixture at twickenham next year. theirfinal six nations match against france will take place at rugby hq. good afternoon and welcome to the bbc news at one. the bank of england has made a surprise intervention to try to calm the financial markets, by launching a temporary uk government bond buying programme. it s an attempt to get long term borrowing costs down. they had been. since last week s mini budget. the emergency move is to stave off what the bank said was a material risk to the country s financial stability , given the turmoil that s followed friday s mini budget. the bank said its intervention was to restore orderly market
to some of her mps, they continue to question herfuture. and her new chancellor. more changes to the mini budget look set to come, amid talks this afternoon between liz truss and her new chancellor. they met at the prime minister s country retreat, and as some of her mps continue to question her future. butjeremy hunt says voters do not need more turmoil. what we want to stability, and the worst thing for that would be more political instability at the top, another protracted leadership campaign. i think that s the last thing that people really want to happen. with public spending as well as taxes in the spotlight we ll look at at the chancellor s options, and how welfare payments could be affected. and also coming up on this evening s programme. china s president defends his zero covid policy as the communist party gathers for a congress that happens twice in a decade. and a shock for scotland at the rugby league world cup as italy gain an easy win. good afternoon. the new