the value of the pound has dropped again today by nearly a percent against the dollar as investors digest the warning from the international monetary fund about the uk government s fiscal plans. the imf has openly criticised the plan for widespread tax cuts, warning the measures are likely to fuel the cost of living crisis and increase inequality. here s michelle fleury with more details in new york. one of the roles of the international monetary fund is to act as an early economic warning system, and it has just sounded the alarm over the uk s new tax and spending plans. in a statement, the fund warned, given elevated inflation pressures in many countries, including the uk, we do not recommend large and untargeted fiscal packages. even more pointedly, it suggested that the november 23rd budget presented an opportunity for the government to re evaluate tax measures, especially those that benefit high income earners. remember, as part of the uk treasury s policy to boost
hello and welcome to bbc news. millions of people in the us and canada are spending christmas in the grip of a severe winter storm. it s brought extreme frost, heavy snow and strong winds. at least 35 people have died in weather related incidents and around 175,000 homes are without power. 0ur north america correspondent, nomia iqbal, reports. a very white christmas has turned more into a deep freeze. the city of buffalo in new york state is used to tough weather conditions, but this storm has left it paralysed. many don t even have any power to cook their christmas lunch. i m really glad that i have a fireplace because otherwise i d be freezing right now. 43 inches of snow fell here as of christmas morning. driving is banned as the blizzard conditions leave roads impassable, power substations frozen and at least seven people dead. we are in a war. this is a war with mother nature and she has been hitting us with everything she has since the late hours of thursday and into fr
more now on the day ahead in the uk, and we could know as early as this afternoon who the next leader of the conservative party is and therefore our prime minister. as you ve been hearing, borisjohnson has pulled out of the contest, saying the time isn t right and would not lead to much needed party unity. this leaves two contenders former chancellor rishi sunak and the leader of the house of commons, penny mordaunt, with mr sunak currently the front runner. by 2pm this afternoon if penny mordaunt hasn t got 100 backers or more, then rishi sunak is in post. if both candidates are still in play, then mps vote to state their preference. let s take a look at how the markets are trading today during asian time. we have the dollar versus again, i was hoping to show you the pound but the detail is not on that particular screen, when i looked at it months ago the pound was buying just over $1 13 cents, fairly steady versus the dollar and up slightly versus euro. joining me now is
we start here in the uk where a final battle to become the next prime minister is taking place as the country faces the worst cost of living crisis in a generation. as you ve been hearing, formerfinance minister, rishi sunak, and the foreign secretary, liz truss are the last remaining candidates. they will now face a vote by conservative party members around the uk with a result expected in september. whoever wins could mean a very different approach to the economy. truss says you cannot tax your way to growth she is proposing more than 30 million pounds in immediate tax cuts. sunak wants to delay the tax cuts until inflation is under control. borrowing your way out of inflation , he says, isn t a plan, it s a fairytale . the economic challenges facing the next prime minister are huge. last month, the rate of inflation hit 9.4% the highest rate for a0 years driven by a leap in the price of fuel, and also of basic foods like milk, cheese and eggs. our economics edi
Thats when the olympics and paralympics finish. Translator i want you to give me some time, but i dont intend to stay on as governor forever. Tokyo will host the next summer games in 2020. As governor, masuzoe is expected to go to rio for a flag handover. The liberal democratic property and komeito hold 60 of the seats. They both recommended him for the post. Now they say he has no choice but to resign. Translator we are fully aware that tokyo residents not convinced by the governors account at the assembly. Translator komeito legislators at the assembly have made up their mind to urge the governor to resign. We will respect their decision. People in tokyo are echoing that call. He may not have violated the law, but i cant tolerate what he did on an ethical and moral point of view. I think he had better resign immediately. Translator i think its better for a new governor to start again ahead of the tokyo olympics. If masuzoe loses a noconfidence motion, hell have to resign or dissolve