Financial markets crisis: Liz Truss made clear intention to cut taxes during leadership bid, says Scottish Secretary Alister Jack

One of Liz Truss’s key ministers has said “anyone paying attention” to the Tory leadership election would know she had planned to cut taxes.

The reform, which would see the top rate of tax scrapped and the basic rate cut to 19p in the pound, spooked the financial markets, sending the pound to its lowest level against the US dollar.

Sterling rebounded to $1.12 on Friday morning – just shy of the $1.13 seen before the announcement.

Scottish Secretary Alister Jack. Picture: PA

Scottish Secretary Alister Jack said the announcement of tax cuts should not have come as a shock.