British pound climbs as government makes U-turn on tax cut plan

British pound sterling rebounded although UK stocks opened weak on Monday, after the government said it was making an about-turn on a controversial tax cut plan in its mini-budget.
British Finance Minister Kwasi Kwarteng said the government would not scrap the country’s top rate of income tax, as outlined a week ago.
That proposal alongside a planned increase in corporate taxes and an expensive scheme to subsidise energy bills for households and businesses had triggered a crisis of confidence in the government, sent the currency into freefall and hammered government bond prices.