Kwasi Kwarteng admits his mortgage repayments have gone up ‘considerably’ since his mini-budget

Published

2 years ago

August 7, 2023

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Former chancellor Kwasi Kwarteng has admitted he has been “affected” by his own mini-budget which was blamed for creating economic turmoil while Liz Truss was prime minister.

Mr Kwarteng, who was sacked by Ms Truss after just 38 days in the job, said his own mortgage repayments had “gone up considerably”.

However, he denied he was to blame for the wider economic situation and rising interest rates, which he said falls under the responsibility of the Bank of England.

Speaking to GB News’s Camilla Tominey, Mr Kwarteng was asked whether he had any sympathy with those facing higher mortgage costs.

“Of course I do”, he replied.

“I’m probably revealing too much: I’m on a tracker, so I’m affected as well. They’ve gone up considerably.”

Asked whether he had been “screwed by your own mini-budget?”, he replied: “No, not at all because Camilla we are mixing two things.”

He added: “The Bank of England was in charge of inflation and my tracker rate and other people’s tracker rates will be linked to the Bank rate, and whatever margin you have to pay.

“And the reason why interest rates have gone up very high is because we’ve totally missed the goal on inflation, we’ve totally misjudged inflation.”

Asked how much his mortgage bill had gone up by, Mr Kwarteng said: “A lot. We bought the house in 2021 so it’s gone up quite a bit since then.

“I’m just as exposed to interest rates as anyone else.”

In his mini-budget on 23 September, Mr Kwarteng unveiled £45bn in unfunded tax cuts and the promise to abolish the 45p top rate of tax.

The mini-budget, otherwise known as the “fiscal event”, triggered turbulence in the financial markets, sent the pound tumbling and led to an unprecedented intervention by the Bank of England stop pension funds collapsing and pushing mortgage rates up.

Mortgage costs increased significantly following the turmoil of the mini-budget, while lenders pulled a record number of mortgages in a single day the following week.

Last month, fixed mortgage rates rose again after a brief fall, according to financial information company Moneyfacts.

Meanwhile, the Bank of England raised interest rates for the 14th successive time on Thursday, lifting its official rate to 5.25%.

The quarter percentage point increase was smaller than some economists had expected, following the release of lower-than-anticipated inflation data last month.

Inflation currently stands at 7.9%.

Bank of England Governor Andrew Bailey defended the interest rate hike on the grounds it was necessary to bring inflation down to its 2% target.

“We know that inflation hits the least well off hardest and we need to make absolutely sure that it falls all the way back to the 2% target. That’s why we’ve raised rates to 5.25% today,” he said.

Politics

China says it has ‘no interest’ in spying on UK following latest accusations

Published

2 hours ago

November 19, 2025

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China says it has 'no interest' in spying on UK following latest accusations

China’s foreign ministry has hit back at what it called “unfounded” accusations of spying in Westminster, saying it has “no interest” in gathering intelligence on the UK.

Yesterday, the security service MI5 sent a warning to MPs and peers about two recruitment headhunters who are working for Chinese security services.

Politics latest: ‘Are we safe?’ – Minister challenged repeatedly after damning report from MPs

They are Amanda Qiu of BR-YR Executive Search and Shirly Shen of the Internship Union.

But speaking in response to a question by Asia correspondent Helen-Ann Smith, Chinese foreign ministry spokesperson Mao Ning replied: “China has repeatedly made clear its solemn position on this matter.

“We firmly oppose such unfounded allegations and the exaggerated portrayal and sensationalism that project one’s own biases onto others.

“Judgements based on erroneous information will only lead astray.

Ms Mao added: “China never interferes in the internal affairs of other countries, nor does it have any interest in gathering so-called intelligence on the British parliament.”

Chinese spying accusations may signal thorny period ahead

It is China’s standard playbook to outright deny allegations of spying.

But given that it’s common knowledge countries spy on each other, and given the recent spate of allegations of this nature, it might feel a little far-fetched for China to stick so rigorously to the position that the UK is just making it all up.

Not so, says Mao Ning, the spokesperson for China’s Ministry of Foreign Affairs.

When I put it to her, she said that these allegations are, in fact, a “projection of one’s own biases on to others”, and that China doesn’t “have any interest in gathering so-called intelligence on the British parliament”.

That is almost certainly not true. China is commonly understood to run a highly sophisticated espionage operation.

But, in a way, the truth or untruth might be immaterial to the impact on the bilateral relationship.

While the UK government may seek to send strong signals amidst criticism that it’s being too soft, China really does not appreciate this type of laundry being aired in public.

It may well signal a thorny period ahead.

In a message seen by Sky News about parliamentary staff, MPs and peers were warned that the MI5 alert “highlights how the Chinese Ministry of State Security (MSS) is actively reaching out to individuals in our community”.

The message continued: “Their aim is to collect information and lay the groundwork for long-term relationships, using professional networking sites, recruitment agents and consultants acting on their behalf.”

Security minister Dan Jarvis later said in a statement to parliament that “China has a low threshold for what information is considered to be of value, and will gather individual pieces of information to build a wider picture”.

He added: “Let me speak plainly. This activity involves a covert and calculated attempt by a foreign power to interfere with our sovereign affairs in favour of its own interests, and this government will not tolerate it.”

The government made a statement in the House of Commons following the revelations, saying it would take all “necessary measures” to protect the UK.

Westminster employees were warned that two individuals were both known to be reaching out on LinkedIn to “conduct outreach at scale on behalf of MSS”.

This latest warning comes after the collapse of a prosecution of two people suspected of spying on behalf of China.

The previous spying allegations led to controversy over how the government under Labour responded to the Crown Prosecution Service’s requests for evidence.

Sir Keir Starmer sought to blame the previous Conservative government for the issues, which centred on whether China could be designated an “enemy” under First World War-era legislation.

Sir Keir has sought to keep relationships with Beijing somewhat warm, highlighting the value of China as a trading partner.

Politics

New Hampshire approves first-of-its-kind $100M Bitcoin-backed municipal bond

Published

8 hours ago

November 19, 2025

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New Hampshire approves first-of-its-kind 0M Bitcoin-backed municipal bond

New Hampshire has approved the issuance of a $100 million municipal bond backed by Bitcoin, in what appears to be the first structure of its kind at the US state level.

Minutes from a Nov. 17 meeting of the New Hampshire Business Finance Authority (BFA), the state’s business financing agency, show the board planned “to consider approving a resolution authorizing up to $100,000,000 bonds for a project to acquire and hold digital currency.”

Minutes from the following day record that directors voted to “approve the preliminary official intent, with no reservation, to issue a taxable conduit revenue bond for WaveRose Depositor, LLC of up to $100,000,000.”

According to a Wednesday Crypto in America report, the bond is backed by Bitcoin (BTC) and would let companies borrow against overcollateralized BTC held by a private custodian. The state or taxpayers do not back the bond; instead, BFA approves and oversees a private deal, while Bitcoin — reportedly held in custody by BitGo — covers investors.

According to the report, asset manager Wave Digital Assets and bond specialist Rosemawr Management designed the bond to utilize Bitcoin as collateral under the same rules that govern municipal and corporate bonds. Wave co-founder Les Borsai said the goal is to “bridge traditional fixed income with digital assets” for institutional investors.

New Hampshire, United States — *The New Hampshire State House in Concord. Source:* *Wikimedia*

“We believe this structure shows how public and private sectors can collaborate to responsibly unlock the value of digital assets and digital asset reserves,” he added.

The borrower is expected to post approximately 160% of the bond’s value in Bitcoin as collateral, and if the price of BTC drops below roughly 130%, a liquidation would ensure that bondholders stay whole. According to BFA Executive Director James Key-Wallace, fees from the transaction will fund the local innovation and entrepreneurship program, the Bitcoin Economic Development Fund.

New Hampshire dives headfirst into crypto

The news follows New Hampshire becoming the first US state to allow its government to invest in cryptocurrencies in May after Governor Kelly Ayotte signed a bill allowing the municipality to “invest in cryptocurrency and precious metals.”

New Hampshire is also working on a bill to deregulate local cryptocurrency mining operations. In late October, a committee voted 4–2 to send the measure for further review in an interim study after it had been deadlocked in the State Senate twice.

The local administration is viewed as particularly welcoming to the cryptocurrency industry. In early February, Brendan Cochrane, an Anti-Money Laundering specialist at YK Law in New York City, argued that it could become an alternative for crypto companies relocating to the Bahamas.

The latest moves build on a longer history of crypto engagement. Back in 2015, New Hampshire was already working on a bill that would have allowed the state government to accept tax and fee payments in Bitcoin.

The bill ultimately failed in 2016, but it shows how early the local administration began to show interest in this asset class. Additionally, as early as 2016, some advocates were already arguing that New Hampshire was among the world’s most Bitcoin-friendly communities.