New chancellor scraps government's mini-budget plans
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Jeremy Hunt made his statement to the public on Monday afternoon
The new Chancellor of the Exchequer Jeremy Hunt has scrapped almost all of the government's mini-budget which was introduced last month.
The government had already gone back on some parts of its plan before Mr Hunt's announcement, but in his latest speech he has got rid of most of what remained.
It's a huge change of direction and is very embarrassing for the government, and for Prime Minister Liz Truss, whose big project is in tatters.
PM Truss is under huge pressure now following some of the decisions her government has made, and many are questioning if she will be able to hold onto her job.
What did the chancellor say in his statement?
Many of the government's original plans were reversed by Mr Hunt
The chancellor said nearly all of the tax measures announced as part of the mini-budget will now be reversed.
He also said a planned cut to income tax - which is the tax lots of adults pay on the money they earn - will no longer be going ahead.
The government had previously said it'd be introducing a cap on energy bills which would limit how much people pay for using gas and electricity in their homes.
The chancellor said that while this support will still go ahead, support will only be provided until April next year - instead of for the two years that had been announced by Mt Kwarteng.
Following that, he said the government will review how people can be helped with their bills.
The Truss programme for government is dead. Nearly every element of her prospectus has just been shredded by her new chancellor.
Why have these changes been announced?
Kwasi Kwarteng was forced to step down from his role as chancellor last week
The changes put forward by the new chancellor make it clear that he believes the plans set out Ms Truss and Mr Kwarteng weren't the right way to go about things.
With Kwasi Kwarteng as chancellor, the government were looking to cut taxes and borrow more money, but Jeremy Hunt's approach focuses on limiting borrowing and leaving some of the biggest types of tax as they are.
Mr Hunt stressed the importance of "confidence and stability" for the country during his statement, and he believes the actions he set out are what will help achieve this.
"As I promised at the weekend, our priority in making the difficult decisions that lie ahead will always be the most vulnerable, and I remain extremely confident about the UK's long-term economic prospects as we deliver our mission to go for growth," he said.
He'll be talking in the House of Commons about the government's plans later today, where he'll also be answering questions.
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