Liz Truss refuses to rule out spending cuts to pay for reduced tax rates

PM says she accepts we should have laid ground better' after mini-budget sparked economic turmoil

Liz Truss has refused to rule out public spending cuts and a real-terms drop in benefits to help pay for the mini-budget, as she sought to quell fury over her handling of the economy by admitting she should have laid the ground better".

The prime minister offered a sliver of remorse for the way last Friday's mini-budget was received. There was a temporary collapse in the value of sterling against the dollar, a rebuke from the International Monetary Fund and warnings that interest rates could be hiked again.