Hoping to calm the markets, in a major government retreat that leaves Liz Truss's position as prime minister in a fragile position, the new British finance minister Jeremy Hunt announced the abolition of tax measures whose financing depends on debt

In this context, hunt estimated that the tax-related amendments will contribute to raising about 32 billion pounds (36 billion dollars) annually, after economists estimated that the government will face a gap in public funding of 60 billion pounds. He also warned about the possibility of reducing expenses.

The finance minister, who took office unexpectedly on Friday to succeed the recently sacked Kwasi Kwarteng, stressed that his move would play a reassuring role about the health of public finances.

A televised statement by Hunt included the following: "we will cancel almost all actions related to taxes that have been announced.. Three weeks ago," while acknowledging that the budget announced by his predecessor last month damaged the overall financial situation. "The most important goal of our country now is to achieve stability,"he added.

Hunt backed away from plans to abolish the lower rate of income tax and put an end to the government's flagship plan to freeze energy prices, to expire in April instead of late 2024. He said the government would "review" the energy price support package after April.

A proposal to reduce taxes on shareholders ' profits was also abandoned, as well as a plan to provide a tax-free shopping experience for tourists and freeze duties on alcoholic beverages.

The announcement comes against the backdrop of a significant decline for Truss's Conservative Party in the opinion polls, in the wake of the worsening cost of living crisis in Britain.

The prime minister sacked her close friend korateng on Friday, after their recent budget based on tax cuts caused chaos in the markets, raising many questions about her political future a month after taking power.

"No government can control the markets, but every government can provide reassurances about the sustainability of public finances,"Hunt said.

Britain's fourth finance minister is due to give a speech to MPs on his plans within the same number of months

His announcement led to a short-term rise in the value of the British pound to 1.1331 dollars, while bond yields fell.

Last month's controversial budget led to a rise in bond yields and the collapse of the value of the pound sterling to a record rate against the dollar amid concerns related to the increase in UK debt.

The tax cut was considered the centerpiece of the failed budget plan, but it was to be financed through huge debts.

Truss twice retreated from measures stipulated in the budget, canceling tax cuts for higher-income people and on corporate profits.

Immediately after his appointment, Hunt did not hesitate on Saturday to issue a warning about an upcoming tax increase, completely retreating from Truss's hardline economic reform program.