Keir Starmer calls for recall of Parliament on economy as 'inane madness' sparks Tory fury

Labour leader says financial market turmoil is 'self-inflicted' with crisis 'made in Downing Street' last week with mini- budget

Labor leader Sir Keir Starmer (

Image: Ian Vogler / Daily Mirror)

Liz Truss must recall Parliament in response to financial market chaos, Keir Starmer has demanded.

“The government has clearly lost control of the economy,” the Labor leader said.

"What the government needs to do now is call Parliament back and abandon this budget before more damage is done."

It comes after the Bank of England was forced into emergency action on Wednesday - less than a week after the Chancellor presented his mini budget with billions of pounds in tax cuts.

In a statement in response to the market turmoil, the BoE said it would buy long-term government bonds due to the "significant risk to UK financial stability".

The Labor leader said the Bank of England's decision "is very serious".

He told Sky News: "And I think a lot of people are now going to be extremely worried about their mortgages, rising prices and now their pensions.

“The government has clearly lost control of the economy, but unlike other situations where it can be a global event, an unexpected event that causes this type of crisis, this is self-inflicted .

"It was done in Downing Street last Friday.

Liz Truss must recall Parliament, says Labor leader (

Picture:

REUTERS)

"And for what? For unquantified tax breaks for those earning hundreds of thousands of pounds."

Tory MP Simon Hoare publicly denounced the government, saying it was "not a matter of circumstances beyond the control" of the Treasury.

"They were written there. This inane madness cannot continue."

In extraordinary comments on Tuesday evening, the International Monetary Fund also urged Mr. Kwarteng to change course in an extraordinary way...