Pound down 0.5% against dollar in early trading after chancellor drops plans for upcoming budget

Jitters over the UK’s autumn budget grow as chancellor Rachel Reeves abandons plans to raise income tax on 26 November

British government bond yields rose sharply on Friday morning.

A source told the Guardian that plans to break the manifesto pledge on income tax had been ditched by the chancellor

Pound down 0.5% against dollar in early trading after chancellor drops plans for upcoming budget

Chancellor reported to have abandoned plans over fears they could anger both voters and backbench Labour MPs