UK business wants stability amid political turmoil

The head of a UK wine bottling firm has called for a return to stability after new prime minister, Liz Truss, sparked economic and political turmoil with the announcement of huge tax cuts.

The cuts had fueled investor concerns about unsustainable levels of government borrowing, which pushed up borrowing costs, raised home mortgage rates and sent the pound plummeting to an all-time low against the dollar.

The Bank of England was forced to intervene to protect pension funds, which were squeezed by volatility in the bond market.Kingsland Drinks, one of the biggest wine bottlers in the UK, which supplies supermarkets and brands with private label wines, was hit as the pound slumped against a strong US dollar.

Managing director Ed Baker said " as a business, which fundamentally imports a large quantity of the value of our product, the importance of Sterling's strength has a big impact in terms of our overall market.”