UK heading for recession on BOE view even with Liz Truss tax cuts

Tory leadership favourite has pledged $47-bn tax giveaways

The UK economy is still heading for a recession on Bank of England projections even if Liz Truss becomes prime minister and pushes through her aggressive tax-cutting agenda, according to Bloomberg Economics.

The £39 billion ($47 billion) of tax giveaways proposed by the favorite to succeed Boris Johnson would reduce the depth of the slump expected by the central bank but still leave the economy smaller than it is now. 

The analysis published Tuesday calls into question Truss’s claim that a recession isn’t inevitable. She made her comments hours after the Bank of England warned the UK is facing almost two full