Chancellor Kwasi Kwarteng has U-turned on plans to abolish the 45p rate of income tax for higher earners in the UK.

The plan to remove the 45p rate, paid by those earning more than £150,000 a year, was announced on September 23 as part of a package of tax cuts planned by the UK Government.

The Chancellor told BBC Breakfast this morning that the proposal was “drowning out a strong package”, including energy bills support, and cuts to the basic rate of income tax and corporation tax.

Asked whether he owed people an apology, he said: “We’ve listened to people. And yeah, there is humility and contrition in that. And I’m happy to own it.”

The scrapping of the plans comes after severe public and political criticism of the plans, as the cost of living crisis across the country continues.

Just yesterday, Prime Minister Liz Truss stated that she would not abandon the policy.

In a tweet, the Prime Minister said: “We get it and we have listened. The abolition of the 45pc rate had become a distraction from our mission to get Britain moving.

“Our focus now is on building a high growth economy that funds world-class public services, boosts wages, and creates opportunities across the country.”