IMF urges UK to “re-evaluate” tax cuts on inflation concerns

LONDON (AP) — The International Monetary Fund has urged the U.K. government to “reevaluate” a package of unfunded tax cuts that it says may fuel inflation and are likely to increase economic inequality. The government on Friday unveiled a 45 billion-pound ($48 billion) package of tax cuts in an effort to spur economic growth. But the plan wasn’t accompanied by spending cuts, raising concerns that it would swell government debt and add to inflation that is already running at close to a 40-year high. The British pound fell to a record low against the U.S. dollar on Monday amid investor concern about the government’s policies.