Cutting UK taxes now would be a mistake, International Monetary Fund warns

Only Rishi Sunak has said he will not start cutting taxes if he becomes prime minister

The Tory leadership candidates clashed on taxes in their second TV debate (PA)

Cutting taxes at the moment would “be a mistake”, according to a top official at the International Monetary Fund.

Four of the final five Tory leadership candidates have pledged to cut taxes if they become prime minister. But not Rishi Sunak, who has argued that slashing taxes would fuel rising inflation.

“I think debt-financed tax cuts at this point would be a mistake,” Mark Flanagan, who leads the IMF’s UK team, told BBC News.