Treasury defends Kwasi Kwarteng joining event hosted by hedge fund boss as traders drove value of the pound down

  • Treasury defended Kwasi Kwarteng attending event hosted by hedge fund boss
  • Chancellor spent evening at the home of the chairman of Caxton Associates
  • It is not known whether the company traded on the value of the pound last week 

The Treasury has defended Kwasi Kwarteng’s decision to attend an event hosted by a hedge fund boss as traders drove down the value of the pound.

The Mail on Sunday has established that Mr Kwarteng spent the evening of September 23 – hours after his mini-Budget – at an event organised by Tory HQ at the West London home of Andrew Law, the chairman of Caxton Associates.

It is not known whether the company traded on the value of the pound last week, although it has ‘bet’ on currencies in the past.

A source close to Mr Kwarteng said: ‘It is completely normal for the Chancellor to engage with businesses after a fiscal event.’

The Mail on Sunday has established that Mr Kwarteng spent the evening of September 23 – hours after his mini-Budget – at an event organised by Tory HQ at the West London home of Andrew Law, the chairman of Caxton Associates 

The source added that Mr Kwarteng had ‘addressed key stakeholders in the business world, including the financial services sector, to talk through what the plans mean for jobs, growth and investment in the UK’. Mr Kwarteng has been criticised by ‘Whitehall sources’ for ‘not properly engaging’ with the City following the mini-Budget.

It was reported last week that Mr Kwarteng had had a private lunch with an ex-boss who has been making huge profits by betting against the falling pound. Hedge fund manager Crispin Odey is said to have cooked an ‘informal dinner’ for Kwarteng at his home during the Tory leadership contest back in July.

‘At the time he came for lunch, it was not known who was going to win the leadership,’ Mr Odey said.

The pound fell to a record low of $1.03 on Monday but was trading at $1.11 yesterday.

Mr Law was not available for comment at the time of publication. 

A source close to Mr Kwarteng said: ‘It is completely normal for the Chancellor to engage with businesses after a fiscal event.’ 

Source: Read Full Article