LONDON — The pound hit an all-time low against the U.S. dollar on Monday, adding to global recession fears and reflecting a highly negative review of the new British government’s plan for big tax cuts funded by big borrowing.
The pound sank to $1.03 in Asian trading early Monday, before regaining some ground and stabilizing around $1.08 — still well below where it was Friday morning before the government unveiled the details of its plan to cut taxes in an effort to boost growth.
The slide may be good news for the many American tourists who visit here and suddenly find their dollars going much further. The U.S. dollar is in strong position, after a series of interest rate hikes by the Federal Reserve.
It is anxiety-producing, however, for many British households, which were already facing soaring energy bills and inflation running at 10 percent. They may soon confront higher costs for imported goods and services, including…
