Tax cut plans pull British pound to 4 decade lows

LONDON (AP) — The British pound has resumed a slide against the U.S. dollar that picked up pace last week after the U.K.’s new government outlined plans to cut taxes and boost spending.

The pound dipped as low as $1.0349 per U.S. dollar early Monday but then rebounded to $1.0671, down 2.3%.

The tax-cut plan has sparked concerns that increased public borrowing will worsen the nation’s cost-of-living crisis.

The British currency plunged over 3% on Friday. It’s trading at levels last seen in the early 1980s.