Contingency plans in place amid market volatility: Osborne

Bloomberg

Chancellor of the Exchequer George Osborne said contingency plans were in place to shore up the economy amid ongoing market volatility as he sought to reassure financial markets after Britain’s shock vote to exit the European Union.
Osborne, breaking a three-day silence, delivered a statement first thing Monday morning saying that he had been in contact with Bank of England Governor Mark Carney over the weekend to add to existing planning.
“We have further well thought through contingency plans if needed,” Osborne told reporters at a press conference in London. “It will not be plain sailing in the days ahead but you should not underestimate our resolve.”
The chancellor said he had been in contact with other Group of Seven finance ministers and central bankers as well as the International Monetary Fund in the days since the referendum result was announced on Friday. Prior to the vote, Osborne said voters opting for “Leave” would be bringing on a “DIY recession.” He warned of permanent damage to the economy costing 4,300 pounds ($5,780) per household by 2030, and outlined emergency tax rises and spending cuts he’d need to implement to fill a 30-billion-pound budget “black hole” that would open up.
Osborne said that while he stood by his now toned-down warnings before the referendum, Britain was in a position to confront those risks.
“I want to reassure the British people and the global community that Britain is ready to confront what the future holds for us from a position of strength ,” he said. “I fully accept the referendum and I will do everything I can to make it work for Britain.”