UK hedge funds made a fortune shorting the pound–they may be under investigation
finance.yahoo.com
finance.yahoo.com
Liz Truss literally said she would do exactly this budget during the election. You had how much time now to do this short?
IMO a stable currency is desirable, but how high it should be is a legitimate matter of dispute. A lower currency boosts some things (good or bad), a high others.
The hedge funds acted, basically, on their belief that she'd do what she had told Tody members around a month ago. They also acted on their belief that doing so would cause sterling to fall. I am sure that the Treasury believed the same, and had told Kwarteng.
If a low pound is bad, then IMO the guilt hits Truss and Kwarteng, and to a lesser degree the Tory voters who voted for this. Honest politicians told voters what they'd do, the voters voted for it, the politicians did it, and the result is bad. In this case I don't see any guilt left over for the hedge funds.
If a low pound is good (in e.g. Kwarteng's opinion), then there is nothing to be guilty of, so no guilt hits the hedge funds.
(I wrote above that my opinion is that a stable currency is good. If they wanted a lower pound they should have been much more gradual about it, and if they didn't they should have listened to the Treasury. But that's just my opinion.)
When did voters have an opportunity to vote for it? The previous prime minister was pushed out and replaced. There’s no General Election in that process so the new direction of government wasn’t put to a vote.