Pound rate sinks to record low: What it means for household energy bills, fuel prices and goods

The value of the pound tanked against the dollar yesterday, as markets continued to react to Chancellor Kwasi Kwarteng’s mini budget.

Investors appear to be concerned that the tax cutting agenda of the Liz Truss government risks fuelling what is already record inflation.

Meanwhile, fears about the prospect of a UK recession coupled with 14-year-high interest rates are also spooking traders. But what does the pound’s current exchange rate mean for the UK economy - and how will it affect you? Here’s what you need to know.