THE leader of Worcester City Council has admitted that he fears investors could have a "pause for thought" after Brexit.

Worcester Labour Party suffered a major blow when much of its support in traditional city heartlands backed Leave in the EU referendum.

Since the result Councillor Adrian Gregson has been taking soundings from city employers - saying the overriding emotion is one of Britain being in a "mess".

The city's Labour figurehead, who called the outcome "disastrous" last month, said the "overwhelming feeling" from firms is concern over the future.

It follows a turbulent period for the pound and a crisis at Westminster which has seen David Cameron quit and Jeremy Corbyn clinging onto his position amid attempts at a coup.

Councillor Gregson said: "The uncertainty is the threat to the pound and to the national economy, plus the political collateral damage we've seen in Westminster.

"What most people want is economic certainty.

"I've talked to city businesses and the overwhelming feeling is, how did we get ourselves into this mess that no-one wanted in the first place?"

His remarks come as George Osborne launched a five-point plan to try and ensure the economy can steer clear of choppy waters.

The Chancellor is planning to slash corporation tax to less than 15 per cent in an effort to woo business deterred from investing in a post-Brexit Britain.

He said he wants the lowest corporation tax rate of any major economy, announcing a target of less than 15 per cent, down from 20 per cent now.

He said Britain should "get on with it" to prove to investors that the country was still "open for business".

His other plans include focusing on a new push for investment from China, ensuring support for bank lending, redoubling efforts to invest in the Northern powerhouse and "maintaining the UK's fiscal credibility".

Before the referendum Mr Osborne had threatened to make £30 billion of tax rises or spending cuts in a post-Brexit emergency Budget, something his critics cited as more evidence of 'Project Fear'.

Today he struck a more cautious note, saying he would wait on official forecasts before announcing any new measures in the Autumn Statement.