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Economics

  • Budget ‘chaos’ may stall interest rate cuts

    November 26, 2025

    The “chaos” around Budget measures may delay further interest rate cuts as the Bank of England figures through the effects of a flurry of tax rises, despite Rachel Reeves’ stated commitment to set the conditions for borrowing costs to be lowered.  The Chancellor has said curbing the cost of living was a key “priority” at [...]

  • City readies up for Labour’s borrowing spree

    November 26, 2025

    Fixed income investors are readying for the Debt Management Office (DMO) to boost its gilt issuance for the current financial year, otherwise the level of UK government debt sold to traders, as the Labour government ploughs ahead with its borrowing spree.  The DMO, an independent government body that oversees the sale of UK government bonds, [...]

  • Jeremy Hunt issues Budget warning to Rachel Reeves

    November 26, 2025

    Former Chancellor Sir Jeremy Hunt has issued a warning to Rachel Reeves hours before the Budget and revealed what he is most worried his successor will announce later today. The Conservative MP, who held the role under Liz Truss and Rishi Sunak from 2022 to 2024, also outlined his predictions for this year’s Budget including [...]

  • Autumn Budget Live: Wealthy, landlords and pensions hit in £26bn tax raid

    November 26, 2025

    Welcome back to the City AM liveblog. In a shocking turn of events the UK fiscal watchdog has accidentally released the economic forecasts – intended to be published after the Budget – before the Chancellor even took to the despatch box. Rachel Reeves has raised taxes by £26bn in her second Budget, which follows on [...]

  • Budget Day: The good, the bad and the ugly

    November 26, 2025

    It seems as if we’ve been speculating about the contents of today’s Budget since the moment Rachel Reeves sat down after delivering her first one, just over a year ago. Since then, unemployment has risen (every month) and growth rates have slumped quarter-to-quarter from 0.7 per cent to 0.3 per cent to 0.1 per cent. [...]

  • Business chiefs: Employment will be hit by minimum wage hike

    November 25, 2025

    Business chiefs have criticised Rachel Reeves’ decision to hike the national living wage by more than 4 per cent for most British workers at the Budget.  In a final announcement before unveiling the full set of fiscal measures, the Chancellor said she would back the Low Pay Commission’s recommendations to raise the minimum wage to [...]

  • Labour MP warns Budget could force founders out of UK 

    November 25, 2025

    A Labour backbencher has joined industry leaders and a left-leaning pressure group in warning that the Budget could kill the UK’s aspirations of building a competitor to Silicon Valley and force more firms to look for investment outside of the country.  In an open letter to Rachel Reeves, Sarah Edwards, a Labour MP who sits [...]

  • Budget whiplash: How bank shares were hit by the Treasury’s ‘hokey cokey’ leaking

    November 25, 2025

    Last week the House of Commons speaker reprimanded the Treasury for what he called a “hokey cokey” Budget. “Can I just say it isn’t normal for a Budget to be put in the press,” Sir Lindsay Hoyle said in his dressing down of ministers. “One minute it’s in, next minute it’s out.”  Few sectors have [...]

  • BCC boss: Enough taxes. The Budget must tell a positive story

    November 25, 2025

    Last autumn, the British Chambers of Commerce and its members were left shell-shocked when a party that promised to be the most ‘pro-business in history’ used its maiden Budget to deliver a succession of hammer blows to the private sector. Having shouldered the burden last year, boss Shevaun Haviland wants this year’s instalment to paint [...]

  • Traders brace for punishing Budget on pound

    November 25, 2025

    Traders are making pre-emptive moves on the indication Rachel Reeves’ forthcoming Autumn Budget will send the pound tumbling. Investors have taken an overwhelmingly bearish view on the pound, with new trading data revealing the volume of put options – contracts that profit when sterling declines – surpassing call options, those that profit when the currency [...]

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