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fiscal headroom

  • Sunak pushes deregulation as North Sea pressure grows

    Energy

    Rishi Sunak has urged Rachel Reeves to go further and faster on deregulation to revive growth, as eight former UK energy ministers call on the government to rethink its stance on North Sea oil and gas. The former prime minister wrote in a Sunday Times column that Reeves deserved credit for delivering a Spring Statement [...]

    Rishi Sunak
  • Rachel Reeves warned ‘dysfunctional’ fiscal rules are hammering economy

    Economics

    Rachel Reeves has been dealt a scathing assessment of her economic policy by a top think tank, which likened her approach to a driver who was “watching the speedometer” while ignoring other conditions. The Chancellor is facing calls to scrap the self-imposed fiscal rules that prevent her from borrowing to pay for day-to-day spending and [...]

    Breaking news scene with reporters at a press conference, microphones on a podium, and a large crowd in the background
  • Defence stocks rally after Starmer vows to ‘go faster’ on spending pledge

    Markets

    Investors piled into defence stocks on Monday after Keir Starmer said the UK needed to “go faster” on defence spending to combat the growing threat from Russia. The Prime Minister warned that the UK needed to “step up” its defence commitments amid reports that he wants to ramp up the defence budget by tens of [...]

    Keir Starmer discussing UKs defense strategy with BAE Systems executives in a formal meeting setting
  • FTSE 100 Live: OBR chiefs face MP grilling; Food inflation slows

    December 2, 2025

    Good morning and welcome back to the City AM liveblog. The Office for Budget Responsibility (OBR) admitted its “worst failure in the 15-year history” of the fiscal watchdog on Monday. This morning, from 10am, two of its remaining spokespeople will be facing a grilling from the Treasury select committee of MPs. The sensational leak of [...]

  • ‘Fiscal fiction’: IFS challenges Reeves’ tax measures

    November 27, 2025

    The Chancellor may need to come back for more tax rises at a future Budget, according to the Institute for Fiscal Studies (IFS) which warned much of the headroom Rachel Reeves carved out for herself relied on “near heroic restraint” on departmental spending in an election year. Helen Miller, the think tank’s director, said that [...]

  • UK remains in ‘weak fiscal position’ after Budget

    November 27, 2025

    The UK remains in a weak fiscal position after Wednesday’s Budget despite the Chancellor launching an historic fiscal consolidation in an attempt to shore up the public finances and avoid another tax raising budget, several top economists have warned. Rachel Reeves chose to hike taxes by £26bn via a vast combination of sector-specific levies, pension [...]

  • Everything we know about Rachel Reeves’ Budget – from mansions to milkshakes

    November 24, 2025

    In the run-up to the mother of all Autumn Budgets to be delivered by Chancellor Rachel Reeves this week, tax rumours have run wild, infecting the minds of businesses and working Brits while adding to the sense of peril that a botched fiscal event could bring. Investors are running scared. Voters fear looming betrayal. Gamblers [...]

  • UK tech founders warn Reeves her Budget could derail London IPO plans

    November 6, 2025

    Executives from some of Britain’s most valuable technology start-ups have warned Rachel Reeves that proposed tax measures in this month’s budget could force them to abandon London listing plans. According to Sky News, a letter was sent this week by companies like Revolut and Clearscore, urging the Treasury not to impose an exit tax on [...]

  • Autumn Budget: Rachel Reeves pledges to beat ‘gloomy’ economic forecasts

    October 29, 2025

    Rachel Reeves has insisted that the UK can overcome bleak forecasts that look set to box her into manifesto U-turns and further tax hikes.  The Chancellor wrote in The Guardian that she is “determined not to simply accept the forecasts”, pointing to interest rates cuts and trade deals as examples of Britain on the right [...]

  • Up to £115bn government spending cuts ‘staring us in the face’ 

    October 22, 2025

    Around £115bn in cuts to government spending each year are “staring us in the face”, according to a new report, as Chancellor Rachel Reeves faces increasing pressure to regain control of the public finances.  In a paper published by the think tank Policy Exchange, the Chancellor has been warned to prevent a “twin-pronged fiscal crisis” [...]

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