CBI chair Rupert Soames: Reeves has created a ‘hole in the trust of business’ January 13, 2025 Rachel Reeves has created a “hole in the confidence and trust of business” by using the private sector to fill a £22bn hole in the government’s finances, the chair of the UK’s top business body has said. Rupert Soames, chair of the Confederation of British Industry, said the Chancellor had “bruised” British companies after rolling [...]
Chinese investment of £600m in UK ‘a start’, says Cabinet minister January 12, 2025 China committing to putting £600m in the UK is “a start” and “will lead to future investment”, a Cabinet minister has said. Science Secretary Peter Kyle said the Chancellor has returned with “solid commitments for investment” as the Government commits to “rebuilding the relationship with China”. Rachel Reeves has been criticised by the Conservatives and [...]
Reeves vows ‘action’ to meet fiscal rules amid rise in borrowing costs January 11, 2025 Rachel Reeves has said she will “take action” to meet her fiscal rules following turbulence on the gilt markets. Increases in the Government’s borrowing costs have sparked concern that the Chancellor will be unable to meet her debt and spending targets, requiring either tax rises or deeper spending cuts when she delivers a fiscal statement [...]
Rachel Reeves says fiscal rules ‘non-negotiable’ during bid to boost ties with China January 11, 2025 Rachel Reeves vowed to stand by her “non-negotiable” fiscal rules, as her mission to China was overshadowed by further turbulence in the gilt markets. Visiting bicycle-maker Brompton’s flagship Beijing store on Saturday, the Chancellor declined to give a running commentary on the financial markets in the UK, but said the rules she set for herself [...]
Rachel Reeves to raise Ukraine and Hong Kong human rights on China trip January 11, 2025 Rachel Reeves is expected to raise Russia’s war in Ukraine and issues of human rights in Hong Kong during her trip to China. The Chancellor is visiting Beijing for the first UK-China economic and financial dialogue since 2019, with Bank of England Governor Andrew Bailey and top financial services figures. Ministers are insisting the trip [...]
Rachel Reeves or Liz Truss: Who really ‘crashed the economy’? January 10, 2025 Amid UK bond market turmoil, how does Reeves' budget compare to Truss' - and who is really responsible for 'crashing the economy'?
Rachel Reeves eyeing spending cuts in spring January 10, 2025 Rachel Reeves is considering cutting departmental spending as UK borrowing costs soar, despite risks it could “dampen” activity and “further dent anaemic” growth. The Chancellor is said to be eyeing further reductions to unprotected government departments’ budgets after she ruled out additional tax rises or more borrowing to avoid breaking her fiscal rules following the [...]
Chancellor Rachel Reeves looks for pro-growth measures amid market tumult January 10, 2025 Earlier this week the yield on the 30-year gilt hit its highest level since 1998 while the 10-year gilt rose to its highest level since 2008.
What’s behind the bond market turmoil? January 9, 2025 Although the jitters had calmed somewhat by Thursday afternoon, traders will be on high alert over the coming days.
Reeves ‘will be forced to hold Spring Budget’ to settle gilt jitters, Abrdn predicts January 9, 2025 Chancellor Rachel Reeves will be forced to hold a spring Budget this year to rein in government spending and settle investors’ nerves, after the cost of government borrowing hit multi-decade highs this week, Abrdn has predicted. Despite ministers insisting the gilt market was functioning in an “orderly” way and no emergency measures would be taken, [...]