Bond traders: Bank of England gilt shake-up would ‘concentrate risks’ in market meltdown Markets Bank of England plans to reduce the bond market’s vulnerability to a Liz Truss-style crash would fail to improve financial stability and could make stress points worse, according to gilt traders and hedge funds polled by the Bank. Responses to the central bank’s plans to overhaul its regulation of the gilt repo market showed market [...]
Is Rachel Reeves actually to blame for the ‘Truss crash’? Opinion After years of blaming the 'Truss crash' on tax cuts, Rachel Reeves has finally gestured to the real problem – her own instinct to overspend, writes Tom Harwood.
Government borrowing costs set for worst month since Liz Truss Markets The government’s short-term borrowing costs were on course to have their worst month since Liz Truss’s ignominious mini-Budget, until the news of United States’ talks with Iran led traders to unwind bets future interest rate hikes. The two-year gilt yield jumped by eight basis points on Monday morning, meaning the interest rate on the government’s [...]
Energy bills bailout speculation sparks bond sell-off fears March 17, 2026 An unfunded government intervention to subsidise household energy bills would trigger a gilt market rout likely to push the UK’s long-term borrowing costs to the highest they have been since 1997, bond investors and economists have warned. David Zahn, head of European fixed income at Franklin Templeton, told City AM that the prospect of ministers [...]
Borrowing costs climb most since mini-Budget on inflation fears March 6, 2026 The government’s borrowing costs rose dramatically on Friday and were on track to have their worst week since Liz Truss’s fateful mini-Budget, amid fears the escalating war in the Middle East will unleash another bout of high inflation. The interest rate on UK bonds – known as gilts – rose across the board, to reach [...]
Show them the book: why politicians need to read more novels February 26, 2026 Leading historian Dominic Sandbrook has said declining reading habits of our politicians tells you everything you need to know about why they’re so inadequate. William Atkinson couldn’t agree more… Would Keir Starmer be a better Prime Minister if he went to bed with a good Trollope? That was the suggestion of Dominic Sandbrook – Britain’s [...]
Britain deserves better than our cabbage patch politicians February 12, 2026 It’s easy to forget how little most people pay attention to politicians. The only thing that really matters to the public is the cost of living, and no politician seems to get it, says Tom Harwood I was carrying a cabbage in my hands on the way into work on Monday. Yes, a cabbage. In [...]
Is Japan about to have a Liz Truss moment? February 6, 2026 Japan’s upcoming election could trigger a global economic crisis similar to the UK’s “Liz Truss moment” due to the country’s high debt, plans for fiscal expansion by Prime Minister Sanae Takaichi, and the potential for a bond selloff, says David Stritch The Japanese election this Sunday may seem remote to British observers – especially with [...]
Investors on alert after Japanese market jitters January 26, 2026 Japan continued to preoccupy traders at the start of the week after the country’s prime minister suggested that the government was ready to support the yen, pushing the currency up to its strongest level against the dollar in two months following market turbulence that has been described as a “Liz Truss-lite moment”. The yen marked [...]
‘Liz Truss-lite’: Is Japan in the midst of a sovereign debt crisis? January 22, 2026 Japan’s long-dated bonds suffered their worst sell-off this century on Tuesday. Ali Lyon asks whether the rout could spark a full-blown debt crisis? For decades, the world’s fixed income investors have been sucked in – and spat out – by an alluring trade on Japan’s government bonds. Secure in their belief that the securities’ unfathomable, [...]