8 result(s) for “Fiscal policy”
Chancellor John Healey will set out his first Autumn Budget on Oct 28, 2026, facing pressure from tighter markets, a swollen deficit and higher energy-driven inflation. Investors and businesses are watching for measures on bank taxes, business support and infrastructure funding that could shape gilt and sterling moves.
With Chancellor John Healey due to deliver his first Autumn Budget on October 28, market analysts and financial institutions in London said on October 22 they were positioning for a statement that must balance growth priorities with strict fiscal credibility. Investors will watch gilt yields, bank shares and corporate tax signals for what the government is prepared to fund.
A new analysis highlighting a multi decade high funding gap for public services and defence has intensified market and political scrutiny of Chancellor John Healey’s first Budget, raising the prospect of tax rises, spending cuts, or fresh fiscal trade offs.
The International Monetary Fund raised its forecast for UK growth in 2026 to 1.3 percent on October 14, 2026, citing stronger-than-expected activity this year, but cautioned that higher energy costs and rising interest rates could slow expansion next year, a development that complicates Chancellor John Healey’s plans ahead of the October 28 budget.
London equities nudged up on October 10, 2026, with the FTSE 100 gaining as a retreat in oil prices and lower gilt yields tempered recent market volatility. Banks and energy names drove most of the trading, while investors continued to weigh imminent UK fiscal policy moves and global bond market pressures.
British government bond yields climbed to levels not seen since 2007 on October 9, 2026, as a global bond sell off and a rebound in oil prices pushed investors to demand higher compensation for sovereign debt. The move is pressuring bank stocks, lifting mortgage and corporate financing costs, and complicating Treasury plans ahead of the October 28 Budget.
The UK Treasury on September 28, 2026 published a revised gilt issuance plan to cover higher borrowing needs, prompting a sharp reassessment across gilt and swap markets and renewed scrutiny of the public finances.
British retailer Next has raised its annual profit forecast after a strong first half, but the company expects slower UK sales growth as inflation, mortgage costs and pressure on household finances weigh on consumers.