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Britain's growth risks put bond investors on high alert - REUTERS

MARCH 17, 2025

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Summary

  • OBR March 26 forecast 'crucial' credibility test: investors
  • UK is G7 economy most vulnerable to market shocks
  • Traders view fiscal rule like a currency peg: BofA
  • Britain's twin deficits, hot money flows a vulnerability

LONDON, March 17 (Reuters) - Britain's public finances, strained by growing debt and sluggish growth, face a crucial test this month that investors say could prompt another market shock to an economy that is increasingly reliant on fickle foreign funds.
Finance minister Rachel Reeves will deliver an update on the public finances on March 26, based on an assessment by the Office for Budget Responsibility, Britain's fiscal watchdog.

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