UK borrowing in May surges by more than expected
Borrowing is the difference between spending and income from taxes.
Coverage by Political Leaning
See how different sides of the spectrum reported this story
Notable Quotes
"The big picture is that the public finances are fragile."
— Ruth Gregory , Academic
"Long-term borrowing costs have been creeping up and will be monitored closely."
— Danni Hewson , Executive
"The war in the Middle East has clearly had an impact on economies around the world."
— Lucy Rigby , Politician
"Borrowing is out of control."
— Mel Stride , Politician
"Putting our stability at risk when signs of progress are emerging would leave families and businesses worse off."
— Rachel Reeves , Politician
"Today’s policymaking is constrained by a more volatile external environment with more frequent and overlapping shocks; a rising public interest bill in part reflecting market concerns with countries’ elevated debt, and the longstanding challenge of weak productivity growth."
— Luc Eyraud , Executive
"the traditional British love of misery and the media’s obsessive negativity towards the government"
— John Van Reenen , Academic
"The inflationary pressure of the conflict, along with large government deficits, mean yields will remain high for the foreseeable future."
— Apollo , Executive
"Basically, if the cost of borrowing increases, governments have to dedicate a lot more revenue to servicing their debt."
— Daniela Gabor , Academic
Key People
Andy Burnham is the chief minister of Jersey and a prominent Labour Party figure.
Apollo's chief economist provides insights on economic trends.
Clive Lewis is a Member of Parliament and a member of the Labour Party.
Daniela Gabor is a professor of economics at Soas, University of London.
Head of financial analysis at AJ Bell.
Former president of the United States known for his aggressive economic policies.
John Van Reenen is a professor at the London School of Economics.
British Prime Minister and leader of the Labour Party.
Liz Truss served as Prime Minister of the United Kingdom.
Luc Eyraud is the IMF mission chief to the UK, providing insights on economic policies.
Chief Secretary to the Treasury.
Mel Stride is the Shadow Chancellor.
Paula Barker is a Member of Parliament representing the Labour Party.
Chancellor who announced guaranteed paid work placements for youth.
Deputy chief UK economist at Capital Economics.
Chief investment strategist at Wealth Club discussing tech companies.
Statistician at the Office for National Statistics.
Locations
Tags
All Coverage
Borrowing is the difference between spending and income from taxes.
Investors are concerned that surging bond yields, influenced by the Iran conflict, may lead to a global spending crunch, affecting government and household budgets.
The International Monetary Fund has urged Britain to continue reducing government borrowing amid growing bond market concerns over a Labour leadership challenge.
UK 10-year government bond yields have reached their highest since 2008, with concerns about a potential leadership change affecting market confidence.
G7 bond yields are hitting multi-decade highs due to the Iran war, with European, Japanese, UK, and US government borrowing costs all rising.
The rise in UK government borrowing costs is raising questions about the country's fiscal stability and the potential impact on governance.
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