Will Reeves’s Halloween Budget spook the markets?
Gilt markets are soaring ahead of the Chancellor’s first Budget.
Déjà vu? Around this time two years ago, a couple of days after Liz Truss’s mini-budget, the UK’s gilts markets were going haywire with yields soaring, driving up the government’s cost of borrowing to highs not seen for years.
The markets were in such mayhem that Truss summoned Chancellor Kwasi Kwarteng back from Washington, chopped off his head, replaced him with Jeremy Hunt, who then reversed all her tax cuts and proceeded to chop off her head. The rest, as we all like to say, is history.
Yet history has an uncanny way of repeating itself. Once again, gilt yields are soaring, for only the third time in recent years.
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