Gilts investor is about 310 billion pounds in debt sales

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It is expected that the sales of bonds in the United Kingdom will rise to approximately 310 billion pounds next year, which is a record amount that will provide the latest market confidence in the spending plans in Rachel Reeves.

In addition to the spring statement of the advisor on public financial affairs on March 26, the UK’s debt office will announce its intended issuance for the next fiscal year.

Investment banks in the city expect the Ministry of Treasury to increase the so -called net financing requirements for the year from March 2026 to 308 billion pounds, according to an average of 10 estimates collected by financial times. This would exceed the number that was upgraded by 300 billion pounds in 2024-25 stipulated in the October budget and set a New height Outside the level of version 2020-21 Covid-19.

The market can absorb the estimated amount without an accident as long as it was “accompanied by significant discounts in spending and a wise approach in the Capital Chamber.”

But “any signs that the counselor is ready to throw caution on the wind … can prove a murderer of the doctrine market already to support life.”

The rise in global bond revenues since the budget of October-as the bond sale process along with concerns about public finances in the United Kingdom-has pushed 10-year borrowing costs in the United Kingdom to the highest level in 16 years in January by 4.93 percent.

This has since returned to 4.63 percent, but economists have warned that the total interest costs during the past year have eliminated a large part of Rivs’s head against its self -imposed financial rules.

Some investment companies expect 10 billion pounds in spending discounts, as Reeves seeks to make public finances equally.

The unanimous version, or worse than the expected image of financial resources, can float the market. Investors will also pay close attention to the extensive form of the DMO version, in terms of how much it intends to issue in various buckets such as short -term traditional Gilts The debts associated with the index in the long run.

At a meeting in January between officials and gold makers, the main merchants have pushed an additional reduction in the long -term debt sales rate.

The strategic expert in Barclays said that DMO should radically accelerate the trend towards making more short -term debts, believing that such a step can help stabilize long -term volatile returns and reduce interest costs.

He added: “If you can manage the bill of interest in debt as well as all other spending elements … and this is a role that plays in meeting your financial rules.”

“The counselor made it clear that meeting the financial rules is not negotiable,” said a treasury spokesman.