Rachel Reeves: Navigating Fiscal Challenges Amid Market Shifts

British finance minister Rachel Reeves plans to introduce new budget measures in March if needed to adhere to fiscal rules, emphasizing caution before the OBR's forecast. Economic data may push for further actions following tax increases and increased borrowing, amid fluctuating bond yields linked to U.S. market changes.

British finance minister Rachel Reeves expressed her readiness to announce new budget measures in March if needed, to meet fiscal rules, during an interview with Reuters.

While participating in the World Economic Forum's annual meeting in Davos, Reeves highlighted the importance of waiting for the Office of Budget Responsibility's forecast, set to be published on March 26. She urged caution, noting, "There's another two months before the OBR produce their forecast."

The minister reflected on recent economic challenges, including a sharp sell-off in British government bonds influenced by U.S. market expectations. Reeves emphasized the importance of removing barriers to business investment and growth in Britain, affirming confidence in boosting growth figures.

(With inputs from agencies.)