UK 10-Year Gilt Yield Inches Down
2025-11-28 14:04
By
Agna Gabriel
1 min. read
The UK 10-year gilt yield fell to 4.44% as investors reacted to the government’s new budget, which set a higher tax path and signaled tighter control over borrowing.
Finance minister Rachel Reeves defended the plan after unveiling it earlier in the week, explaining that the government will raise £26 billion in taxes to support additional welfare spending and accept the highest tax burden since World War Two.
Investors generally welcomed the commitment to more disciplined public finances, which helped push yields lower.
Additionally, the Bank of England kept rates unchanged in November in a close 5 to 4 vote, but inflation eased to 3.6 percent in October and markets increasingly expect the central bank to cut rates when it meets next month.