{"id":21102,"date":"2026-09-01T13:35:40","date_gmt":"2026-09-01T13:35:40","guid":{"rendered":"https:\/\/8657085.xyz\/?p=21102"},"modified":"2026-09-01T13:35:40","modified_gmt":"2026-09-01T13:35:40","slug":"uk-long-term-borrowing-costs-hit-highest-since-1998-ahead-of-october-budget","status":"publish","type":"post","link":"https:\/\/8657085.xyz\/?p=21102","title":{"rendered":"UK long-term borrowing costs hit highest since 1998 ahead of October Budget"},"content":{"rendered":"<p> <div style=\"display: grid; grid-template-columns: 300px 160px; gap: 2px; width: 460px; background: #eee; padding: 2px;\">\r\n\r\n  <!-- \u6574\u884c\u5bbd\u5e7f\u544a -->\r\n  <div style=\"grid-column: 1\/-1; width: 460px; height: 250px; background: #ccc; display: grid; place-items: center;\">\r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e2\" data-zoneid=\"5876674\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n  <\/div>\r\n  <div style=\"grid-column: 1\/-1; width: 460px; height: 90px; background: #ccc; display: grid; place-items: center;\">\r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e2\" data-zoneid=\"5876676\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n  <\/div>\r\n\r\n  <!-- \u5de6\u4fa7\u7ad6\u6392 -->\r\n  <div style=\"height: 250px; background: #ccc; display: grid; place-items: center;\">\r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e2\" data-zoneid=\"5876672\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n  <\/div>\r\n  <div style=\"height: 500px; background: #ccc; display: grid; place-items: center;\">\r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e2\" data-zoneid=\"5876680\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n  <\/div>\r\n\r\n  <!-- \u53f3\u4fa7\u6469\u5929\u697c\uff08\u548c\u5de6\u4fa7\u5b8c\u5168\u5bf9\u9f50\uff09 -->\r\n  <div style=\"grid-row: 3\/5; height: 750px; background: #ccc; display: grid; place-items: center;\">\r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e2\" data-zoneid=\"5876678\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n  <\/div>\r\n  \r\n  <script async type=\"application\/javascript\" src=\"https:\/\/a.magsrv.com\/ad-provider.js\"><\/script> \r\n <ins class=\"eas6a97888e6\" data-zoneid=\"5876682\"><\/ins> \r\n <script>(AdProvider = window.AdProvider || []).push({\"serve\": {}});<\/script>\r\n<\/div><br \/>\n<\/p>\n<div>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\"><b class=\"ssrcss-1xjjfut-BoldText e5tfeyi3\">Long-term government borrowing costs have risen to a 28-year high, putting further pressure on Prime Minister Andy Burnham ahead of his first Budget next month. <\/b><\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The yield on a 30-year gilt \u2014 a loan to the British government \u2014 rose to 5.89%, the highest since 1998.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The effective cost of borrowing for governments across the globe has continued to rise this morning with new multi-decade highs in market interest rates.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The moves reflect concerns about inflation arising from the ongoing Iran war, competition from major tech firms for long-term borrowing, and concerns about state borrowing levels.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">All of those factors will make the Budget process trickier for Burnham, who will face MPs on Tuesday for the first time as prime minister, and his Chancellor John Healey. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Higher borrowing costs will reduce the amount of headroom the government has against its self-imposed fiscal rules, limiting the amount Healey can spend on consumer-friendly measures to ease the cost of living. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Downing Street said fiscal discipline is the &#8220;bedrock&#8221; of Britain&#8217;s economic stability and national security.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">But a spokesperson for the prime minister refused to comment directly on the rise in borrowing costs.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">&#8220;The chancellor and the prime minister are in lockstep that the government will meet the fiscal rules with a buffer against uncertainty and we&#8217;re cutting the deficit faster than any other G7 economy to the lowest level in six years,&#8221; the spokesperson said.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The yield on the benchmark 10-year gilt rose to its highest rate since June 2008, at the height of the global financial crisis. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Gilt yields move counter to the value of the bonds, meaning their prices fall when yields rise.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Borrowing costs in the US, Japan and Europe have hit similar highs in recent days.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Global markets reacted in particular after suggestions in the US that its central bank could raise rates. The UK market was closed for the bank holiday yesterday. Japan is also facing pressure to raise rates.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The Chancellor is in the USA attending a meeting of global finance ministers and central bankers. He told the G20 that the UK had the fastest growth in the G7 in 2026 so far, that productivity was improving and that the UK was cutting its borrowing at the fastest rate of the major economies.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">JP Morgan&#8217;s chief market strategist for Europe, Karen Ward, said governments around the world want to increase spending and are turning to borrowing to fund it.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">And she told the BBC&#8217;s World at One they are increasingly having to compete with major technology companies raising money to invest in the AI revolution, pushing up the amount of interest being charged.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">&#8220;Markets are getting a lot more choice about who they are going to lend to and at what interest rates,&#8221; she added.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Burnham has rolled out a series of interventions to support consumers and businesses since entering Downing Street, and is expected to prioritise further measures to ease the cost of living in the Budget on 28 October. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Ward urged Burnham and Healey to set out how they will fund any fresh spending on defence and the cost of living, and how those lending the government money will be paid back.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Kathleen Brooks, research director at investment company XTB, told the BBC News Channel: &#8220;Of course, this is red lights flashing.&#8221;<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">&#8220;We are used to pockets of volatility, it has been volatile few months,&#8221; she says.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">But record levels of government debt and a record tax take mean &#8220;these are not comfortable times for the new government and the new chancellor,&#8221; she says.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Every time bond yields rise, the UK has to pay more on the debt interest, she says.<\/p>\n<\/div>\n<p><!-- \u603b\u5bb9\u5668\uff1a\u6700\u5927\u5bbd908px Grid\u7d27\u51d1\u5e03\u5c40 -->\r\n<div style=\"display: grid; grid-template-columns: 728px 160px; gap:2px; width:908px; background:#eee; padding:2px;\">\r\n\r\n  <!-- \u901a\u680f\u9876\u90e8\uff1a\u6700\u5927\u6a2a\u5e45 908x258 \u8de8\u6574\u884c -->\r\n  <div style=\"grid-column:1\/-1; height:258px; background:#ff6b6b; display:grid; place-items:center;\">\r\n    <!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114307\" data-width=\"908\" data-height=\"258\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114307});<\/script>\r\n<!--JuicyAds END-->\r\n  <\/div>\r\n\r\n  <!-- \u7b2c\u4e8c\u901a\u680f\uff1a728\u00d790 \u901a\u680f -->\r\n  <div style=\"grid-column:1\/-1; height:90px; background:#4ecdc4; display:grid; place-items:center;\">\r\n    <!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114300\" data-width=\"728\" data-height=\"90\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114300});<\/script>\r\n<!--JuicyAds END-->\r\n  <\/div>\r\n\r\n  <!-- \u5de6\u4fa7\u4e3b\u680f\uff1a\u591a\u5e7f\u544a\u5806\u53e0 -->\r\n  <div style=\"display:grid; gap:2px;\">\r\n    <div style=\"height:60px; background:#45b7d1; display:grid; place-items:center;\">\r\n\t<!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114308\" data-width=\"468\" data-height=\"60\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114308});<\/script>\r\n<!--JuicyAds END-->\r\n\t<\/div>\r\n    <div style=\"height:250px; background:#ffe066; display:grid; place-items:center;\">\r\n\t<!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114299\" data-width=\"300\" data-height=\"250\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114299});<\/script>\r\n<!--JuicyAds END-->\r\n\t<\/div>\r\n    <div style=\"height:250px; background:#ff9ecd; display:grid; place-items:center;\">\r\n\t<!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114305\" data-width=\"250\" data-height=\"250\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114305});<\/script>\r\n<!--JuicyAds END-->\r\n\t<\/div>\r\n    <div style=\"height:139px; background:#c792ea; display:grid; place-items:center;\">\r\n\t<!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114302\" data-width=\"133\" data-height=\"139\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114302});<\/script>\r\n<!--JuicyAds END-->\r\n\t<\/div>\r\n    <div style=\"height:125px; background:#91e7ac; display:grid; place-items:center;\">\r\n\t\r\n<!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114303\" data-width=\"125\" data-height=\"125\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114303});<\/script>\r\n<!--JuicyAds END-->\r\n\t<\/div>\r\n  <\/div>\r\n\r\n  <!-- \u53f3\u4fa7\u7ad6\u680f\uff1a160\u00d7600 \u6574\u5217\u9ad8\u5e7f\u544a -->\r\n  <div style=\"grid-row:3\/8; height:600px;  display:grid; place-items:center;\">\r\n    <!-- JuicyAds v3.0 -->\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async src=\"https:\/\/poweredby.jads.co\/js\/jads.js\"><\/script>\r\n<ins id=\"1114301\" data-width=\"160\" data-height=\"600\"><\/ins>\r\n<script type=\"text\/javascript\" data-cfasync=\"false\" async>(adsbyjuicy = window.adsbyjuicy || []).push({'adzone':1114301});<\/script>\r\n<!--JuicyAds END-->\r\n  <\/div>\r\n\r\n<\/div><br \/>\n<br \/><a href=\"https:\/\/www.bbc.co.uk\/news\/articles\/c8d39vq779no?at_medium=RSS&#038;at_campaign=rss\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Long-term government borrowing costs have risen to a 28-year high, putting further pressure on Prime&#8230;<\/p>\n","protected":false},"author":1,"featured_media":21103,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[490,789,30,527,790,542,6010,12060],"class_list":["post-21102","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-ahead","tag-borrowing","tag-budget","tag-costs","tag-highest","tag-hit","tag-longterm","tag-october"],"featured_image_urls":{"full":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761.jpg",1200,675,false],"thumbnail":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-150x150.jpg",150,150,true],"medium":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-300x169.jpg",300,169,true],"medium_large":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-768x432.jpg",640,360,true],"large":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-1024x576.jpg",640,360,true],"1536x1536":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761.jpg",1200,675,false],"2048x2048":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761.jpg",1200,675,false],"covernews-slider-full":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-1115x675.jpg",1115,675,true],"covernews-slider-center":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-800x500.jpg",800,500,true],"covernews-featured":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-1024x576.jpg",1024,576,true],"covernews-medium":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-540x340.jpg",540,340,true],"covernews-medium-square":["https:\/\/8657085.xyz\/wp-content\/uploads\/2026\/09\/3d5d23f0-a5f9-11f1-8348-fb0cb1cd9761-400x250.jpg",400,250,true]},"author_info":{"display_name":"admin","author_link":"https:\/\/8657085.xyz\/?author=1"},"category_info":"<a href=\"https:\/\/8657085.xyz\/?cat=2\" rel=\"category\">Business<\/a>","tag_info":"Business","comment_count":"0","_links":{"self":[{"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/posts\/21102","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/8657085.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=21102"}],"version-history":[{"count":0,"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/posts\/21102\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/8657085.xyz\/index.php?rest_route=\/wp\/v2\/media\/21103"}],"wp:attachment":[{"href":"https:\/\/8657085.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=21102"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/8657085.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=21102"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/8657085.xyz\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=21102"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}