Uncertainty remains over what Reeves will decidepublished at 09:57 British Summer Time 3 September
Michael Race
Business and economics reporter
The Chancellor has instructed the government’s independent forecaster, the Office for Budget Responsibility (OBR), to begin the 10-week process of assessing the Treasury’s plans and producing a new economic forecast.
Essentially, the OBR’s job is to mark the government’s Budget homework and see if the sums add up.
The role of the OBR and its judgements is seen as a key player in keeping financial markets – which the UK government borrows money from – onside.
If investors lose confidence in the UK economy, they can demand higher returns for loans, pushing government borrowing costs up.
However, given the date of the Budget being late November, a lot of uncertainty remains over what Reeves will decide – and if the finance and business world want to avoid one thing, it’s uncertainty.
