Ebury analyst Matthew Ryan said the government’s budget restored some fiscal headroom and should meet UK gilt market expectations in the short term. He warned the buffer is only about 0.4% of GDP—low by historical standards—and may not fully remove market concerns about further tax increases before the next fiscal adjustment. Chancellor John Healey said the fiscal buffer is expected to be £15bn in 2029-30, versus market expectations of £10-12bn before the budget.

2026-10-28

Ebury analyst Matthew Ryan said the government’s budget restored some fiscal headroom and should meet UK gilt market expectations in the short term. He warned the buffer is only about 0.4% of GDP—low by historical standards—and may not fully remove market concerns about further tax increases before the next fiscal adjustment. Chancellor John Healey said the fiscal buffer is expected to be £15bn in 2029-30, versus market expectations of £10-12bn before the budget.