UK finance minister to urge big economies to control borrowing at IMF
EWU•John Healey will urge major economies to adopt credible plans to control borrowing at the IMF's annual meetings. He will repeat his commitment to fiscal discipline ahead of Britain's October 28 budget, with the Institute for Fiscal Studies estimating he may need £36 billion in tax rises to offset inflation's effect on budgets and fund extra defence spending.
1. Call for borrowing plans
British finance minister John Healey will stress budget discipline and resilience to geopolitical shocks during his first trip to the IMF's annual meetings. He will argue that major economies need credible plans to get borrowing under control, the finance ministry said.
2. Budget pressures
Healey said he would deliver “fiscal discipline” in his first annual budget on October 28. The Institute for Fiscal Studies estimates he will need £36 billion in tax rises to fully offset inflation's erosion of government budgets and fund extra defence spending; higher debt interest costs and plans to spend more on defence and reducing energy costs add pressure.
3. Meetings in Bangkok
Finance ministers and central bank chiefs are due to discuss the widening war in the Middle East and its effects on energy prices and inflation. Healey will meet Ukrainian Finance Minister Sergii Marchenko and others to discuss resilience.
