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The Fed is weighing potential rate cuts by July amid uncertain inflation impacts from tariffs, with officials divided on timing but acknowledging economic data may justify easing.

Autumn tax rises ‘increasingly likely’ after UK borrowing rises in May – business live

The GuardianFriday, June 20, 2025 at 7:48:33 AM
Autumn tax rises ‘increasingly likely’ after UK borrowing rises in May – business live
The UK government borrowed £17.7 billion in May—more than last year and slightly above forecasts—raising the odds of tax hikes in the upcoming autumn budget. Economists like Thomas Pugh of RSM UK warn that while borrowing isn’t spiraling out of control, the higher-than-expected numbers could force tough fiscal decisions soon.
Editor’s Note: This isn’t just dry number-crunching—it’s a sign that wallets might feel lighter later this year. If borrowing keeps overshooting targets, the government could lean on tax rises to balance the books, meaning households and businesses should brace for potential hits to their budgets. It’s a story about trade-offs: higher taxes might stabilize public finances, but they could also dampen spending and growth.
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