ACTIVISION BLIZZARD, INC. UK Public Finances Beat Forecasts, But There's Still Little Fiscal Room
0725 GMT - While U.K. public-sector borrowing continues the recent run of good fiscal news, rising interest rates and a sluggish economy still suggest there will be little headroom for the government to offer tax giveaways, says Ruth Gregory, deputy chief U.K. economist at Capital Economics. U.K. net borrowing, excluding banks, came in at GBP4.3 billion, undershooting consensus of GBP5.0 billion and the expected GBP6.0 billion from the Office for Budget Responsibility, a fiscal watchdog. Buoyant tax receipts and lower-than-anticipated government expenditure helped borrowing come in under expectations, Gregory says in a note. However, if the economy weakens later this year, tax receipts will disappoint, while debt payments will likely increase amid high market interest-rate expectations, leaving little chance for the U.K. finance chief to unveil tax cuts or spending increases. (edward.frankl@wsj.com)
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Microsoft Submits Revised Activision Deal to U.K. Watchdog -- WSJ
By Kim Mackrael
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Contact: London NewsPlus, Dow Jones Newswires;
(END) Dow Jones Newswires
08-22-23 0343ET
