UK Budget: little real change in GBP and assets - Westpac
|Analysts at Westpac explained that the UK Budget billed as a likely dull one due to financial and political constraints and it turned out to be so.
Key Quotes:
"Hammond managed to provide enough assuage discontent rather than create any real sense of well-being. Spending has been increased, austerity has been eased despite a lowering of growth, but there is still an acceptable path of borrowing reduction.
Markets have reacted accordingly with little real change in GBP and assets.
What will be critical is how the Tory Party react over the next few weeks, the ability to maintain DUP support for the minority Government and whether Brexit negotiations deteriorate.
Additionally, the impact on an already restrained consumer into the holiday season will be a notable factor for both growth and revenue."
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