Budget 2024: Chancellor Rachel Reeves to go on ’20 billion’ investment spree in UK through higher borrowing [Video]

Rachel Reeves will seek to fund around £20 billion a year of extra investment in Britain with increased borrowing, it was reported on Thursday.

The Chancellor is set to tear up her fiscal rules, to allow her to borrow more long term, while also imposing stricter limits on in year spending.

She was due to make the change to find around £20 billion for major transport and other infrastructure projects, according to The Financial Times, to try to boost the UK’s economic growth which has been miserly in recent years.

But the Chancellor has been criticised for “gloomy” talk as activity across the UK’s private sector slipped to an 11-month low.

The S&P Global flash UK composite purchasing managers’ index (PMI) reported a reading of 51.7 in October, down from 52.6 in September.

The preliminary data came in lower than City expectations, with economists having pencilled in a reading of 52.6 for …