https://www.live-feeds.com/feed/u-k-government-faces-test-of-budget-credibilityContinuously updated, source-cited coverage. https://www.live-feeds.com/feed/u-k-government-faces-test-of-budget-credibilityhttps://www.live-feeds.com/feed/u-k-government-faces-test-of-budget-credibility#u123916Thu, 15 Oct 2026 12:40:35 +0000UK Chancellor John Healey confronts a major credibility test over his upcoming October budget as independent analysts warn of a £35 billion funding gap. The Institute for Fiscal Studies cautions that without a clear strategy to cover mounting spending pressures, the fiscal plan will be dismissed as unrealistic. Rising inflation, defense commitments, and geopolitical instability are squeezing public finances, forcing the government to weigh difficult choices between tax rises and spending cuts. The outcome threatens to impact investor confidence in UK assets and influence the value of the Briti