Two elections and a Budget

The Weekly Briefing from Capital Economics · Oct 30, 2026 · 17m

UK Chancellor John Healey delivered his first Budget this week, giving some relief to households worried about their energy bills and managing to maintain credibility will the markets. But there are questions about whether implied spending cuts can be made in a few years and Deputy Chief UK Economist Ruth Gregory discusses whether the plans are credible. Has Healey left himself too much to do next year?

The Brazilian election result prompted market falls as investors were surprised by a victory for the incumbent President Lula over the challenger Flavio Bolsonaro, who had won the first round…