1033 GMT - The latest U.K. public borrowing data will only add to speculation that Treasury chief Rachel Reeves will have to announce more spending cuts or further tax increases at the next budget, AJ Bell's Danni Hewson says. While the tax intake is up, it isn't by enough to counter increased running costs and inflation-linked benefit hikes, she says. That suggests Reeves faces a gloomy economic picture if she wants to meet her fiscal rules and pay for her spending plans. Questions over future defense spending could also wipe out any further headroom available, Hewson adds. (edward.frankl@wsj.com)

(END) Dow Jones Newswires

June 20, 2025 06:33 ET (10:33 GMT)

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