The U.K. unemployment rate rose to the highest in 15 years in the three months through August, adding pressure on the government to loosen its fiscal squeeze as the economy struggles to avoid recession.
British lawmakers said investors are making too much money out of the privately financed delivery of public services and called on Prime Minister David Cameron to explore other ways of paying for them.
U.K. public-sector workers are prepared for “indefinite” industrial action on a scale not seen since the 1926 general strike to challenge government pension plan changes, Dave Prentis, head of the country’s largest labor union, said in an interview with the Guardian.
U.K. 10-year government bond yields stayed near the highest in more than a month as rising stocks and higher-than-estimated industrial output in China damped demand for the safety of fixed-income assets.
Public-sector workers in the U.K. may have to pay more toward their pensions and accept benefits based on average earnings rather than final salary, according to a report commissioned by Prime Minister David Cameron .
Prime Minister David Cameron ’s coalition said it wanted to send a “shock wave” through departments as it announced 6 billion pounds ($8.6 billion) of spending cuts, the first steps toward reducing Britain’s record budget deficit.