Investors retreat from sterling ahead of spring statement and looming £15bn spending cuts
Institutional investors have offloaded the pound at the fastest pace since 2023 in anticipation of this week’s spring statement, where Chancellor Rachel Reeves is expected to unveil £15 billion in spending cuts as part of efforts to restore fiscal discipline. According to Bank of America, the past three weeks have seen the sharpest outflows from sterling in over two years, with money managers — including asset managers and mutual funds — reducing exposure to the...