Gilt issue comes in early
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.A TOTAL of pounds 750m is on the way to investors who put their money into a gilt issue that the Government has decided to redeem.
The Government decided to unwind Treasury 9 per cent 1992/96 so that it could replace the funding with new issues paying a lower rate of interest. Last week there was a new issue at 8.5 per cent, and new stock at 8 per cent as well as index-linked issues paying 2.5 per cent above the inflation rate.
But should private investors take up the new issue?
Richard Briscoe, an economist at Midland Bank, believes the index-linked stock is a better bet. The two issues the Government increased this week are currently trading at well above the pounds 100 issue price.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments