8min chapter

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Live Budget special: How will the UK secure growth?

Political Fix

CHAPTER

Public vs Private Investment Dynamics

This chapter explores the intricate relationship between public and private investment, especially in light of new government spending proposals. It discusses how increased public borrowing could potentially dampen private sector investment while highlighting pathways through which public investments might eventually stimulate private sector growth. The chapter also examines recent fiscal rule changes, their impact on market perception, and the broader implications for economic health and government credibility.

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