Novara Live Will The Bond Markets Topple Rachel Reeves?
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Nov 21, 2025 
Join Jayati Ghosh, a professor of economics focusing on global inequality, and Carole Cadwalladr, an investigative journalist known for her work on corruption, as they dive into pressing issues. Ghosh discusses the significance of international inequality data and policy reforms to combat extreme wealth. Cadwalladr reveals shocking details about Nathan Gill's bribery case linked to Russian interference, raising questions about political integrity. Together, they explore how these issues intersect with fiscal policy and the role of markets in governance.
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How Bond Markets Really React
- Bond traders judge governments by expected future deficits, demand for debt, and inflation rather than personalities.
- Traders often pause trading in uncertainty, which raises volatility without signaling support for any politician.
Don't Govern To Appease Markets
- Do not govern primarily to appease bond markets, but avoid frightening them with reckless fiscal moves.
- Be honest about constraints and design policies that balance credibility with social aims.
Wealth Tax Is Helpful But Limited
- A 1% annual wealth tax above £10m would raise roughly £10–24bn, not enough to fund a full welfare state.
- Wealth taxes can reduce inequality but are not a panacea for fiscal shortfalls.