Rachel Reeves will not be investigated over pre-budget briefing, FCA says

"It said had decided not to commence an enforcement investigation into potential market abuse but said it would consider the findings of a Treasury inquiry into pre-budget leaks. We have requested details of this work and that the outcome, including of the inquiry into any leak of market sensitive or inside information relating to the budget, is shared with us so we can consider as appropriate, it said."

"This year's budget was preceded by multiple stories about what was being considered, including the revelation in the Financial Times days beforehand that Reeves had abruptly dropped a plan to raise income tax rates. Reeves allies said the U-turn had come because of improved forecasts from the Office for Budget Responsibility, but the OBR later clarified it had not updated its forecasts for two weeks."

The Financial Conduct Authority declined requests to open an immediate enforcement investigation into potential market abuse linked to pre-budget briefings and said it would consider the findings of a Treasury inquiry into alleged leaks. Politicians had requested a probe after multiple pre-budget stories, including an FT revelation that Rachel Reeves had dropped a plan to raise income tax rates. Treasury allies cited improved OBR forecasts for the U-turn, while the OBR said it had not updated forecasts for two weeks. The conflicting explanations prompted accusations that Treasury officials deliberately misled reporters to influence gilt markets and UK borrowing costs.

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