Cuts, tax rises and doing nothing: Rachel Reeves’ options to tackle economic woe

Labour's fiscal rules may limit the chancellor's ability to act, but waiting it out may be the best option

The UK government has come under pressure from a bond market sell-off and the tumbling pound, heaping pressure on the chancellor, Rachel Reeves, to reassure investors about Britain's economic and financial position.

After a challenging first six months in power for the government, the chancellor's options have been limited by Labour's political promises. There are a range of measures, of varying severity, the Treasury and the Bank of England could still take, depending on how market conditions unfold.