If Rachel Reeves, the chancellor of the exchequer, has to spend more servicing government debt, she will have less money for Labour's other priorities.Jonathan Brady/Getty Images

Forget Elon Musk — here’s what’s really terrifying the UK government – POLITICO

by · POLITICO

LONDON — Elon Musk may be chucking near-daily hand grenades in the direction of the British government. But it's a different kind of explosion that is keeping Keir Starmer up at night.

The United Kingdom's prime minister and his top finance minister Rachel Reeves have faced dire economic headlines in recent days, as sterling tanked and 10-year borrowing costs hit their highest level since the 2008 financial crisis.

It's revived fears that their nascent center-left administration — which has promised to turn around struggling public services and boost economic growth after tumult under the Conservatives — is now way off track in its driving purpose, with populists like Musk snapping at its heels.