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Labour Leadership Speculation Raises Borrowing Costs, Triggers Election Fears

5/6/2026

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Story summary
  • Speculation over a Labour leadership challenge is raising UK borrowing costs, says Labour MP Luke Akehurst.
  • A government source says any Labour leadership change would trigger a general election in 2025.
  • Reform UK leader Nigel Farage warned that Angela Rayner and Andy Burnham could force a 2027 election because of their economic policies.