The government will pave the way for the issuance of ‘super-long' gilts by removing the current maturity cap.
In today's Autumn Statement, the government said the measure followed its consultation on super-long and perpetual gilts. It said this established that gilts with maturities above the current cap of 50 years could "represent cost-effective financing for the Exchequer". It anticipated the Debt Management Office will now look to launch new issues with maturities of between 50 and 60 years, subject to market conditions.
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