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2026-09-05T10:21:39.000Z

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Britain cuts discount rate to encourage investment

Britain cuts discount rate to encourage investment

The British Treasury has lowered the main discount rate from 3.5% to 3% in order to boost investment in public infrastructure projects. This aims to highlight the full value of long-term projects such as transportation, housing, and social infrastructure. The adjustment seeks to reduce the gap between costs and future benefits, allowing long-term benefit projects to receive a more accurate assessment. The government will announce the full details of the plan in the budget on October 28, and Chancellor John Helli will deliver his keynote speech on this subject next Monday.

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