MARKET OVERVIEW - Citi expects the UK to issue bonds worth £321 billion in the 2025-26 financial year.

Foreks - Citi strategists have raised their forecast for the UK Debt Management Office's bond issuance for the 2025/2026 fiscal year to £321 billion. This figure exceeds the previous estimate of £307.3 billion and follows disappointing UK public finance data released on Friday.

According to the strategists, there is likely to be a shift towards short and medium-term bonds in the near to medium term. They stated, "We expect a maturity distribution of 36% for short-term bonds, 32.5% for medium-term bonds, 15% for long-term bonds, 10.5% for binding, 6% for unallocated, and zero contribution from Treasury Bills."