The FTSE 100 Index is set to rise as Rishi Sunak prepares to spend an additional £ 20 billion to support Covid in its budget

Stocks in London are expected to ignore last night’s falls on Wall Street with early calls for the FTSE Index on IG’s spread betting platform, indicating that the index will rise 30.5 points to 6656.1.

In Asia this morning, the Japanese Nikkei closed 0.4% higher while the Chinese CSI 300 and Hong Kong’s Hang Seng rose 1.4% and about 2%, respectively, after rebounding after the declines from the previous session. The reason for the decline in Asia on Tuesday was the major banking regulator warning of bubbles in Western stock markets.

Markets will be cheerful in London to learn that Rishi Sunak’s budget speech here will endorse sweeping changes to stock market rules to make them more attractive to tech companies.

The UK has lost out to Wall Street, Asia and even Amsterdam when it comes to introducing tech companies.

Hill’s report, released last night, recommends relaxing listing rules to make it more convenient for business builders who want to retain some control over their startups after they are brought to the public market.

The threat to foreign exchanges is becoming more evident today after a US Special Purpose Acquisition Company (SPAC) said it was specifically looking for British and European unicorn tech companies to buy and go public in New York City.

PSPCs are controversial but have raised billions of dollars in the United States and Amsterdam to make IPOs for the technology. UK online car dealer Cazoo plans to transform into a car that is giving itself billions of dollars in valuation.

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New York-based SPAC, which is called Tailwind International, raised $ 345 million on the New York Stock Exchange last month and is looking for European deals.

It is perhaps the budget that has been most widely disclosed in recent memory. The Treasury will extend Covid 19 support programs for businesses and employees through September, with the holiday program extending through the end of June in its current form before being curtailed until the end of September, the Financial Times reported.


Business tariff holidays will also be extended, improving the outlook for retailers and hospitality companies, while the £ 5 billion High Street Support Program is also expected to ease their plight.

The Financial Times reports that these various return packages will total more than £ 20 billion.

He will also talk about future increases in the payment of all taxes, with corporate taxes expected to be the most important one that should be raised, but not immediately.

The chancellor wants to keep unemployment below the 7.5% level that the FCA has forecast, reaching its peak in November.

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