Head of the fiscal watchdog resigns after premature leak of Budget documents
Richard Hughes, who ran the UK's Office for Budget Responsibility (OBR), has left his job. The early publication of very private Budget documents has turned into one of the biggest financial scandals in a long time. The leak was branded "the worst failure in its 15-year history" by the watchdog. The private economic prediction for the 2025 Budget should have stayed a secret until Chancellor Rachel Reeves delivered. But an issue with the OBR's website, which is suspected to be caused by a WordPress-managed server, made it public more than an hour early. It was taken down after 43 people from 32 different IP addresses downloaded it.This had a major influence on the stock markets, made people concerned about how data is managed, and made them less confidence that the UK could make sound budget choices.Hughes wrote in his resignation letter that he was taking full responsibility and leaving so that the OBR could "move on" and earn back people's faith.
An outside review revealed issues with security, leadership, and internal checks. What transpired shows that the government has to make online public organizations that handle crucial market data safer.People have also asked for a deeper look at how budget forecasts are kept hidden, held, and looked at before Budget Day. Experts think that the revelation undermined the OBR's reputation as a group that is fair and honest. It also highlighted that the UK's budget process isn't working right now, when policy signals have a huge effect on financial markets. The other parties also want to know what will be done to make sure this doesn't happen again. People now believe that the debate is a huge test of how effectively the OBR can deal with stress.People are anxious that the UK's financial system isn't strong enough to keep the economy stable, safeguard investors, and make the banks seem good.
Tamsin Grey
