Britain’s public finances delivered a rare slice of good news for the chancellor this week, with government borrowing sinking to a four-year low in March. But business leaders and economists are already bracing for the figures to sour, warning that the escalating conflict in the Middle East could swiftly unravel Rachel Reeves’s carefully constructed fiscal plans.

According to figures released on Thursday by the Office for National Statistics, the government borrowed £12.6bn last month, the lowest March total since 2022 and £1.4bn below the same month a year earlier. The drop was driven by a sharp fall in debt interest spending and a bumper £100bn haul in tax receipts.

For small and medium-sized businesses, which continue to shoulder the weight of frozen income tax thresholds, higher employer national insurance and stubborn inflation, the figures offer only cold comfort. While the Treasury has edged closer to meeting its borrowing targets, the improvement owes less to restraint on Whitehall and more to a quirk of the retail price index.

Despite the monthly improvement, March’s figure came in above the £10.4bn consensus forecast from City economists. Borrowing over the full financial year reached £132bn — £700m below the Office for Budget Responsibility’s projection, but still the sixth-highest annual total since records began in 1947. The figure was nonetheless nearly £20bn lower than the previous year.

The headline reduction was flattered by a dramatic fall in debt interest costs, which dropped to £3.2bn in March from £13bn in February and £4.5bn in the same month last year. A substantial portion of the UK’s debt stock remains linked to the retail price index, a measure economists have long dismissed as outdated. A sharp deceleration in RPI between December and January fed directly through to lower payments to index-linked gilt holders.

Tax revenues also did much of the heavy lifting. Public sector receipts rose £5.4bn year on year to cross the £100bn threshold in March, propelled by higher income tax and national insurance takings. Public spending climbed more modestly, up £2.9bn to £91.6bn.

Tom Davies, senior statistician at the ONS, said the figures showed that “although spending has risen this financial year, this was more than offset by increased receipts,” noting that March’s borrowing was 10 per cent lower than a year earlier.

Yet the optimism was tempered by warnings that the tailwinds of the past month could quickly reverse. Economists fear that the war in the Middle East is already feeding through to British inflation and growth forecasts, threatening to squeeze the chancellor’s room for manoeuvre.

“A sustained rise in energy prices would create a double squeeze on the public finances,” said Martin Beck, chief economist at WPI Strategy. “True, higher oil and gas prices could boost North Sea revenues, while stronger inflation might lift VAT receipts and income tax revenues through frozen thresholds. However, those gains would likely be outweighed by weaker economic growth and higher spending pressures, including increased welfare costs, rising debt interest payments, and potential support for households and energy-intensive firms.”

Figures published earlier this week showed consumer price inflation climbing to 3.3 per cent in March, up from 3 per cent in February. Some economists now expect it to peak at double the Bank of England’s 2 per cent target later this year, a development that would push the government’s debt interest bill higher once more and heap fresh pressure on already stretched SMEs.

The Bank’s nine-member monetary policy committee meets next Thursday and is widely expected to hold the base rate at 3.75 per cent. A minority of analysts, however, now believe Threadneedle Street could be forced to raise rates later in the year to counter the inflationary fallout from the Middle East. Updated forecasts for inflation, growth and unemployment will accompany the decision.

Debt as a share of gross domestic product stood at 93.8 per cent, up 0.6 percentage points year on year and back at levels not seen since the 1960s.

The picture could worsen quickly. The Resolution Foundation warned in a report this month that a further escalation in the Middle East war could erase £16bn of the £23.6bn fiscal headroom Reeves carved out in her March spring statement. Under her own fiscal rules, the chancellor must balance day-to-day spending with tax receipts within five years.

Ellie Henderson, economist at Investec, said: “The spike in energy prices has likely dampened the outlook, with higher inflation increasing the cost of servicing index-linked gilts, and the slower growth forecasts constraining growth in potential tax receipts.”

The Treasury, for its part, is keen to claim credit. James Murray, chief secretary to the Treasury, said: “Our deficit is down [by] £19.8bn because of our plan to cut borrowing. In a volatile world the decisions we are taking are the right ones to keep costs down, take back our energy security and cut borrowing and debt.”

For British businesses, and especially the SMEs that make up the bulk of the country’s employers, the figures underline an uncomfortable truth: however benign March’s numbers appear, the margin for error has rarely been thinner.

Amy Ingham

Amy is a newly qualified journalist specialising in business journalism at Business Matters with responsibility for news content for what is now the UK’s largest print and online source of current business news.

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NEW YORK — Tesla Inc. shares fell more than 1.5% in early trading Thursday, dipping to $381.62 by 9:48 a.m. EDT on April 23 as investors paused after a strong run and awaited clarity on the company’s delayed robotaxi unveiling and slowing electric vehicle demand.

The decline of $5.89, or 1.52%, came amid broader market strength, with the Dow Jones Industrial Average pushing above 49,000. Tesla’s move highlighted ongoing volatility in the stock despite its massive year-to-date gains and Elon Musk’s ambitious vision for autonomous driving and artificial intelligence.

Trading volume was moderate in the opening hour, suggesting the pullback reflected profit-taking rather than heavy selling pressure. The stock had climbed sharply in recent weeks on optimism around Full Self-Driving software updates and potential progress on the long-awaited robotaxi event, originally planned for earlier this year but now expected in late May or June.

Analysts pointed to several factors behind Thursday’s modest decline. Some investors locked in gains after Tesla’s strong performance earlier in April. Others grew cautious as new vehicle delivery numbers for the first quarter showed only modest growth compared with ambitious internal targets. Global EV competition, particularly from Chinese manufacturers, continues to pressure pricing and margins in key markets.

Tesla’s energy storage business has delivered impressive growth, helping offset softer automotive margins. The company’s Megapack deployments reached record levels, and executives highlighted strong demand for utility-scale projects. However, Wall Street remains laser-focused on the autonomous driving narrative that has underpinned much of Tesla’s premium valuation.

Musk has repeatedly teased major updates to Full Self-Driving software and the eventual launch of a dedicated robotaxi vehicle. Delays in these timelines have tested investor patience at times, though loyal supporters continue to bet on Musk’s ability to deliver breakthrough technology. The company’s Dojo supercomputer and growing artificial intelligence efforts also factor into bullish long-term theses.

At current levels, Tesla trades at a significant premium to traditional automakers on a price-to-earnings basis. Bulls argue the valuation reflects Tesla’s positioning as an artificial intelligence and robotics company rather than a pure electric vehicle manufacturer. Bears counter that execution risks remain high and that competition in both EVs and autonomous technology is intensifying rapidly.

The stock’s 52-week range shows significant movement, with sharp rallies followed by periods of consolidation. Retail investor enthusiasm, often visible on platforms like Reddit and X, continues to influence short-term trading patterns. Institutional ownership remains strong, with major funds maintaining sizable positions despite periodic volatility.

Looking ahead, several catalysts could shape Tesla’s trajectory in coming weeks. The company is scheduled to report first-quarter earnings in late April, where investors will scrutinize vehicle margins, energy storage growth and updates on the robotaxi timeline. Any positive surprises on Full Self-Driving regulatory approvals or new partnership announcements could quickly reverse Thursday’s early weakness.

Production of the Cybertruck has ramped up steadily, though delivery numbers have lagged behind initial hype. The vehicle’s unique design and high price point have created a dedicated customer base, but broader adoption faces hurdles including insurance costs and charging infrastructure limitations in some regions.

Tesla’s global expansion continues, with new factories and market entries providing long-term growth potential. However, trade tensions and regulatory challenges in key regions like Europe and China create ongoing uncertainty. The company has navigated these issues with mixed success, sometimes adjusting pricing strategies to maintain competitiveness.

For individual investors, Tesla remains one of the most watched and debated stocks in the market. Financial advisors often recommend limiting exposure due to its volatility, even as many long-term holders view dips as buying opportunities. The stock’s performance has created substantial wealth for early believers while testing the resolve of those who entered at higher valuations.

Broader market sentiment provided a relatively supportive backdrop on Thursday. Strong performance in technology and growth stocks helped limit downside across the sector. However, Tesla frequently charts its own course driven by company-specific news and Musk’s active presence on social media.

Options activity around Tesla remains elevated, with traders positioning for potential big moves around earnings and product events. Implied volatility levels suggest expectations of continued movement in either direction.

As trading progressed past the opening bell, the stock stabilized near its early lows with limited directional conviction. Analysts expected some consolidation in the near term but maintained varied outlooks for the remainder of 2026. Optimistic forecasts see Tesla pushing toward new highs if robotaxi progress meets expectations, while more cautious views warn of potential downside if delivery growth disappoints or competition intensifies further.

Tesla’s transformation from electric vehicle pioneer to artificial intelligence and robotics leader remains a central investment thesis for many shareholders. The company’s ability to execute on ambitious timelines will likely determine whether current valuations prove justified or overly optimistic.

Thursday’s modest decline represents a routine trading session for a stock known for dramatic swings. While the percentage move was small, it served as a reminder of Tesla’s sensitivity to sentiment shifts even during periods of relative market calm.

For followers of the company, the coming weeks promise important updates on product roadmaps, financial performance and strategic direction. Whether the early weakness on April 23 proves to be a minor dip or the start of a deeper correction will depend on upcoming developments and broader market conditions.

Tesla shares closed the previous session well above $387 before Thursday’s pullback. The stock has delivered substantial returns for long-term investors despite periodic volatility, cementing its status as one of the market’s most closely followed names.

As the trading day continued, all eyes remained on Tesla for any signs of renewed momentum or further weakness. The company’s unique position at the intersection of automotive, technology and artificial intelligence ensures it will stay in the spotlight regardless of daily price movements.

“Secretary Colin Powell received this gift from Indian Minister of Home Affairs Lal Krishna Advani,” the State Department said in its remarks written at the bottom of the elephant figurine.

In fact, it is one of the less than 50 gifts among the hundreds of those received by the Secretary of State over the year by foreign dignitaries that have been selected for display at the Exhibit Hall, in the centre of Henry S Truman Building, headquarters of the State Department, official sources said.

Describing the gift, the State Department said, “with royal aplomb, the great man rides in the howdah, or canopied seat, as the mahout or guide in front leads the elephant”.

“This colourful cloisonne figurine harks back to times when elephants were an indispensable part of Indian life – for transportation, fighting battles, protecting land and traversing forests,” it said.

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The elephant figurine was made by Neeru Goel, an Indian artist from Bengal, who specialises in enamelware sculptures.
The Department officials, while explaining the reason for the selection of this particular gift from India to be displayed at the exhibition hall, said that elephants are a cultural icon of the country, which over centuries have become a status symbol representing wealth, wisdom, and strength.

A growing number of Californians are fleeing the Golden State as the cost of living climbs, and many are coming out ahead financially.

Facing sky-high housing prices and rising everyday expenses, residents are relocating to more affordable areas where the savings can be substantial. On average, movers end up in neighborhoods with monthly housing costs about $672 lower.

After seven years, they are 48% more likely to own a home than those who stay, according to the California Policy Lab’s recent report, “Priced Out: Relocation Amidst California’s Affordability Crisis.”

The skylines of Los Angeles, California, left, and Miami, Florida. (Jeffrey Greenberg/Universal Images Group via Getty Images / Getty Images)

The study analyzed anonymized credit bureau data tracking migration patterns from 2016 to 2025.

“We expected to see people moving to cheaper locations in other states, but our analysis showed the average costs dropping by nearly $400,000 – that’s a key data point for families who want to become homeowners,” Evan White, executive director of the California Policy Lab, told FOX Business.

BILLIONAIRES AND BUSINESSES FUEL GROWING EXODUS FROM BLUE STATES

The California state flag flies on a pole against a blue sky. (iStock)

“The likelihood of becoming a homeowner increased by nearly 50% for those who left California. That’s a big difference,” he added.

Even in its less expensive regions, California remains costly compared to much of the country.

Residents pay about 11% more for groceries, 40% more for gas and 61% more for utilities than the national average, according to the report.

“When people leave California, they move to much more affordable locations,” White said. “This suggests that California’s high costs of living factor into their decision to move, or at least their choice of destination.”

While incomes in destination states are often slightly lower, reduced housing and living expenses tend to outweigh those differences, the study notes.

Most relocations are to nearby, lower-cost states rather than across the country.

RED & BLUE DIVIDE: STATES PUSH COMPETING TAX PLANS AS VOTERS WEIGH CHANGES IN ELECTION CYCLE

An aerial view shows a residential neighborhood in Las Vegas. (iStock)

Nevada leads as the top destination, followed by Idaho, Oregon and Arizona.

“I was surprised to see that people were most likely to leave California for nearby states, like Nevada and Idaho, and not for Texas and Florida, which gets so much media attention,” White said.

The trend also spans income levels.

A growing share of those leaving come from higher-income areas, though many show signs of financial strain, such as higher debt and lower credit scores compared to their peers.

“What happens to California over the long-term is in the hands of policymakers. Presently, they seem focused on lowering the costs of living, but it takes a long time to ‘turn the ship’ on these issues,” White said.

A person hands a set of house keys to another person. (iStock)

“But people should temper their expectations about what success means. Costs are unlikely to fall dramatically, but we may be able to slow their growth. California will always be more expensive than other states, simply because it is a more desirable place to live.”

FOREIGN BUYERS EYE LUXE LA HOMES AS PROPOSED WEALTH TAX PUSHES BILLIONAIRES OUT OF CALIFORNIA

The migration trend also comes as California lawmakers weigh new taxes targeting the ultra-wealthy, including a proposed 2026 ballot measure that would impose a one-time 5% tax on individuals worth more than $1 billion.

Kevin Brady, former House Ways and Means Committee chairman and an advisor to Americans for Free Markets, previously told FOX Business that steep taxes and heavy regulation are driving businesses and individuals to leave blue states, calling it “the economic story of the decade.”

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“I don’t know why California continues to tax its businesses and people just so brutally,” Brady said. “It’s a beautiful state, it is a dynamic state, but they’re chasing out – not just the wealthy and not just businesses – but their young people.”

NEW YORK — GameStop Corp. shares edged lower in early trading Thursday, dipping 0.039% to $25.64 by 9:42 a.m. EDT on April 23 as the meme stock favorite continued its pattern of modest moves amid relatively quiet volume and broader market gains.

The slight decline came as traders watched for any signs of renewed volatility in a stock that has defined retail investor fervor since the 2021 short squeeze. While the move was minimal, it reflected ongoing caution among holders after several weeks of consolidation following earlier swings in 2026. Volume remained below average in the opening hour, suggesting limited conviction from both buyers and sellers at current levels.

GameStop has experienced a far more subdued year compared with its explosive past. After dramatic rallies and sharp corrections in previous cycles, the stock has traded in a relatively narrow range through much of 2026. The company’s transformation efforts under executive chairman Ryan Cohen have been closely watched, with investors hoping for a successful pivot away from traditional brick-and-mortar retail toward e-commerce, collectibles and potential new technology ventures.

In its most recent earnings report, GameStop posted mixed results. Revenue showed pressure from declining physical game sales as digital downloads dominate the industry, but the company maintained a strong cash position with minimal debt. Cohen has emphasized cost discipline, inventory management and exploring new revenue streams, including possible blockchain or NFT-related initiatives that once fueled retail excitement.

Analysts remain divided on GameStop’s long-term prospects. Some see potential in the company’s massive online community and brand loyalty, particularly among younger gamers and collectors. Others argue that structural challenges in the video game retail sector make a full turnaround difficult without a major strategic shift. Consensus price targets cluster well below current trading levels, though short interest remains a factor that can spark sudden moves.

The stock’s meme status continues to influence trading behavior. Online communities on Reddit, X and other platforms remain active, with users sharing charts, speculation and memes about potential catalysts. Keith Gill, known as Roaring Kitty, whose earlier posts helped ignite the 2021 phenomenon, has maintained a lower profile but still commands attention whenever he surfaces online. Any hint of his involvement can trigger sharp volatility, though no major developments have emerged recently.

Broader market context provided little clear direction for GameStop on Thursday. The Dow Jones Industrial Average traded near record highs above 49,000, supported by strong corporate earnings and cooling inflation signals. Technology and growth stocks showed resilience, while retail and discretionary names like GameStop faced mixed sentiment. The company’s correlation with traditional retail has weakened over time, but it still reacts to overall market risk appetite.

For long-term holders, often called “diamond hands” in meme culture, the current price around $25 represents a significant drawdown from previous peaks but also a level many view as a potential accumulation zone. The company’s cash reserves provide a buffer against immediate bankruptcy risks that once haunted the stock, giving investors time to await Cohen’s next moves.

Short sellers remain active in GameStop, though the intensity has decreased from 2021 levels. Borrow fees and available shares to short fluctuate, occasionally creating squeeze potential if positive news emerges. However, many professional investors view the stock as a high-risk name best suited for tactical trading rather than core portfolio holdings.

Retail investor participation has evolved since the height of meme mania. While dedicated communities persist, overall enthusiasm has moderated as newer investors focus on artificial intelligence, cryptocurrency and other high-growth themes. GameStop still attracts attention during periods of low market volatility or when unusual options activity appears.

Company leadership has stayed relatively quiet on forward guidance. Cohen’s strategy appears focused on operational efficiency and selective investments rather than dramatic announcements. The closure of underperforming stores and emphasis on e-commerce have helped stabilize the business, but revenue growth remains challenging in a competitive gaming landscape dominated by digital platforms.

Looking ahead, several potential catalysts could influence GameStop’s trajectory in coming months. Any major partnership, new product launch or shift in capital allocation could reignite retail interest. Conversely, continued pressure on physical retail sales might weigh on sentiment if the company fails to articulate a compelling growth story.

Market watchers note that GameStop’s trading patterns have become somewhat more “normal” in 2026, with fewer extreme intraday swings compared with previous years. This maturation, while reducing spectacular upside potential, has also lowered downside risk for more conservative participants.

For new investors considering GameStop, financial advisors typically recommend thorough research and strict risk management. The stock’s history of sudden volatility makes it unsuitable for those with low risk tolerance or short time horizons. Position sizing remains crucial given the potential for rapid price changes.

As trading continued Thursday morning, the stock hovered near its opening levels with limited directional conviction. Options activity showed modest interest in both calls and puts, reflecting uncertainty about near-term direction. Broader market strength provided a supportive backdrop, though GameStop often charts its own course driven by retail sentiment.

The coming weeks will bring more earnings reports from the retail sector and potential updates from GameStop itself. Any commentary on strategic initiatives or capital return plans could move the stock significantly. In the meantime, loyal holders continue monitoring social media channels and technical levels for signs of the next chapter in this unique stock’s story.

GameStop’s journey from traditional retailer to cultural phenomenon and potential turnaround story continues to captivate markets in 2026. While the daily movement on April 23 was minimal, the company and its dedicated investor base remain firmly on the radar of traders worldwide.

EXCLUSIVE: The great American wealth migration has officially reached its “mecca” phase.

As tech titans like Mark Zuckerberg and Larry Page lead a billion-dollar exodus from high-tax strongholds in California and New York, Corcoran Group CEO Pamela Liebman says Miami’s transformation into a global powerhouse is no longer a “boom-and-bust” trend but rather a permanent structural shift.

Speaking exclusively with Fox News Digital, the real estate mogul reveals why the elite are ditching the West Coast for South Florida’s “vibrant” culture and business-friendly climate, declaring: “When people see names like this flocking to a city like Miami, it helps to even more establish what’s already a global city into a mecca for these incredibly wealthy people.”

“Miami is a true luxury lifestyle home,” she added. “I moved back here in 2020. I’m a big believer in Miami… it’s really established itself as a world-class and worldwide city with tons of recognition… that’s just not going away.”

INSIDE THE 50-HOME MIAMI SANCTUARY WHERE SMART MONEY IS BUYING DECADES OF SECURITY FOR THEIR KIDS

Liebman and her team most recently launched sales at the first-ever residential development in Miami’s renowned Design District. Miami Design Residences by Chipperfield — a 26-story tower featuring 143 condos and a flagship Fouquet’s hotel — marks a historic shift for an area previously reserved for ultra-luxury retail and fine dining. A surprising catch: Units start at $1.8 million, a reasonable figure for a high-demand, low-supply market.

In recent months, Miami has welcomed home many new ultra-high-net-worth residents who have been fleeing blue state wealth taxes. (Getty Images)

The longtime CEO revealed to Fox News Digital that the project is so high conviction she has personally purchased a unit alongside other “global names in fashion.”

“We work on a lot of projects, and I haven’t bought that many units across all my years. I bought some, but this project was a no-brainer to me,” she said. “This building will have an incredible sense of community. It will be very chic. It will be one of these buildings, in my opinion, that you can look back on and say, ‘Wow, I’m so glad I bought early,’… And again, I put my money where my mouth is.”

Though the Miami heat keeps ramping up, as Liebman noted first-quarter condo sales are up 17% and home sales above $5 million have risen almost 10%, she admits that there’s “a tale of two markets” between luxury and median homebuyers.

The differences contrast the “painful” reality of insurance, taxes and high mortgage rates for the middle class, she says, as today’s buyers are “selective” and “disciplined,” not reckless like the 2021 peak.

“It’s very, very difficult for buyers that are not in the luxury segment, and that is the majority of the market. But they’re feeling priced out. That pressure is real. And a lot of it revolves around rates, insurance costs, limited supply, a lack of building of that type of product, older product that’s facing tons of work and assessments… And the dollar only goes so far at this point,” Liebman said.

“What we’re hoping is that opportunities will emerge. We’re seeing more negotiating room for properties that have been on the market for a long time,” she offered as a silver lining. “So I think the advantage now is going to a prepared buyer who knows where to look and can act quickly.”

STEP INSIDE THE $44M FOUR SEASONS PENTHOUSE WHERE EX-STARBUCKS CHIEF HOWARD SCHULTZ IS STARTING RETIREMENT

Interest stability is the “new baseline,” according to the CEO, but 6% rates are still a psychological barrier keeping sellers locked in, as they won’t give up 3% mortgages for a higher one.

“We are seeing buyers start to adjust their expectations. So the psychology shifts from wait-and-see to, ‘OK, how can I make this work?’ And when that happens, we see the activity picking up. But that said, a true inventory surge, I think that likely needs to see something that starts with a five [percent rate],” Liebman said.

“They’re not going to move until these rates come down meaningfully. So I think near-term, it’s more of a gradual thaw than a flood, but people have to make decisions and their lives change. And you can’t totally allow your life to be dictated by a mortgage,” she continued. “If there’s one thing I could ever hope for the housing market, it wouldn’t be that the luxury market is just always leading the way… but we could see average Americans feel good about their housing situations.”

While critics have long waited for the “Florida flight” to reverse, Liebman notes that the global perception of prestige has undergone a fundamental changing of the guard. For the veteran CEO, the proof isn’t just in the balance sheets but in the reaction she gets when traveling internationally.

“When I used to travel and say I’m from New York, everyone would say, ‘Oh, New York, New York. I always want to go to New York.’ And now I say I am from Miami and their eyes light up,” she reflected.

This “buzz” is increasingly centered on a shift toward health-conscious, community-driven living — a stark distinction from the grueling corporate grind of traditional northern hubs. As cities like San Francisco, Seattle and Chicago grapple with commercial vacancies and population loss, Liebman suggests the Miami model offers a blueprint for recovery: build what the modern consumer actually wants rather than relying on past glory.

“Miami did a good job of leaning into their strengths. San Francisco, an amazing city. New York, one of the greatest cities ever. Chicago, a tougher environment there. But I think cities need to lean into their strength and decide, ‘Why was it such a great city? And how can we keep that going? How can we draw people back?’” she said.

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She notes that the success of the Design District’s residential pivot is proof that creating a sense of culture is the ultimate magnet for capital.

“Every city needs to decide how do they build their communities or rebuild the communities,” Liebman concluded. “This is a game-changer for the Design District. The Design District was a game changer for Miami. This is a residence not to be overlooked.”

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