US faces Liz Truss-style market shock as debt soars, warns watchdog

Washington | The US faces a Liz Truss-style market shock if the government ignores the country’s ballooning federal debt, the head of Congress’ independent fiscal watchdog has warned.

Phillip Swagel, director of the Congressional Budget Office, said the mounting US fiscal burden was on an “unprecedented” trajectory, risking a crisis of the kind that sparked a run on the pound and the collapse of Truss’ government in the UK in 2022.

Financial Times