UK to Introduce 12-Month Treasury Bills to Broaden Debt Market

The UK will begin selling 12-month Treasury bills at its weekly auctions, as part of the government’s efforts to tilt its borrowing toward shorter-maturity debt.

Britain’s finance ministry and Debt Management Office announced the move Tuesday, following a consultation with market participants earlier this year. The new securities are designed to meet demand for T-bills with maturity of more than six months and will be introduced at the end of the current financial year.