Britain's finance minister Rachel Reeves on Wednesday promised to keep a "tight grip" on public spending as interest rates soar on the UK's long-term debt, and set November 26 for her annual budget speech.

The British pound tumbled on Tuesday as the yield on 30-year UK government bonds hit its highest level since 1998, with concerns growing about soaring state debt across major economies.

"We must bring inflation and borrowing costs down by keeping a tight grip on day to day spending through our non-negotiable fiscal rules," Reeves said in a statement.

Britain's economy has struggled to grow after Reeves hiked taxes and slashed public spending after Labour won a general election just over a year ago.

Some policies were later reversed after Labour took heavy criticism, and her position

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