LONDON - The UK Debt Management Office (DMO) announced it will auction £3.75 billion of the 4⅛% Treasury Gilt 2029 on Tuesday, December 17, 2024. This issuance is part of the government's ongoing efforts to manage the national debt and finance public spending.
The auction will open at 9:00 am and close at 10:00 am London time, with settlement scheduled for the following day, December 18. The gilt will have a nominal outstanding amount of £37,497.0 million after the auction and is due to mature on July 22, 2029. Interest on this gilt is payable gross on January 22 and July 22 each year, with the next payment due on January 22, 2025.
Investors will also have the option to bid on an additional amount of the gilt equivalent to 25% of the nominal amount allocated at the auction. This Post Auction Option Facility will open at 12:30 pm and close at 1:00 pm on the day of the auction.
The DMO has clarified that this gilt cannot be stripped and reconstituted until they issue a notice specifying otherwise. Furthermore, the DMO has made available a prospectus for the auction and an information memorandum detailing the issue, stripping, and reconstitution of British Government Stock.
This auction is part of the DMO's financing remit for the 2024-25 financial year, and progress on gilt sales can be tracked via the DMO's website. The DMO has specified that bids can be made on a competitive or non-competitive basis, with further details provided in the prospectus and the information memorandum.
The DMO's announcement is part of a regular schedule of debt issuance, which is standard practice for managing national debt levels and financing government operations. This information is based on a press release statement from the UK Debt Management Office.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.