Core Viewpoint - The UK government's potential reversal of the income tax increase plan in the upcoming budget on November 26 is seen as a risky move that could undermine market confidence in fiscal decision-making [1] Group 1: Government Actions - The cancellation of the income tax increase plan may be perceived as a lack of willingness to make difficult fiscal decisions, which could further weaken the government's credibility [1] - If the reversal is driven by political concerns, it may reinforce the notion that the government is hesitant to implement necessary fiscal measures [1] Group 2: Market Reactions - Recent performance of bonds and the British pound indicates a fragile market confidence regarding the UK’s fiscal plans [1] - The market's skepticism may increase if the Office for Budget Responsibility revises its forecasts, leading to questions about the reliability of such predictions [1]