The U.K. government could ease current fiscal policies due to near-term spending pressures on defense and energy, UBS Global Research economists say in a note. Andy Burnham, the frontrunner to succeed Keir Starmer as prime minister, this week announced his economic policies. Burnham's plan to grow the economy along with increased public spending requirements mean that the government could loosen the fiscal policies, the economists says. The rules require that government day-to-day spending will be met through tax revenue, rather than borrowing, by the end of the current parliamentary term in fiscal year 2030. The fiscal rules also require the reduction of government debt as a share of U.K. national income. (miriam.mukuru@wsj.com)