The UK's borrowing costs fell to a lower level than Germany
The UK's borrowing costs fell to a lower level than Germany for the first time in three years amid fears over the impact the euro crisis will have on the region's powerhouse economy. The yield on UK Government 10-year bonds fell to 2.16%, while the equivalent German costs rose to 2.21%, in a sign that investors have more faith in Britain's ability to cope with its debts. The rising borrowing costs in Germany followed the country's worst-received bond auction since the euro's launch as global investors appear to be turning their backs on Europe's biggest economy amid fears of a possible break-up of the eurozone. Chancellor George Osborne is likely to view the figures as evidence that his deficit-busting austerity measures are protecting the UK's position as a financial "safe haven". Anita Paluch, senior German liaison sales trader at Gekko Global Markets, said the rising costs in Germany emphasise "the seriousness of the state Europe is in...