The UK economy faces significant challenges due to five major policy-related problems. Addressing these issues could lead to positive market reactions and improved living standards.

<p>There are five big policy-related problems holding back the UK economy. Any politician who tackles them in earnest would benefit from a bond- and equity-market rally, a construction boom, higher business and consumer confidence, and the political dividends that come with broad-based gains to voters' standard of living.</p>