Germany’s spending push drives up borrowing costs across Eurozone

Stay informed with free updates

Simply sign up to the Eurozone economy myFT Digest — delivered directly to your inbox.

A surge in Eurozone government borrowing costs as a result of Germany’s planned defence spending spree will intensify debt pressures on other countries in the bloc and could make it harder for them to mount borrowing campaigns of their own, investors have warned.

The shift by the region’s biggest economy away from its historic reluctance to borrow — which in the past…