Increasing employment raises living standards and helps businesses grow. The OBR is now forecasting the UK economy will avoid a recession and, supported by action taken at the Spring Budget, GDP is higher in the medium term. Spring Budget begins to implement the Chancellor’s strategy to deliver long term sustainable growth, focusing on four key priorities: Employment, Education, Enterprise and Everywhere. Growing the economyĮconomic growth increases living standards, supports higher paid jobs, and strengthens the public finances. Overall, the government is providing a total of £94 billion, equivalent to £3,300 per household on average, across this financial year and next, to support households with higher costs. Reforms to childcare will also help families with children with one of the most significant costs they face. The government is also increasing Draught Relief from 1 August to freeze the duty charged on a typical pint of beer in the pub and ensure this will always be lower than in the supermarket. The government will spend over £5 billion maintaining fuel duty at current levels for the next 12 months, including keeping the 5p cut in place. Households are facing price rises beyond energy costs. To increase resilience to future energy price shocks, the government is supporting investment in the energy system by launching Great British Nuclear to support new nuclear builds, making up to £20 billion available for Carbon Capture, Utilisation and Storage (CCUS), and extending the Climate Change Agreement scheme for a further two years to encourage energy efficiency. The government will also align charges for comparable direct debit and Pre-Payment Meter (PPMs) customers, ensuring that those on PPMs no longer pay a premium for their energy costs. To further support households with the cost of living, the government is maintaining the EPG at £2,500 for a further three months from April 2023. The Office for Budget Responsibility (OBR) is now forecasting that Consumer Price Index (CPI) inflation will fall to 2.9% by the end of 2023. The Bank of England has taken steps to control inflation by raising interest rates, and the government’s Energy Price Guarantee (EPG) has reduced energy bills for millions, keeping inflation lower than it otherwise would be. High inflation erodes the value of wages and hurts economic growth. Putin’s illegal invasion of Ukraine and global supply chain pressures have pushed wholesale energy prices to record highs and saw inflation peak at 11.1% in October 2022, the highest level in 40 years. At Spring Budget 2023 the government is building on this foundation, with a plan to deliver on three of the five key priorities set out by the Prime Minister in January: to halve inflation, grow the economy and get debt falling. Ordered by the House of Commons to be printed 15 March 2023Īt Autumn Statement 2022 the government took the difficult decisions needed on tax and spending to restore economic stability, support public services, and lay the foundation for long-term growth.Presented to Parliament as a return to an order of the House of Commons.
0 Comments
Leave a Reply. |
Details
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |