21st March 2018

Highlights of the Spring Statement 2018

The Spring Statement was delivered last week on the 13th March 2018

The Spring Statement was delivered by the Chancellor of the Exchequer Phillip Hammond. These are a few financial key highlights from his speech:
• The 2016 change to a single fiscal event in the Autumn budget led to greater certainty to families and businesses of the new financial year ahead. The Spring statement is to update the House on the economic and fiscal position of the UK.
• UK economy has grown every year since 2010
• Higher employment and lower unemployment in every region in the UK since 2010
• the wages of the lowest paid up by almost 7% above inflation since April 2015
• The economy grew by 1.7% in 2017, compared to 1.5% forecast at the Budget. And the Office for Budget Responsibility (OBR) have revised up their forecast for 2018 from 1.4% to 1.5%. Forecast growth is then unchanged at 1.3% in 2019 and 20, before picking up to 1.4% in 21 and 1.5% in 22.
• Real wage growth is expected to be positive from the first quarter of 18-19, and to increase steadily thereafter.
• Borrowing is now forecast to be £45.2 billion this year, £4.7bn lower than forecast in November and £108bn lower than in 2010.
• The more favourable outlook for borrowing means the debt forecast is nearly 1% lower than in November. Peaking at 85.6% of GDP in 17-18. And then falling to 85.5% in 18-19, then 85.1%, 82.1%, 78.3%, and finally 77.9% in 2022-23.
If you would like to know more about the Spring Statement, all information is on the ww.gov.uk website.