We expect the Spring Budget on 15th March to contain some giveaways confined to 2023/24. But a downgrade to the Office for Budget Responsibility’s (OBR) medium-term GDP growth forecasts will prevent an unwinding of the £54bn (1.8% of GDP) of fiscal consolidation in 2027/28 announced last November. That will have to wait for later this year, or early next year, ahead of the next general election.
UK Drop-In (15th Mar.): Will the Spring Budget see Jeremy Hunt splash the cash or hold off until the election – or will new OBR forecasts tie the Chancellor’s hands? Register for our special 20-minute budget day online briefing with Neil Shearing, Paul Dales and James Reilly. Register Now.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to gain:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services