Tag: OBR

Is the UK government really about to spend £83 billion on debt interest?

In his Spring Statement speech the Chancellor made the eye-catching claim that ‘in the next financial year, we’re forecast to spend £83 billion on debt interest’. This £83 billion figure was widely understood to be the amount that the government would actually pay out in interest in 2022-23. This has prompted lots of unfavourable comparisons … Continue reading Is the UK government really about to spend £83 billion on debt interest?

When facts change, fiscal policy should change too

Putin’s murderous assault on the people of Ukraine is a threat to peace and security worldwide. But someone also has to worry about the impact on the UK economy. The fallout should prompt a rethink of the response to the cost of living crisis and the tax hikes planned for April. The catastrophe in Ukraine … Continue reading When facts change, fiscal policy should change too

Will Brexit really shrink the UK economy by 4 per cent?

"Now it’s official. The Government’s own fiscal watchdog has confirmed that Brexit will shrink the UK economy by 4pc, costing the average household thousands of pounds." This is how many are interpreting the latest analysis by the independent Office for Budget Responsibility (OBR), which was published alongside the October Budget. This analysis seems to be … Continue reading Will Brexit really shrink the UK economy by 4 per cent?