Commenting on the Chancellor’s Spring statement Mark
Littlewood, Director General at the Institute of Economic Affairs
said: “The Chancellor has basically promised us “a little bit
of jam tomorrow” in his Spring statement. The budget deficit is
falling a little faster than expected, which is welcome. But he is
likely to use some of this £4 billion bonus to simply increase
state spending in the Autumn. Disappointingly, he didn’t signal any
meaningful aspiration to cut...Request free trial
Commenting on the Chancellor’s Spring statement Mark
Littlewood, Director General at the Institute of Economic Affairs
said:
“The Chancellor has basically promised us “a little bit of jam
tomorrow” in his Spring statement. The budget deficit is falling a
little faster than expected, which is welcome. But he is likely to
use some of this £4 billion bonus to simply increase state spending
in the Autumn. Disappointingly, he didn’t signal any meaningful
aspiration to cut taxes even if he has the room to do so.
"The forecast for growth this year has been turned up by a
tiny notch, but this should not be allowed to distract from the
vital objective of getting public finances under control and
returning to balanced budgets. By easing off on this target, the
Chancellor has all but guaranteed that we are destined to
experience a quarter of a century of budget deficits, with
increased debt being passed on to future generations as a result."
