Steady as she goes from Spreadsheet Phil November 24, 2016 It can't have been easy for George Osborne to watch his successor abolish one of the former chancellor’s favourite political devices. Philip Hammond ended his sober assessment of the public finances yesterday by declaring that the Autumn Statement will be no more. “No other economy makes hundreds of tax changes twice a year, and neither should [...]
Philip Hammond has gifted Britain a third decade of gross fiscal irresponsibility November 23, 2016 If it ever truly began, it really does look like the era of austerity is over. After the savage cuts of George Osborne’s days, when current spending was slashed by an eye watering 0.2 per cent, Philip Hammond has decided enough is enough. The borrowing forecasts from yesterday’s Autumn Statement were diabolical. A surplus is now not [...]
The chancellor’s new investments should boost productivity – but the next few years are going to be tough November 23, 2016 Philip Hammond kept the nation in suspense as to the new government’s priorities for the economy until the Autumn Statement, and generally it was worth the wait. The chancellor proved a bigger spender, focusing on one of the fundamental challenges facing the UK economy beyond Brexit – productivity. If the UK is to forge a [...]
Fed officials said rate hike needs to happen in December “to preserve credibility” November 23, 2016 Some Federal Reserve officials said a rate rise needs to happen next month "to preserve credibility", according to minutes of their November meeting released today. They said an interest rate increase was incoming "relatively soon", if incoming data continued to reflect an improving economy, with some explicitly calling for a move next month. Some participants, a [...]
Was the Autumn Statement a missed opportunity to tackle Britain’s housing crisis? November 23, 2016 Jeremy Leaf, a former RICS residential chairman, says Yes. As expected, the chancellor’s speech contained no reversal of stamp duty changes, withdrawal of mortgage interest relief proposals for landlords, or assistance for downsizers. This was despite the potential benefits for the wider economy of lower taxes, greater job mobility and more housebuilding. No measures were [...]
Philip Hammond loosens George Osborne’s fiscal rules to give himself more elbow room as Brexit unfolds November 23, 2016 The government has published yet another new set of rules on fiscal policy, as chancellor Philip Hammond aims to give himself more room for manoeuvre over the course of the next five years than his predecessor, George Osborne. The former chancellor watched from the backbenches as Hammond abandoned all three of Osborne’s rules, introduced in [...]
Autumn Statement 2016: For all Hammond’s plans the OBR fears UK economic productivity could be weaker after Brexit November 23, 2016 In the Autumn Statement today chancellor Philip Hammond said no other major economy has such a gap between the productivity of its capital and its other cities. He also said the UK lags the US and Germany by a whopping 30 points in productivity. According to Hammond raising productivity is essential for the "high wage, high [...]
All the places the Autumn Statement will hit your wallet November 23, 2016 The Autumn Statement was lighter on personal finance initiatives than it has traditionally been – but that doesn't mean it had nothing to offer. For pensioners, without a doubt the most important thing was that the pensions triple lock – which guarantees pensions will rise at least 2.5 per cent a year – has been [...]
It’s official: The pound’s fall is set to raise inflation way above target in the next few years November 23, 2016 The UK’s rate of inflation will grow faster than previously predicted, according to new government forecasts. The Consumer Price Index (CPI),the main measure of UK inflation, will rise to 2.3 per cent in 2017, according to new figures from the Office for Budget Responsibility. The figures were released today alongside chancellor Philip Hammond’s first Autumn [...]
Autumn Statement 2016 will be the UK’s last November 23, 2016 The Autumn Statement is being abolished, chancellor Philip Hammond said today. "This is my first Autumn Statement and it will also be my last," he told MPs in the House of Commons today. He is introducing a Spring Statement, and an Autumn Budget instead. Hammond said he would not introduce significant economic and financial changes [...]