Six things we've learned from the spring statement

Six things we've learned from the spring statement

"And while the budget deficit looks likely to come in nearly £5 billion lower this year than we expected in November, the explanations for this imply smaller downward revisions for future years".

Philip Hammond said that since becoming Chancellor he had provided an extra £11 billion for 2018-19 to help with "short-term public spending pressures" and to "invest in Britain's future".

She said: "Today's Spring Statement was characterised by unsafe complacency from the Chancellor".

The OBR also said it expected public borrowing would be £45.2bn this year - about £4.7bn lower than previously forecast.

Mr Hammond rejected Labour "doom and gloom" over the state of the economy, saying the recession repeatedly forecast by shadow chancellor John McDonnell since 2010 had failed to materialise.

Rachel McEleney, associate tax director at Deloitte, said the move to examine taxes on online selling was, broadly, a good one: "We welcome this call for evidence - many people have no experience of completing tax returns".

Furthermore, the government has said that it is working with 44 areas which have submitted bids to the Housing Infrastructure fund, to make sure that only those homes that are needed are being built.

He said it will remain unchanged at 1.3 per cent in 2019 and 2020, before picking up to 1.4 per cent in 2021 and 1.5 per cent in 2022.

He said "substantial progress" has been made in Brexit talks.

With an expected drop in borrowing, higher-than-predicted GDP growth of 1.7% for 2017 and the recent elimination of the Government's deficit on day-to-day spending, Mr Hammond is expected to tell MPs that the United Kingdom is reaping the reward for years of austerity.

Inflation hit 3.1% in November 2017, but the OBR predicted it had reached its peak.

Going forward, he said that businesses want to see the Chancellor use this year's Autumn Budget to double down and increase spending to even further improve digital connectivity, deliver road and rail improvements, strengthen the UK's energy security and build more houses.

But all eyes will be on the Office for Budget Responsibility's forecasts for the deficit, debt, GDP and productivity, to see whether they back up the Chancellor's claim that there is now "light at the end of the tunnel".

Hammond's Treasury deputy Liz Truss said there would be "no red box, no rabbits out of the hat and no tax changes".

Within the November Budget, the Chancellor announced plans to use the tax system to support the Government's goal of eliminating avoidable plastic waste by 2042.