Following the fallout from Kwasi Kwarteng’s disastrous mini budget six months ago, the first statement of 2023 was pitched by chancellor Jeremy Hunt as a blueprint for “long-term, sustainable, healthy growth”.
Despite narrowly avoiding a recession, the UK economy has flatlined. The Office for Budget responsibility (OBR) is forecasting an economic contraction of 0.2% in 2023, before returning to growth next year. The recent collapse of Silicon Valley Bank – which sent shockwaves across the financial markets – has highlighted the precarious position the global economy is in.
Within the budget were a number of measures aimed at boosting business investment and bringing some of the 8.9 million economically inactive Britons back into the workforce. The chancellor will hope that these policies will help the government meet its aim of halving inflation, growing the economy and reducing debt.