Chancellor tells OBR to stop updating forecast for UK economy

Chancellor tells OBR to stop updating forecast for UK economy

This could include adverts from us and 3 rd parties based on our understanding. The Chancellor has instructed the UK Fiscal watchdog, the Office of Budget Responsibility OBR, to stop adding updates to its forecast. This decision will mean Mr Sunak can announce a big improvement in the size of the UK economy in the Autumn Budget and this autumn spending review, due to be released next month.

The move, the Express understands, will help the Chancellor to fight off last-minute government spending bids from government departments. However, overall this could further boost Mr Sunak's chances of having a public finance windfall for tax cuts ahead of the next general election. The OBR said it had ended updates to its forecast on 24 September, making clear it was earlier than usual to answer a request from the chancellor A Treasury source said the timing of the forecast was an operational decision which was made in the summer. It added: The forecast timing is intended to allow more time for decisions before a three-year budget review, as was the case in 2015. The forecast process was closed just three weeks before the Autumn Budget in 2015, compared to five weeks this year. If the OBR had kept updating the forecast for several more days it would have improved the outlook of the UK economy during COVID - 19 pandemic due to large revisions in economic data. The latest ONS data, published this week, revealed that Britain's economy grew in August as the full lifting of coronavirus restrictions boosted events and hospitality. Sturgeon hurting private members of the SNP on independence.

The Office for National Statistics ONS said gross domestic product GDP rose 0.4 percent between July and August in the first full month after all restrictions on covid 19 in England ended on 19 July. Britons rushing out to festivals, theme parks and events helped see the hard-hit arts, entertainment and recreation sector bounce back with growth of 8.5 percent. The August GDP gain means the economy is only 0.8 percent smaller than it was before the pandemic. The data also showed further signs that the recovery is easing as global supply chain woes take their toll.