Key points at-a-glance
The UK is expected to avoid a technical recession in 2023, according to the Office for Budget Responsibility (OBR).
Inflation will fall from 10.7% in 2022 to 2.9% by the end of 2023. Last November, the OBR predicted that the average inflation rate for 2023 would be 7.4%
Underlying debt to be 92.4% of GDP by next year, falling every year after until 2027-28
Borrowing to fall from 5.1% in 2023-24 to 1.7% 2027-28
UK economy to grow by 1.8% in 2024; 2.5% in 2025; 2.1% in 2026; and 1.9% in 2027
Corporation tax will increase from 19% to 25%
Small businesses investment allowance increased to £1m
Credit for SMEs that spend on research and development – to the tune of £1.8bn
Pensions annual tax-free allowance to rise from £40,000 to £60,000
£1m lifetime allowance scrapped on pensions savings
12 new Investment Zones announced – West Midlands, Greater Manchester, the North-East, South Yorkshire, West Yorkshire, East Midlands, Teesside and Liverpool. There will also be at least one in each of Scotland, Wales and Northern Ireland.
These areas would have access to £80m of support
£161m for regeneration projects in Mayoral Combined Authorities and the Greater London Authority
£400m for new Levelling Up Partnerships
Hunt announces that childcare costs will be paid upfront for parents who are moving into work or want to increase their hours. They can claim £951 for one child and £1,630 for two children
Funding to nurseries will also increase
Energy Price Guarantee will remain at £2,500 for next three months – it had been due to go up to £3,000.
£63m fund to keep public leisure centres and pools afloat
Pubs – duty on draught products to be 11p lower than supermarkets
Fuel duty will be frozen and a 5p reduction will be maintained for a further year