Ahead of the emergency Budget, as Shadow Treasury Minister James spoke to broadcast media and the lack of growth due to the government’s policies.
In the spring statement, the Office for Budget Responsibility (OBR) halved its forecast for growth this year. Its October forecast said growth would be 2.0 per cent – they are now forecasting it will be 1.0 per cent in 2025.
It also confirmed inflation will peak at 3.2 per cent this year up from the October 2024 forecast where inflation was forecast to be 2.6 per cent. The OBR confirmed the government will borrow more in every year of the forecast compared to the October 2024 forecast – an average of £8 billion additional a year and an additional £47.5 billion in total.
Reflecting on the spring statement, James Wild MP said:
“Growth was supposed to be this government’s priority, but the Chancellor had to come and explain that due to her tax rises, higher borrowing, and spending splurge the growth forecast has been halved for this year.
“Next week businesses will be hit with a £25 billion a year Jobs tax and hospitality firms in North West Norfolk and beyond face a near doubling of business rates but there was nothing to help them today.
“It is very concerning that once again the Chancellor has not listened to employers and investors who have warned of the damaging impact of the government’s policies on jobs and growth.”
