2016 Autumn Statement
Mr Hammond started with lists of figures for GDP growth and borrowing. As usual, there were references in the speech to matters that were covered in more depth in the documents released on the internet. This report explains the more significant announcements on tax and also includes a reminder of some of the measures that are coming into effect in the near future after having been announced some time ago.
The background to this round of policymaking is, of course, the decision to leave the EU. Mr Hammond said that estimates of economic growth were down and borrowing up as a result of that decision, and he has had to rewrite the Government’s ‘fiscal rules’ as a result. He now aims to bring the public finances into balance in the next Parliament, not by the end of this one. He also stressed that the level of uncertainty about the forecast figures is higher even than it normally is. By this time next year, we are assured that the process of Brexit will have begun, and we may find that more radical policy changes will be required to keep the public finances on track.
Whatever happens, we will be ready to explain the rules and advise you on the effect of your personal or business finances.
For a more detailed review of the 2016 Autumn Statement, please click on the link below: