Britain’s Chancellor of the Exchequer Jeremy Hunt has hailed his plan to boost the stagnant economy as tens of thousands of workers angry with the government went on strike to demand better working conditions and wages. which will allow them to travel.
The price of life crisis is increasing.
Hunt on Wednesday unveiled child care and tax reforms to get more people to work and corporate tax breaks to spur lower levels of business investment. I presented my budget to the derision of the opposition Labor Party, which is already high in the opinion polls. Elections are expected next year.
Hunt also said he would help households hit by rising energy bills and freeze fuel taxes.
The world’s sixth-largest economy is now expected to avoid recession this year – even if it is still set to contract, the Chancellor of the Exchequer said.
“Amid many challenges, I report today on the British economy proving the skeptics wrong,” Hunt said.
“In the fall we made tough decisions to provide stability and good money supply,” said Hunt, who was tapped to head the Treasury in October and scrap plans for tax cuts that Liz had introduced. was finished Financial markets were in turmoil during Truss’s brief premiership.
“Since mid-October, 10-year gilt rates have fallen, debt servicing costs are low, mortgage rates are low and inflation is picking up,” he told parliament. “The International Monetary Fund says our outlook means the UK economy is on the right track.”
After the shocks of Brexit, COVID-19 and double-digit inflation, the UK economy is the only one of the Group of Seven countries that has yet to return to its pre-pandemic size, already a decade behind. Income stagnation.
Hunt and Prime Minister Rishi Singh have resisted calls from some lawmakers in the ruling Conservative Party for big tax cuts, instead announcing late last year to calm jitters in Britain’s bond markets. Opted for bailout of loans. Focused on principles.
But Hunt found money in the government’s energy bill subsidies for households for another three months and a fuel duty freeze for a decade.
He also announced a new incentive for business investment that will allow companies to offset 100 percent of their capital expenditure against profits, although it has reduced tax breaks under the scheme over the past two years. represents does
Other initiatives included further investment in nuclear power.
Hunt said the government would increase the defense budget by 11 billion pounds ($13.3 billion) over the next five years, boosted by Britain’s support for Ukraine in its war with Russia.