Budget 2018: Brexit 'deal dividend' will bring Spending Review boost, says Hammond

Budget 2018: Brexit 'deal dividend' will bring Spending Review boost, says Hammond

Budget 2018: Brexit 'deal dividend' will bring Spending Review boost, says Hammond

The outlook for the United Kingdom economy has improved in 2018, according to the latest round of Office for Budget Responsibility (OBR) forecasts, suggesting the lacklustre growth rates seen earlier in the year won't be repeated going forward.

And the tax cut will be backdated to anyone who has bought a shared ownership home since last year's budget.

Perhaps to curb the air of optimism, there was also a further £500m set aside in case of a no deal Brexit.

Johnson said: "Suppose the public finance forecasts deteriorate significantly next year". "The scale would be very hard to predict, given the lack of precedent".

Technology giants will have to pay more tax in the United Kingdom under new regulations unveiled by the Government today.

And Tottenham MP and former culture minister David Lammy said: "We should not be supporting tax cuts that disproportionately help the wealthy".

Mr Hammond hailed the fulfilment of a key Tory Manifesto pledge a year early as "a tax cut for 32m people".

"We have resolved most of the issues and we are building up together what the future relationship should look like and making real progress", he added.

"You are painting a picture here that is created to show that I'm abandoning fiscal rectitude", he said.

But with Jeremy Corbyn's Labour pushing for major increases in public spending, Mr Osborne warned it would be a political mistake to be drawn into a fight on those terms.

He told MPs: "Whatever the Chancellor claims today, austerity is not over".

But expert analysts said that the bulk of the Chancellor's tax cuts would go to the wealthy, while his spending plans meant "no bonanza" for public services outside the NHS.

While the health service in England is set to enjoy £20.5 billion higher spending by 2023/24, spending on most other departments will be "essentially flat" over the coming five years once inflation is taken into account, said Mr Johnson.

Personal tax allowance is being lifted to £12,500, which Hammond says will benefit the average person by £130 a year, and national living wage will reach a high of £8.21 an hour.

Mr Bradley said: "I had two main asks of government to support Mansfield and I am pleased that the Chancellor has listened to us on both counts".

The UK Office of Responsibility said on Monday that meant a Scottish higher rate threshold of no more than £44,539 next year, meaning up to £5,461 being taxed at 21p more in the pound than south of the border.

Mr Hammond promised an extra £1.7 billion for the implementation of Universal Credit.

And he said that, even after the injection of around £2 billion a year into Universal Credit, there would be "millions of losers" from the introduction of the new benefit.

The Chancellor is today giving the final Budget before the United Kingdom leaves the EU.

The Budget's Stamp Duty cut for shared ownership first time buyers has been welcomed by the Leeds Building Society.

Mr Hammond insisted that was not the outcome he expected and he remained confident there would be an agreement with Brussels.

The Chancellor has given reassurances that it will be tech giants who will be affected by the tax.

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