Budget 2017: OBR significantly upgrades UK growth forecast for this year

GDP growth to hit 2% in 2017

clock • 2 min read

The Office for Budget Responsibility (OBR) has significantly upgraded UK growth expectations to 2% for 2017, after the economy grew by 1.8% in 2016.

In the Spring Budget 2017, Chancellor Philip Hammond revealed the OBR is now predicting growth to reach 2% in 2017, much higher than its November forecast of 1.4%. However, the OBR's stronger projection for this year has been offset by expectations of lower GDP growth for the two following years. It is expected to fall to 1.6% in 2018, before rising slightly to 1.7% in 2019, as Brexit negotiations take their toll. Growth is expected to reach 2% once again in 2021. Hammond (pictured) said: "The UK economy continues to astound us with robust growth and a strong labour market. Last year ...

To continue reading this article...

Join COVER for free

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around health and wellbeing, diversity and inclusion and the cost of living crisis.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Members only access to monthly programme 'The COVER Review'
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

Chancellor targets FOS modernisation and FCA consultation

Chancellor targets FOS modernisation and FCA consultation

Consultation part of the advice guidance boundary review

Isabel Baxter
clock 15 November 2024 • 3 min read
PFS turmoil continues as interim CEO Don MacIntyre exits

PFS turmoil continues as interim CEO Don MacIntyre exits

Organisation has been at loggerheads with CII

Jenna Brown
clock 05 November 2024 • 2 min read
Implications of the PRA's 2025 life insurance stress test

Implications of the PRA's 2025 life insurance stress test

A regulatory shift

Sheikh Yasir
clock 01 November 2024 • 4 min read