Chancellor Jeremy Hunt will deliver his 2023 Autumn Statement this afternoon (22 Nov), accompanied by an economic forecast from the Office for Budget Responsibility (OBR).
Although inflation has eased significantly in recent months and new data shows Government borrowing is lower than expected, the OBR's economic outlook is likely to remain relatively bleak as UK households and businesses continue to struggle with the higher cost of living.
In light of this economic uncertainty, the Chancellor has said he will use his Autumn Statement to "deliver the growth our country needs" by boosting business investment and encouraging people back into work.
The Government has already announced some measures ahead of the statement, including raising both the National Minimum Wage and National Living Wage to £11.44 per hour in April 2024.
A ‘back to work' plan will also form part of the statement, including support for long-term sick and disabled workers and tougher benefits rules.
Furthermore, despite previously ruling out tax cuts, Hunt has since indicated he may announce plans to reduce the tax burden for businesses and individuals.
There has been speculation about whether the Autumn Statement will include cuts to personal liabilities such as inheritance tax, income tax, National Insurance or stamp duty.
However, the Chancellor has said that tax cuts ‘aren't going to happen overnight', emphasising the importance of being responsible with the nation's finances and bringing down inflation:
"The one thing we won't do is any kind of tax cut that fuels inflation. We've done all this hard work - we're not going to throw that away."
Other potential measures include an expansion of the mortgage guarantee scheme, ISA regime reforms and changes to the ‘triple lock' pension.
We'll keep you updated about the new measures.
