Spring Statement: OBR revises down 2019 growth forecast

Warns of consequences of no deal

clock • 2 min read

UK gross domestic product (GDP) is set to grow by 1.2% in 2019, less than the 1.3% forecast in the 2018 Autumn Budget, but the economy will expand over the each of the next five year's, Chancellor Philip Hammond said in today's Spring Statement.

The UK economy is set to grow by 1.4% in 2020 and by 1.6% in the following three years, according to the Office for Budget Responsibility (OBR), although this year's growth forecast was reduced to 1.2%. It follows ONS figures released this week in which growth beat economist expectations to reach 0.5% in January, the biggest increase monthly output since December 2016. Hammond also said the OBR predicted borrowing is set to fall to £13.5bn in 2023, from £29.4bn this year, well below the previous forecast of £19.8bn in 2023. The Chancellor  praised the figures, noting "national debt...

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