A fiscal framework for the future

The March 2006 Budget will be the Chancellor’s tenth. There is a widespread feeling that politics will dominate the Budget with economics taking a secondary role. The Chancellor is in consolidation mode. There are few expectations he will change his economic forecasts significantly – the GDP forecast for 2006 looks quite plausible and is much in line with consensus thinking. It is also unlikely that he will alter the forecasts for the public sector balances either.

Ruth Lea - Wednesday, 27th December, 2006