Spring Statement at a glance: The five areas you need to know about

Posted On: 
13th March 2018

Read a summary of the key fiscal forecasts and measures from Philip Hammond's Spring Statement here.

Philip Hammond delivering his Spring Statement this afternoon
Credit: 
PA

FORECASTS (Previous forecasts from November 2017 in brackets)

Growth

2016-17: 1.7%
2017/18: 1.5% (1.5%)
2018/19: 1.3% (1.4%)
2019/20: 1.3% (1.3%)
2020/21: 1.4% (1.5%) 
2021/22: 1.5% (1.6%)

Borrowing (as % of GDP)

2017-18: 2.2% (2.4%)
2018-19: 1.8% (1.9%) 
2019-20: 1.6% (1.6%)
2020-21: 1.3% (1.5%)
2021-22: 1.1% (1.3%) 
2022-23: 0.9% (1.1%)

National debt

2017-18: 85.6% (86.5%)
2018-19: 85.5% (86.4%)
2019-20: 85.1% (86.1%) 
2020-21: 82.1% (83.1%)
2021-22: 78.3% (79.3%)
2022-23: 77.9% (79.1)

Employment (millions)

2016-17: 31.7
2017/18: 32.1
2018/19: 32.2
2019/20: 32.4
2020/21: 32.5
2021/22: 32.6
2022/23: 32.7

INDUSTRY & PRODUCTIVITY

  • Call for evidence on how to improve the least productive businesses
  • Cabinet Office consultation on prompt payment by suppliers, including the Government
  • Consultation on how the tax system supports self-funded training

BUSINESS TAXATION

  • Consultation on the VAT threshold for small businesses
  • Update on corporate taxation of digital companies
  • Call for evidence on online platforms ensuring users’ tax compliance
  • Consultation on changes to Entrepreneur’s Relief
  • Bringing forward the next Business Rate revaluation to 2021
  • Consultation on new ‘split payment’ for VAT
  • Call for evidence on the impact of Air Passenger Duty in Northern Ireland
  • Consultation on a new law to allow transferable tax history for oil and gas firms
  • Consultation on a new Petroleum Revenue Tax

ENVIRONMENT

  • Call for evidence on charging for single-use plastic waste
  • Call for evidence on whether use of red diesel tax relief in urban areas
  • Consultation on reducing vehicle excise duty for clean fuel vans

BREXIT

  • Brexit divorce bill set to be £37bn according to the Office for Budget Responsibility
  • The Home Office will get £395m to prepare for Brexit while Defra will get more than £300m and HMRC £260m.