UK Has £100 Billion for Budget Giveaways, Upbeat Forecaster Says

  • NIESR is way above most forecasts for £10 billion fiscal space
  • Upside created by higher inflation and no market response

Jeremy Hunt

Photographer: Chris J. Ratcliffe/Bloomberg
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UK Chancellor of the Exchequer Jeremy Hunt will have almost £100 billion ($119 billion) for giveaways in next week’s budget, a top economic forecaster said in a uniquely optimistic outlook.

The projection by the National Institute of Economic and Social Research makes it a massive outlier, with most forecasters expecting Hunt to have little more than the £9 billion headroom in November’s autumn statement. The government has suggested there is no fiscal room for big giveaways.