Chancellor of the Exchequer, Rishi Sunak, delivered his third Budget and Spending Review on 27 October, declaring that it begins “the work of preparing for a new economy post-COVID.” Revised OBR figures suggest that the UK economy will grow by 6.5% this year, a significant upgrade from March’s 4% figure. Medium-term GDP predictions were also upgraded – the OBR estimates that long-term pandemic-related economic scarring will be 2% rather than the 3% assumed in March. The Spending Review confirms that billions are to be invested in education, public services and R&D. Tax cuts include air passenger duty, certain drinks and business rate discounts for hospitality, leisure and retail sectors.
