The Office for Budget Responsibility (OBR) of The United Kingdom, gives independent analysis of the UK's finances, as an executive non-departmental agency, sponsored by Treasury. United Kingdom Chancellor Hunt signaled that OBR forecasts show 2025 GDP growth of 1.9% (November forecast 1.4%). Here are some OBR and Hunt comments from the OBR report about UK economy:
- Market participants now expect a sharper fall in interest rates than they did in the Autumn
- Latest data from UK signal that the post pandemic rise in economic inactivity is likely to prove more persistent than previously expected
- Recovery is largely driven by a pick-up in household consumption growth to around 2% from 20205 to 2028
- Read GDP per person is forecast through at 1.25% below its pre-pandemic peak in the first half of 2024
- Forecast of the GDP level in five years is virtually unchanged versus the Autumn one, but the GDP per person is expected to be slightly lower
- Medium term economic outlook remains challenging, ant the long term ambition is tot keep cutting national insurance
- The average earner in the UK is to have the lowest effective personal tax rate since 1975
- OBR forecasts that national insurance cuts will bring and extra 200,000 people, into the workforce
- 27 million British employees will get an average tax cut of 900 British pounds a year
Source: xStation5
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appThe content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
