UK Budget report: 5 things to watch out – FT

The Financial Times (FT), in its article, reports five issues that will be watched in the UK Finance Minister Philip Hammond's Spring Statement due later on Tuesday.

Key 5 points to watch out:

“1. The economy

• The most important judgment will be the OBR's new assessment of Britain's productivity growth prospects, which it cut sharply in November.

2. The public finances

• The OBR indicated last month that it will make a "significant" downward revision to its estimate of public borrowing for 2017-18.
• The improvement in the public finances over the past six months means that Britain has eliminated the deficit on its day-to-day budget.

3. Tax consultations affecting companies

• Mr. Hammond is to launch a consultation into a problem with the value-added tax.

4. Tax consultations affecting people

• A consultation on trusts.
• Inheritance tax ... could lead to a new consultation.

5. Is Treasury brevity going to last?

• This is not the first time a chancellor has pledged to have only one Budget a year.”