George Osborne made his Autumn Statement today in an attempt to silence those condemning the size of the UK budget deficit. Despite borrowing coming in at £4.3bn over the target of £87bn, he is confident that by 2019/20, the UK will be enjoying a red free zone. He also pointed out that though targets may not have been met, the deficit is shrinking year by year and now stands at 50 per cent less than what it was when it was inherited by the present government.
Actions that have been declared at this point include:
- a so called ‘Google tax’ that would be directed at large multinationals; forcing them to pay UK taxes on UK profits which is expected to generate hundreds of millions of extra tax in the UK.
- Health services in Britain are to receive a financial boost of £2bn
- The remainder of debt incurred during World War One will be repaid
- An increase in investment for small business, academies, research and culture to allow development in the North of England.
Although Labour claims Osborne has failed to achieve the balance books, promised in the 2010 election, the Liberal Democrats pointed out that billions of pounds would have been required to eliminate the debt by 2017/18.
David Cameron has publicly defended the party’s plans and echoed the chancellor’s message saying that ‘we must stay the course to prosperity’