Autumn Statement: At-a-glance summary of key points
- Published
Chancellor George Osborne has updated MPs on the state of the economy and the government's future plans in his Autumn Statement as the Office for Budget Responsibility (OBR) publishes its latest growth and borrowing forecasts.
ECONOMIC GROWTH
2011 forecast revised down to 0.9% from 1.7%
2012 forecast revised down to 0.7% from 2.5%
In 2013, 2014 and 2015, forecast growth will be 2.1%, 2.7% and 3%
GOVERNMENT BORROWING
Extra £111bn in borrowing over five years
Borrowing forecast to be £127bn in 2011-2, falling to £120bn, £100bn, £79bn and £53bn in following years
Debt to GDP ratio to peak at 78% in 2014-5, falling afterwards
PUBLIC SECTOR PAY AND PENSIONS
1% cap on public sector pay rises for two years after the end of current freeze next year
Review into regional pay adjustments
Rise in state pension to 67 to be brought forward to 2026 from 2034
TRANSPORT COSTS
The average rise in regulated rail fares to be capped at 6% - 1% above inflation - in January, rather than the 8% cap expected
Planned 3p fuel duty rise in January to be scrapped. But duty will go up by 3p in August.
BENEFITS
Working age benefits to be uprated by 5.2% next year, in line with inflation
Basic state pension to rise by £5.30 next year to £107.45
Inflation-linked rise in disability element of tax credits but below-inflation increase in other tax credits
£110 rise above inflation in the child element of the child tax credit scrapped
BUSINESS AND JOBS
OBR forecast of total public sector job losses up from 400,000 to 710,000
Credit easing programme to underwrite up to £40bn in low-interest loans to small and medium-sized firms
£1bn business finance partnership to raise money for medium-sized firms
Regional Growth regeneration fund to get £1bn in extra funding
£250m support package for energy-intensive firms, £500m for science
Business rate holiday relief for small firms extended to April 2013
New time limits for planning applications
£1bn "youth contract" to subsidise six-month work placements for 410,000 young people
Bank levy to be increased in January
WATCH: George Osborne gives details of a 'new youth contract'
EDUCATION AND FAMILIES
£1.2bn extra spending on schools in England
Half to go to councils for more school places and half for 100 additional free schools
£50 cut in water bills for families in the south-west of England
Childcare places for most deprived two-year-olds in England doubled to 260,000
HOUSING
Mortgage indemnity scheme to help up to 100,000 people buy homes with 5% deposit
£400m scheme to kick-start stalled construction projects in England
50% discount for social tenants wanting to buy their own homes in England
INFRASTRUCTURE SPENDING
£5bn new spending over three years, including £1bn for the rail network
Go-ahead for 35 road and rail projects across England
Aim to unlock a further £20bn in investment from pension funds.
OVERSEAS AID
Funding will not exceed 0.7% of total GDP
2011 BUDGET PREDICTIONS
In March, the OBR predicted the economy would grow 1.7% in 2011 and 2.5% in 2012
It forecast government borrowing of £146bn in 2010-11, falling to £122bn in 2011-12, £101bn in 2012-3, £70bn in 2013-4, £46bn in 2014-5 and £29bn by 2015-16.