Скачать или смотреть MPs react to Chancellor's "oblivious" economic statement

MPs react to Chancellor Rachel Reeves' Spring Statement.

Today, Reeves defended her economic strategy, saying it is delivering stability in an increasingly uncertain global environment, despite downgraded short-term growth forecasts.

In her Spring Statement, Reeves confirmed that the Office for Budget Responsibility (OBR) has cut its UK growth forecast for 2026 to 1.1%, down from 1.4% predicted at last year’s Budget. However, growth estimates for 2027 and 2028 were revised up to 1.6%, suggesting a stronger medium-term outlook. GDP per person is now expected to grow by an average of 1.1% annually between 2026 and 2030.

The OBR also forecast that inflation will fall to 2.3% this year, lower than its previous 2.5% estimate, before reaching the Bank of England’s 2% target by the end of 2026. However, these projections were made before escalating conflict in the Middle East pushed up oil and gas prices. The OBR warned that sustained energy price rises could significantly affect both global and UK economic stability, potentially limiting interest rate cuts.

Unemployment is expected to peak at 5.3% this year, higher than earlier forecasts. Meanwhile, the overall tax burden is projected to reach nearly 38% of GDP by 2030-31 — a historic high. Reeves’ fiscal “headroom” against her borrowing rule has increased to £23.6bn, offering slightly more flexibility ahead of the autumn Budget.

Business groups offered a mixed response. The British Chambers of Commerce said the economy was improving but needed faster growth. The Federation of Small Businesses warned of mounting cost pressures and urged contingency support if energy prices surge further.

Reeves criticised past Conservative governments for weak growth, while opposition parties argued her policies were failing to deliver stronger economic momentum.