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resolutionfoundation.orgUnsung Britain bears the brunt • Resolution FoundationThis briefing note analyses the choices the Government has made in the context of an awkward backdrop to the 2025 Spring Statement.

We'll also livepost the key highlights from our overnight analysis of the Spring Statement shortly after 9am. You can read the full 36-page report - Unsung Britain bears the brunt: Putting the 2025 Spring Statement in context - here www.resolutionfoundation.org/publications...

Kicking off our event, @jamessmithrf.bsky.social notes that the starting point for the Spring Statement was weak growth - with GDP growth for 2025 halved to 1%...

...but the OBR has responded by revised up its growth forecast for the remainder of the Parliament. The OBR is now far more optimistic than the Bank of Engand and external forecasters (by £24bn in terms of output in 2029). Will Britain's economic reality catch up with the OBR?

27/3/25, 9:08 am0 reposts4 likes

The key changes to the economic outlook was higher interest rate expectations, which in turn increased debt servicing costs by £10.1 billion in 2029-30.

But while borrowing was raised in every year of the forecast...

...policy was tightened (welfare cuts and departmental spending trimmed). Higher borrowing was entirely offset by lower spending, leaving the UK's current balance surplus in 2029-30 back where it was in the Autumn (£9.9 billion).