Forecaster’s mid-term outlook buoyed by £50bn in tax
increases, despite low growth and falling house prices in 2019
Britain’s economy will struggle to grow by more than 1.2% this
year as Brexit uncertainty hits business investment and sends house
prices into reverse for the first time since the 2008 financial
the Office for Budget Responsibility has warned.
The Treasury’s independent forecaster has cut its estimate of
economic growth for 2019 from 1.6%, made only last October. It is
also predicting a slide in house prices later this year, which will
cut stamp duty tax receipts by £3bn. Brexit uncertainty and
changes to the way corporation tax is paid, it said, will also
knock a £2bn hole in tax payments made by companies.
Source: FS – All-News2-Economy
OBR caps UK growth forecast at 1.2% but says five-year outlook bright