OBR: Fiscally 'responsible' Spring Budget still carries 'significant risks'

Treasury Committee hearing

The Office for Budget Responsibility has said Chancellor’ Jeremy Hunt's Spring Budget last week was “responsible” in terms of its objectives, “but only just”.

Richard Hughes, chair of the OBR, told the Treasury Committee at a hearing today (12 March) that Jeremy Hunt's Budget was responsible, given that it met the objectives the chancellor had set for himself, namely to have debt beginning to fall as a share of GDP in five years' time. However, Hughes argued Hunt has done so with "one of the narrowest margins any chancellor has had against fiscal targets" at £9bn. The OBR chair noted this was the second narrowest, as the top spot was taken by Hunt's Spring Budget in 2023. As such, he said there are "significant risks to the fiscal outlooks"...