Inflation
Inflation should fall below the 2% target set by the Government in a few months, according to the Office for Budget Responsibility report, Mr Hunt announced.
When he came to office inflation was at 11%, he said, whilst the latest figures show that it is now at 4%. Mr Hunt told MPs: “We have turned the corner on inflation.”

Debt and borrowing figures announced
Following OBR forecasts back in 2022 that headline debt would rise to above 100% of GDP, the Chancellor updated the Commons on projections for the next five years.

The OBR now says it will fall in every year to just 94.3% by 2028-29.

Mr Hunt said: “Underlying debt, which excludes Bank of England debt, will be 91.7% in 2024-25 according to the OBR, then 92.8%, 93.2%, 93.2% before falling to 92.9% in
2028-29 with final year headroom against debt falling of £8.9bn.”

Growth figures revealed
MPs also heard the latest forecasts from the OBR on economic growth. These were:

2024 – 0.8%
2025 – 1.9%
2026 – 2%
2027 – 1.8%

Government spending
Day-to-day public spending will stay at 1% growth in real terms but “we are going to spend it better,” Mr Hunt pledged.

He added: “It’s not fair to ask taxpayers to pay for more when public service productivity has fallen. Nor would it be wise to reduce that funding given the pressures
that public services face.”