OBR updates estimates of costings for Coronavirus support
Furlough scheme till July now £63bn gross, tho £50bn when include tax
Extension to Oct depends on what “lions share “ means - but cd take to £83bn
Earmarks £5bn taxpayer losses on loan guarantees
£1bn extra welfare
Furlough scheme till July now £63bn gross, tho £50bn when include tax
Extension to Oct depends on what “lions share “ means - but cd take to £83bn
Earmarks £5bn taxpayer losses on loan guarantees
£1bn extra welfare
Which would take the implied deficit this year from its “reference scenario” up £25bn to just under £300bn or 15% of GDP.
Just two months ago at the Budget the deficit was officially forecast at £55bn.
Just two months ago at the Budget the deficit was officially forecast at £55bn.
NEW:
OBR updated deficit projection, based on new rescue spending, would, at 15.2%, be highest annual UK deficit since World War 2 was fully occurring in 1944.
This number now just exceeds the 15% deficit in mainly peacetime 1945-46, and would be highest since 22.1% in 1944-45.
OBR updated deficit projection, based on new rescue spending, would, at 15.2%, be highest annual UK deficit since World War 2 was fully occurring in 1944.
This number now just exceeds the 15% deficit in mainly peacetime 1945-46, and would be highest since 22.1% in 1944-45.
Above chart is the historical OBR numbers... and reflects the 13% scenario from last month, thats now 15.2%, a level not seen since before VE Day.
Since Budget, OBR anticipates in this financial year:
£127 billion hit to revenues, mainly tax:
£119 billion extra in spending...
Since Budget, OBR anticipates in this financial year:
£127 billion hit to revenues, mainly tax:
£119 billion extra in spending...
The OBR numbers include £10bn for the self employed scheme - more than £1bn announced in the first day - scale now starting to spark reaction from some of PM’s colleagues/ former ministers:
