In his statement, Mr Hammond promised to invest 23bn writing on "innovation and infrastructure" over the next five years, with more money for roads, broadband and regional development. He told bbc radio 4's Today programme: "There's a downward path in borrowing. We need to keep the downward path on borrowing. But we also need to invest in our economy, to generate the revenue that will drive down the debt." 'Strong foundation describing economic forecasting as "not a precise science mr Hammond said of the obr's forecast: "We should think of it as one of the. He added: "We have a very strong foundation on which to build.". Mr Hammond also said: "We should have a plan which both invests in our economy and puts a little aside for the possibility of a slightly more rainy day next year or the year after.". Uncertainty was "not just about" Brexit but the change of us government when Donald Trump takes office and the growth rate of the Chinese economy, he added. Labour said the autumn Statement offered no hope for the future after six "wasted" years.
It said: "We have made a judgement - consistent with most external studies - that over the time horizon of our forecast any likely Brexit outcome would lead to lower trade flows, lower investment and lower net inward migration than we would otherwise have seen. The organisation said the economy would be affected by future choices that the government makes about regulatory and other policies and it "could move in either a growth-enhancing or a growth-impeding direction". Asked about the obr's predictions, the former Work and Pensions Secretary and leave campaigner Mr Duncan wood Smith told the daily telegraph it was "another utter doom and gloom scenario" from the organisation. The Economists for Brexit group predicted more "humiliating U-turns" from the obr, saying it had "assumed a pessimistic outlook for the uk economy outside the eu, based on bad economic policy-making". Media captionShadow Chancellor John McDonnell tells Radio 4's Today labour would tax differently. Conservative mp john Redwood, who also supported Brexit, added: "Their gdp growth forecast probably is too low, their borrowing forecast is far too high, and we'll get good access to the single market once we're out of the.". But Downing Street dismissed the criticism, saying the obr's role was to "provide transparency and credibility". She added: "They are an independent forecaster. We won't get into second guessing them.".
The Office for Budget Responsibility (OBR) forecast more government borrowing and reductions in economic growth after the referendum. Ex-minister iain Duncan Smith accused the obr of "utter doom and gloom". But Mr Chancellor Hammond said it was good to prepare for a "rainy day". He added that the government was investing to boost infrastructure and economic productivity and there was a "downward path in borrowing". Bbc economics editor Kamal Ahmed said the chancellor "hopes that the forecasts do prove very gloomy" and he was "setting a bottom line from which he hopes the government can clamber upwards". During Wednesday's Autumn Statement, Mr Hammond's first since becoming chancellor, he told MPs the uk's deficit would no longer be cleared by 2020. And the obr estimated the government would have to borrow 122bn more than forecast in March's Budget, with the referendum result accounting for.7bn of this. Media captionPhilip Hammond tells Radio 4's Today programme there is uncertainty about the forecasts. The Brexit vote meant potential growth in the current Parliament would.4 lower than forecast in March, according to the obr who also admitted producing a forecast was "far from straightforward", as it had not been given any extra information from the government about.
Autumn, statement 2014: documents
In the chamber, though, Osborne was able to deflect Balls, leaving the field clear for his own electoral strategy. It was pensioners who emerged as the biggest winners today. Not only do they get to retire at a civilised age (unlike those in soil generations to come) but they will not see their state pension decreased because of the cap on welfare spending being imposed by the coalition. This autumn statement continues to rehabilitate Osborne's reputation after the 'omnishambles' budget ruined much of 2012 for the Treasury. His self-aggrandisement popped up a few times, with a pm-esque nod to the Glasgow emergency services staff. Let's see how long it takes before someone uses the word 'unravel' - but right now it feels like osborne has put together a quietly conservative package which swats away labour and pretends the liberal Democrats barely exist at all. You might be forgiven for forgetting we're in a coalition.
The lib Dems must know this. It's presumably why nick Clegg yesterday claimed there wouldn't be a recovery at all if it wasn't for them. And why chief secretary to the Treasury danny Alexander sent a message to party members insisting, in a sentence ruined by the inserted qualification: "Setting the tory marriage tax break to one side, the autumn statement is packed full of Liberal Democrat ideas.". That might be true, but it certainly didn't feel that way in the commons chamber this lunchtime. Media playback is unsupported on your device. Media captionPhilip Hammond opened his Autumn Statement by looking at the uk economic figures. Chancellor Philip Hammond has called economic forecasts in the autumn Statement one of a "range of outcomes" after some pro-Brexit MPs criticised them for being too pessimistic.
Did I mention Osborne likes business? You get the idea. "And we are backing Britain's families Osborne continued, turning the volume down about six notches. This was a revealing rhetorical signal that, in the chancellor's mind at least, families are around ten times less important than companies. The package of measures Osborne unveiled, including the income tax threshold increase which helps the poorest, was thoroughly downplayed.
Instead he chose to underline the changes he is making to help married couples - which, as Ed Balls pointed out, will only help one in six families with children in this country. The shadow chancellor could do no more than reach the usual deadlock with Osborne in their post-statement exchanges. Balls has come up with a good answer to the coalition's criticisms of his early doom-mongering, which now seems a little exaggerated. He now diverts attention to Osborne's own early optimism - about getting the austerity over by 2015, for example. It's an effective neutraliser, but doesn't help win any arguments. While emphasis on the "cost-of-living crisis" is obviously the right strategy, somehow it didn't seem to have quite so much bite in the commons today. It will almost certainly go down better on the doorstep.
Finsbury global Strategic Communications
Even when presented with the opportunity to tailor his own news agenda, george Osborne fails to reach very far beyond the core tory vote. The chancellor's fourth autumn statement was a predictable, focused affair which - as expected - made as much political capital as possible from the improved economic situation. Osborne's tone for much of his 45-minute speech to cheerful Conservatives and grumpy labour backbenchers was one of restraint. He did more to contain his natural inclinations towards smugness than had been the case in his previous big-ticket pronouncements since the summer. Instead the focus became about Osborne's choice of emphasis. And what sticks in the mind most about his delivery was the unusual weight he placed on helping out small businesses. This chancellor wants to be their saviour, but with noel Gallagher hair. "Were backing Britains businesses all the way!" he yelped at the climax. He just loves business.
It ensures that we'll tap into new areas of business that would not otherwise come to the. It's a great opportunity for essay the industry as a whole. Alex Hope, md of double negative. A production which would pass the uk's cultural test but which chooses to do its principal photography elsewhere can still opt to do its editing, audio, vfx, secondary shoot and so on in the uk, alex continues. These elements might not have reached the old 25 floor for eligibility but now stand a better chance of qualifying. Alex added that he had not seen the detail/proposed wording on the cultural test yet, but was positive about the change that encompasses European source material and characters, instead of only British sources. A film based on Grimm's fairy tales would win points in this section, for example he explains. The vfx impact would be a knock-on benefit from a larger number of productions eligible for and attracted by uk tax reliefs.
film's production budget will qualify for a uk tax relief at 25, with a 20 rebate applied to any spending thereafter. The change removes the 'cliff edge' when a film's core costs reach the 20m threshold between the low budget relief and the high budget relief, he added. This state of affairs meant that at a certain budget level it was financially inefficient to spend more on a film. The proposal follows a government consultation on how best to support uk vfx companies which itself followed legislation in the April 2013 Budget in support of the uks other digital content industries such as animation, games and high-end television as well as relevant training. The mooted changes also include a reduction in the minimum amount of spending a studio has to do in the uk to qualify for relief: from 25 to 10 of the overall production/post costs. A still from, the hunger Games: Catching Fire. In addition, the autumn Statement proposes that the cultural test, which determines if a film can qualify as 'British will be expanded to allow for European as well as British Culture, in line with other creative content tax reliefs. In the opinion of trade body, uk screen Association, these measures will encourage minority co-productions where the uk spend is less than. Alex, a uk screen board member, said the reduction of the 25 core cost floor to 10 will benefit not only vfx provision, but also other digital preproduction and production services offered by uk facilities.
Bill Dodwell comments on the Chancellor's Autumn Statement. Deloitte's comprehensive commentary of the autumn Statement 2015: read all of our coverage in a 36 page writing pdf (4.35Mb). Alex Hope, md of, double negative, explains what the autumn Statement really means for uk vfx. You may have missed it in the Chancellor's Autumn Statement, but among the fuel duty freezes and pension extensions, the government also announced some significant changes to uk film tax relief that will benefit Britains vfx and post-production companies, among others. Among the proposed measures which depend on eu state aid clearance are a change to the existing tax relief film studios get on production budgets spent on filming activities such as pre-production, principal photography and post-production (including vfx) which take place within the. The current structure of the tax relief while attracting film and tv production to the uk had resulted in some films shooting in the uk but taking vfx work overseas. The new measure aims to keep as much creative work within the filmmaking process in this country. The change of the high budget film rate of relief is the first stage of harmonising it with all the other creative industry reliefs at 25, says Alex Hope, md of vfx giant double negative. This will make the uk more attractive to film production in general, which will hopefully have a knock on effect on vfx.
2014, autumn, statement analysis for retailers - integrity
Close, help us improve, to help us improve, wed like to know more about your visit today. Well send you a link to a feedback form. It will take only 2 minutes to fill. Dont worry we wont send you spam or share your email address with anyone. Email address, dont have an email address? The Chancellor has announced that the 2016 Budget will be on Wednesday 16 March. Deloitte will be sharing predictions in the run up to the budget and will provide insights and commentary throughout the day. The Chancellor of write the Exchequer, george Osborne, has delivered his Autumn Statement and updated forecast from the Office of Budget Responsibility alongside the Spending review, speaking for 67 minutes.