Bulletin: Autumn Statement 2023: Spending Budgetary Windfall On Tax Cuts Won't Help Rebuild The U.K.'s Diminished Fiscal Headroom

LONDON (S&P Global Ratings) Nov. 23, 2023--S&P Global Ratings said today that it expects the U.K.'s fiscal headroom to remain constrained following the policy announcements in the Autumn Statement 2023. Although the government has pledged to limit the rise in departmental spending, the resulting fiscal windfall will be spent on tax cuts. On Nov. 22, 2023, the U.K.'s Chancellor of the Exchequer delivered the autumn budgetary statement, in line with the timeframe unveiled earlier in September. The U.K.'s next general election must take place no later than January 2025 and could be held as early as spring 2024. The current Autumn Statement is therefore significant in that it could be the last major fiscal policy intervention before the U.K. goes

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