The Budget - Economy, Public Finances, Business And Trade

15th March 2023

Office for Budget Responsibility predicts the UK will avoid recession in 2023.

Size of the economy predicted to shrink by 0.2% this year, before growing by 1.8% next year, 2.5% in 2025 and 2.1% in 2026.

UK's inflation rate predicted to fall to 2.9% by the end of this year, down from 10.7% in the last three months of 2022.

Underlying debt forecast to be 92.4% of GDP next year, rising to 93.7% in 2024-25.

Main rate of corporation tax, paid by businesses on taxable profits over £250,000, confirmed to increase from 19% to 25%.

Companies with profits between £50,000 and £250,000 to pay between 19% and 25%.

Companies able to deduct investment in new machinery and technology to lower their taxable profits.

Tax breaks and other benefits for 12 new Investment Zones across the UK, funded by £80m each over the next five years.

Reduced paperwork for international traders, who will also be given longer to submit customs forms under streamlined rules