HM Treasury
Budget 2021 sets path for recovery
In a Budget which ‘meets the moment’, the Chancellor has today (3 March) set out a £65 billion three-point plan to provide support for jobs and businesses as we emerge from the pandemic and forge a path to recovery.
Chancellor’s three-point plan to protect jobs and strengthen public finances
billions to support businesses and families through the pandemic
investment-led recovery as UK emerges from lockdown
future changes to strengthen public finances
Chancellor of the Exchequer Rishi Sunak said his immediate priority continues to be supporting those hardest hit, with extensions to furlough, self-employed support, business grants, loans and VAT cuts – bringing total fiscal support to over £407 billion.
The government has announced that the UK’s first ever national infrastructure bank is set to launch this spring, offering loans to councils as well as the private sector.
The bank will eventually support at least £40bn of investment for local infrastructure projects, with £4bn allocated to local authority lending in its initial stage.
Located in Leeds, the bank will invest across the UK in public and private projects to finance what the chancellor termed the “green industrial revolution”.
Beginning this spring, it will have an initial capitalisation of £12bn, of which £4bn will be allocated to council lending. This will enable them to borrow to fund infrastructure projects including roads and other transport facilities, schools and housing.