11th Dec 2020
Share this content
On the 25th November, Rishi Sunak gave his crucial Spending Review to MPs. Here’s we’ve outlined the key points.
Rebuilding the economy post-COVID
On the 25th November, Rishi Sunak gave his crucial Spending Review to MPs in which he made clear the lasting damage the coronavirus pandemic is continuing to wreak on UK finances. Indeed, the Chancellor revealed his forecast that the economy is likely to shrink by 11.3% over the coming year, bringing about the deepest recession in three centuries.
Before COVID-19 turned the world upside down, the government had planned to borrow around £55 billion this financial year (April 2020/2021). However, at just over half way through this figure has ballooned to £215 billion. Worryingly, the Chancellor confirmed that borrowing is expect to top £394 billion this year - a figure never seen before in peace-time history.