Budget 2021: Sunak Announces £150 Billion Spending Rise And Promises “New Economy”
On Wednesday, the Chancellor of the Exchequer Rishi Sunak laid out sweeping plans for the next three financial years in his Autumn Budget speech in parliament.
Health, transport, and the cost of living were sharply focused on in the chancellor’s speech, with changes announced including the removal of the freeze on public sector pay and an increase to the national living wage.
Sunak emphasised the growing proportion of people in jobs as well as the country’s economic bounce back from the pandemic so far. “Our plan is working so far,” Sunak said, although, “the budget does not draw a line under covid, we have challenging times ahead.”
The chancellor addressed the pressure inflation is putting on the UK economy, as well as the strains caused by the ongoing supply chain crisis. He warned this could “take months to ease”, but the government is therefore planning to pump new funding to improve lorry park facilities and will freeze vehicle excise duty for HGVs.
Total departmental spending is set to increase by £150 billion by 2024-25, with the government promising a “new economy” for the country. Sunak said the spending increase is the largest this century.