Sunak has €12bn wriggle room in UK spring budget

A strong labour market and a larger overall size of the economy have put Britain’s public finances on a sounder footing than anticipated

British chancellor Rishi Sunak has breathing room in his spring budget before pressures mount on the economy later in the year.

British chancellor of the exchequer Rishi Sunak can afford over £10bn (€12bn) of annual giveaways to help consumers through the cost of living crisis.

Mr Sunak presents his spring statement on Wednesday against an improved backdrop for the UK’s public finances, with borrowing in the fiscal year ending this month on track to be as much as £30bn below the level his officials had forecast.