Five Key Takeaways From Rishi Sunak’s U.K. Budget Speech

27 Oct 2021, 08:58 PM IST

(Bloomberg) -- Here are the key takeaways from U.K. Chancellor of the Exchequer Rishi Sunak’s budget speech in Parliament on Wednesday.

Sunak presented his third budget, pledging a “new age of optimism,” even as the risk of inflation lurks
Sunak cut taxes on alcohol, causing pub stocks to rally, and froze a planned rise in fuel duty. He also gave a one-year 50% reduction in business rates to the retail, leisure and hospitality sectors
With the cost of living rising for Britons, Sunak cut the so-called taper on Universal Credit welfare payments, increasing how much people will keep as their incomes rise
With upgraded forecasts to economic growth and tax revenues, Sunak committed to real-terms increases in departmental spending in all areas of government
Despite those sweeteners, Sunak also spoke of the need to strengthen public finances. The borrowing forecast for the next five years was lowered by 154 billion pounds ($211 billion), while planned debt sales for this fiscal year were cut by a fifth