OBR Sees UK Budget Cutting 2027 Inflation by 0.1 Point
Updated
Updated · Bloomberg · Oct 28
OBR Sees UK Budget Cutting 2027 Inflation by 0.1 Point
3 articles · Updated · Bloomberg · Oct 28
Summary
Britain’s latest budget measures will trim inflation by just 0.1 percentage point next year, the Office for Budget Responsibility said, indicating only a marginal effect on headline prices.
John Healey unveiled the package to shield millions of households from rising winter energy costs, but the watchdog said the support barely changes the overall inflation path.
The OBR expects that small disinflationary effect to reverse later, with the measures adding 0.1 percentage point to price growth in 2028.
The assessment lands just over a week before the Bank of England’s next interest-rate decision, limiting the budget’s significance for the near-term policy outlook.