Budget 2024 - the turning point?

The Industry Forum assembled a stellar panel of economists to decide whether Rachel Reeves’s ‘Budget 2024’ is the turning point for the UK economy which it so badly needs. The meeting was hosted by the Chartered Insurance Institute and Matt Connell, Director of Policy and Public Affairs at CII, welcomed guests to the famous ‘Walkie Talkie’ building in the City. Vicky Pryce - Chief Economic Advisor, CEBR, Will Hutton - Political economist, author and journalist, and Andrew Smith - Chief Economist, Industry Forum looked behind the headlines to see how the budget starts to address the deep-seated economic problems of the UK and teased out some optimism that a systematic and focussed approach will bring a growth bonus that the OBR and International Monetary Fund couldn’t predict from bare economic forecasts. There were a number of key takeaways: The spending, borrowing and taxing plans are high and involve some risk, but given the situation any new administration would have faced the same questions for which a laissez-faire approach has no credible answers. Starting to address the problems in public services, infrastructure and housing will have economic benefits from the investment expenditure and improved industrial cooperation which cannot be quantified at this stage. Overall, the conclusion of the meeting was that Budget 2024 can be called a turning point although many questions remain. These include, ‘When will we reform our over-complex tax system? ’How will we repair relations and trade with our European neighbours?’ and ‘How can we regain the international stature to help tackle worsening geopolitical problems?’ Detailed ideas on remaking Britain are contained in Will Hutton’s book, 'This Time No Mistakes,’ and the Industry Forum is planning a busy forward programme of dialogue on many of the other issues facing the UK.

Panellists:

Will Hutton - Political economist, author and journalist
Sarah Howard - CEO, British Chambers of Commerce
Vicky Pryce - Chief Economic Adviser, CEBR
Andrew Smith - Chief Economist, Industry Forum