Everything you need to know about Philip Hammond’s first Autumn Statement
PHILIP HAMMOND has taken to the despatch box to deliver his first Autumn Statement since he became Chancellor back in June.
Since then, it's fair to say a lot has happened - Brexit, a whole new government and now, Donald Trump's election.
Philip Hammond’s first mini-Budget as Chancellor saw him scrap rip-off-rental fees, hike the minimum wage for over-25s by 4%, and help millions of families by changing how Universal Credit works.
He was pushed by the PM into introducing more measures to help people who are "just about managing", even though it is said he would rather have spent more on giving a boost to the economy before the impact of Brexit hits next year.
The Office for Budget Responsibility said forecast for growth has slowed and UK public borrowing is expected to reach more then 90% of GDP next year.
As he left No 11 this morning the Chancellor eschewed the usual photocall for the press, and instead of posing with his Autumn Statement document got straight into his minsterial car.
He tweeted, saying: "My Autumn Statement is focused on preparing and supporting the economy as we begin writing a new chapter in our country's history."
The major announcement was briefed last night - the Chancellor will announce a ban on letting agent’s fees to ease the squeeze on 4.3million households in private housing. "We will ban fees to tenants as soon as possible," he said.
RELATED STORIES
The surprise announcement today was that Mr Hammond said he'll save Wentworth Woodhouse, Britain's biggest stately home, with £7.6m of public cash.
Said to be the inspiration for the novel Pride and Prejudice, this home is in desperate need of renovations.
Other policies the chancellor has announced today:
- A £1bn U-turn on cuts in benefits to poorer workers. Mr Hammond will reverse some of George Osborne’s £3.4bn axe to Universal Credit. He said today that there would be no immediate cuts to the welfare budget.
- There will no longer be a target for the Government to have a budget surplus in this parliament
- The minimum wage will go up 30p an hour to £7.50 in April next year, meaning a £500 a year pay rise for full-time workers
- The personal allowance will be raised to £12,500 by the end of the parliament, and Mr Hammond hinted that it could be raised further in future. The higher rate threshold will also be increased to £50,000 by 2020-21
- £1.4 billion to make it cheaper to buy or rent a house, shared between three current schemes - Affordable Rent, Shared Ownership and Rent to Buy. Local councils can bid for the cash pot and decide which of the three it is best to spend the money on, with the Treasury estimating it will see 40,000 more affordable homes built
- An increase in money for Scotland, Wales and Northern Ireland
- Fuel duty will be frozen again for another year when he scraps a 2 rise in the hated tax on pumps
- A £5bn infrastructure package to boost the economy after Brexit, including new road building and broadband
- More than £100m of fines from banks from when they fixed rates will go to emergency services and armed forces charities including £20m to support a new rehab centre for veterans
- More money for driverless cars and other transport technologies
- £2bn for research and development funding by 2020-21
- A crackdown on pensions scams - a consultation before Christmas looking at banning businesses who coldcall people about the pension
The Chancellor confirmed that there will be no changes to pensions or armed forces funding for not - but this could be renewed in future.
The controversial foreign aid budget is also set to stay the same.
Interestingly, Mr Hammond also announced that there would be a new budget timetable. The Spring Budget will now take palace in the Autumn, and the government will respond to the latest budget figures in the Spring.
He also used today's speech to pay tribute to his predecessor, George Osborne, to cheers in the chamber.
“He took over an economy on the brink of collapse. He has a record of which he can be proud," Mr Hammond said.
“My style will be different from his. I’ll be no more adept at pulling rabbits from hats than my predecessor was pulling at balls from the back of the scrum,” he joked.
- For live coverage of the announcements and all the latest on the Autumn Statement follow our blog here.