The Chancellor Gordon Brown has forecast a £23bn surplus
this year and predicted surpluses of £17bn, £15bn, £8bn, £9bn and £9bn in
subsequent years.
But he said Britain must not take hard won stability for
granted, saying striking the right balance between long term investment and
affordable tax cuts would help lock in stability.
The Chancellor said inflation last year was 2.1 per cent,
the lowest level since 1963. He forecast a rate of 2.25 per cent by March next
year and 2.5 per cent by the end of next year. He reiterated the Government’s
inflation target of 2.5 per cent this year.
Economic growth was 3 per cent in 2000 and manufacturing
growth was 1.6 per cent.
The Government will repay £34bn in debt this year, up from
£9bn last year.
He said the national debt would fall to 30.3 per cent of
gross domestic product by 2002 and 29.6 per cent, 29.7 per cent, 29.9 per cent
and 30 per cent over the following years.
The Chancellor has cut petrol duty by 2p per litre.
Stamp duty was scrapped in designated areas to encourage
regeneration, with VAT cut to 5 per cent on home conversions.
Mr Brown forecast a £23bn surplus this year and predicted
surpluses of £17bn, £15bn, £8bn, £9bn and £9bn in subsequent years.
But he said Britain must not take hard won stability for
granted, saying striking the right balance between long term investment and
affordable tax cuts would help lock in stability.
The chancellor said inflation last year was 2.1 per cent,
the lowest level since 1963. He forecast a rate of 2.25 per cent by March next
year and 2.5 per cent by the end of next year. He reiterated the government’s
inflation target of 2.5 per cent this year.
Economic growth was 3 per cent in 2000 and manufacturing
growth was 1.6 per cent.
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The government will repay £34bn in debt this year, up from
£9bn last year.
He said the national debt would fall to 30.3 per cent of
gross domestic product by 2002 and 29.6 per cent, 29.7 per cent, 29.9 per cent
and 30 per cent over the following years.
