Chancellor Rachel Reeves has announced 6 March as the date for the spring statement, prioritising 'stability and certainty' after criticism over the buildup to November's budget. The Treasury confirmed the Office for Budget Responsibility (OBR) will prepare updated economic and fiscal forecasts.
The decision follows months of leaks and tax speculation that business leaders blamed for damaging the economy. UK output unexpectedly shrank in October, and the Bank of England forecasts flat growth in the fourth quarter, with companies freezing investment and hiring.
Economists linked the uncertainty to Reeves' limited fiscal headroom, which fuelled a bond sell-off and raised borrowing costs. In November, she doubled her headroom to £22bn to guard against shocks. The OBR will provide an interim update rather than a full fiscal mandate assessment.
The Treasury said the government will respond to the OBR's forecast with a parliamentary statement, adhering to a commitment for one major fiscal event per year. 'This approach gives families and businesses the stability and certainty they need,' a spokesperson said.
Reeves also noted that the OBR will likely publish spring forecasts before a replacement is appointed for outgoing chair Richard Hughes, following the premature online release of budget documents. Both the Treasury and OBR are conducting leak inquiries.
